6-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of May 2025

Commission File Number: 001-38429

Bilibili Inc.

Building 3, Guozheng Center, No. 485 Zhengli Road

Yangpu District, Shanghai, 200433

People’s Republic of China

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F ☒    Form 40-F ☐

Exhibit Index

Exhibit 99.1	–	Unaudited Interim Condensed Consolidated Financial Statements<br><br><br>Exhibit 99.1 sets forth the unaudited interim condensed consolidated financial statements for the three months periods ended March 31, 2024 and<br>2025
Exhibit 99.2	–	Management’s Discussion and Analysis of Financial Condition and Results of Operations

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

BILIBILI INC.
By	:	/s/ Xin Fan
Name	:	Xin Fan
Title	:	Chief Financial Officer

Date: May 21, 2025

EX-99.1

Exhibit 99.1

INDEX TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Unaudited Interim Condensed Consolidated Balance Sheets as of December 31, 2024 and March 31, 2025	F-2
Unaudited Interim Condensed Consolidated Statements of Operations and Comprehensive Loss for the three months ended March 31, 2024 and 2025	F-4
Unaudited Interim Condensed Consolidated Statements of Changes in Shareholders’ Equity for the three months ended March 31, 2024 and 2025	F-5
Unaudited Interim Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2024 and 2025	F-7
Notes to the Unaudited Interim Condensed Consolidated Financial Statements	F-9

F-1

BILIBILI INC.

UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS

(All amounts in thousands, except for share data)

	December 31,<br>2024		March 31,<br>2025		March 31,2025
	RMB		RMB		US
					Note 2(d)
Assets
Current assets:
Cash and cash equivalents		10,249,382		9,601,900
Time deposits		3,588,475		3,937,921
Restricted cash		50,000		50,950
Accounts receivable, net		1,226,875		1,007,515
Amount due from related parties		786,677		1,071,470
Prepayments and other current assets		1,148,111		1,052,801
Short-term investments		2,706,535		3,856,835
Total current assets	****	19,756,055	****	20,579,392
Non-current assets:
Property and equipment, net		589,227		522,109
Production cost, net		1,851,207		1,753,344
Intangible assets, net		3,201,012		3,199,545
Deferred tax assets		135,131		142,237
Goodwill		2,725,130		2,725,130
Long-term investments, net		3,911,592		3,919,494
Other long-term assets		529,146		439,239
Total non-current assets	****	12,942,445	****	12,701,098
Total assets	****	32,698,500	****	33,280,490
Liabilities
Current liabilities:
Accounts payable		4,801,416		4,983,062
Salary and welfare payable		1,599,482		1,200,571
Taxes payable		428,932		376,961
Short-term loan and current portion of long-term debt		1,571,836		1,818,124
Deferred revenue		3,802,307		3,848,682
Accrued liabilities and other payables		2,554,281		2,845,213
Amount due to related parties		4,549		32,164
Total current liabilities	****	14,762,803	****	15,104,777
Non-current liabilities:
Long-term debt		3,264,153		3,264,089
Other long-term liabilities		567,631		531,276
Total non-current liabilities	****	3,831,784	****	3,795,365
Total liabilities	****	18,594,587	****	18,900,142

All values are in US Dollars.

F-2

BILIBILI INC.

UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS (Continued)

(All amounts in thousands, except for share data)

			March 31,2025			March 31,2025
			RMB			US
						Note 2(d)
Shareholders’ equity
Ordinary shares:
Class Y Ordinary Shares (US0.0001 par value; 100,000,000 shares authorized, 83,715,114<br>shares issued and outstanding as of December 31, 2024; US0.0001 par value; 100,000,000 shares authorized, 82,366,214 shares issued and outstanding as of March 31, 2025)	52			51
Class Z Ordinary Shares (US0.0001 par value; 9,800,000,000 shares authorized, 337,546,303<br>shares issued, 332,838,671 shares outstanding as of December 31, 2024; US0.0001 par value; 9,800,000,000 shares authorized, 338,895,203 shares issued, 335,620,287 shares outstanding as of March 31, 2025)	216			218
Additional paid-in capital	41,454,130			41,747,152
Statutory reserves	48,642			48,642
Accumulated other comprehensive income	266,816			260,905
Accumulated deficit	(27,661,459	)		(27,670,561	)		)
Total Bilibili Inc.’s shareholders’ equity	14,108,397			14,386,407
Noncontrolling interests	(4,484	)		(6,059	)		)
Total shareholders’ equity	14,103,913	****	****	14,380,348	****		****
Total liabilities and shareholders’ equity	32,698,500	****	****	33,280,490	****		****

All values are in US Dollars.

The accompanying notes are an integral part of these unaudited interim condensed consolidated financial statements.

F-3

BILIBILI INC.

UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND

COMPREHENSIVE LOSS

(Allamounts in thousands, except for share and per share data)

	For the Three Months Ended March 31,
	2024			2025			2025
	RMB			RMB			US<br>Note 2(d)
Net revenues
Value-added services		2,528,909			2,807,340
Advertising		1,668,584			1,997,635
Mobile games		982,810			1,731,155
IP derivatives and others		484,297			467,118
Total net revenues	****	5,664,600	****	****	7,003,248	****		****
Cost of revenues		(4,059,240	)		(4,464,150	)		)
Gross profit	****	1,605,360	****	****	2,539,098	****		****
Operating expenses:
Sales and marketing expenses		(927,059	)		(1,166,975	)		)
General and administrative expenses		(531,777	)		(515,638	)		)
Research and development expenses		(965,120	)		(841,477	)		)
Total operating expenses	****	(2,423,956	)	****	(2,524,090	)		)
(Loss)/profit from operations	****	(818,596	)	****	15,008	****		****
Other income/(expense):
Investment loss, net (including impairments)		(21,249	)		(62,203	)		)
Interest income		133,207			94,173
Interest expense		(31,574	)		(32,571	)		)
Exchange losses		(58,060	)		(11,659	)		)
Debt extinguishment loss		(20,980	)		—
Others, net		54,183			(1,837	)		)
Total other income/(expense), net	****	55,527	****	****	(14,097	)		)
(Loss)/profit before income tax expenses	****	(763,069	)	****	911	****		****
Income tax		(1,562	)		(11,588	)		)
Net loss	****	(764,631	)	****	(10,677	)		)
Net loss attributable to noncontrolling interests		16,086			1,575
Net loss attributable to the Bilibili Inc.’s shareholders	****	(748,545	)	****	(9,102	)		)
Net loss	****	(764,631	)	****	(10,677	)		)
Other comprehensive income/(loss):
Foreign currency translation adjustments		2,496			(5,911	)		)
Total other comprehensive income/(loss)	****	2,496	****	****	(5,911	)		)
Total comprehensive loss	****	(762,135	)	****	(16,588	)		)
Comprehensive loss attributable to noncontrolling interests		16,086			1,575
Comprehensive loss attributable to the Bilibili Inc.’s shareholders	****	(746,049	)	****	(15,013	)		)
Net loss per share, basic		(1.80	)		(0.02	)		)
Net loss per share, diluted		(1.80	)		(0.02	)		)
Net loss per ADS, basic		(1.80	)		(0.02	)		)
Net loss per ADS, diluted		(1.80	)		(0.02	)		)
Weighted average number of ordinary shares, basic		415,274,340			420,086,397
Weighted average number of ordinary shares, diluted		415,274,340			420,086,397
Weighted average number of ADS, basic		415,274,340			420,086,397
Weighted average number of ADS, diluted		415,274,340			420,086,397
Share-based compensation expenses included in:
Cost of revenues		13,677			23,996
Sales and marketing expenses		12,560			16,417
General and administrative expenses		157,824			144,497
Research and development expenses		80,525			105,855

All values are in US Dollars.

The accompanying notes are an integral part of these unaudited interim condensed consolidated financial statements.

F-4

BILIBILI INC.

UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY

(All amounts in thousands, except for share data)

	Ordinary shares
	Class Y OrdinaryShares				Class Z OrdinaryShares				Additionalpaid-incapital		Statutoryreserves		Accumulated othercomprehensiveincome		Accumulateddeficit			Noncontrollinginterests			Totalshareholders’equity
	Shares		Amount		Shares		Amount
			RMB				RMB		RMB		RMB		RMB		RMB			RMB			RMB
Balance at December 31, 2023	****	83,715,114	****	52	****	325,800,880	****	213	****	40,445,175	****	44,749	****	212,477	****	(26,310,766	)	****	12,367	****	****	14,404,267	****
Net loss	****	—	****	—	****	—	****	—	****	—	****	—	****	—		(748,545	)		(16,086	)		(764,631	)
Share-based compensation	****	—	****	—	****	—	****	—		264,586		—		—	****	—	****	****	—	****		264,586
Share issuance from exercise of share options		—		—		809,874		1		—		—	****	—		—			—			1
Share issuance from vest of restricted share units		—		—		12,500		*		—		—		—		—			—			*
Foreign currency translation adjustments	****	—	****	—	****	—	****	—	****	—	****	—		2,496	****	—	****	****	—	****		2,496
Balance at March 31, 2024	****	83,715,114	****	52	****	326,623,254	****	214	****	40,709,761	****	44,749	****	214,973	****	(27,059,311	)	****	3,719	****	****	13,906,719	****
*	Less than 1.
---	---

The accompanying notes are an integral part of these unaudited interim condensed consolidated financial statements.

F-5

BILIBILI INC.

UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY (Continued)

(All amounts in thousands, except for share data)

	Ordinary shares
	Class Y OrdinaryShares						Class Z OrdinaryShares				Additionalpaid-incapital		Statutoryreserves		Accumulated othercomprehensiveincome			Accumulateddeficit			Noncontrollinginterests			Totalshareholders’equity
	Shares			Amount			Shares		Amount
				RMB					RMB		RMB		RMB		RMB			RMB			RMB			RMB
Balance at December 31, 2024	****	83,715,114	****	****	52	****	****	329,358,672	****	216	****	41,454,130	****	48,642	****	266,816	****	****	(27,661,459	)	****	(4,484	)	****	14,103,913	****
Net loss	****	—	****	****	—	****	****	—	****	—	****	—	****	—	****	—	****		(9,102	)		(1,575	)		(10,677	)
Share-based compensation	****	—	****	****	—	****	****	—	****	—		290,765	****	—	****	—	****	****	—	****	****	—	****		290,765
Share issuance from exercise of share options		—			—			500,653		*		2,257		—		—			—			—			2,257
Share issuance from vest of restricted share units		—			—			932,063		1		—		—		—			—			—			1
Redesignation of shares		(1,348,900	)		(1	)		1,348,900		1		—		—		—			—			—			—
Foreign currency translation adjustments	****	—	****	****	—	****	****	—	****	—	****	—	****	—		(5,911	)	****	—	****	****	—	****		(5,911	)
Balance at March 31, 2025	****	82,366,214	****	****	51	****	****	332,140,288	****	218	****	41,747,152	****	48,642	****	260,905	****	****	(27,670,561	)	****	(6,059	)	****	14,380,348	****
*	Less than 1.
---	---

The accompanying notes are an integral part of these unaudited interim condensed consolidated financial statements.

