(Bilibili) Chinese video-sharing platform Bilibili is set to implement cost-cutting measures amid macro headwinds, despite posting double-digit growth in its net revenues for the first quarter.
Chairman and Chief Executive Officer Rui Chen said the firm will implement cost control, and expense reduction will be “paramount” for the firm to face macro headwinds throughout the year. It is hopeful of returning to normal business orders moving forward.
Total net revenues for the first quarter posted a 30% annual increase to RMB5.051 billion, despite the COVID-19 restrictions in Shanghai, where the firm’s headquarters is located. It has since adopted flexible working arrangements.
Second-quarter net revenues are expected to fall between RMB4.85 billion and RMB4.95 billion, based on the prevailing market conditions, including the ongoing COVID-19 pandemic in China.
First-quarter gross profit stood at RMB807.2 million, lower than the RMB937.9 million in the first quarter of 2021. Net loss widened to RMB2.284 billion from RMB904.9 million in the same quarter last year.
BILI is down 11.41%, MCHI down 2.35%, and BABA down 4.19% premarket.
