Core Insights - Bilibili (NASDAQ: BILI, HKEX: 9626) reported a total revenue of 7.69 billion RMB for Q3 2025, marking a 5% year-on-year increase, with adjusted net profit soaring 233% to 790 million RMB [2] - The platform experienced accelerated community growth, achieving record highs in multiple metrics, including daily active users of 117 million, a 9% increase year-on-year, and monthly active users of 376 million, an 8% increase [2] Revenue Breakdown - Advertising revenue increased by 23% year-on-year to 2.57 billion RMB (361 million USD), driven by improved ad product supply and effectiveness [3] - Revenue contributions from various segments include: value-added services (39%), advertising (33%), games (20%), and IP derivatives and other businesses (8%) [3] Advertising Growth Drivers - Key factors for the increase in advertising revenue include the integration of e-commerce data pathways, enhanced ad efficiency through upgraded algorithms and AI technology, and partnerships with Alibaba and JD.com [4] - The average age of core consumers has reached around 26 years, entering high spending decision-making stages, which has significantly improved ad efficiency [4] - The user base remains strong, with 117 million daily active users and 376 million monthly active users, contributing to better ad reach and effectiveness [4] Gaming Revenue Decline - Mobile game revenue for Q3 2025 was 1.51 billion RMB (212 million USD), a 17% decrease year-on-year, primarily due to high performance in the previous year from the exclusive game "Three Kingdoms: Strategy of the World" [5] - The decline is attributed to the short lifecycle of popular games and Bilibili's limited investment in self-developed games, leading to reliance on external licensed products [5] Game Development Strategy - Bilibili continues to operate long-term strategies for games like "Fate/Grand Order" and "Azur Lane," while "Three Kingdoms: Strategy of the World" remains a key focus for long-term health and player experience [6] - The newly released self-developed game "Escape from Duckkov" has sold over 3 million copies globally within a month, indicating potential for future success [6] Value-Added Services Performance - Value-added services revenue reached 3.02 billion RMB (425 million USD) in Q3 2025, a 7% increase year-on-year, driven by growth in paid memberships and other services [7] - As of Q3 2025, Bilibili had 25.4 million premium members, with approximately 80% being annual or auto-renewal subscribers [7]

Core Insights - Bilibili reported Q3 2025 revenue of 7.685 billion yuan, a year-on-year increase of 5.20%, with a gross margin of 36.67%, up 1.80 percentage points year-on-year and 0.20 percentage points quarter-on-quarter [1] - Adjusted net profit attributable to shareholders reached 786 million yuan, a significant year-on-year increase of 233%, with an adjusted net profit margin of 10.2%, up 7.0 percentage points year-on-year [1] User Engagement - Bilibili's core user metrics reached historical highs, with daily active users (DAU) growing 9% year-on-year to 117 million, and monthly active users (MAU) increasing 8% to 376 million [1] - The number of monthly paying users rose 17% year-on-year to 35 million, driven primarily by an increase in premium membership subscriptions [1] - Users' average daily usage time increased by 6 minutes year-on-year to 112 minutes, also a historical high [1] Advertising Business - Bilibili's advertising revenue for Q3 2025 was 2.57 billion yuan, a year-on-year increase of 23%, outpacing the online advertising industry [2] - The growth was attributed to improved marketing material production efficiency and advertising effectiveness due to AI technology, with over 60% of AI video material consumption and more than 45% of smart advertising consumption [2] - During the Double Eleven shopping festival, advertising revenue grew over 30% year-on-year, with a customer count increase of over 100% [2] - The company expects advertising business growth to maintain over 20% in Q4 2025 and into 2026 [2] Gaming Business - Bilibili's gaming revenue for Q3 2025 was 1.51 billion yuan, a year-on-year decline of 17%, primarily due to a high base effect from the previous year [3] - The game "Three Kingdoms: Strategy of the World" is expected to launch in traditional Chinese for Hong Kong and Taiwan in Q1 2026, with additional international versions planned for H2 2026 [3] - The new game "Escape from Duckkov" has sold over 3 million copies globally, with online users reaching 300,000, indicating strong potential for future sales [3] - Another game, "Three Kingdoms: Hundred Generals Card," is in testing and is expected to launch in Q1 2026 [3] Financial Projections - The company anticipates revenue of 30.2 billion yuan, 33.1 billion yuan, and 36.3 billion yuan for 2025, 2026, and 2027 respectively [3] - Adjusted net profit is projected to be 2.51 billion yuan, 3.09 billion yuan, and 3.99 billion yuan for the same years [3] - Corresponding price-to-earnings ratios are expected to be 32.6, 26.5, and 20.5 times [3]