F-6

BILIBILI INC.

UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(All amounts in thousands)

	For the Three Months Ended March 31,
	2024			2025			2025
	RMB			RMB			US<br>Note 2(d)
Cash flows from operating activities:
Net loss		(764,631	)		(10,677	)		)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation of property and equipment		164,439			106,318
Amortization of intangible assets		456,356			388,172
Amortization of<br>right-of-use assets		40,476			39,907
Amortization of debt issuance costs		4,885			71
Share-based compensation expenses		264,586			290,765
Allowance for expected credit losses		55,249			10,000
Inventory provision		(351	)		(5,452	)		)
Deferred income taxes		(14,350	)		(11,242	)		)
Unrealized exchange (gains)/losses		(1,468	)		1,777
Unrealized fair value changes of investments		(26,260	)		39,520
Loss on disposal of property and equipment		2,213			3,125
(Gain)/loss from equity method investments		(8,152	)		8,021
Impairments of long-term investments		68,027			30,750
Loss of convertible senior notes repurchase		20,941			—
Changes in operating assets and liabilities:
Accounts receivable		254,737			215,351
Amount due from related parties		(26,574	)		(16,071	)		)
Prepayments and other assets		190,569			182,570
Other long-term assets		8,823			(7,403	)		)
Accounts payable		26,741			181,410
Salary and welfare payable		(286,535	)		(398,911	)		)
Taxes payable		(65,613	)		(51,970	)		)
Deferred revenue		33,518			46,375
Accrued liabilities and other payables		273,641			288,292
Amount due to related parties		125			3,616
Other long-term liabilities		(33,695	)		(32,219	)		)
Net cash provided by operating activities	****	637,697	****	****	1,302,095	****		****
Cash flows from investing activities:
Purchase of property and equipment		(93,048	)		(35,699	)		)
Purchase of intangible assets		(120,560	)		(351,785	)		)
Purchase of short-term investments		(4,605,100	)		(15,219,419	)		)
Maturities of short-term investments		5,437,674			14,026,436
Cash paid for long-term investments including<br>loans		(70,950	)		(292,000	)		)
Repayment of loans from investees		60,100			13,000
Cash received from disposal/return of long–term assets		549			6,536
Placements of time deposits		(2,708,871	)		(2,013,934	)		)
Maturities of time deposits		2,862,176			1,660,348
Net cash provided by/(used in) investing activities	****	761,970	****	****	(2,206,517	)		)
Cash flows from financing activities:
Proceeds of short-term loan		749,000			900,000
Repayment of short-term loan		(244,226	)		(651,000	)		)
Proceeds from exercise of employees’ share options		1			2,258
Repurchase of convertible senior notes		(3,046,017	)		—
Net cash (used in)/provided by financing activities	****	(2,541,242	)	****	251,258	****		****
Effect of exchange rate changes on cash and cash equivalents and restricted cash held inforeign currencies	****	(12,837	)	****	6,632	****		****
Net decrease in cash and cash equivalents and restricted cash	****	(1,154,412	)	****	(646,532	)		)
Cash and cash equivalents and restricted cash at beginning of the period	****	7,241,821	****	****	10,299,382	****		****
Cash and cash equivalents and restricted cash at end of the period	****	6,087,409	****	****	9,652,850	****		****
Including:

All values are in US Dollars.

F-7

BILIBILI INC.<br> <br><br><br><br>UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS<br><br><br>(Continued)<br> <br><br><br><br>(All amounts in thousands)
Cash and cash equivalents at end of the period	6,037,409	9,601,900	1,323,177
Restricted cash at end of the period	50,000	50,950	7,021
Supplemental disclosures of cash flows information:
Cash paid for income taxes, net of tax refund	33,862	24,405	3,363
Cash paid for interest expense	14,700	24,614	3,392
Supplemental schedule of non-cash investing andfinancing activities:
Property and equipment purchases financed by accounts payable	173,105	48,680	6,708
Acquisitions and investments financed by payables	—	24,000	3,307
Intangible assets purchases financed by payables	896,546	571,573	78,765

The accompanying notes are an integral part of these unaudited interim condensed consolidated financial statements.

F-8

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

1. Operations

Bilibili Inc. (the “Company” or “Bilibili”) is an iconic brand and a leading video community for young generations in China. Incorporated as a limited liability company in the Cayman Islands in December 2013, the Company, through its consolidated subsidiaries, variable interest entities (“VIEs”) and subsidiaries of the VIEs (collectively referred to as the “Group”), is primarily engaged in the operation of providing online entertainment services to users in the People’s Republic of China (the “PRC” or “China”).

In April 2018, the Company completed its IPO on the NASDAQ Global Select Market. In March 2021, the Company successfully listed its Class Z ordinary shares on the main board of the Hong Kong Stock Exchange.

On October 3, 2022 (the “Primary Conversion Effective Date”), the Company’s voluntary conversion of its secondary listing status to primary listing on the main board of the Hong Kong Stock Exchange became effective. The Company became a dual-primary listed company on the main board of Hong Kong Stock Exchange in Hong Kong and the NASDAQ Global Select Market in the United States.

In January 2023, the Company completed the offering of 15,344,000 ADSs at US$26.65 per ADS. The amount of net proceeds from such offering (after deducting all applicable costs and expenses including but not limited to selling commission) is approximately US$396.9 million (RMB2,689.4 million). Shortly thereafter, the Company completed repurchased of an aggregate principal amount of US$384.8 million (RMB2.6 billion) of its outstanding 0.50% convertible senior notes due December 2026 with an aggregate purchase price of US$331.2 million (RMB2.2 billion), which was funded by the net proceeds from the ADS Offering.

As of March 31, 2025, the Company’s major subsidiaries, VIEs and subsidiaries of the VIEs are as follows:

Major Subsidiaries	Place and Year of<br><br><br>Incorporation	Percentage of<br>Direct or Indirect<br>Economic<br>Ownership	Principal Activities
Bilibili HK Limited	Hong Kong, 2014	100	Investment holding
Hode HK Limited	Hong Kong, 2014	100	Investment holding
Chaodian HK Limited	Hong Kong, 2019	100	Investment holding
Bilibili Co., Ltd.	Japan, 2014	100	Business development
Hode Shanghai Limited (“Hode Shanghai”)	PRC, 2014	100	Technology development^1^
Shanghai Bilibili Technology Co., Ltd.	PRC, 2016	100	Technology development^1^
Chaodian (Shanghai) Technology Co., Ltd.	PRC, 2019	100	E-commerce and advertising^1^

F-9

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

1. Operations (Continued)

Major VIEs and VIEs’ subsidiaries	Place and Year of<br><br><br>Incorporation	Percentage of<br>Direct or Indirect<br>Economic<br>Interest	Principal Activities
Shanghai Hode Information<br> <br>Technology Co., Ltd.<br>(“Hode Information Technology”)	PRC, 2013	100*	Mobile game operation^2^
Shanghai Kuanyu Digital<br> <br>Technology Co., Ltd.<br>(“Shanghai Kuanyu”)	PRC, 2014	100*	Video distribution and game distribution^2^
Sharejoy Network Technology Co., Ltd. (“Sharejoy Network”)	PRC, 2014	100*	Game distribution^2^
Shanghai Hehehe Culture Communication Co., Ltd. (“Shanghai Hehehe”)	PRC, 2014	100*	Comics distribution^2^
Shanghai Anime Tamashi Cultural Media Co., Ltd. (“Shanghai Anime Tamashi”)	PRC, 2015	100*	E-commerce platform^2^
*	Hode Shanghai is the primary beneficiary of the major VIEs and VIEs’ subsidiaries.
---	---
1	These companies were established in the PRC in the form of wholly foreign-owned enterprises.<br>
---	---
2	These companies were established in the PRC in the form of investment solely by legal corporations or<br>controlled by natural person(s).
---	---

F-10

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

1. Operations (Continued)

The following combined financial information of the Group’s VIEs and VIEs’ subsidiaries as of December 31, 2024 and March 31, 2025 and for the three months ended March 31, 2024 and 2025 included in the accompanying consolidated financial statements of the Group was as follows:

	December 31,<br>2024			March 31,<br>2025
	RMB in thousands
Cash and cash equivalents		2,108,946			3,403,391
Time deposits		21,560			21,762
Restricted cash		50,000			50,950
Accounts receivable, net		623,464			674,762
Amounts due from Group companies		532,700			608,799
Amount due from related parties		17,233			30,050
Prepayments and other current assets		382,386			373,771
Short-term investments		537,432			96,217
Long-term investments, net		1,714,647			1,726,428
Other non-current assets		4,647,176			4,540,557
Total assets	****	10,635,544	****	****	11,526,687	****
Accounts payable		3,650,374			3,859,930
Salary and welfare payables		426,568			289,491
Taxes payable		135,235			141,624
Short-term loan		600,000			699,000
Deferred revenue		2,727,174			2,751,749
Accrued liabilities and other payables		895,670			1,053,477
Amounts due to the Group companies		10,362,724			10,399,714
Amounts due to related parties		4,463			32,038
Other long-term payable		400,630			403,174
Total liabilities	****	19,202,838	****	****	19,630,197	****
Total Bilibili Inc’s shareholders’ deficit		(8,575,962	)		(8,111,883	)
Noncontrolling interests		8,668			8,373
Total shareholders’ deficit	****	(8,567,294	)	****	(8,103,510	)
Total liabilities and shareholders’ deficit	****	10,635,544	****	****	11,526,687	****

