Bilibili has released a milestone financial report: total revenue for the first quarter of 2026 reached 7.47 billion yuan, an increase of 7% year-over-year. More notably, the company achieved a net profit of 202 million yuan (a loss of 10.7 million yuan during the same period last year), officially turning a profit in a single quarter and marking that Bilibili's commercialization path has entered a stage of sustainable growth.

Q1 Key Data Overview:

  • Major Profit Breakthrough: Net profit turned from loss to profit at 202 million yuan, with an adjusted net profit of 585 million yuan, up 62% year-over-year.

  • Strong Advertising Engine: Advertising revenue reached 2.59 billion yuan, increasing by 30% year-over-year, maintaining double-digit growth for 13 consecutive quarters.

  • Increased User Stickiness: Daily active users (DAU) reached 115 million, up 8% year-over-year; daily usage time reached 119 minutes, setting a new historical high.

AI: The "Core Variable" Driving Bilibili's Commercial Growth

After the release of the financial report, Bilibili's management clearly defined AI as a "tenfold historical opportunity." AI demonstrated comprehensive empowerment value in this quarter's financial report:

  • Revolution in Advertising Efficiency: The advertising business became the core driver of growth. AI technology not only significantly improved the accuracy and conversion efficiency of advertising content, but also the penetration rate of automated ad spending has reached as high as 85%, meaning that AI is taking over the precise distribution of the advertising ecosystem, significantly reducing manual operating costs.

  • Content Ecosystem Amplification: AI technology greatly improved the efficiency of content creation, with the viewing time of AI-related content on the platform increasing by 44% quarter-over-quarter. For creators, AI is evolving from a "tool" to a "partner," lowering the barriers to creation and enhancing community activity and content richness.

  • Reengineering of the Distribution Chain: With AI algorithm optimization, Bilibili's content recommendation chain has become more intelligent, successfully raising the average daily usage time to nearly 2 hours.

Game Business Faces a "Pain Period," Strategic Focus Stays Steady

While the advertising business is booming, Bilibili's game business generated revenue of 1.52 billion yuan in this quarter, down 12% year-over-year. Management acknowledged that this was mainly due to the high base effect from the hit title "Three Kingdoms: Strategy and Planning" last year, and the product is now smoothly transitioning into its mature phase.

In response to market concerns, Chen Rui reiterated Bilibili's three strategic approaches for games: long-term operations, top-tier vertical categories, and youth-oriented product types. It is reported that several reserve new products, such as "Three Kingdoms: The Path of the King" and "Three Kingdoms: Hundred Generals," have clear plans for release within the year, aiming to build a differentiated "Three Kingdoms universe" as a relay for future growth.

Future Outlook: Increase Investment in AI Infrastructure, Aim for Higher Profitability

Although the financial report was impressive, the capital market showed cautious attitudes toward the company's expected increase of 1 billion yuan in AI-related capital expenditures for the full year of 2026. In response, Bilibili CFO Fan Xin stated that the company not only wants to make money today, but also firmly holds the "AI ticket" for the future.

As high-value industries (such as AI technology, automotive, and home decoration) continue to explode in the advertising sector, combined with the deep reshaping of production efficiency by AI, Bilibili is entering a new profitability cycle driven by technology and monetizing community value. This is not just a financial report, but also the beginning of Bilibili's transformation into a "video community + AI application factory" model.