Core Insights - Bilibili's Q3 2025 revenue reached 7.69 billion yuan, a 5% year-on-year increase, meeting expectations; adjusted net profit was 790 million yuan, significantly exceeding Bloomberg consensus by 22%, with a profit margin of 10.2%, continuing to improve quarter-on-quarter [1][2] User Metrics - Monthly Active Users (MAU) grew by 8% year-on-year to 376 million, maintaining an 8% growth rate for three consecutive quarters; Daily Active Users (DAU) increased by 9% to 117 million, with a D/M ratio rising to 31%; average daily usage time per user reached 112 minutes, up by 6 minutes year-on-year, indicating strong user engagement [1][2] Revenue Breakdown - Advertising revenue accelerated with a year-on-year growth rate of 23%, surpassing expectations; game revenue declined by 17% year-on-year, in line with expectations; value-added services revenue grew by 7% year-on-year, below expectations, with significant growth in premium membership driven by quality content [1][2] Operational Efficiency - Gross margin stood at 36.7%, meeting expectations and marking the 13th consecutive quarter of improvement; total operating expenses decreased by 6% year-on-year, with management and R&D expenses stable, while sales expenses dropped by 13% due to reduced game promotion [2] Mid-term Growth Drivers - Mid-term profit growth is supported by a healthy community ecosystem, confirmed advertising monetization potential, and effective cost control; potential growth drivers include community monetization through gaming and AI applications enhancing content and advertising efficiency [2] Profit Forecast Adjustments - The adjusted net profit forecast for 2025 is raised to 2.569 billion yuan from 2.452 billion yuan; slight downward adjustments for 2026-2027 net profit forecasts to 3.018 billion and 4.052 billion yuan respectively, reflecting expectations for new game launches [3] Investment Rating - The company maintains a "buy" rating, emphasizing the long-term value of its highly engaged young community [3]

Core Insights - The company reported significant growth in Q3 2025, with revenue reaching 76.85 billion yuan, a year-on-year increase of 5% and a quarter-on-quarter increase of 5% [1] - The net profit attributable to shareholders was 4.70 billion yuan, marking a turnaround from loss to profit, with a quarter-on-quarter increase of 115% [1] - Adjusted net profit surged by 233% year-on-year and 40% quarter-on-quarter, reaching 7.86 billion yuan [1] Revenue Breakdown - Value-added services revenue was 30.23 billion yuan, up 7% year-on-year and quarter-on-quarter, driven by an increase in paid memberships [2] - Advertising revenue reached 25.70 billion yuan, a 23% year-on-year increase and a 5% quarter-on-quarter increase, attributed to improved ad product supply and effectiveness [2] - Mobile game revenue was 15.11 billion yuan, down 17% year-on-year and 6% quarter-on-quarter, primarily due to high promotional costs during the initial launch of "Three Kingdoms: Strategy" [2] - IP derivatives and other revenue amounted to 5.82 billion yuan, reflecting a 3% year-on-year increase and a 32% quarter-on-quarter increase [2] Profitability and Cost Management - Gross margin improved for the 13th consecutive quarter, reaching 36.7%, an increase of 1.8 percentage points year-on-year and 0.2 percentage points quarter-on-quarter [2] - Total sales, management, and R&D expense ratio was 32.1%, down 3.7 percentage points year-on-year and 1.0 percentage point quarter-on-quarter, indicating sustained operational leverage [2] Future Outlook - The company is optimistic about the commercialization of its platform and the continued growth driven by gaming, projecting net profits of 10.24 billion yuan, 20.86 billion yuan, and 28.50 billion yuan for 2025-2027 [2] - The current stock price corresponds to P/E ratios of 78.5, 38.5, and 28.2 for the respective years [2] User Engagement and Community Growth - The platform's user data reached new highs in Q3, with daily active users (DAU) at 117 million (up 10% year-on-year) and monthly active users (MAU) at 376 million (up 8% year-on-year) [3] - The DAU/MAU ratio increased to 31%, with average daily usage time reaching 112 minutes (up 6 minutes year-on-year) [3] - The average income per content creator (UP master) increased by 22% year-on-year, indicating a healthy community development [3] Content Performance - Popular content such as "The Legend of Mortal Cultivation" and "Guarding the Liberation West" series achieved significant viewership, enhancing user willingness to pay [3] - Monthly paying users exceeded 35 million (up 17% year-on-year), with premium membership numbers reaching 25.4 million (up 16% year-on-year) [3]