F-11

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

1. Operations (Continued)

	For the Three Months Ended March 31,
	2024		2025
	RMB in thousands
Third-party revenues		3,634,786		4,669,901
Inter-company revenues		224,619		166,943
Total revenues	****	3,859,405	****	4,836,844
Net income	****	96,196	****	464,112
	For the Three Months Ended March 31,
---	---	---	---	---	---	---
	2024			2025
	RMB in thousands
Net cash provided by operating activities	****	920,948	****	****	1,456,590	****
Net cash provided by investing activities	****	19,885	****	****	71,822	****
Net cash used in financing activities	****	(1,105,863	)	****	(225,051	)

F-12

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

1. Operations (Continued)

Liquidity

The Group incurred net losses of RMB764.6 million and RMB10.7 million for the three months ended March 31, 2024 and 2025, respectively. Net cash provided by operating activities was RMB637.7 million and RMB1,302.1 million for the three months ended March 31, 2024 and 2025, respectively. Accumulated deficit was RMB27,661.5 million and RMB27,670.6 million as of December 31, 2024 and March 31, 2025, respectively. The Group assesses its liquidity by its ability to generate cash from operating activities and attract investors’ investments. Historically, the Group has relied principally on both operational sources of cash and non-operational sources of financing from investors to fund its operations and business development. The Group’s ability to continue as a going concern is dependent on management’s ability to successfully execute its business plan, which includes increasing revenues while controlling costs and operating expenses, as well as, generating operational cash flows and continuing to gain support from outside sources of financing. In the past, the Group has been continuously receiving financing support from outside investors. Moreover, the Group can adjust the pace of its operation expansion and control the operating expenses. Based on the above considerations, the Group believes the cash and cash equivalents and the operating cash flows are sufficient to meet the cash requirements to fund planned operations and other commitments for at least the next twelve months from the date of the issuance of the unaudited interim condensed consolidated financial statements. The Group’s unaudited interim condensed consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and liquidation of liabilities in the normal course of business.

F-13

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

2. Significant Accounting Policies

a) Basis of presentation

The accompanying unaudited interim condensed consolidated financial statements of the Group have been prepared in accordance with the accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for a complete set of financial statements. Certain information and note disclosures normally included in the annual financial statements prepared in accordance with U.S. GAAP have been condensed or omitted consistent with Article 10 of Regulation S-X.

The unaudited interim condensed consolidated financial statements have been prepared on the same basis as the audited financial statements and include all adjustments as necessary for the fair statement of the Group’s financial position as of March 31, 2025, and the results of operations and cash flows for the three months ended March 31, 2024 and 2025. The consolidated balance sheet at December 31, 2024 has been derived from the audited financial statements at that date but does not include all the information and footnotes required by U.S. GAAP. The unaudited interim condensed consolidated financial statements and related disclosures have been prepared with the presumption that users of the unaudited interim condensed consolidated financial statements have read or have access to the audited consolidated financial statements for the preceding fiscal years. Accordingly, these financial statements should be read in conjunction with the audited consolidated financial statements and related footnotes as of and for the year ended December 31, 2024. Results for the three months ended March 31, 2025 are not necessarily indicative of the results expected for the full fiscal year or for any future period.

b) Principles of consolidation

The unaudited interim condensed consolidated financial statements include the financial statements of the Company, its subsidiaries and VIEs (inclusive of the VIEs’ subsidiaries) for which the Company is the primary beneficiary.

Subsidiaries are those entities in which the Company, directly or indirectly, controls more than one half of the voting power, has the power to appoint or remove the majority of the members of the board of directors, or to cast a majority of votes at the meeting of the board of directors, or has the power to govern the financial and operating policies of the investee under a statute or agreement among the shareholders or equity holders.

A consolidated VIE is an entity in which the Company’s subsidiary, through contractual arrangements, has the power to direct the activities that most significantly impact the entity’s economic performance, bears the risks of and enjoys the rewards normally associated with ownership of the entity, and therefore the Company’s subsidiary is the primary beneficiary of the entity.

All transactions and balances among the Company, its subsidiaries and VIEs (inclusive of the VIEs’ subsidiaries) have been eliminated upon consolidation. There is no VIE in the Group where the Company or any subsidiary has a variable interest but is not the primary beneficiary.

F-14

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

2. Significant Accounting Policies (Continued)

c) Use of estimates

The preparation of the Group’s consolidated financial statements in conformity with the U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent liabilities at the balance sheet date and reported revenues and expenses during the reported periods in the consolidated financial statements and accompanying notes. Significant accounting estimates include, but are not limited to, determination of the average playing period for paying players, and assessment for the impairment of long-term investments accounted for using the measurement alternative.

d) ConvenienceTranslation

Translations of balances on the unaudited interim condensed consolidated balance sheets, unaudited interim condensed consolidated statements of operations and comprehensive loss and unaudited interim condensed consolidated statements of cash flows from RMB into US$ as of and for the three months ended March 31, 2025 are solely for the convenience of the reader and were calculated at the rate of US$1.00 = RMB7.2567, representing the noon buying rate in The City of New York for cable transfers of RMB as certified for customs purposes by the Federal Reserve Bank of New York on March 31, 2025. No representation is made that the RMB amounts represent or could have been, or could be, converted, realized or settled into US$ at such rate.

e)Contract balance

Timing of revenue recognition may differ from the timing of invoicing to customers. Accounts receivable represent amounts invoiced, and revenue recognized prior to invoicing when the Group has satisfied its performance obligations and has the unconditional right to consideration.

Deferred revenue relates to unsatisfied performance obligations at the end of each reporting period and consists of cash payment received in advance from game players in mobile games, from customers in advertising services, live broadcasting services and other VAS, and e-commerce platforms. Due to the generally short-term duration of the relevant contracts, the majority of the performance obligations are satisfied within one year. The amount of revenue recognized that was included in the receipts in advance balance at the beginning of the period was RMB2,074.4 million and RMB2,811.6 million for the three months ended March 31, 2024 and 2025, respectively.

f) Receivables, net

The following table sets out movements of the allowance for expected credit losses for the three months ended March 31, 2024 and 2025, respectively:

	For the Three Months EndedMarch 31,
	2024			2025
	RMB in thousands
Beginning balance		219,201			283,993
Provisions		55,249			10,000
Write-offs		(916	)		(33,131	)
Ending balance	****	273,534	****	****	260,862	****

F-15

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

3. Concentrations and Risks

a) Telecommunications service provider

The Group relied on telecommunications service providers and their affiliates for servers and bandwidth services to support its operations for the three months ended March 31, 2024 and 2025 was as follows:

	For the Three MonthsEnded March 31,
	2024			2025
Total number of telecommunications service providers		96			103
Number of service providers providing 10% or more of the Group’s servers and bandwidth<br>expenditure		4			2
Total percentage of the Group’s servers and bandwidth expenditure provided by 10% or greater<br>service providers		53	%		32	%

b) Foreign currency exchange rate risk

The functional currency and the reporting currency of the Company are U.S. dollars and RMB, respectively. The Group’s exposure to foreign currency exchange rate risk primarily relates to cash and cash equivalents, time deposits, short-term and long-term investments, convertible senior notes and accounts payable denominated in the U.S. dollars. Most of the Group’s revenues, costs and expenses are denominated in RMB, while the convertible senior notes and a portion of cash and cash equivalents, time deposits, short-term and long-term investments, and accounts payable are denominated in U.S. dollars. Any significant fluctuation of RMB against U.S. dollars may materially and adversely affect the Group’s cash flows, revenues, earnings and financial positions.

c) Credit risk

The Group’s financial instruments potentially subject to significant concentrations of credit risk primarily consist of cash and cash equivalents, time deposits, restricted cash, accounts receivable and financial products (recorded in the short-term and long-term investments) with variable interest rates referenced to performance of underlying assets issued by commercial banks and other financial institutions. As of December 31, 2024 and March 31, 2025, substantially all of the Group’s cash and cash equivalents, restricted cash and time deposits were held in major financial institutions located in the United States of America and China, which management consider being of high credit quality. Accounts receivable is typically unsecured and is primarily derived from revenue earned from advertising, VAS and mobile game services (mainly relates to remittances due from payment channels and distribution channels). The following table presents distribution channel and customer that had receivable balance exceeding 10% of the Group’s gross accounts receivable balance as of December 31, 2024 and March 31, 2025.

RMB in thousands	December 31,2024		March 31,2025
Distribution channel A		192,405		296,002
Customer A		168,503		146,088

F-16

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

3. Concentrations and Risks (Continued)

d) Major customers and supplying channels

No single customer represented 10% or more of the Group’s net revenues for the three months ended March 31, 2024 and 2025, respectively.

The Group relied on a distribution channel to publish and generate the iOS version of its mobile games. There is no single distribution channel of mobile games generated 10% or more of the Group’s net revenues for the three months ended March 31, 2024 and 2025, respectively.

e) Mobile games

Mobile game revenues accounted for 17% and 25% of the Group’s total net revenues for the three months ended March 31, 2024 and 2025, respectively.

One mobile game individually contributing more than 10% of the Group’s total net revenues for the three months ended March 31, 2025, as follows:

	For the Three MonthsEnded March 31,
	2024			2025
Mobile game 1		below 10	%		11	%

4. Prepayments and Other Current Assets

The following is a summary of prepayments and other current assets:

	December 31,2024		March 31,2025
	RMB in thousands
Prepayments for revenue sharing cost*		305,818		285,198
Inventories, net		255,185		233,741
Prepayments for sales tax		172,756		148,077
Deposits		138,561		135,485
Prepayments of marketing and other operational expenses		64,065		67,046
Prepayments to inventory suppliers		39,584		60,035
Interest income receivable		78,343		39,342
Prepayments for content cost		20,064		20,878
Prepayments /receivables relating to jointly invested content		2,250		6,814
Loans to investees or ongoing investments		21,465		5,898
Others		50,020		50,287
Total	****	1,148,111	****	1,052,801
*	App stores retain commissions on each purchase made by the users through the App stores. The Group is also<br>obligated to pay ongoing licensing fees in form of royalties to the third-party game developers. Licensing fees consist of fees that the Group pays to content owners for the use of licensed content, including trademarks and copyrights, in the<br>development of games. Licensing fees are either paid in advance and recorded on the balance sheets as prepayments or accrued as incurred and subsequently paid. Additionally, the Group defers the revenue from licensed mobile games over the estimated<br>average playing period of paying players given that there is an implied obligation to provide on-going services to end-users.
---	---

F-17

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

5. Short-term Investments

The following is a summary of short-term investments:

	December 31,2024		March 31,2025
	RMB in thousands
Investments in publicly traded companies		424,755		373,081
Financial products		2,281,780		3,483,754
Total	****	2,706,535	****	3,856,835

For the three months ended March 31, 2024 and 2025, the Group recorded investment income of RMB26.3 million and investment loss of RMB27.1 million related to short-term investments on the unaudited interim condensed consolidated statements of operations and comprehensive loss, respectively.

