Bilibili Set to Report Q3 Earnings: What's in the Cards?

Bilibili BILI is set to release its third-quarter 2024 results on Nov. 14.Bilibili expects non-GAAP breakeven earnings in the third quarter of 2024.The Zacks Consensus Estimate for third-quarter earnings is currently pegged at 10 cents per share, up by a penny over the past 30 days.The consensus estimate for revenues is pegged at $1.01 billion, suggesting growth of 27.26% year over year.Bilibili’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters and missed in the remaining two, delivering a negative earnings surprise of 4.46%, on average.Bilibili Inc. Sponsored ADR Price and EPS Surprise Bilibili Inc. Sponsored ADR price-eps-surprise | Bilibili Inc. Sponsored ADR Quote  Find the latest EPS estimates and surprises on Zacks Earnings Calendar.Let’s see how things have shaped up for BILI prior to this announcement:BILI’s Key Factors to NoteBilibili’s top-line growth has been benefiting from strong advertising revenues, which increased 30% year over year in the second quarter of 2024. Improvements in ad placement systems and the addition of video-style ads enhanced ad efficiency.The company’s focus on high-performing ad categories like mobile games, e-commerce, AI and education is expected to boost third-quarter results.Bilibili’s games revenues increased 13% on a year-over-year basis in the second quarter. This segment is expected to have maintained its positive trajectory in the third quarter, with titles like San Guo: Mou Ding Tian Xia (San Mou), which has become Bilibili’s fastest title to hit the RMB 1 billion ($138 million) game grossing mark. The segment’s growth is likely to have also been supported by the success of legacy games like Azur Lane and Fate/Grand Order.The increasing monetization of the creator ecosystem is also expected to have boosted top-line growth in the third quarter. Initiatives like fan charging and premium content drive income growth for creators, further encouraging content generation and user spending.BILI’s VAS revenues rose 11% year over year in the second quarter of 2024. Its expansion of live broadcasting and PUGV (Professional User Generated Video) content is also anticipated to have contributed to VAS growth in the to-be-reported quarter.Exiting the second-quarter 2024, Bilibili’s average daily video views had increased by 18% year over year, with users spending 99 minutes on the platform per day on average. Premium memberships reached 22.3 million, reflecting a loyal user base. This growing engagement is expected to have supported revenue growth in the third quarter, across advertising, games and value-added services.What Our Model SaysPer the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That’s the exact case here.Bilibili has an Earnings ESP of +10.00% and a Zacks Rank #2. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.Other Stocks to ConsiderHere are some companies worth considering, as our model shows that these also have the right combination of elements to beat on earnings in their upcoming releases:NVIDIA NVDA has an Earnings ESP of +2.30% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.NVDA’s shares have returned 193.4% year to date. NVDA is scheduled to release its third-quarter 2024 results on Nov. 20.Best Buy BBY has an Earnings ESP of +0.06% and a Zacks Rank #2.BBY’s shares have returned 14% year to date. BBY is set to report its third-quarter fiscal 2025 results on Nov. 26.GDS Holdings GDS has an Earnings ESP of +4.76% and a Zacks Rank #2.GDS Holding’s shares have gained 160.9% year to date. GDS is scheduled to release third-quarter 2024 results on Nov. 19.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Best Buy Co., Inc. (BBY): Free Stock Analysis Report NVIDIA Corporation (NVDA): Free Stock Analysis Report GDS Holdings (GDS): Free Stock Analysis Report Bilibili Inc. Sponsored ADR (BILI): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks