哔哩哔哩-W：Q1点评：广告增长提速，亏损大幅收缩

Investment Rating - The report assigns a "Buy" rating for both US and Hong Kong stocks of Bilibili (BILI), with a current price of 13.74 USD / 106.3 HKD and a fair value of 24.75 USD / 193.28 HKD [1][18]. Core Insights - The company reported a total revenue of 56.65 billion RMB for Q1 2024, exceeding consensus expectations and showing a year-over-year growth of 12% [7][9]. - The gross margin improved to 28.3%, up 6.6 percentage points year-over-year, indicating effective cost management and revenue growth strategies [7][13]. - The net loss attributable to shareholders was 7.5 billion RMB, which was better than the expected loss of 8.15 billion RMB, reflecting a significant reduction in losses [7][9]. User Growth and Engagement - In Q1 2024, Daily Active Users (DAU) reached 102.4 million, a year-over-year increase of 9%, while Monthly Active Users (MAU) were 34.2 million, also up 8% [3][4]. - The average daily time spent per user was 105 minutes, marking a new high and a 9% increase year-over-year [3][4]. Revenue Breakdown - Advertising revenue for Q1 2024 was 16.69 billion RMB, up 31% year-over-year, driven by improved product efficiency and healthy overall traffic growth [9][11]. - Live streaming and Value-Added Services (VAS) revenue reached 25.29 billion RMB, a 17% increase year-over-year [9][11]. - Game revenue was 9.83 billion RMB, down 13% year-over-year, primarily due to a lack of new product launches [11][12]. Profitability and Cost Management - The report highlights a strategy focused on increasing gross profit while reducing losses, with operational expenses showing a slight decrease year-over-year [7][15]. - The management expenses were reported at 5.3 billion RMB, down 7% year-over-year, while sales expenses were 9.27 billion RMB [13][15]. Future Projections - The company expects advertising revenue to grow by 30% and 23% in 2024 and 2025, respectively, reaching 83 billion RMB and 102 billion RMB [18][19]. - Total revenue is projected to grow by 14% and 15% in 2024 and 2025, reaching 256 billion RMB and 296 billion RMB [18][19]. - The report anticipates a gradual improvement in profitability, with a forecasted non-GAAP net loss of 12.24 billion RMB in 2024 and a potential profit of 11.29 billion RMB in 2025 [18][19].