Group 1: Macro Economic Insights - Construction activity is weakening, with the construction opening rate falling to historical lows, and industrial production remains at a historically high level [5][6] - Demand in the construction sector is weak, with low apparent demand for rebar and building materials, while automobile sales are also declining [5] - Recent weeks show a mixed performance in commodity prices, with black metals and coal prices recovering, while chemical products are experiencing a decline [6] Group 2: Industry Performance - The retail sales growth rate for October 2025 shows a year-on-year increase of 2.9%, but the growth rate continues to decline, particularly in the home appliance and automotive sectors [18][19] - The white liquor industry is in a bottoming phase, with structural recovery in demand during the holiday season, while the snack food sector shows resilience due to high-frequency demand [20] - In the poultry sector, chicken prices are supported by seasonal demand, while egg prices are declining, leading to accelerated culling of laying hens [22][23] Group 3: Company Updates - Li Min Co. (002734.SZ) has seen a price increase in its manganese-based products, and a strategic partnership with BASF has been established to enhance growth potential [37][38] - Bilibili (09626.HK) reported a significant increase in Q3 revenue, driven by advertising and new game launches, maintaining a "buy" rating [41][42] - Tencent Holdings (00700.HK) continues to experience high growth in revenue and net profit, with strong performance in both new and existing games, supported by AI applications [46][48] Group 4: Investment Opportunities - The 2025 private placement market is showing signs of recovery, with a significant increase in the number of new proposals and financing scale [10][12] - The Robotaxi industry is gaining traction, with companies like Xiaoma Zhixing and Wenyan Zhixing going public, indicating growth potential in the autonomous driving sector [31] - The outdoor camping and barbecue market is expected to thrive, with companies like Guoquan focusing on expanding their product offerings in this area [34]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Insights - The company reported a significant increase in Q3 performance, with revenue reaching 76.85 million yuan (up 5% year-on-year and quarter-on-quarter), and a net profit of 4.70 million yuan (turning profitable year-on-year and up 115% quarter-on-quarter) [4] - The growth in revenue is driven by an increase in advertising revenue, which reached 25.70 million yuan (up 23% year-on-year and 5% quarter-on-quarter), and an increase in value-added services [4] - The company is optimistic about the ongoing commercialization and growth in gaming, projecting net profits of 10.24 million yuan, 20.86 million yuan, and 28.50 million yuan for 2025-2027, respectively [4] Financial Summary - For 2025, the estimated revenue is 30,277 million yuan, with a year-on-year growth of 12.8% [6] - The estimated net profit for 2025 is 1,024 million yuan, reflecting a significant year-on-year increase of 176% [6] - The gross margin is projected to reach 36.7% in 2025, up from 24.2% in 2023 [6] User Engagement and Community Growth - The company achieved a record high in user engagement, with Daily Active Users (DAU) at 117 million (up 10% year-on-year) and Monthly Active Users (MAU) at 376 million (up 8% year-on-year) [5] - The average daily usage time reached 112 minutes, indicating strong user retention and engagement [5] - The number of paying users exceeded 35 million, with a year-on-year increase of 17% [5]

Investment Rating - The report initiates coverage with a "Buy" rating for Bilibili-W (9626.HK) [4] Core Insights - Bilibili's Q3 2025 results exceeded expectations, with revenue of 7.69 billion RMB, a year-over-year increase of 5%, and adjusted net profit of 790 million RMB, up 233% year-over-year, surpassing Bloomberg consensus by 22% [1] - The company is expected to benefit from its strategy of "self-developed quality products and global distribution," with a focus on improving profitability and operational efficiency [4] Financial Performance Summary - Q3 2025 revenue: 76.9 billion RMB, gross profit: 28.2 billion RMB, adjusted operating profit: 6.9 billion RMB, adjusted net profit: 7.9 billion RMB [1] - Q3 2025 advertising revenue: 25.7 billion RMB, a year-over-year increase of 23%, accounting for 33% of total revenue [3] - Q3 2025 value-added services revenue: 30.2 billion RMB, a year-over-year increase of 7% [3] - Forecasted revenues for 2025-2027 are 29.9 billion RMB, 32.7 billion RMB, and 35.9 billion RMB, respectively [5] User Metrics - Q3 2025 daily active users (DAU): 117 million, year-over-year increase of 9%; monthly active users (MAU): 376 million, year-over-year increase of 8% [1] - The number of creators earning revenue reached nearly 2.5 million, with average income per creator increasing by 22% year-over-year [1] Game Development Insights - Mobile game revenue in Q3 2025 was 15.1 billion RMB, a year-over-year decrease of 17% due to high base effects from the previous year [2] - Upcoming game releases include "Three Kingdoms: Hundred Generals Card" expected in Q1 2026 [2] Advertising and Marketing Trends - The advertising budget is expected to continue increasing, with significant growth in AI and education sector advertising [3] - During the "Double Eleven" shopping festival, the number of new customers increased by over 100% year-over-year [3]

