Bilibili (BILI: NSD) has released its Q3 2023 financial results, reporting a wider net loss than expected and missed revenue estimates, causing its shares to fall over 10%.
Bilibili Q3 Earnings Analysis:
Bilibili’s mobile gaming revenues which accounted for 51% of its total revenues grew 25% YoY to $130.6 million but declined by 8% sequentially. However, the company’s other revenue streams showed strong growth, driven by the increase in its user base and engagement. The company’s live broadcasting and value-added services revenues soared 167% YoY to $63.3 million, thanks to the growth in the number of paying users for its live broadcasting services and premium membership program.
The company’s advertising revenues also jumped 80% YoY to $34.6 million. Moreover, the company’s e-commerce and other revenues surged 703% YoY to $31.6 million, mainly due to higher sales of products through its e-commerce platform.
CEO Remains Confident in Company Growth:
Despite the poor Q3 results, Bilibili’s CEO Rui Chen remained confident in the company’s growth potential and its ability to capture the opportunities in the online entertainment market. For Q4, the company expects revenues to be between $283.5 million and $288.9 million, representing a YoY growth of 64% to 67%, which is marginally below analyst projections of $287.4 million.
Conclusion:
Bilibili’s Q3 financial results may have fallen short of expectations, with a wider net loss and missed revenue estimates. However, the company has shown strong growth in its other revenue streams, including mobile gaming, live broadcasting and value-added services, advertising, and e-commerce. With projected revenues for Q4 showing promising YoY growth, Bilibili is well-positioned to continue its expansion and success in the industry.
