Bilibili Inc (BILI) 2019 Q2 法說會逐字稿

Good day, and welcome to the Bilibili 2019 Second Quarter Earnings Conference Call.

美好的一天，歡迎來到 Bilibili 2019 年第二季度財報電話會議。

Today's conference is being recorded.

今天的會議正在錄製中。

At this time, I would like to turn the conference over to Juliet Yang, Senior Director of Investor Relations.

此時，我想將會議轉交給投資者關係高級總監 Juliet Yang。

Please go ahead.

請繼續。

Thank you, operator.

謝謝你，接線員。

Please note the discussion today will contain forward-looking statements relating to the company's future performances and are intended to qualify the safe harbor from liability, as established by the U.S. Private Securities Litigation Reform Act.

請注意，今天的討論將包含與公司未來業績相關的前瞻性陳述，旨在使安全港免於承擔責任，正如美國私人證券訴訟改革法案所規定的那樣。

Such statements are not guarantees of future performances and are subject to certain risks and uncertainties, assumptions and other factors.

此類陳述不是對未來業績的保證，並受某些風險和不確定性、假設和其他因素的影響。

Some of these risks are beyond the company's control and could cause actual results to differ materially from those mentioned in today's press release and this discussion.

其中一些風險超出了公司的控制範圍，可能導致實際結果與今天的新聞稿和本次討論中提到的結果大不相同。

A general discussion of the risk factors that could affect Bilibili's business and financial results is included in the certain filing of the company with the Securities and Exchange Commission.

關於可能影響 Bilibili 業務和財務業績的風險因素的一般性討論包含在公司向證券交易委員會提交的某些文件中。

The company does not undertake any obligation to update this forward-looking information, except as required by law.

除非法律要求，否則公司不承擔更新此前瞻性信息的任何義務。

During today's call, management will also discuss certain non-GAAP financial measures for comparison purpose only.

在今天的電話會議中，管理層還將討論某些非公認會計準則財務指標，僅供比較。

For a definition of non-GAAP financial measures and a reconciliation of GAAP to non-GAAP financial results, please see the 2019 second quarter financial results news release issued earlier today.

有關非 GAAP 財務指標的定義以及 GAAP 與非 GAAP 財務業績的對賬，請參閱今天早些時候發布的 2019 年第二季度財務業績新聞稿。

As a reminder, this conference call is being recorded.

提醒一下，正在錄製此電話會議。

In addition, a investor presentation and a webcast replay of this conference call will be available on Bilibili Investor Relations website at ir.bilibili.com.

此外，Bilibili 投資者關係網站 ir.bilibili.com 上將提供投資者介紹和本次電話會議的網絡重播。

Joining us today on the call from Bilibili's senior management are Mr. Rui Chen, Chairman of the Board and Chief Executive Officer; Ms. Carly Lee, Vice Chairwoman of the Board and Chief Operating Officer; and Mr. Sam Fan, Chief Financial Officer.

今天應Bilibili高級管理層的電話加入我們的是董事會主席兼首席執行官陳睿先生；董事會副主席兼首席運營官Carly Lee女士；以及首席財務官 Sam Fan 先生。

And I will now turn the call over to Mr. Fan, who will read the prepared remarks on behalf of Mr. Chen.

我現在將把電話轉給范先生，范先生將代表陳先生宣讀準備好的發言。

Thank you, Juliet, and thank you, everyone, for participating in today's earnings call.

謝謝朱麗葉，謝謝大家參加今天的財報電話會議。

I'm pleased to deliver today's opening remarks on behalf of Mr. Chen.

我很高興代表陳先生髮表今天的開幕詞。

I'm happy to report that on June 26, 2019, we celebrated Bilibili's 10-year anniversary.

我很高興地向大家報告，2019 年 6 月 26 日，我們慶祝了 B站成立 10 週年。

Over the past decade, we have grown from a small personal site to a leading online entertainment platform, where over 100 million active users come together to find and share their interest.