6. Property and Equipment, Net

The following is a summary of property and equipment, net:

	December 31,<br>2024			March 31,<br>2025
	RMB in thousands
Leasehold improvements		222,925			219,958
Servers and computers		3,406,915			3,359,646
Others		64,799			64,718
Total	****	3,694,639	****	****	3,644,322	****
Less: accumulated depreciation		(3,105,412	)		(3,122,213	)
Net book value	****	589,227	****	****	522,109	****

Depreciation expenses were RMB164.4 million and RMB106.3 million for the three months ended March 31, 2024 and 2025, respectively. No impairment was recognized for any of periods presented.

F-18

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

7. Intangible Assets, Net

The following is a summary of intangible assets, net:

	As of December 31, 2024
	Grosscarrying value		Accumulatedamortization			Netcarrying value
	RMB in thousands
Licensed copyrights of content		8,804,134		(6,686,903	)		2,117,231
License rights of mobile games		310,676		(240,913	)		69,763
Intellectual property and others		2,374,595		(1,360,577	)		1,014,018
Total	****	11,489,405	****	(8,288,393	)	****	3,201,012
	As of March 31, 2025
	Grosscarrying value		Accumulatedamortization			Netcarrying value
	RMB in thousands
Licensed copyrights of content		9,154,012		(6,977,999	)		2,176,013
License rights of mobile games		273,435		(210,066	)		63,369
Intellectual property and others		2,386,422		(1,426,259	)		960,163
Total	****	11,813,869	****	(8,614,324	)	****	3,199,545

Amortization expenses were RMB456.4 million and RMB388.2 million for the three months ended March 31, 2024 and 2025, respectively. No impairment charge was recognized for any of the periods presented.

8. Long-term Investments, Net

The Group’s long-term investments primarily consist of equity investments accounted for using the measurement alternative, equity investments accounted for using the equity method and other investments accounted for at fair value.

	December 31,2024		March 31,2025
	RMB in thousands
Equity investments accounted for using the measurement alternative		1,917,527		1,891,676
Equity investments accounted for using the equity method		1,834,070		1,866,050
Investments accounted for at fair value		159,995		161,768
Total	****	3,911,592	****	3,919,494

Equity investments using the measurement alternative

The Group elects to use measurement alternative for recording equity investments without readily determinable fair values at cost, less impairment, adjusted for subsequent observable price changes, in accordance with ASU 2016-01. Under this measurement alternative, changes in the carrying value of the equity investments will be recognized in current earning, whenever there are observable price changes in orderly transactions for the identical or similar investment of the same issuer. For those equity investments that the Group elects to use the measurement alternative, the Group makes a qualitative assessment of whether the investment is impaired at each reporting date. If a qualitative assessment indicates that the investment is impaired, the Group has to estimate the investment’s fair value in accordance with the principles of ASC 820. If the fair value is less than the investment’s carrying value, the Group recognizes an impairment loss in “Investment loss, net (including impairments)” equal to the difference between the carrying value and fair value.

No re-measurement loss of equity investments accounted for using the measurement alternative was recognized for the three months ended March 31, 2024 and 2025, respectively.

F-19

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

8. Long-term Investments, Net (Continued)

Equity investments using the measurement alternative (Continued)

For equity investments accounted for using the measurement alternative as of December 31, 2024, the Company recorded cumulative upward adjustments of nil and cumulative impairments and downward adjustments of RMB1,187.6 million.

For equity investments accounted for using the measurement alternative as of March 31, 2025, the Company recorded cumulative upward adjustments of nil and cumulative impairments and downward adjustments of RMB1,214.4 million.

The Group recorded impairment charges for long-term investments of RMB68.0 million and RMB30.8 million as “Investment loss, net (including impairments)” for the three months ended March 31, 2024 and 2025, respectively, as the investees’ unsatisfied financial performance with no obvious upturn or potential financing solutions in the foreseeable future, and the Group determined the fair value of these investments was less than their carrying value.

No disposal gain or loss was recognized for the three months ended March 31, 2024 and 2025, respectively.

Equity investments accounted for using the equity method

RMB8.2 million of the Group’s proportionate share of equity investee’s net income and RMB8.0 million of the Group’s proportionate share of equity investee’s net loss was recognized in “Investment loss, net (including impairments)” for the three months ended March 31, 2024 and 2025, respectively.

Investments accounted for at fair value

Investments accounted for at fair value primarily include financial products with variable interest rates referenced to performance of underlying assets and with original maturities more than one year and investments in publicly traded companies with an intention of holding more than one year. A gain of RMB1.9 million and RMB2.0 million resulted from the change in fair value was recognized in “Investment loss, net (including impairments)” for the three months ended March 31, 2024 and 2025, respectively.

F-20

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

9. Taxation

Composition of income tax

The following table presents the composition of income tax expenses for the three months ended March 31, 2024 and 2025:

	For the Three Months Ended<br>March 31,
	2024			2025
	RMB in thousands
Current income tax expenses		10,014			21,749
Withholding income tax expenses		5,898			1,081
Deferred tax benefits		(14,350	)		(11,242	)
Total	****	1,562	****	****	11,588	****

The effective tax rate is based on expected income and statutory tax rates. For interim financial reporting, the Group estimates the annual tax rate based on projected taxable income for the full year and records a quarterly income tax provision in accordance with the guidance on accounting for income taxes in an interim period. The Group did not incur any interest and penalties related to potential underpaid income tax expenses.

F-21

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

10. Taxes Payable

The following is a summary of taxes payable as of December 31, 2024 and March 31, 2025:

	December 31,<br>2024		March 31,<br>2025
	RMB in thousands
Enterprise income tax (“EIT”) payable	****	134,304	****	149,704
Value-added tax (“VAT”) payable		92,043		55,904
Withholding income tax payable		41,626		29,991
Withholding individual income taxes for employees		42,051		24,573
Others		118,908		116,789
Total	****	428,932	****	376,961

11. Short-term loan and current portion of long-term debt

	Balance at December 31, 2024					Balance at March 31, 2025
	Interest RateRange	Maturity Date		Amount		Interest RateRange	Maturity Date		Amount
				RMB in thousands
Unsecured bank loans	2.30%~2.70%		Within 12 months		1,571,179	1.70%~2.50%		Within 12 months		1,817,467
2027 Notes (Note 13)	1.25%		Within 12 months		657	1.25%		Within 12 months		657
Total				****	1,571,836				****	1,818,124

F-22

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

12. Accrued Liabilities and Other Payables

The following is a summary of accrued liabilities and other payables as of December 31, 2024 and March 31, 2025:

	December 31,2024		March 31,2025
	RMB in thousands
Accrued marketing expenses		1,292,710		1,478,383
Advances from/payables to third parties		551,167		597,262
Payables to producers and licensors		228,493		228,729
Leasing liabilities - current portion		214,624		215,821
Professional fees		86,795		108,210
Deposits		78,473		90,630
Consideration payable for acquisitions and investments		10,122		10,109
Interest payable		4,188		7,346
Other staff related cost		5,480		6,932
Others		82,229		101,791
Total	****	2,554,281	****	2,845,213

13. Long-term debt

	December 31,2024		March 31,2025
	RMB in thousands
Long-term bank loans		3,069,000		3,069,000
Other long-term borrowing		100,000		100,000
Convertible senior notes		95,153		95,089
Total	****	3,264,153	****	3,264,089

Long-term bank loans

The Group’s long-term bank loans were RMB3,100.0 million in aggregate. As of March 31, 2025, the current portion of RMB31.0 million (US$4.3 million) was classified as short-term loans (Note 11) and the remaining RMB3,069.0 million (US$422.9 million) was reported as long-term debt. The Group’s long-term bank loans were substantially credit borrowing and the interest rate was 2.4% as of March 31, 2025. The Group is in compliance with all of the loan covenants as of March 31, 2025.

As of March 31, 2025, the long-term bank loans, including the portion due within one year which were recorded in “short-term loans and current portion of long-term debt”, will be repaid according to the following schedule:

	RMB inthousands
2025		31,000
2026		3,069,000
Total	****	3,100,000

F-23

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

13. Long-term debt (Continued)

Convertible Senior Notes

April 2026 Notes

In April 2019, the Group issued US$500.0 million of April 2026 Notes with an interest rate of 1.375% per annum. The net proceeds to the Company from the issuance of the April 2026 Notes were US$488.2 million (RMB3,356.1 million), net of issuance costs of US$11.8 million (RMB81.1 million). The April 2026 Notes may be converted, at an initial conversion rate of 40.4040 ADSs per US$1,000 principal amount (which represents an initial conversion price of US$24.75 per ADS) at each holder’s option at any time prior to the close of business on the second business day immediately preceding the maturity date of April 1, 2026.

As of December 31, 2024 and March 31, 2025, the principal amount of April 2026 Notes was RMB86.3 thousand and RMB86.1 thousand, respectively. The unamortized debt issuance costs were RMB0.4 thousand and RMB0.3 thousand as of December 31, 2024 and March 31, 2025, respectively.

The issuance costs of the April 2026 Notes were amortized to interest expense over the contractual life to the maturity date (i.e., April 1, 2026). For the three months ended March 31, 2024 and 2025, the April 2026 Notes related interest expense was US$1.8 million and US$0.1 thousand (RMB0.4 thousand), respectively.

For the three months ended March 31, 2024, the Company repurchased an aggregate principal amount of US$429.3 million (RMB3.0 billion) April 2026 Notes with an aggregate cash consideration of US$429.3 million (RMB3.0 billion).

