Bilibili Inc. · NASDAQ:BILI
Bilibili — Q3 2020 Earnings Presentation
26 slides from Bilibili's earnings presentation, November 2020
Slide 1: Investor Presentation
Investor Presentation Nov 2020 1
Slide 2: Safe Harbor Statement
Safe Harbor Statement This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “antici
Slide 3: Enrich the everyday life of young generations in China
Enrich the everyday life of young generations in China 197mn 184mn 53mn 15mn 81mins 54% YOY 61% YOY 42% YOY 89% YOY Avg. daily time spent (1) (4) (1) (2) (1) (2) MAU Mobile MAU DAU (1) MPU (1) (3) : 3
Slide 4: Our rapid growth
Our rapid growth Rapid user base expansion lays a solid foundation for fast revenue growth MAU (mn) Net revenue (RMB mn) 3,226 197 172 172 2,618 2,316 128 130 2,008 1,859 110 101 1,538 93 93 1,374 1,079 1,156 18Q3 18Q4 19Q1 19Q2 19Q3 19Q4 20Q1 20Q2 20Q3 18Q3 18Q4 19Q1 19Q2 19Q3 19Q4 20Q1 20Q2 20Q3 4
Slide 5: We have captured the golden cohort in a golden industry
We have captured the golden cohort in a golden industry Massive room for growth | Gen Z: future of the entertainment market 5G adaption will revolutionize Gen Z outgrows overall how people produce and consume content China’s online entertainment market (2) Online video users in China (mn) (1) Market
Slide 6: The story
The story Efficient with tremendous upside Commercialization Ever-growing supply of Highly engaged user generated content Users and sticky Content Community 6
Slide 7: A welcoming video community for diverse interests...
Content Community Commercialization A welcoming video community for diverse interests... Vlog Fashion Lifestyle Science (1) E-Sports No.1 Tech & Knowledge Game (1) (1) No.5 No.2 Electronics Interests Mobile Games Anime Entertainment Chinese Anime (1) Pop Culture (1) No.4 No.3 Cosplay Celebrity Notes
Slide 8: …And ever-growing supply of creative PUG videos
Content Community Commercialization …And ever-growing supply of creative PUG videos Talented Content Creators Number of Monthly Average Active Content Creators 51% 1.7mn 1.1mn Create reate Encourage 19Q3 20Q3 (1) High-quality Content Creation 91% Loyal Fan Base Number of Monthly Video Submissions to
Slide 9: Continuous support to content creators in all layers
Content Community Commercialization Continuous support to content creators in all layers VIP Service Maximize influence Power Alliances Top 100 UP Award Unlock commercial value Reward Better incentive Cash Incentive Program (320,000+ enrolled) (1) Better recognition Tutor Higher quality New Star Pro
Slide 10: Our OGV strategy: form IP assets and fuel the growth of premium members
Content Community Commercialization Our OGV strategy: form IP assets and fuel the growth of premium members 12.8mn and growing premium members (mn) Up 110% YOY 12.8 Launching 40 Bilibili produced Chinese Anime 10.9 titles throughout 2020 and 2021 10.5 7.6 6.1 5.3 4.8 3.6 2.7 More offerings in Sep-18
Slide 11: We foster highly engaged and sticky communities
Content Community Commercialization We foster highly engaged and sticky communities Highly engaged users： 1.3bn avg. daily video views in Q3 77% YoY growth 5.5bn interactions (1) generated monthly in Q3 117% YoY growth Notes: (1) Interactive features such as bullet-chats, commentaries, following, fa
Slide 12: We foster highly engaged and sticky communities
Content Community Commercialization We foster highly engaged and sticky communities 97mn official members (1) 80%+ 12th-month retention rate (1) (mn) Up 56% 100% YOY 90% 97 89 80% 82 70% 68 62 60% 54 45 49 42 50% 0 3 6 9 12 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Mar-19 Apr-19 May-19
Slide 13: Commercialization comes naturally: demand meets supply
Content Community Commercialization Commercialization comes naturally: massive user demand intersects with high quality supply Demand Efficient match Supply Large and engaged driven by big data insights Mobile Games user base of user interests and Advertising with behaviors Live Broadcasting strong
Slide 14: Compelling core competency of our mobile game business
Content Community Commercialization Compelling core competency of our mobile game business We have massive gamers We know what they want Ability to pick and operate User interest & behavior 1 Self developed Game is the 2nd most popular quality user data video genre on our platform 44 Exclusively dis
Slide 15: Robust game revenue growth
Content Community Commercialization Robust game revenue growth Up 37% (RMB mn) YOY 1,248 1,275 1,151 920 933 873 871 744 713 18Q3 18Q4 19Q1 19Q2 19Q3 19Q4 20Q1 20Q2 20Q3 15
Slide 16: Value-Added Services: multi-faceted commercialization
Content Community Commercialization Value-Added Services: multi-faceted commercialization Bilibili Comic Pay to view comic platform Premium membership Live broadcasting Maoer Enjoy exclusive or advanced Natural extension of our Premium high quality content diversified content platform audio drama pl
Slide 17: VAS revenue: strong growth with great potential
Content Community Commercialization VAS revenue: strong growth with great potential (RMB mn) Up 116% YOY 980 825 794 571 453 326 292 169 202 18Q3 18Q4 19Q1 19Q2 19Q3 19Q4 20Q1 20Q2 20Q3 17
Slide 18: Advertising: Bilibili is becoming more attractive to advertisers
Content Community Commercialization Advertising: Bilibili is becoming more attractive to advertisers App opening ad Top view Inline Immersive and interactive brand ads Customized and innovative native ads 18
Slide 19: Advertising revenue: strong growth with great potential
Content Community Commercialization Advertising revenue: strong growth with great potential (RMB mn) Up 126% YOY 558 349 290 247 214 160 168 137 112 18Q3 18Q4 19Q1 19Q2 19Q3 19Q4 20Q1 20Q2 20Q3 19
Slide 20: Our Financials
OUR FINANCIALS 20
Slide 21: Expanding user base drives revenue growth
Expanding user base drives revenue growth Total MAUs Diversified Revenue Mix (mn) (RMB mn) Y-o-Y Growth % 54% Y-o-Y Growth % 74% 197 3,226 172 172 2,618 128 130 2,316 110 2,008 101 1,859 93 93 1,538 1,374 1,156 1,079 18Q3 18Q4 19Q1 19Q2 19Q3 19Q4 20Q1 20Q2 20Q3 18Q3 18Q4 19Q1 19Q2 19Q3 19Q4 20Q1 20Q
Slide 22: Rapid growth of paying users and paying ratio
Rapid growth of paying users and paying ratio Impressive growth of paying users MPU / MAU MPUs (mn) Y-o-Y Growth % 89% 7.8% 7.5% 7.6% 15.0 6.8% 13.4 6.2% 12.9 5.7% 5.7% 8.8 4.8% 7.9 6.3 5.7 3.8% 4.4 3.5 18Q3 18Q4 19Q1 19Q2 19Q3 19Q4 20Q1 20Q2 20Q3 18Q3 18Q4 19Q1 19Q2 19Q3 19Q4 20Q1 20Q2 20Q3 22
Slide 23: Cost of revenue and operating expenses
Cost of revenue and operating expenses Cost of Revenue (1) Operating Expenses (1) (Non-GAAP, RMB mn; as a percentage of revenue %) (Non-GAAP, RMB mn; as a percentage of revenue %) Gross margin % Operating expense as percentage of revenue % 19.2% 20.1% 23.2% 23.4% 23.9% 39.2% 38.9% 44.3% 43.4% 54.5%
Slide 24: Consolidated balance sheets
Consolidated balance sheets (RMB MM) Dec 31, 2019 Sep 30, 2020 Assets Cash and cash equivalents 4,963 5,927 Time deposits 1,845 4,911 Accounts receivable, net 745 1,186 Prepayments and other current assets 1,511 1,811 Short-term investments 1,261 3,261 Total current assets 10,324 17,096 Property and
Slide 25: Consolidated statements of operations and comprehensive loss
Consolidated statements of operations and comprehensive loss (RMB MM, unless otherwise stated) 19Q3 20Q2 20Q3 YoY Change Net revenues Mobile games 933 1,248 1,275 37% Value-added services (formerly known as Live broadcasting 453 825 980 116% and VAS) Advertising 247 349 558 126% E-commerce and other
Slide 26: Thank You!
THANK YOU! IR Contacts Bilibili Inc. Juliet Yang Tel: +86-21-2509 9255 Ext. 8523 E-mail: ir@bilibili.com The Piacente Group, Inc. Tel: +86-21-6039-8363 (In China) Tel: +1-212-481-2050 (In U.S.) E-mail: bilibili@tpg-ir.com 26