在過去的十年裡，我們已經從一個小型個人網站發展成為領先的在線娛樂平台，超過 1 億活躍用戶聚集在一起尋找並分享他們的興趣。

We attribute our success to our constant focus on PUGV content ecosystem and community environment, which form the foundation for continued high-quality growth.

我們將我們的成功歸功於我們對 PUGV 內容生態系統和社區環境的持續關注，它們構成了持續高質量增長的基礎。

Looking at the next 10 years, we are charged with accelerating this growth.

展望未來 10 年，我們有責任加速這一增長。

We plan to achieve this in 2 ways, more proactive user growth and improved commercialization efforts.

我們計劃通過兩種方式實現這一目標，更積極的用戶增長和改進的商業化努力。

We are proud to deliver another remarkable period of growth in both our user base and top line.

我們很自豪能夠在我們的用戶群和收入方面實現另一個顯著的增長時期。

Importantly, our second quarter results demonstrate the type of high-quality user growth we are aiming to achieve.

重要的是，我們第二季度的業績證明了我們旨在實現的高質量用戶增長類型。

We added 9 million MAUs to our community on a sequential quarter basis.

我們在連續季度的基礎上為我們的社區增加了 900 萬個 MAU。

This is our highest in net adds since 2017, bringing our total MAUs to 110.4 million, increasing 30% year-on-year.

這是我們自 2017 年以來的最高淨增加量，使我們的總月活躍用戶達到 1.104 億，同比增長 30%。

Within this group, our mobile MAUs once again grew faster than our MAUs and were up 35% year-on-year, reaching 96.2 million.

在該組中，我們的移動 MAU 再次增長快於我們的 MAU，同比增長 35%，達到 9620 萬。

High-quality user growth has always been a key focus for Bilibili.

高質量的用戶增長一直是嗶哩嗶哩關注的重點。

Beyond accelerated growth, we are continuously improving the activeness and engagement for our user community.

除了加速增長之外，我們還在不斷提高用戶社區的活躍度和參與度。

In the second quarter, our total DAUs outpaced our MAU growth rate and grew by 41% year-over-year, reaching a record 33.2 million.

在第二季度，我們的總 DAU 超過了我們的 MAU 增長率，同比增長 41%，達到創紀錄的 3320 萬。

Our users are also spending more time on our platform, averaging 78 minutes per day, up 3 minutes compared to the same period last year.

我們的用戶也在我們的平台上花費更多時間，平均每天 78 分鐘，與去年同期相比增加了 3 分鐘。

As we move into our peak summer season, we are seeing this healthy trend continue.

隨著我們進入夏季旺季，我們看到這種健康趨勢仍在繼續。

Therefore, we raised our MAU target from the range of 110 million to 120 million to the range of 120 million to 130 million for this year, and set up a new target of reaching 220 million MAUs by 2021.

因此，我們將今年的 MAU 目標從 1.1 億到 1.2 億提高到了 1.2 億到 1.3 億，並設定了到 2021 年達到 2.2 億 MAU 的新目標。

The fast pace for our user growth paired with the quality of these users is fueling our top line expansion.

我們用戶增長的快節奏與這些用戶的質量相結合，正在推動我們的收入擴張。

We continue to convert more visitors to paid users by offering premium content and the unique community experience.

我們通過提供優質內容和獨特的社區體驗，繼續將更多訪問者轉化為付費用戶。

In Q2, our average monthly paying users more than doubled compared with the same period last year, reaching over 6.3 million.

第二季度，我們的平均月付費用戶與去年同期相比增加了一倍以上，達到了 630 萬以上。

Revenue per MAUs increased by 15%, nongame revenue per MAUs increased by 102% year-over-year.

每個 MAU 的收入同比增長 15%，每個 MAU 的非遊戲收入同比增長 102%。

As a result, our revenue reached RMB 1.54 billion, beating the high end of our previous guidance projected at RMB 1.49 billion.

