Overall Performance - Bilibili has achieved positive adjusted net profit for five consecutive quarters as of September 2025, with stable revenue growth and significant improvement in profitability [1][23] - In Q3 2025, Bilibili's total revenue grew by 5.2% year-on-year, reaching 7.69 billion yuan, with revenue performance remaining stable since achieving quarterly profitability in Q3 2024 [3][25] - The company's EBIT (operating profit) showed a strong growth trend, with a year-on-year increase of 630.9% in Q3 2025, indicating continuous improvement in operational efficiency [5][28] - Adjusted net profit increased by 233% year-on-year to 790 million yuan, with gross margin rising for 13 consecutive quarters to 36.7%, marking a historical high in quarterly gross profit of 2.82 billion yuan [7][31] Revenue Structure Optimization - Total revenue for the first three quarters of 2025 reached 22.023 billion yuan, a year-on-year increase of 15.3%, with the breakdown as follows: - Value-added services revenue decreased by 3 percentage points to 39% of total revenue - Advertising revenue increased by 2 percentage points to 32% of total revenue, totaling 7.018 billion yuan, up 21% year-on-year - Gaming revenue for the first three quarters was 4.851 billion yuan, a year-on-year increase of 27.2%, accounting for 22% of total revenue - IP derivatives and other revenue fell by 5.1% year-on-year to 1.487 billion yuan, representing only 7% of total revenue [10][37] - In Q3 2025, the average monthly paying users grew by 17% year-on-year to 35 million, with 25.4 million being premium members, reflecting enhanced user willingness to pay and boosting value-added services revenue [13][38] - The rapid growth of advertising revenue is squeezing the share of other business segments in total revenue, establishing it as a new growth driver for the company [12][36] Future Development - Bilibili is deepening the application of AI across multiple fields, which helps reduce advertising costs and improve efficiency, while also showing a steady increase in AI content playback duration over three consecutive quarters [21][44] - The company is accelerating community expansion through content innovation and new game releases, with significant user growth in the second half of the year, reaching the highest daily new user count in October [21][44] - Upcoming game releases, such as "Escape from Duckkov," show potential for becoming a hit, while the new game based on the "Three Kingdoms" IP is expected to launch in Q1 2026, demonstrating the company's commitment to building an IP matrix [23][47] - The introduction of video podcasts as a new content format amidst fierce competition in short videos has garnered significant attention, with "premiumization" remaining a key direction for Bilibili's content development [23][47]

Core Viewpoint - Bilibili (B站) reported a record high revenue of 7.34 billion RMB for Q2 2025, with net profit and adjusted net profit reaching 220 million RMB and 560 million RMB respectively, aligning with market expectations and indicating a stable growth trajectory under its established strategy [2][3]. Financial Performance - Bilibili's revenue for the quarter was 73.4 billion RMB, with a year-on-year growth of approximately 17.5% to 20.3% [3]. - The advertising revenue was 2.45 billion RMB, showing a growth of around 20%, driven mainly by performance advertising [4]. - The revenue from value-added services reached 2.84 billion RMB, with an 11% increase, primarily supported by live streaming [4]. - The gaming segment, particularly the game "Three Kingdoms: Strategize the World," significantly contributed to profitability, achieving 1 billion RMB in revenue shortly after launch [4][5]. User Engagement and Growth - Bilibili's daily active users reached 109 million, a 7% year-on-year increase, while monthly active users hit 363 million, growing by 8% [7]. - The average daily usage time per user was 105 minutes, reflecting a 6-minute increase compared to the previous year [7]. - The number of monthly paying users reached 31 million, marking a 9% growth [7]. Content Ecosystem and Monetization - Bilibili is focusing on building a healthier content ecosystem, exploring avenues such as video podcasts and a more diversified monetization strategy for content creators (UP主) [3][14]. - The platform has seen a significant increase in advertising revenue from e-commerce, with a 41% year-on-year growth during the recent 618 shopping festival [10]. - The number of UP主 generating over 10 million GMV increased by 66%, indicating a robust growth in content-driven commerce [10]. Strategic Outlook - Bilibili aims to enhance its community atmosphere and explore valuable content creation, with video podcasts emerging as a promising area for growth [14][16]. - The platform's strategy includes connecting diverse user groups and creators, fostering a multi-faceted content ecosystem that supports both commercial and serious content creation [16].