China’s video hosting platform Bilibili booked RMB 315 million (USD 45.9 million) in net losses, compared to RMB 70.3 million in the same period of 2018, according to the company’s latest earnings release.
On a quarter-on-quarter basis, the company’s recent net loss was also more significant than the RMB 195.6 million net loss generated in the first quarter of this year.
While the losses widened, Bilibili recorded RMB1.54 billion (USD 224 million) in total net revenues in the second quarter of 2019, a 50% increase from the same period in 2018.
Mobile games generated RMB 919.9 million (USD134 million), accounting for 60% of the entire revenue. This segment posted a 16% increase year-on-year.
Live broadcasting and value-added services (VAS) revenues were RMB 326.0 million, representing an increase of 175% from the same period of 2018, mainly attributable to the company’s enhanced monetization efforts.
Advertising created RMB 167.7 million in revenues, representing an increase of 75% from the same period of 2018.
Revenues from e-commerce and others were RMB 124.1 million, up by 489% year-on-year, but only responsible for 8% of the company’s entire revenue. While the growth rate might seem substantial, it is smaller than the year-on-year growth rate in the first quarter of 621%.
Bilibili’s Monthly active users (MAU) topped 110.4 million, a 30% annual increase.
In February, Alibaba bought 24 million shares of Bilibili, taking an 8% stake in the company, a tie-up aimed at tapping young consumers’ consumption and drawing revenues while better connecting video creators, merchandise and users on both platforms.
Established in 2009, Bilibili claims that the majority of its user base are Gen Z, individuals born between 1990 and 2009 in China, citing market research company QuestMobile.