因此，我們的收入達到 15.4 億元人民幣，超過了我們之前預期的 14.9 億元人民幣的高端指引。

What's driving this remarkable growth of both user numbers and revenue comes back to the 3 pillars of our business: content, community and commercialization.

推動用戶數量和收入顯著增長的原因又回到了我們業務的三大支柱：內容、社區和商業化。

I'd like to touch on each of these areas, provide some insight into our growth strategy and talk about the performance within these metrics for the second quarter.

我想談談這些領域中的每一個，對我們的增長戰略提供一些見解，並談談第二季度這些指標中的表現。

First and foremost, content.

首先，內容。

Content is paramount to attracting users at a rapid pace and keeping them engaged.

內容對於快速吸引用戶並保持他們的參與度至關重要。

We are strategically positioned on a less competitive track where we enjoyed a growing roster of high-quality content through our PUGV ecosystem at a relatively low cost.

我們在戰略上處於競爭較低的軌道上，我們通過我們的 PUGV 生態系統以相對較低的成本享受到越來越多的高質量內容。

Leveraging Bilibili's high-traffic platform and unique community environment, we continue to attract talented content creators and grow our content offering.

利用 Bilibili 的高流量平台和獨特的社區環境，我們繼續吸引有才華的內容創作者並發展我們的內容供應。

During the second quarter, we had an average of 854,000 active content creators uploading 2.4 million videos monthly.

在第二季度，我們平均有 854,000 名活躍的內容創作者每月上傳 240 萬個視頻。

This represents year-over-year increase of 144% and 107%, respectively.

這分別代表同比增長 144% 和 107%。

To better support and motivate our content creators, we are continuously improving our products, tools and services to make content creation easier.

為了更好地支持和激勵我們的內容創作者，我們不斷改進我們的產品、工具和服務，以使內容創作更容易。

Our mobile content submission function allows our content creators to create content anytime, anywhere.

我們的移動內容提交功能允許我們的內容創建者隨時隨地創建內容。

Our newly launched Interactive Video tool creates a brand-new fun way for storytelling and is very easy to use.

我們新推出的互動視頻工具為講故事創造了一種全新的有趣方式，並且非常易於使用。

We are also actively promoting Video Blog-Vlog as one of the new content formats to express creative ideas.

我們也在積極推廣Video Blog-Vlog作為表達創意的新內容格式之一。

So far, it is gaining great traction with both content creators and users.

到目前為止，它在內容創建者和用戶中都獲得了極大的吸引力。

In addition, our cash incentive program continues to encourage over 160,000 content creators by providing a monetary reward for their original and high-quality creations.

此外，我們的現金獎勵計劃繼續鼓勵超過 160,000 名內容創作者，為他們的原創和高質量創作提供金錢獎勵。

As a supplement to our vast PUGV content library, we continue to expand our OGV offerings by acquiring premium content and the important IP that can be monetized across the entertainment spectrum.

作為對我們龐大的 PUGV 內容庫的補充，我們通過獲取優質內容和可以在整個娛樂領域獲利的重要 IP，繼續擴展我們的 OGV 產品。

As an example of this, at the end of June, we acquired exclusive animation adoption rights to the award winning Sci-Fi, The Three-Body Problem, one of the most renowned Sci-Fi IPs in China.

例如，在 6 月底，我們獲得了中國最著名的科幻 IP 之一的獲獎科幻小說《三體》的獨家動畫採用權。

We are thrilled to bring this exciting tale to life in a variety of entertainment forms, including animation, mobile games, comics and audio drama.

我們很高興能夠以各種娛樂形式將這個激動人心的故事變為現實，包括動畫、手機遊戲、漫畫和有聲劇。

Through these adaptation plans, we aim to maximize the reach of the story and the return on our investment.

通過這些改編計劃，我們的目標是最大限度地擴大故事的影響範圍和我們的投資回報。

In the self-producing and co-producing department, we are delighted to see our self-produced and IP-owned titles gaining traction.

在自主製作和聯合製作部門，我們很高興看到我們的自主製作和 IP 擁有的遊戲越來越受歡迎。

Our signature food documentary series, The Story of Chuan'er, welcomed its second season in July and was a smash hit.

我們的標誌性美食紀錄片系列《川兒的故事》於 7 月迎來第二季，大獲成功。

Our co-produced talk show Informal Talks and self-produced and animal reality show, Animal Hospital, were also well received by our users.

我們聯合製作的脫口秀節目《Informal Talks》和自拍的動物真人秀《動物醫院》也受到了用戶的好評。

Notably, the content verticals we choose enjoy relatively lower production costs while attracting a broader population of users.

值得注意的是，我們選擇的內容垂直領域的製作成本相對較低，同時吸引了更廣泛的用戶群。

They can also yield considerable revenue through advertising and various commercial opportunities.

他們還可以通過廣告和各種商業機會產生可觀的收入。

Secondly, let's look at our community.

其次，讓我們看看我們的社區。

As we welcome more members in our community, we continue to see deep levels of engagement and interactions among our users.

隨著我們在社區中歡迎更多成員，我們繼續看到用戶之間的深度參與和互動。

In the second quarter, we had 586 million daily views, up 84% year-on-year.

第二季度，我們的每日瀏覽量為 5.86 億次，同比增長 84%。

On the engagement front, our users generated 1.8 billion interactions mostly through bullet chats, comments, likes and Bilibili Moment posts, up 180% compared with the same period last year.

在參與方面，我們的用戶產生了 18 億次互動，主要是通過彈幕、評論、點贊和 Bilibili Moment 帖子，與去年同期相比增長了 180%。

In addition to engagement levels, the number of official members and their retention rates are also important data points that represent the quality of our user growth.

除了參與度之外，官方會員的數量和他們的留存率也是代表我們用戶增長質量的重要數據點。

At the end of second quarter, we had 54 million official members who passed our 100 question exam up 40% year-over-year.

在第二季度末，我們有 5400 萬正式會員通過了 100 道題考試，同比增長 40%。

Their 12-month retention rate remains at about 80%.

他們的 12 個月保留率保持在 80% 左右。

These official members tend to be the most active and engaged with both our content and each other.

這些官方成員往往是最活躍的，並且對我們的內容和彼此都有參與。

They are also more willing to pay for premium content.

他們也更願意為優質內容付費。

We will continue to improve our product and content offerings to convert more official members to paying users.

我們將繼續改進我們的產品和內容，將更多的官方會員轉變為付費用戶。

Last but not least, commercialization.

最後但同樣重要的是，商業化。

Our Gen Z concentrated user base has a much stronger willingness to pay for online entertainment services than any other generation.

我們的 Z 世代集中用戶群比其他任何一代人都更願意為在線娛樂服務付費。

According to the latest QuestMobile report, around 60% to 80% of the paying users who pay for mobile games, live broadcasting and online videos in China are Gen Z. Our business model is designed to address entertainment and interaction needs of this important population.

根據 QuestMobile 的最新報告，在中國為手機遊戲、直播和在線視頻付費的付費用戶中，約有 60% 至 80% 是 Z 世代。我們的商業模式旨在滿足這一重要人群的娛樂和互動需求。

Besides traffic, we can monetize our users' entertainment preference through mobile games, live broadcasting, advertising and other value-added services.

除了流量，我們還可以通過手機遊戲、直播、廣告和其他增值服務將用戶的娛樂偏好變現。

As we ramp our monetization efforts, we believe our user growth will fuel an even higher top line growth.

隨著我們加大貨幣化力度，我們相信我們的用戶增長將推動更高的收入增長。

Now let us take a look at our game business.

現在讓我們來看看我們的遊戲業務。

Building on our massive base of game lovers and highly engaged community, we have become one of the largest game communities in China, covering PC, mobile, console and indie games.

