China-based Bilibili reported third-quarter results early Tuesday that beat estimates on the top and bottom lines. BILI stock surged on the news, aided by easing concerns over Covid-19 lockdowns in China.
Bilibili reported an adjusted loss of 62 cents a share on revenue of $808.8 million. Analysts expected Bilibili to report a loss of 65 cents on revenue of $801 million. Revenue rose 11% from the year-ago period.
Average daily active users reached 90.3 million, a 25% increase from the year-ago period. Average monthly paying users grew 19% to 28.5 million. Monthly active users climbed 25% to 332.6 million
BILI stock jumped 22.3% to close at 15.40 on the stock market today.
BILI Stock: Getting A Lift From Covid Easing
China stock sentiment was positive early Tuesday after officials from China's National Health Commission said Covid lockdowns should be lifted "as soon as possible."
Bilibili provides online entertainment for younger generations, including video content.
"Putting profitability first, we will take additional initiatives to accelerate our monetization and implement cost containment measures including rationalizing head count planning and cutting sales and marketing expenses, with our goal set to improve our margins and narrow our losses," Chief Executive Rui Chen said in prepared remarks with the Bilibili earnings release.
BILI stock is down about 52% this year.
Please follow Brian Deagon on Twitter at @IBD_BDeagon for more on tech stocks, analysis and financial markets.