2027 Notes

In June 2020, the Group issued US$800.0 million of 2027 Notes with an interest rate of 1.25% per annum. The net proceeds to the Company from the issuance of the 2027 Notes were US$786.1 million (RMB5,594.8 million), net of issuance costs of US$13.9 million (RMB98.6 million). The 2027 Notes may be converted, at an initial conversion rate of 24.5516 ADSs per US$1,000 principal amount (which represents an initial conversion price of US$40.73 per ADS) at each holder’s option at any time prior to the close of business on the second business day immediately preceding the maturity date of June 15, 2027.

Holders of the 2027 Notes may require the Company to repurchase all or part of their 2027 Notes in cash on June 15, 2023 and June 15, 2025, or in the event of certain fundamental changes at a repurchase price equal to 100% of the principal amount, plus accrued and unpaid interest.

As of December 31, 2024 and March 31, 2025, the principal amount of 2027 Notes was RMB0.7 million and RMB0.7 million, respectively. The unamortized debt issuance costs were RMB4.2 thousand and RMB3.7 thousand as of December 31, 2024 and March 31, 2025, respectively.

The issuance costs of the 2027 Notes were amortized to interest expense over the contractual life to the maturity date (i.e., June 15, 2027). For the three months ended March 31, 2024 and 2025, the 2027 Notes related interest expense was US$0.3 thousand and US$0.3 thousand (RMB2.5 thousand), respectively.

As of March 31, 2025, the carrying amount of RMB0.7 million (US$91.5 thousand) of the 2027 Notes are short-term in nature as the 2027 Notes holder had a non-contingent option to require the Group to repurchase for cash all or any portion of their 2027 Notes within one year.

F-24

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

13. Convertible senior notes (Continued)

December 2026 Notes

In November 2021, the Group issued US$1,600 million of December 2026 Notes with an interest rate of 0.50% per annum. The net proceeds to the Company from the issuance of the December 2026 Notes were US$1,576.6 million (RMB10.1 billion), net of issuance costs of US$23.4 million (RMB149.6 million). The December 2026 Notes may be converted, at an initial conversion rate of 10.6419 ADSs per US$1,000 principal amount (which represents an initial conversion price of US$93.97 per ADS) at each holder’s option at any time prior to the close of business on the second business day immediately preceding the maturity date of December 1, 2026. Upon conversion, the Company will pay or deliver, as the case may be, cash, ADSs or a combination of cash and ADSs, at the Company’s election. Holders of the Notes may elect to receive Class Z ordinary shares in lieu of any ADSs deliverable upon conversion.

As of December 31, 2024 and March 31, 2025, the principal amount of December 2026 Notes was RMB95.6 million and RMB95.5 million, respectively. The unamortized debt issuance costs were RMB0.5 million and RMB0.5 million as of December 31, 2024 and March 31, 2025, respectively.

The issuance costs of the December 2026 Notes were amortized to interest expense over the contractual life to the maturity date (i.e., December 1, 2026). For the three months ended March 31, 2024 and 2025 the December 2026 Notes related interest expense was US$0.9 million and US$26.4 thousand (RMB0.2 million), respectively.

The Company accounted for the April 2026 Notes, 2027 Notes and December 2026 Notes as single instruments as debt measured at its amortized cost, as none of the embedded features require bifurcation and recognition as derivatives and the April 2026 Notes, 2027 Notes and December 2026 Notes were not issued with a substantial premium. The issuance costs were recorded as an adjustment to the debt and are amortized as interest expense using the effective interest method.

For the three months ended March 31, 2024 and 2025, no April 2026 Notes, 2027 Notes and December 2026 Notes were converted.

The following table provides a summary of the Company’s non-current portion of unsecured senior notes as of December 31, 2024 and March 31, 2025:

	December 31,<br>2024		March 31,<br>2025		Effective interestrate
	Amounts		Amounts
	RMB in thousands
April 2026 Notes		86		86		1.74	%
December 2026 Notes		95,067		95,003		0.80	%
Carrying value	****	95,153	****	95,089
Unamortized discount and debt issuance costs		539		467
Total principal amounts of unsecured senior notes	****	95,692	****	95,556

F-25

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

14. Share-based Compensation

As of March 31, 2025, total unrecognized compensation expenses related to unvested service-based RSUs granted under the 2018 Plan, adjusted for estimated forfeitures, was RMB1,634.9 million, which is expected to be recognized over a weighted-average period of 3.4 years and may be adjusted for future changes in estimated forfeitures.

The following table presents a summary of the Group’s service-based RSUs activities for the three months ended March 31, 2024 and 2025:

	Total Numberof shares			WeightedAverageGranted Fairvalue
	(In thousands)			US
Outstanding at January 1, 2024		9,681
Granted		2,425
Vested		(12	)
Forfeited		(530	)
Unvested at March 31, 2024		11,564
Outstanding at January 1, 2025		17,275
Granted		1,207
Vested		(932	)
Forfeited		(561	)
Unvested at March 31, 2025		16,989

All values are in US Dollars.

The aggregate number of Class Z Ordinary Shares available for future grant under the 2018 Plan was 35,885,937 as of March 31, 2025.

As of March 31, 2025, total unrecognized compensation expenses related to unvested options granted under the Global Share Plan and the 2018 Plan, adjusted for estimated forfeitures, was RMB1,003.0 million, which is expected to be recognized over a weighted-average period of 1.8 years and may be adjusted for future changes in estimated forfeitures.

The following table presents a summary of the Group’s share option activities for the three months ended March 31, 2024 and 2025:

	Total Numberof shares			WeightedAverageExercise Price
	(In thousands)			US
Outstanding at January 1, 2024		17,939
Granted		—
Exercised		(560	)
Forfeited		(398	)
Outstanding at March 31, 2024		16,981
Outstanding at January 1, 2025		13,110
Granted		—
Exercised		(501	)
Forfeited		(147	)
Outstanding at March 31, 2025		12,462
Exercisable at March 31, 2025		7,329

All values are in US Dollars.

No further options would be granted under the 2018 Share Incentive Plan after the Primary Conversion Effective Date.

F-26

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

15. Net Loss per Share

For the three months ended March 31, 2024 and 2025, the Company had potential ordinary shares, including share options, RSUs granted, and ordinary shares issuable upon the conversion of the April 2026 Notes, 2027 Notes and December 2026 Notes, where applicable. As the Group incurred losses for the three months ended March 31, 2024 and 2025, these potential ordinary shares were anti-dilutive and excluded from the calculation of diluted net loss per share.

For the three months ended March 31, 2024, the numbers of share options, RSUs and the number of ordinary shares issuable upon the conversion of the April 2026 Notes, 2027 Notes and December 2026 Notes, which were anti-dilutive and excluded from the computation of diluted net loss per share, were 354,345 shares, 16,187 shares, 17,347,182 shares, 2,260 shares and 4,601,632 shares, respectively.

For the three months ended March 31, 2025, the numbers of share options, RSUs and the number of ordinary shares issuable upon the conversion of the April 2026 Notes, 2027 Notes and December 2026 Notes, which were anti-dilutive and excluded from the computation of diluted net loss per share, were 1,179,575 shares, 4,336,982 shares, 485 shares, 2,260 shares and 141,537 shares, respectively.

The following table sets forth the computation of basic and diluted net loss per share for the three months ended March 31, 2024 and 2025:

	For the Three<br>Months Ended March 31,
	2024			2025
	RMB in thousands, except for shareand per share data
Numerator:
Net loss		(764,631	)		(10,677	)
Net loss attributable to noncontrolling interests		16,086			1,575
Net loss attributable to Bilibili Inc.’s shareholders for basic/dilutive net loss per<br>share calculation		(748,545	)		(9,102	)
Denominator:
Weighted average number of ordinary shares outstanding, basic		415,274,340			420,086,397
Weighted average number of ordinary shares outstanding, diluted		415,274,340			420,086,397
Net loss per share, basic		(1.80	)		(0.02	)
Net loss per share, diluted		(1.80	)		(0.02	)

F-27

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

16. Related Party Transactions and Balances

The Group entered into the following significant related party transactions for the periods presented:

	For the Three Months Ended<br>March 31,
	2024		2025
	RMB in thousands
Loans to an equity investee^1^		—		270,000
Purchases of goods and services		40,310		27,210
Repayment of loans and interest from the<br>Entity^2^		55,100		—
Investment income and interest income		8,889		7,960
Sales of goods and services		3,903		1,560

The Group had the following significant related party balances as of December 31, 2024 and March 31, 2025, respectively:

	December 31,<br>2024		March 31,<br>2025
	RMB in thousands
Amount due from related parties
Due from the Entity^2^		609,823		614,619
Due from investment funds^3^		37,519		37,519
Due from other investees^1^		139,335		419,332
Total		786,677		1,071,470
Amount due to relatedparties^4^		4,549		32,164
1.	In 2025, the Company provided interest-bearing loans of RMB270.0 million to an equity investee, which is non-trade in nature, with annual interest rate of 4.50%.
---	---
2.	The Company established the Entity with an independent third party and two entities controlled by Mr. Rui<br>Chen and Ms. Ni Li, respectively, to acquire the land use rights for a parcel of land in Shanghai for future construction. The balance as of December 31, 2024 and March 31, 2025 represents interest-bearing loans and interest expenses<br>related to the Entity, which are non-trade in nature. The annual interest rates of the loans were 3.95% and 3.60% as of December 31, 2024 and March 31, 2025, respectively.
---	---
3.	The balances due from the investment funds, of which the Company is their limited partners, as of<br>December 31, 2024 and March 31, 2025 were consideration receivables related to the equity investments transferred, which is non-trade in nature.
---	---
4.	The balances as of December 31, 2024 mainly represent the payables in trade nature. The balances as of<br>March 31, 2025 mainly represent consideration related to long-term investments, which is non-trade in nature.
---	---

F-28

BILIBILI INC.

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Continued)

17. Subsequent Events

No subsequent event which had a material impact on the Group was identified through the date of issuance of the financial statements.

F-29

EX-99.2

Exhibit 99.2

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

You should read the following discussion and analysis of our financial condition and results of operations in conjunction with theunaudited condensed consolidated financial statements and the related notes for the same periods included in Exhibit 99.1 to our current report on Form 6-K furnished to the SEC on May 21, 2025and “Item 5. Operating and Financial Review and Prospects” in our annual report on Form 20-F for the fiscal year ended December 31, 2024 (the “2024 Annual Report”). This discussion maycontain forward-looking statements based upon current expectations that involve risks and uncertainties. Our actual results may differ materially from those anticipated in these forward-looking statements as a result of various factors.

