T. H. Data Flash - Bilibili Inc. – March and 1Q20: High Growth Momentum Of PUGC Activities And Live Broadcasting Continues Post Outbreak

We are positive into BILI’s 1Q20 performance as well as its upward trend into 2Q20. BILI benefitted from the nationwide lockdown due to the COVID-19 outbreak in China proven by the high growth of its UGC activities, and broadcasting hosts and audiences. The momentum has continued even after the removal of the lockdown. Based on our data and model, we believe BILI’s revenue in 1Q20 is likely to outperform consensus at RMB2,180M, higher than the high end of its guidance range of RMB2,150M – RMB2,200M. In addition, Sony (SNE, $64.44, Not Rated) recently invested in BILI and became a 4.98% equity holder after investments from Alibaba (BABA, $209.86, Buy) at 6.8% ownership and Tencent (700.HK, HK$408.60, Not Rated) at 12.5% ownership.