Lyon: Bilibili-W (09626) first quarter revenue increased by 7% year-on-year, further improving profitability.

Lyon releases a research report stating that BILIBILI-W (09626) is expected to maintain steady revenue growth in the first quarter of 2026, with further improvement in profitability. The bank forecasts total revenue to grow by 7% year-on-year to 7.5 billion RMB, with adjusted net profit of 543 million RMB. The report points out that Bilibili's advertising revenue is expected to continue to grow strongly, driven mainly by steady demand for game advertisements and increased promotion of AI applications. It also believes that Bilibili, with its young user base, is an important platform for capturing AI advertising. The company is expected to further enhance its overall profitability even as it continues to invest in AI.