On March 4, BiliBili (NASDAQ: Bili, HKEx: 9626; hereinafter referred to as “station B”) released its unaudited financial reports for the fourth quarter and the whole year ended December 31, 2021. According to the financial report, the total revenue of station B in fiscal year 2021 reached 19.38 billion yuan, a year-on-year increase of 62%. Among them, the revenue in the fourth quarter increased by 51% year-on-year to 5.78 billion yuan.
Chen Rui, chairman and CEO of station B, said: “In the past three years, station B has achieved considerable growth, in which the user scale has more than doubled and the revenue scale has nearly tripled. Entering the new 2022, achieving healthy and high-quality growth remains our top priority. In the wave of ‘video’, we will continue to build a multi category and multi scene content ecosystem to meet the increasingly diverse needs of users Content consumption demand, and provide users with useful and valuable video content for daily life. We always believe that growth is a means, not an end. While expanding the user base and improving the commercialization ability, we will also focus on improving business efficiency, narrowing losses, and long-term commitment to exploring things of value to the community and positive significance to the society. “
There are 272 million monthly active users, and the average daily use time is 82 minutes
According to the financial report, in the fourth quarter, the average monthly active users of station B reached 272 million and the average monthly active users of mobile terminal reached 252 million, both achieving a year-on-year increase of 35%. Among them, the average monthly paying users of station B increased to 24.5 million in this quarter, a year-on-year increase of 37%, and the payment rate increased to 9.0%.
In the fourth quarter, the participation and interaction data of station B community also performed well. Among them, the average daily use time of users is up to 82 minutes, the highest in the fourth quarter of history. Users and content creators have also formed increasingly close contact and interaction. The average daily video playback volume reached 2.2 billion times, an increase of 80% year-on-year; The average number of monthly interactions reached 10.1 billion, an increase of 116% over the same period in 2020.
At the same time, the core user group continues to grow. By the end of the fourth quarter, the number of full members who passed 100 community exams had increased by 42% year-on-year to 145 million, and their retention rate in the 12th month had increased to 84%.
For a long time, pugv (professional user generated video) has been the cornerstone of the content ecology of station B and the core driving force of community growth. According to the financial report, the monthly average number of active up masters of station B in the fourth quarter reached 3.04 million, a year-on-year increase of 58%; The average monthly contribution reached 10.88 million, a year-on-year increase of 83%. The number of creators with more than 10000 fans increased by 41% year-on-year.
In 2021, more than 1.3 million up owners earned income through creation in station B, of which more than 557000 up owners have joined the “bilibilibili creation incentive plan”.
With the accumulation in the content field, the number of “big members” in station B reached a new high. As of December 31, it had increased by 39% year-on-year to 2.01 million.
The annual revenue reached a new high of 19.4 billion yuan, and the annual advertising revenue increased by 145% year-on-year
In the fourth quarter of 2021, driven by the rapid growth of non game businesses such as advertising and value-added services, the revenue of station B was 5.78 billion yuan, a year-on-year increase of 51%. The annual revenue reached 19.38 billion yuan, a year-on-year increase of 62%. Among them, the performance of advertising business continued to shine, and the annual advertising revenue maintained a year-on-year growth rate of 145%.
While the healthy growth of users brings about the growth of revenue, the realization efficiency of station B will be further improved in 2021, and the revenue of single month live users will increase by 20% year-on-year. In the future, station B will continue to improve the realization efficiency of users and further promote the commercialization process.
Thanks to the stable performance of unique generation games such as blue route and the contribution of newly released games, the game business revenue of station B increased by 15% year-on-year to 1.3 billion yuan in this quarter. The national style game “warm snow”, which is unique to station B, has been highly praised after its release in China and the global market, which once again proves station B’s understanding of user preferences. While strengthening the existing Chinese game operation, station B is continuously focusing on independent game research and development and overseas game distribution. At present, station B has obtained the version numbers of five new games and will be launched in China in the future. In the overseas market, 13 games will be released this year as planned.
Relying on the good development momentum of live broadcast and large member business, the revenue of value-added service business of station B reached 1.89 billion yuan, with a year-on-year high-speed growth of 52%. The annual value-added service revenue reached 6.93 billion yuan, a year-on-year increase of 80%. As an important part of community ecology, live broadcasting has formed multiple positive cycles with community creative ecology. By 2021, more than 70% of the millions of fans of station B are also live anchors. In the whole year, more than Shanghai Pudong Development Bank Co.Ltd(600000) content creators earned income through live broadcasting. In 2022, station B will continue to deeply integrate the live broadcast ecology, improve the penetration of live broadcast content in the video community, and improve the overall product experience.
With the strong momentum of rapid growth of users and expansion of brand influence, the advertising business revenue of station B increased rapidly by 120% to 1.59 billion yuan in the fourth quarter. The annual advertising revenue reached 4.52 billion yuan, a year-on-year increase of 145%. As Z + generation “The highly concentrated platform and the broken circle of station B also make more and more brand advertisers realize that station B is the necessary platform for brands to reach the Z + generation. As the core value of the marketing platform, station B is continuing to help brand owners create brand value in the digital age. In the fourth quarter, games, e-commerce, 3C products, food and beverage and automobile have become the top five advertisers. The content marketing of station B can Power is being recognized by advertisers. ” The most beautiful night in 2021, BiliBili New Year’s party, is also favored by advertisers of many brands. The program “only green” appeared in the Spring Festival Gala of China Central Television in the year of the tiger.
In the fourth quarter, with the rapid increase of e-commerce platform sales, the e-commerce and other business revenue of station B reached 1 billion yuan, a year-on-year increase of 35%.
The net loss of non GAAP in the fourth quarter was 1.66 billion yuan, and the goal is to achieve non GAAP profit and loss balance in 2024
The financial report also shows that as of December 31, 2021, the total amount of cash, cash equivalents, time deposits and short-term investments held by the company was 30.2 billion yuan. In addition, without considering the impact of employee equity incentive costs, amortization costs related to intangible assets formed by M & A and relevant income tax expenses, as well as the loss / income (non cash expenses) of changes in fair value of investment in listed companies, the adjusted net loss of non GAAP of station B in the fourth quarter was RMB 1.66 billion. In 2022, while continuing to promote user growth and commercialization, station B will also focus on improving organizational execution, improving the operational efficiency of each business line and reasonably controlling expenditure.
Fan Xin, chief financial officer of station B, said: in 2022, station B is confident that on the premise of maintaining the healthy growth of users, by improving the realization rate of a single Mau and controlling operating expenses, the annual non GAAP operating loss rate will narrow year-on-year from 2022, and the medium-term goal is to achieve non GAAP profit and loss balance in 2024.
At the same time, station B also announced that the board of directors had approved the share repurchase plan. Station B will repurchase up to $500 million of American Depositary Shares (ads) in the next 24 months. In addition, Chen Rui, chairman and CEO of the company, announced that he plans to use his personal funds to purchase American Depositary Shares (ads) with a total amount of no more than US $10 million in the open market in the next 24 months. The repurchase plan of the company and the purchase plan of the chairman of the company show the confidence of the management of station B in the development prospect of the company.