Investment Rating - The report maintains a "Buy" rating for Bilibili-W (09626) [2] Core Insights - Bilibili achieved a revenue of 7.69 billion yuan in Q3 2025, representing a year-on-year growth of 5%, which met expectations; the adjusted net profit attributable to shareholders was 790 million yuan, exceeding Bloomberg consensus by 22%, with a profit margin of 10.2%, continuing to improve quarter-on-quarter [5] - User engagement metrics reached historical highs, with MAU growing 8% year-on-year to 376 million and DAU increasing 9% to 117 million, indicating strong user stickiness [8] - Advertising revenue accelerated with a year-on-year growth rate of 23%, while game revenue declined by 17%, aligning with expectations due to a high base effect [8] - The company continues to optimize operational efficiency, with a gross margin of 36.7% and a 6% year-on-year reduction in absolute values of operating expenses [8] - The report highlights two upward potential drivers: community monetization through gaming and AI applications, which could enhance content ecosystem and advertising efficiency [8] Financial Data and Profit Forecast - Revenue projections for Bilibili are as follows: - 2023: 22.53 billion yuan - 2024: 26.83 billion yuan - 2025E: 30.21 billion yuan - 2026E: 33.30 billion yuan - 2027E: 36.16 billion yuan - Adjusted net profit forecasts are: - 2023: -3.43 billion yuan - 2024: -0.02 billion yuan - 2025E: 2.57 billion yuan - 2026E: 3.02 billion yuan - 2027E: 4.05 billion yuan [7][9]

盈利能力高增，成本费用持续优化。哔哩哔哩25Q3 实现收入76.9亿元，同比+5.2%。毛利率36.7%，同 比+1.8pct，环比+0.2pct。经营利润3.5 亿元，经营利润率4.6%，同比+5.5pct。经调整净利润7.9亿元，同 比+233.3%；经调整净利率10.2%，同比+7.0pct。 核心用户指标创历史新高。哔哩哔哩25Q3 DAU 达1.17 亿，同比+9%；MAU 达3.76 亿，同比+8%； DAU/MAU 31.2%。日均用户时长达112 分钟，同比+6%。月均付费用户数达3500 万，同比+17%。 活跃用户平均年龄26 岁，新用户平均年龄22 岁。25Q3 月均总互动量达185 亿，正式会员数达2.78 亿。 游戏受高基数影响承压，广告超大盘增长。哔哩哔哩25Q3 实现增值服务收入30.2 亿元，同比+7.1%， 主要由付费会员及其他增值服务的收入增加。实现广告收入25.7 亿元，同比+22.7%，主要由广告产品 供给改善及广告效益提升。实现移动游戏收入15.1 亿元，同比-17.1%，主要由于独家授权游戏《三国： 谋定天下》去年同期基数较高。10 月16 日自研游戏《逃离鸭科夫》 ...

Core Insights - The company reported better-than-expected profits for Q3 2025, with revenues of RMB 7.7 billion, a year-on-year increase of 5.2%, aligning with market expectations [1] - The gross margin improved to 36.7% quarter-on-quarter, while adjusted net profit reached RMB 790 million, exceeding market expectations of RMB 640 million [1] - User traffic growth accelerated, with daily active users (DAU) increasing by 9.3% to 117 million and monthly active users (MAU) rising by 8.0% to 376 million, achieving record highs [1] Advertising Business Performance - The company experienced a 23% year-on-year growth in advertising revenue in Q3 2025, driven by improved ad supply and effectiveness [1] - The outlook for the advertising business remains positive, with expectations of over 20% growth in Q4 2025, supported by continuous traffic growth and enhanced ad value [1] Gaming Segment Developments - Game revenue decreased by 17% year-on-year in Q3 2025 due to high base effects, but the performance of "Three Kingdoms: Strategizing the World" met expectations [2] - The company plans to launch a traditional Chinese version of the game in overseas markets in Q1 2026 and expand to more international regions in the second half of 2026 [2] - The self-developed game "Escape from Duckkov" achieved over 3 million global sales and a peak online player count of over 300,000, with potential to become the second highest-selling domestic single-player game [2] Future Projections and Ratings - The company has slightly raised its revenue growth forecast for Q4 2025 to 4.9% year-on-year, maintaining an adjusted operating profit margin forecast of 10% [2] - The target price has been adjusted to $32/247 HKD, corresponding to FY26E/FY27E price-to-earnings ratios of 34x/25x, with a "Buy" rating maintained [2]