Key Factors Affecting Our Results of Operations

User growth and engagement

Our ability to grow our user base and maintain and increase user engagement is critical to our success. We have experienced solid user growth in the past two years. The following table sets forth our average DAUs and MAUs for each of the quarters indicated:

	For the Three Months Ended
	March 31,2023		June 30,2023		September 30,2023		December 31,2023		March 31,2024		June 30,2024		September 30,2024		December 31,2024		March 31,2025
	(In millions)
Average DAUs^(1)(3)^		93.7		96.5		102.8		100.1		102.4		102.3		107.3		103.0		106.7
Average MAUs^(2)(3)^		315.2		323.7		340.8		336.0		341.5		335.8		347.8		339.6		367.6

Note:

(1)	Average DAU is calculated by dividing the sum of DAU during the specified period by the number of days in such<br>period.
(2)	Average MAU is calculated by dividing the sum of MAU during the specified period by the number of months in<br>such period.
---	---
(3)	We count our active users as the sum of active users on mobile apps and on PC during a given period. Active<br>users on mobile apps refer to the number of mobile devices (including smart TV and other smart devices) that have launched our mobile apps during a given period. Active users on PC refer to the sum of valid<br>logged-in users who visit our website at www.bilibili.com on PC and who engage in PC application during a given period, after eliminating duplicates.
---	---

Our active users generally view and consume a multitude of content offered on our platform, including videos, live broadcasting, mobile games and other content. The number of our users and the level of their engagement on our platform affect our revenues. We had solid growth in the revenues generated from VAS mainly due to the increasing numbers of active viewers of our live broadcasting and subscribers of our premium membership program and our other value-added services. Our advertising revenue is driven by the size of our user base, the engagement of our users and our brand equity. Mobile game user base growth and engagement are primarily driven by the launch of new games and the release of content updates of our existing games.

We believe DAU reflects the quality and sustainability of our community, which also is directly linked to our commercial prospects. We will continue to implement our strategy to grow our DAU base and increase penetration in Generation Z+ and attract users from wider demographics. We will continue to support our content creators, enrich video content, strengthen our brand recognition and invest in high-quality user growth.

Our provision and commercialization of diversified product and service offerings

Our revenues and results of operations depend on our ability to convert more users to paying users and to increase their spending on our platform, which is driven by our provision of diversified product and service offerings appealing to our users.

The following table sets forth our average monthly paying users, and average monthly revenue per paying user for each of the quarters indicated:

	For the Three Months Ended
	March 31,2023		June 30,2023		September 30,2023		December 31,2023		March 31,2024		June 30,2024		September 30,2024		December 31,2024		March 31,2025
	(In millions)
Average monthly paying users^(1)^		28.5		26.3		28.7		28.3		29.1		28.8		30.1		29.5		32.2
	(In RMB)
Average monthly revenue per paying<br>user^(2)^		38.5		40.4		41.6		45.5		40.2		41.3		51.5		55.2		72.5

Note:

(1)	Average monthly paying users is calculated by dividing the sum of monthly paying users during the specified<br>period by the number of months in such period. Paying users on our platform refer to users who make payments for various products and services on our platform, including purchases in games and payments for VAS (excluding purchases on our e-commerce platform). A user who makes payments across different products and services offered on our platform using the same registered account is counted as one paying user and we add the number of paying users of<br>Maoer and the number of paying users of smart TVs toward our total paying users without eliminating duplicates.
(2)	Average monthly revenue per paying user is calculated by dividing the sum of revenues from mobile games and VAS<br>during the specified period by the total number of monthly paying users during such period.
---	---

We are striving to refine our commercialization avenues without compromising user experience. We will continue our efforts to enrich our content library and product offerings, including PUGV, VAS and mobile games, to convert more users to paying users. We plan to launch more high-quality games to satisfy our users’ evolving needs. We will also continue to develop our VAS to increase the number of our paying users. In addition, we expect to see increased revenues from advertising, as advertisers across different industries are turning to Bilibili to tap into the coveted Generation Z+ demographic in China. Our revenue growth will be affected by our ability to effectively execute our commercialization strategies and expand our paying user base.

Our brand recognition and market leadership

Our brand recognition as a leading video community among the Generation Z+ in China is crucial for us to attract and retain users, content creators and our business partners, and increase our revenues. We will continue to promote our brand name among broader young generations and increase our appeal to mass market.

Our ability to manage our costs and expenses

Our results of operations depend on our ability to manage our costs and expenses. Our cost of revenues consists primarily of revenue-sharing costs, content costs, server and bandwidth service costs, staff costs and IP derivatives and other costs. We expect our revenue-sharing costs to increase in absolute amount due to our business expansion in advertising, mobile games and VAS. We will remain disciplined in managing costs and operating expenses, including controlling content investment and staff costs, while optimizing resource efficiency related to server and bandwidth expenses. We intend to implement a more selective approach to content investment, which we believe will enable us to manage the volatility of content costs. In addition, we will control our sales and marketing expense, further streamline our personnel and improve our research and development efficiency.

Investment in technology and talents

Our technology is critical for us to better understand our users, improve user experience, maintain a vibrant community, and execute our commercialization strategy. Our current research and development efforts in technology are primarily focused on enhancing our artificial intelligence technology, big data analytics capabilities, cloud technology and game development capability, which we believe are crucial for us to develop user insights so as to provide more relevant and engaging content to our users and to improve our operating efficiency. In addition, there is a strong demand in China’s internet industry for talented and experienced personnel. We must recruit, retain and motivate talented employees while controlling our personnel-related expenses, including share-based compensation expenses.

Key Components of Results of Operations

Netrevenues

The following table sets forth the components of our net revenues by amounts and percentages of our total net revenues for the periods presented:

	For the Year Ended December 31,												For the Three Months Ended March 31,
	2022				2023				2024				2024				2025
	RMB		%		RMB		%		RMB		%		RMB		%		RMB		US	%
	(in thousands, except for percentages)
Net revenues:
VAS		8,715,170		39.8		9,910,080		44.0		10,999,137		41.0		2,528,909		44.6		2,807,340			40.1
Advertising		5,066,212		23.1		6,412,040		28.5		8,189,175		30.5		1,668,584		29.5		1,997,635			28.5
Mobile games		5,021,290		22.9		4,021,137		17.8		5,610,323		20.9		982,810		17.4		1,731,155			24.7
IP derivatives and others		3,096,495		14.2		2,184,730		9.7		2,032,890		7.6		484,297		8.5		467,118			6.7
Total net revenues	****	21,899,167	****	100.0	****	22,527,987	****	100.0	****	26,831,525	****	100.0	****	5,664,600	****	100.0	****	7,003,248		****	100.0

All values are in US Dollars.

VAS. We primarily generate VAS revenues from (i) sales of in-channel virtual items for use in our live broadcasting so that users can send them to hosts to show their support, which comprise either consumable items, such as gifts and items that create special visual effects, or time-based items, such as privileges and titles, and (ii) subscription fees of our premium membership program, which offers paying members benefits including exclusive or advance access to certain high-quality OGV content. Meanwhile, we also generate revenues from other VAS including sales of paid content and virtual items on our video, audio and comic platforms. We expect revenues from VAS to continue to grow in the foreseeable future, driven by the further expansion of our live broadcasting content.

Advertising. We generate advertising revenues primarily from performance-based, brand, and native advertisements. Performance-based advertisements appear in various formats, such as video or picture feeds alongside organic feeds, a banner underneath the video-playing frame, a link, banner or pop-up in the Story Mode, and a link in the comment section appearing below our videos. Brand advertisements primarily appear on the app opening page, the top banner, the website home page banner and the inline video feed alongside organic feeds. Brand advertisements can also be customized according to advertisers’ needs and appear in Bilibili-produced OGV or events. Native advertisings are customized according to advertisers’ needs, produced by our content creators and embedded naturally in their video creations. We expect our advertising revenues to increase in the foreseeable future as we continue to integrate advertising products into our content ecosystem, improve our advertising infrastructure, and attract more advertisers by optimizing advertising efficiency.

Mobile games. We primarily offer exclusively distributed mobile games and jointly operated mobile games developed by third-party game developers. For exclusively distributed mobile games, we are responsible for game launch, hosting and maintenance of game servers, game promotions and customer services. We also develop localized versions for games licensed from overseas developers. For jointly operated mobile game services, we provide our mobile game platform for mobile games developed by third-party developers. We earn game distribution service revenue within the applicable contract periods by providing payment solutions and game promotion services, while game developers are responsible for providing game products, hosting and maintaining game servers and determining the pricing of in-game virtual items. As of March 31, 2025, we operated multiple exclusively distributed mobile games and hundreds of jointly operated mobile games. Our revenues from mobile games depend on the number of paying users, and ultimately are determined by our ability to develop, select, procure and offer engaging games tailored to our platform and our user preferences. We plan to continue introducing new mobile games and enhancing our existing portfolio, which we believe will stabilize revenues from mobile games and contribute to their sustainable growth in the foreseeable future amid evolving market dynamics beyond our control.

IP derivatives and others. Our IP derivatives and others primarily consist of sales of derivative merchandise of ACG IPs on our e-commerce platform. We expect revenues from IP derivatives and others to fluctuate in the foreseeable future but remain as a decent stream of revenues.

Cost of revenues

The following table sets forth the components of our cost of revenues by amounts and percentages of cost of revenues for the periods presented:

	For the Year Ended December 31,												For the Three Months Ended March 31,
	2022				2023				2024				2024				2025
	RMB		%		RMB		%		RMB		%		RMB		%		RMB		US	%
	(in thousands, except for percentages)
Cost of revenues:
Revenue-sharing costs		9,115,351		50.5		9,507,483		55.6		10,803,944		59.8		2,237,791		55.2		2,670,996			59.8
Content costs		3,496,871		19.4		3,195,620		18.7		2,729,520		15.1		793,304		19.5		677,577			15.2
Server and bandwidth costs		1,752,878		9.7		1,477,116		8.7		1,643,678		9.1		375,387		9.2		433,837			9.7
IP derivatives and others		3,684,772		20.4		2,905,903		17.0		2,880,420		16.0		652,758		16.1		681,740			15.3
Total cost of revenues	****	18,049,872	****	100.0	****	17,086,122	****	100.0	****	18,057,562	****	100.0	****	4,059,240	****	100.0	****	4,464,150		****	100.0

All values are in US Dollars.