基於我們龐大的遊戲愛好者群和高度參與的社區，我們已成為中國最大的遊戲社區之一，涵蓋PC、移動、主機和獨立遊戲。

We continue to add more games to our portfolio and improve our distribution efficiency.

我們將繼續在我們的產品組合中添加更多遊戲並提高我們的分銷效率。

In the second quarter of 2019, revenues from our mobile games grew 16% year-over-year to RMB 920 million, led primarily by Fate/Grand Order or FGO and the blockbuster ACG-themed mobile game, Arknights, which we released in May.

2019 年第二季度，我們的手游收入同比增長 16% 至 9.2 億元人民幣，主要由 Fate/Grand Order 或 FGO 以及我們在 5 月發布的重磅 ACG 主題手游 Arknights 引領.

Being the exclusive joint operator of Arknights on Android channels in China, we helped attract over 3 million core ACG users to the game.

作為Arknights在中國Android渠道的獨家聯合運營商，我們幫助吸引了超過300萬核心ACG用戶參與遊戲。

The success of Arknights also showed the market's increasing demand for ACG games.

Arknights的成功也表明了市場對ACG遊戲的需求不斷增加。

More importantly, it is a strong testimony to Bilibili's robust distribution power for high-quality games.

更重要的是，這有力地證明了B站強大的優質遊戲發行能力。

On the exclusively licensed game front, we have released a number of new titles in recent months.

在獨家授權遊戲方面，我們在最近幾個月發布了許多新遊戲。

These include Japanese music RPG BanG Dream!

其中包括日本音樂 RPG BanG Dream！

in May, an exciting domestic RPG, Final Gear, in July and a highly rated female romance RPG, Untouchable Palms, in August.

5月，激動人心的國產RPG《Final Gear》，7月，高評價的女性愛情RPG《觸不可及的手掌》，8月。

All 3 titles have gained great traction among different group of gamers.

所有 3 款遊戲都在不同的遊戲玩家群體中獲得了極大的吸引力。

Final Gear and Untouchable Palms ranked #1 on top free games and top paid download charts on China's iOS app store, shortly after their releases, respectively.

Final Gear 和 Untouchable Palms 在發布後不久分別在中國 iOS 應用商店免費遊戲和付費下載排行榜上排名第一。

Looking at our content updates and new game pipeline, we're excited to be celebrating FGO's 3-year anniversary beginning at the end of August with a major content update and accompanying promotion activities.

看看我們的內容更新和新的遊戲管道，我們很高興能在 8 月底開始慶祝 FGO 的 3 週年，並進行重大內容更新和伴隨的促銷活動。

We also have several titles that have acquired approvals and are scheduled to release in the coming months.

我們還有幾款已獲得批准併計劃在未來幾個月內發布的遊戲。

These include exclusively licensed Alternative Girls and jointly operated web game, The Legend of Heroes, and Tencent's highly anticipated ACG mobile game, Fox Sprite Matchmaker.

其中包括獨家授權的Alternative Girls和聯合運營的網頁遊戲《英雄傳說》，以及騰訊備受期待的ACG手游《狐妖紅娘》。

In addition, we look forward to expanding our game distribution outside Mainland China.

此外，我們期待在中國大陸以外擴展我們的遊戲發行。

We plan to release a series of ACG titles in select Asian markets, including the Furious Yama, Final Gear, Girl Café Gun 2 and Dark Boom.

我們計劃在部分亞洲市場發布一系列 ACG 遊戲，包括 Furious Yama、Final Gear、Girl Café Gun 2 和 Dark Boom。

Looking at our live broadcasting and VAS line, revenues increased by 175% year-over-year to RMB 326 million in the second quarter of 2019, with contribution from both our live broadcasting business and premium membership.

從我們的直播和增值服務線來看，2019 年第二季度收入同比增長 175% 至人民幣 3.26 億元，這得益於我們的直播業務和高級會員。

Currently, games, VTuber, audio and ACG-related talent shows are the top categories gaining traffic and converting visitors to paying users.

