Bilibili Stock: Gaming and Advertising Fuel Remarkable Resurgence

China’s entertainment platform Bilibili is demonstrating a powerful market recovery, driven by exceptional performance in two key sectors. While the stock’s impressive rally captures investor attention, analysts are examining whether this momentum signifies durable growth or a temporary surge.

User Engagement Reaches New Heights

The foundation of Bilibili’s current strength lies in its expanding user base. Operational metrics reveal substantial growth, with daily active users reaching 108 million, representing a 6 percent year-over-year increase. Monthly active users have climbed to 365.2 million. Perhaps most significantly, user engagement continues to deepen, with average daily usage time extending to 106 minutes—a four-minute increase compared to the previous year, indicating stronger platform attachment.

Advertising Revenue Ignites Financial Performance

Complementing the user growth, Bilibili’s advertising division has delivered explosive results. During the first half of 2025, advertising revenue surged by 20.0 percent to 4.45 billion RMB. Performance advertising, a key growth segment, advanced by more than 30 percent. The platform attracted over 20 percent additional advertising clients, with game developers allocating larger budgets to reach Bilibili’s dedicated gaming community. Simultaneously, consumer brands and e-commerce platforms are increasingly recognizing Bilibili as a valuable marketing channel, signaling confidence in the purchasing power of its user demographic.

Should investors sell immediately? Or is it worth buying Bilibili?

Mobile Gaming Provides Core Growth Engine

The most crucial growth driver emerges from Bilibili’s mobile gaming segment, which remains its most profitable division. The successful launch of a new strategy card game has generated substantial market excitement and significantly boosted earnings. This development coincides with a favorable regulatory shift, as Chinese authorities granted approval for over one hundred new online games. This regulatory green light indicates substantial expansion potential for Bilibili’s core gaming operations, arriving at an opportune moment for the company’s strategic direction.

Market Valuation Questions Remain

Despite these strong operational and financial indicators, many market observers maintain that Bilibili shares remain undervalued. Expectations are running high for 2025, with projections indicating the company will reach profitability. The convergence of growing user engagement, technological advancement, and operational efficiency could potentially sustain the current upward trajectory.

The critical uncertainty persists: Can Bilibili maintain this accelerated pace and justify optimistic long-term projections? Current performance metrics certainly provide grounds for positive sentiment, though the company must continue executing its growth strategy effectively.