Revenue-sharing costs consist of fees paid to game developers, distribution channels (app stores) and payment channels, and fees we share with hosts of our live broadcasting and content creators in accordance with our revenue-sharing arrangements. Content costs mainly consist of amortized costs of purchased licensed content from copyright owners or content distributors and our production costs. Server and bandwidth costs are the fees we pay to telecommunication carriers and other service providers for telecommunication services, hosting our servers at their internet data centers, and providing content delivery network and application services. IP derivatives and others consist of cost of goods sold associated with our e-commerce business, staff cost, depreciation and others.

Operating expenses

The following table sets forth the components of our operating expenses by amounts and percentages of operating expenses for the periods presented:

	For the Year Ended December 31,												For the Three Months Ended March 31,
	2022				2023				2024				2024				2025
	RMB		%		RMB		%		RMB		%		RMB		%		RMB		US	%
	(in thousands, except for percentages)
Operating expenses:
Sales and marketing expenses		4,920,745		40.3		3,916,150		37.3		4,401,655		43.5		927,059		38.2		1,166,975			46.2
General and administrative expenses		2,521,134		20.7		2,122,432		20.2		2,031,063		20.1		531,777		21.9		515,638			20.4
Research and development expenses		4,765,360		39.0		4,467,470		42.5		3,685,214		36.4		965,120		39.9		841,477			33.4
Total operating expenses	****	12,207,239	****	100.0	****	10,506,052	****	100.0	****	10,117,932	****	100.0	****	2,423,956	****	100.0	****	2,524,090		****	100.0

All values are in US Dollars.

Sales and marketing expenses. Sales and marketing expenses consist primarily of marketing and promotional expenses, salaries and other compensation-related expenses for our sales and marketing personnel. We will keep implementing our cost control strategy to further discipline our sales and marketing expenses, including to rationalize our promotion expense and improve our expense efficiency.

General and administrative expenses. General and administrative expenses consist primarily of salaries and other compensation-related expenses for our general and administrative personnel, professional fees, severance cost, rental expenses and allowance for expected credit losses. We will keep implementing our cost control strategy, including by driving workforce optimization.

Research and development expenses. Research and development expenses consist primarily of salaries and benefits, including share-based compensation expenses, for research and development personnel dedicated to the development and enhancement of our app/websites and development of online games. We will continue to invest in our research and development, enhance our artificial intelligence technology, big data analytics capabilities, cloud technology and game development capacity, and develop new features and functionalities on our platform. Meanwhile, we will keep implementing our cost control strategy, including to control our research and development expenses more effectively, to improve our expense efficiency.

Results of Operations

The following table sets forth a summary of our consolidated results of operations for the periods presented, both in absolute amount and as a percentage of our revenues for the periods presented. This information should be read together with our consolidated financial statements and the related notes in our 2024 Annual Report and our unaudited interim condensed consolidated financial statements and the related notes included in Exhibit 99.1 to our current report on Form 6-K furnished to the SEC on May 21, 2025. The results of operations in any period are not necessarily indicative of our future trends.

	For the Year Ended December 31,																		For the Three Months Ended March 31,
	2022						2023						2024						2024						2025
	RMB			%			RMB			%			RMB			%			RMB			%			RMB			US		%
	(in thousands, except for percentages)
Net revenues		21,899,167			100.0			22,527,987			100.0			26,831,525			100.0			5,664,600			100.0			7,003,248					100.0
Cost of revenues^(1)^		(18,049,872	)		(82.4	)		(17,086,122	)		(75.8	)		(18,057,562	)		(67.3	)		(4,059,240	)		(71.7	)		(4,464,150	)		)		(63.7	)
Gross profit	****	3,849,295	****	****	17.6	****	****	5,441,865	****	****	24.2	****	****	8,773,963	****	****	32.7	****	****	1,605,360	****	****	28.3	****	****	2,539,098	****		****	****	36.3	****
Operating expense
Sales and marketing expenses^(1)^		(4,920,745	)		(22.5	)		(3,916,150	)		(17.4	)		(4,401,655	)		(16.4	)		(927,059	)		(16.4	)		(1,166,975	)		)		(16.7	)
General and administrative<br>expenses^(1)^		(2,521,134	)		(11.5	)		(2,122,432	)		(9.4	)		(2,031,063	)		(7.6	)		(531,777	)		(9.4	)		(515,638	)		)		(7.4	)
Research and development expenses^(1)^		(4,765,360	)		(21.7	)		(4,467,470	)		(19.9	)		(3,685,214	)		(13.7	)		(965,120	)		(17.0	)		(841,477	)		)		(12.0	)
Total operating expenses	****	(12,207,239	)	****	(55.7	)	****	(10,506,052	)	****	(46.7	)	****	(10,117,932	)	****	(37.7	)	****	(2,423,956	)	****	(42.8	)	****	(2,524,090	)		)	****	(36.0	)
(Loss)/profit from operations	****	(8,357,944	)	****	(38.1	)	****	(5,064,187	)	****	(22.5	)	****	(1,343,969	)	****	(5.0	)	****	(818,596	)	****	(14.5	)	****	15,008	****		****	****	0.2	****
Other income/(expense):
Investment loss, net (including impairments)		(532,485	)		(2.4	)		(435,644	)		(1.9	)		(470,081	)		(1.8	)		(21,249	)		(0.4	)		(62,203	)		)		(0.9	)
Interest income		281,051			1.3			542,472			2.4			434,980			1.6			133,207			2.4			94,173					1.3
Interest expense		(250,923	)		(1.1	)		(164,927	)		(0.7	)		(89,193	)		(0.3	)		(31,574	)		(0.6	)		(32,571	)		)		(0.5	)
Exchange losses		(19,745	)		(0.1	)		(35,575	)		(0.2	)		(68,715	)		(0.3	)		(58,060	)		(1.0	)		(11,659	)		)		(0.2	)
Debt extinguishment gain/(loss)		1,318,594			6.0			292,213			1.3			(38,629	)		(0.1	)		(20,980	)		(0.4	)		—					—
Others, net		157,944			0.7			132,640			0.6			175,412			0.7			54,183			1.0			(1,837	)		)		(0.0	)
(Loss)/profit before income tax expenses	****	(7,403,508	)	****	(33.7	)	****	(4,733,008	)	****	(21.0	)	****	(1,400,195	)	****	(5.2	)	****	(763,069	)	****	(13.5	)	****	911	****		****	****	0.0	****
Income tax (expense)/benefit		(104,145	)		(0.5	)		(78,705	)		(0.4	)		36,544			0.1			(1,562	)		0.0			(11,588	)		)		(0.2	)
Net loss	****	(7,507,653	)	****	(34.2	)	****	(4,811,713	)	****	(21.4	)	****	(1,363,651	)	****	(5.1	)	****	(764,631	)	****	(13.5	)	****	(10,677	)		)	****	(0.2	)

All values are in US Dollars.

Note:

(1)	Share-based compensation expenses were allocated as follows:
	For the Year Ended December 31,						For the Three Months Ended March 31,
---	---	---	---	---	---	---	---	---	---	---	---
	2022		2023		2024		2024		2025
	RMB		RMB		RMB		RMB		RMB		US
	(In thousands)
Cost of revenues		69,096		63,724		84,178		13,677		23,996
Sales and marketing expenses		59,041		56,649		60,460		12,560		16,417
General and administrative expenses		554,976		596,950		568,194		157,824		144,497
Research and development expenses		357,570		415,321		403,380		80,525		105,855
Total	****	1,040,683	****	1,132,644	****	1,116,212	****	264,586	****	290,765

All values are in US Dollars.

Three months ended March 31, 2024 compared to three months ended March 31, 2025

Net revenues

Our net revenues increased by 23.6% from RMB5.66 billion in the three months ended March 31, 2024 to RMB7.00 billion (US$965.1 million) in the three months ended March 31, 2025.

VAS. Our net revenues from VAS increased by 11.0% from RMB2.53 billion in the three months ended March 31, 2024 toRMB2.81 billion (US$386.9 million) in the three months ended March 31, 2025, mainly attributable to increased revenues from live broadcasting and other value-added services.

Advertising. Our net revenues from advertising increased by 19.7% from RMB1.67 billion in the three months ended March 31, 2024 to RMB2.00 billion (US$275.3 million) in the three months ended March 31, 2025, mainly attributable to strong revenue growth in performance-based advertising.

Mobile games. Our net revenues from mobile games increased by 76.1% from RMB982.8 million in the three months ended March 31, 2024 to RMB1.73 billion (US$238.6 million) in the three months ended March 31, 2025, mainly attributable to the strong performance of our exclusively licensed game,San Guo: Mou Ding Tian Xia.

IP derivatives and others. Our net revenues from IP derivatives and others decreased by 3.5% from RMB484.3 million in the three months ended March 31, 2024 to RMB467.1 million (US$64.4 million) in the three months ended March 31, 2025.

Cost of revenues

Our cost of revenues increased by 10.0% from RMB4.06 billion in the three months ended March 31, 2024 to RMB4.46 billion (US$615.2 million) in the three months ended March 31, 2025. The increase was mainly attributable to higher revenue-sharing costs, partially offset by lower content costs.

Revenue-sharing costs increased by 19.4% from RMB2.24 billion in the three months ended March 31, 2024 to RMB2.67 billion (US$368.1 million) in the three months ended March 31, 2025, primarily due to an increase in mobile games related revenue-sharing costs.

Content costs decreased by 14.6% from RMB793.3 million in the three months ended March 31, 2024 to RMB677.6 million (US$93.4 million) in the three months ended March 31, 2025, as we continued to implement a more selective strategy in content investment while maintaining the quality of content provided to our users.

Server and bandwidth costs increased by 15.6% from RMB375.4 million in the three months ended March 31, 2024 to RMB433.8 million (US$59.8 million) in the three months ended March 31, 2025, primarily due to increased server and bandwidth capacity to keep pace with the increasing volume of data and video views on our platform.

IP derivatives and others related costs slightly increased by 4.4% from RMB652.8 million in the three months ended March 31, 2024 to RMB681.7 million (US$93.9 million) in the three months ended March 31, 2025.