目前，遊戲、VTuber、音頻和 ACG 相關的選秀節目是獲得流量並將訪問者轉化為付費用戶的頂級類別。

We are also actively expanding our e-sports related live broadcasting, content offering by introducing top e-sports matches, including LPL, OWL, KPL and Ti.

我們還通過引入LPL、OWL、KPL和Ti等頂級電子競技比賽，積極拓展與電子競技相關的直播、內容提供。

These premium e-sports content are attracting tens of millions of viewers and converting our deep pool of game lovers to live broadcasting users.

這些優質的電競內容正在吸引數以千萬計的觀眾，並將我們深厚的遊戲愛好者池轉化為直播用戶。

Our premium membership program gives paying users access to advanced or exclusive content and continues to bring in new subscriptions.

我們的高級會員計劃使付費用戶可以訪問高級或獨家內容，並繼續帶來新的訂閱。

By the end of June, we had recorded 5.3 million valid premium members, up 148% year-on-year.

截至 6 月底，我們的有效高級會員達到 530 萬，同比增長 148%。

On advertising business, we are beginning to see positive signs despite a challenging macroeconomic environment.

在廣告業務方面，儘管宏觀經濟環境充滿挑戰，我們開始看到積極的跡象。

Revenue from advertising increased 75% year-over-year to RMB 168 million in the second quarter of 2019.

2019年第二季度廣告收入同比增長75%至人民幣1.68億元。

We are also improving advertising efficiencies, which helps increase our unit price.

我們還在提高廣告效率，這有助於提高我們的單價。

The top 3 industry verticals for brand advertising in the second quarter were skincare and cosmetics, food and beverage and e-commerce.

第二季度品牌廣告排名前三的垂直行業是護膚化妝品、食品飲料和電子商務。

And the top 3 verticals for performance-based advertising were games, education and e-commerce.

基於效果的廣告排名前 3 的垂直領域是遊戲、教育和電子商務。

And finally, our e-commerce and others revenue stream also continued to grow, reaching RMB 124 million in the second quarter, an increase of 489% from the same period 2018, largely due to our expanding e-commerce platform product sales.

最後，我們的電子商務和其他收入流也繼續增長，第二季度達到人民幣 1.24 億元，比 2018 年同期增長 489%，這主要是由於我們不斷擴大的電子商務平台產品銷售。

We have made several investments to scale our business over time, expand our revenue streams.

我們已經進行了幾項投資，以隨著時間的推移擴展我們的業務，擴大我們的收入來源。

Our majority stake in Chaodian extends our reach in offline entertainment and adds a new revenue stream to our commercialization efforts.

我們在超電的多數股權擴大了我們在線下娛樂領域的覆蓋範圍，並為我們的商業化努力增加了新的收入來源。

We can now capitalize Chaodian's expertise in offline event planning as well as talented acquisition and measurement.

我們現在可以利用超電在線下活動策劃以及人才獲取和衡量方面的專業知識。

Similar to our investment in NetEase Comic and Maoer App, we believe these investments have great synergies with our existing business and will further expand our commercialization capabilities.

與我們對網易漫畫和貓兒App的投資類似，我們相信這些投資與我們現有的業務有很大的協同效應，將進一步擴大我們的商業化能力。

Our partnerships with other market leaders, such as Tencent and Alibaba, are also progressing and aiding our growth.

我們與其他市場領導者（例如騰訊和阿里巴巴）的合作夥伴關係也在推進並幫助我們發展。

We continue to expand domestic animation copyright and collaborate on some of the A-list titles including new seasons of Quan Zhi Gao Shou.

我們繼續擴大國產動畫版權，合作了包括《權志高手》新一季在內的部分一線大作。

On the games front, we now jointly operate a number of Tencent's highly-rated mobile games, including, Game of Thrones, Sprite Hunter and Ace Force Warrior.

