BILIBILI(BILI) - 2024 Q1 - Quarterly Report

Financial Performance - Total net revenues for Q4 2023 were RMB6.3 billion (US $894.3 million), a 3% increase year over year, while total revenues for the fiscal year 2023 reached RMB22.5 billion (US$ 3.2 billion), also up 3% from 2022[2]. - Advertising revenues in Q4 2023 were RMB1.9 billion (US $271.7 million), representing a 28% year-over-year increase, and for the full year, advertising revenues were RMB6.4 billion (US$ 903.1 million), up 27% from 2022[2]. - Value-added services (VAS) revenues for Q4 2023 were RMB2.9 billion (US $402.4 million), a 22% increase year over year, with full-year VAS revenues at RMB9.9 billion (US$ 1.4 billion), up 14% from 2022[2]. - Gross profit for Q4 2023 was RMB1.7 billion (US $233.8 million), a 33% increase year over year, with a gross profit margin of 26.1%, improving from 20.3% in the same period last year[2]. - Total net revenues for the year ended December 31, 2023, were RMB 22,527,987, representing an increase from RMB 21,899,167 in 2022[24]. - Mobile games revenue for the year ended December 31, 2023, was RMB 4,021,137, a decrease from RMB 5,021,290 in 2022, reflecting a decline of approximately 20%[24]. - Value-added services (VAS) revenue increased to RMB 9,910,080 for the year ended December 31, 2023, up from RMB 8,715,170 in 2022, marking a growth of about 13.7%[24]. - Advertising revenue for the year ended December 31, 2023, was RMB 6,412,040, an increase from RMB 5,066,212 in 2022, representing a growth of approximately 26.6%[24]. - The company reported a gross profit of RMB 5,441,865 for the year ended December 31, 2023, compared to RMB 3,849,295 in 2022, representing an increase of approximately 41.5%[24]. Loss and Adjusted Loss - The net loss for Q4 2023 was RMB1.3 billion (US$ 182.6 million), narrowing by 13% year over year, while the full-year net loss was RMB4.8 billion (US $677.7 million), a 36% reduction from 2022[2]. - Adjusted net loss for Q4 2023 was RMB555.8 million (US$ 78.3 million), a 58% improvement year over year, and for the full year, adjusted net loss was RMB3.4 billion (US $480.9 million), narrowing by 49% from 2022[2]. - The net loss attributable to Bilibili Inc.'s shareholders for the year ended December 31, 2023, was RMB 4,822,321, compared to a net loss of RMB 7,497,013 in 2022, indicating an improvement of about 35.5%[24]. - The basic net loss per share for the year ended December 31, 2023, was RMB 11.67, a decrease from RMB 18.99 in 2022, reflecting a reduction of approximately 38.5%[24]. - The company reported an adjusted net loss of RMB 555.8 million for the year ended December 31, 2023, compared to an adjusted net loss of RMB 1.31 billion for the year ended December 31, 2022[31]. - Adjusted net loss per share decreased from RMB 3.31 for the year ended December 31, 2022, to RMB 8.29 for the year ended December 31, 2023, indicating a reduction in losses[33]. User Engagement - Average daily active users (DAUs) reached 100.1 million in Q4 2023, an 8% increase from the same period in 2022, with users spending over 95 minutes daily on the platform[3]. Cash Flow and Expenses - Operating cash flow for Q4 2023 was RMB640.4 million (US$ 90.2 million), compared to negative RMB707.3 million in the same period last year, marking a significant turnaround[2]. - Total operating expenses for the fiscal year 2023 decreased by 14% to RMB10.5 billion (US $1.5 billion), with sales and marketing expenses down 20% year over year[12][13]. - Total operating expenses for the year ended December 31, 2023, were RMB 10,506,052, down from RMB 12,207,239 in 2022, indicating a decrease of about 14%[24]. - Research and development expenses for the year ended December 31, 2023, were RMB 4,467,470, compared to RMB 4,765,360 in 2022, showing a decline of approximately 6.3%[24]. - Share-based compensation expenses totaled RMB 1,132,644 for the year ended December 31, 2023, up from RMB 1,040,683 in 2022, reflecting an increase of about 8.8%[26]. Assets and Liabilities - As of December 31, 2023, the company had cash and cash equivalents of RMB15.0 billion (US$ 2.1 billion) and outstanding convertible senior notes totaling US$861.8 million (RMB6.1 billion)[15]. - Total assets decreased from RMB 41.83 billion on December 31, 2022, to RMB 33.16 billion on December 31, 2023, a decline of approximately 20.7%[27]. - Total current liabilities increased from RMB 17.09 billion on December 31, 2022, to RMB 18.10 billion on December 31, 2023, an increase of approximately 5.9%[27]. - Cash and cash equivalents decreased from RMB 10.17 billion on December 31, 2022, to RMB 7.19 billion on December 31, 2023, a decline of approximately 29.5%[27]. - Total liabilities decreased from RMB 26.59 billion on December 31, 2022, to RMB 18.75 billion on December 31, 2023, a decline of approximately 29.6%[27]. - Long-term investments decreased from RMB 5.65 billion on December 31, 2022, to RMB 4.37 billion on December 31, 2023, a decline of approximately 22.7%[27]. Operational Efficiency - Loss from operations narrowed to RMB 1.30 billion for the three months ended December 31, 2023, compared to RMB 2.33 billion for the same period in 2022[31]. - Weighted average number of ordinary shares increased from 396.08 million for the year ended December 31, 2022, to 414.79 million for the year ended December 31, 2023[33].