Gross profit

As a result of the foregoing, our gross profit increased by 58.2% from RMB1.61 billion in the three months ended March 31, 2024 to RMB2.54 billion (US$349.9 million) in the three months ended March 31, 2025.

Operating expenses

Our total operating expenses increased by 4.1% from RMB2.42 billion in the three months ended March 31, 2024 to RMB2.52 billion (US$347.8 million) in the three months ended March 31, 2025, primarily as a result of our reduced expenses related to platform operations, as we improved our expenses efficiency.

Sales and marketing expenses

Our sales and marketing expenses increased by 25.9% from RMB927.1 million in the three months ended March 31, 2024 to RMB1.17 billion (US$160.8 million) in the three months ended March 31, 2025. The increase was primarily attributable to one-off marketing expenses related to our partnership with CCTV for the 2025 Spring Festival Gala as the exclusive bullet chat live broadcasting and content platform as well as higher promotion expenses for our exclusively licensed game, San Guo: Mou Ding Tian Xia.

General and administrative expenses

Our general and administrative expenses decreased by 3.0% from RMB531.8 million in the three months ended March 31, 2024 to RMB515.6 million (US$71.1 million) in the three months ended March 31, 2025.

Research and development expenses

Our research and development expenses decreased by 12.8% from RMB965.1 million in the three months ended March 31, 2024 to RMB841.5 million (US$116.0 million) in the three months ended March 31, 2025. The decrease was mainly attributable to improved research and development efficiency.

Profit/(loss) from operations

As a result of the foregoing, we recorded profit from operations of RMB15.0 million (US$2.1 million) in the three months ended March 31, 2025, compared with loss from operations of RMB818.6 million in the three months ended March 31, 2024.

Other income/(expenses)

Investment loss, net (including impairments). Investment loss, net (including impairments) primarily includes return earned on financial products issued by banks and other financial institutions and the fair value change of investments. We had net investment loss of RMB21.2 million and RMB62.2 million (US$8.6 million) in the three months ended March 31, 2024 and 2025, respectively.

Interest income. Interest income primarily represents interest earned on cash and cash equivalents and time deposits. We had interest income of RMB133.2 million and RMB94.2 million (US$13.0 million) in the three months ended March 31, 2024 and 2025, respectively.

Interest expense. Interest expense primarily represents interest payment and amortized issuance costs related to our convertible senior notes and bank loans. We had interest expense of RMB31.6 million and RMB32.6 million (US$4.5 million) in the three months ended March 31, 2024 and 2025, respectively.

Income tax expense

We recorded income tax expense of RMB11.6 million (US$1.6 million) in the three months ended March 31, 2025, compared to RMB1.6 million in the three months ended March 31, 2024.

Net loss

As a result of the foregoing, we narrowed net loss by 98.6% from RMB764.6 million in the three months ended March 31, 2024 to RMB10.7 million (US$1.5 million) in the three months ended March 31, 2025.

Liquidity and Capital Resources

The following table sets forth a summary of our cash flows for the periods presented:

	For the Year Ended December 31,									For the Three Months Ended March 31,
	2022			2023			2024			2024			2025
	RMB			RMB			RMB			RMB			RMB			US
	(in thousands)
Summary Consolidated Statements of Cash Flows Data:
Net cash (used in)/provided by operating activities		(3,911,370	)		266,622			6,014,854			637,697			1,302,095
Net cash provided by/(used in) investing activities		10,609,218			1,762,148			(138,087	)		761,970			(2,206,517	)		)
Net cash (used in)/provided by financing activities		(4,354,919	)		(5,074,685	)		(2,825,383	)		(2,541,242	)		251,258
Effect of exchange rate changes on cash and cash equivalents held in foreign currencies		321,350			100,349			6,177			(12,837	)		6,632
Net increase/(decrease) in cash, cash equivalents and restricted cash		2,664,279			(2,945,566	)		3,057,561			(1,154,412	)		(646,532	)		)
Cash, cash equivalents and restricted cash at beginning of the year/period		7,523,108			10,187,387			7,241,821			7,241,821			10,299,382
Cash, cash equivalents and restricted cash at end of the year/period		10,187,387			7,241,821			10,299,382			6,087,409			9,652,850

All values are in US Dollars.

As of December 31, 2022, 2023 and 2024, our cash, cash equivalents and restricted cash were RMB10.19 billion, RMB7.24 billion and RMB10.30 billion, respectively. As of March 31, 2025, our cash, cash equivalents and restricted cash were RMB9.65 billion (US$1.33 billion). Our cash and cash equivalents primarily consist of cash on hand, demand deposits placed with large reputable banks, and highly liquid investments that are readily convertible to known amounts of cash and with original terms of three months or less. We entered into several one-year revolving loan facilities provided by certain financial institutions with an aggregate principal amount of RMB1,199.0 million (US$165.2 million) as of March 31, 2025. We have utilized RMB750.0 million (US$103.4 million) from such facilities as of March 31, 2025.

Our principal sources of liquidity have been the proceeds we received from our public offerings of ordinary shares and net cash provided by operating activities in 2023 and 2024. In January 2023, we completed the offering of 15,344,000 ADSs at US$26.65 per ADS. The amount of net proceeds from this offering (after deducting all applicable costs and expenses including but not limited to selling commission) is approximately US$396.9 million. Shortly thereafter, we completed the repurchase of an aggregate principal amount of US$384.8 million of our convertible senior notes due December 2026 with an aggregate purchase price of US$331.2 million, which was funded by the net proceeds from this ADS offering. We have used the remaining proceeds of this ADS offering in the amount of US$68.8 million to replenish our cash reserve.

Between 2019 and 2021, we issued three batches of convertible senior notes, with an aggregate principal amount of US$500 million, US$800 million and US$1,600 million, respectively, that are due in April 2026, 2027 and December 2026, respectively. Following a series of repurchases, including, in 2024, the repurchase of US$429.3 million of the convertible senior notes due April 2026 and the repurchase of US$419.1 million of the convertible senior notes due December 2026, substantially all of the convertible senior notes that were originally issued have been repurchased. As of March 31, 2025, an aggregate principal amount of US$13.4 million of our convertible senior notes remained outstanding.

We believe that our current cash and cash equivalents and our anticipated cash flows from operations will be sufficient to meet the cash requirements to fund our operations and other commitments for at least the next 12 months. However, we may enhance our liquidity position or increase our cash reserve for future investments through additional capital and finance funding. The issuance and sale of additional equity would result in further dilution to our shareholders. The incurrence of indebtedness would result in increased fixed obligations and could result in operating covenants that would restrict our operations. We cannot assure you that financing will be available in amounts or on terms acceptable to us, if at all.

Operating activities

Net cash provided by operating activities in the three months ended March 31, 2025 was RMB1.30 billion (US$179.4 million), as compared to net loss of RMB10.7 million (US$1.5 million) in the same period. The difference was primarily due to a decrease of RMB398.9 million (US$55.0 million) in salary and welfare payable, an increase of RMB288.3 million (US$39.7 million) in accrued liabilities and other payables, and a decrease of RMB215.4 million (US$29.7 million) in accounts receivable. The changes in working capital were attributable to our increased mobile games revenues and advertising revenues. The principal non-cash items affecting the difference between our net loss and our net cash provided by operating activities in the three months ended March 31, 2025 were RMB494.5 million (US$68.1 million) in depreciation and amortization of property and equipment and intangible assets and RMB290.8 million (US$40.1 million) in share-based compensation expenses.

Investing activities

Net cash used in investing activities in the three months ended March 31, 2025 was RMB2.21 billion (US$304.1 million), primarily due to purchase of short-term investments of RMB15.22 billion (US$2.10 billion) and cash paid for placements of time deposits of RMB2.01 billion (US$277.5 million), partially offset by proceeds from maturities of short-term investments of RMB14.03 billion (US$1.93 billion) and maturities of time deposits of RMB1.66 billion (US$228.8 million).

Financing activities

Net cash provided by financing activities in the three months ended March 31, 2025 was RMB251.3 million (US$34.6 million), primarily attributable to proceeds of short-term loan of RMB900.0 million (US$124.0 million), partially offset by repayment of short-term loan of RMB651.0 million (US$89.7 million).

Material cash requirements

Our material cash requirements as of March 31, 2025 primarily include our long-term loans, capital expenditures and operating lease commitments.

We intend to fund our existing and future material cash requirements with our existing cash balance, cash generated from operating activities, and other financing alternatives. We will continue to make cash commitments, including capital expenditures, to support the growth of our business.

Long-term loans

As of March 31, 2025, our long-term bank loans were RMB3,100.0 million in aggregate. As of March 31, 2025, the current portion of RMB31.0 million (US$4.3 million) was classified as short-term loans and the remaining RMB3,069.0 million (US$422.9 million) was reported as long-term debt. Our long-term bank loans were substantially credit borrowing and the interest rates were 2.4% as of March 31, 2025. We were in compliance with all of the loan covenants as of March 31, 2025. For additional information, see “Notes to Unaudited Interim Condensed Consolidated Financial Statements—Note 11. Short-Term Loan and Current Portion of Long-Term Debt” and “—Note 13. Long-Term Debt” of our unaudited interim condensed consolidated financial statements included in Exhibit 99.1 to our current report on Form 6-K furnished to the SEC on May 21, 2025.

As of March 31, 2025, the long-term loans, including the portion due within one year which were recorded as short-term loan and the current portion of long-term debt, will be repaid according to the following schedule:

	RMB in thousands
2025		31,000
2026		3,069,000
Total		3,100,000

Capital expenditures

Our capital expenditures are primarily incurred for purchases of intangible assets and property and equipment. Our capital expenditures were RMB387.5 million (US$53.4 million) in the three months ended March 31, 2025. Purchases of intangible assets, which primarily consist of licensed copyrights of video content, accounted for 90.8% of our total capital expenditures in the three months ended March 31, 2025.

Operating lease commitments

Our operating lease commitments consist of the commitments under the lease agreements for our office premises. As of March 31, 2025, the amount of total future lease payments under operating leases, whose weighted average remaining lease term was 1.6 years, was RMB290.7 million (US$40.1 million), of which RMB202.2 million (US$27.9 million) was short term.

Other than as discussed above, we did not have any significant capital and other commitments, long-term obligations or guarantees as of March 31, 2025.