在遊戲方面，我們目前聯合運營騰訊旗下多款評價較高的手游，包括《權力的遊戲》、《精靈獵人》和《王牌戰士》。

With more games in the pipeline, we are also working closely with Tencent on the e-sports front.

隨著更多遊戲的開發，我們也在電子競技方面與騰訊密切合作。

We compete in and own the live broadcasting rights to Tencent's premium e-sports leagues, LPL and KPL.

我們競爭並擁有騰訊優質電競聯賽LPL和KPL的直播權。

On the Alibaba partnership front, we have expanded our partnership with new collaboration plans with Tmall in addition to Taobao.

在阿里巴巴合作方面，除了淘寶之外，我們還通過與天貓的新合作計劃擴大了我們的合作夥伴關係。

We're testing a number of innovative functions to better adapt for e-commerce platforms.

我們正在測試一些創新功能，以更好地適應電子商務平台。

We expect this ingenuity to continue to help to expand our advertising services and grow our paying user base.

我們希望這種獨創性能夠繼續幫助我們擴大廣告服務並擴大我們的付費用戶群。

As we move forward, we are focused on continued growth.

在我們前進的過程中，我們專注於持續增長。

User growth is at all-time high, and we want to build on this momentum.

用戶增長處於歷史最高水平，我們希望在這一勢頭的基礎上再接再厲。

Our strategy calls for more proactive user acquisition as well as improved commercialization capability.

我們的戰略要求更積極地獲取用戶以及提高商業化能力。

While we invest in the future, we will also focus on the quality of users by attending to retention rates and ROI of our marketing efforts.

在投資未來的同時，我們還將通過關注保留率和營銷工作的投資回報率來關注用戶的質量。

We are confident about our user growth plan and believe it will form a great foundation for our sustainable growth and future success.

我們對我們的用戶增長計劃充滿信心，並相信它將為我們的可持續增長和未來的成功奠定良好的基礎。

This concludes Mr. Chen's remarks.

陳先生的發言到此結束。

I will now provide a brief overview of our financial results for the second quarter of 2019.

我現在將簡要概述我們 2019 年第二季度的財務業績。

Our total net revenue increased by 50% year-over-year to RMB 1.5 billion.

我們的總淨收入同比增長 50% 至人民幣 15 億元。

Our nongame revenue accounted for 40% of total revenue in the second quarter, up from 23% in the second quarter of last year.

我們的非遊戲收入在第二季度佔總收入的 40%，高於去年第二季度的 23%。

We are pleased with the progress of commercialization strategy and the average number of monthly paying users more than doubled year-over-year in the second quarter of 2019, reaching 6.3 million.

我們對商業化戰略的進展感到高興，2019 年第二季度月平均付費用戶數同比增長一倍以上，達到 630 萬。

Cost of revenues increased by 66% to RMB 1.3 billion compared to RMB 776 million in the same period of 2018.

與 2018 年同期的人民幣 7.76 億元相比，收入成本增加了 66% 至人民幣 13 億元。

Revenue sharing costs, a key component of cost revenues, was RMB 573 million, representing an increase of 37% from the same period in 2018.

收入分成成本是成本收入的重要組成部分，為人民幣5.73億元，較2018年同期增長37%。

Gross profit was relatively flat at RMB 252 million for 2019 second quarter and RMB 251 million for the comparable period.

2019年第二季度毛利潤為人民幣2.52億元，同期毛利潤為人民幣2.51億元，相對持平。

Our gross profit margin was 16.4% compared with 24.4% for the comparable period and improved from 13.8% for the first quarter this year.

我們的毛利率為 16.4%，而同期為 24.4%，較今年第一季度的 13.8% 有所改善。

This sequential margin improvement was mainly thanks to the increased revenue contribution from our high-margin game business.

利潤率的連續提升主要是由於我們的高利潤率遊戲業務的收入貢獻增加。

Total operating expenses increased to RMB 597 million, representing an increase of 67% from the same period of 2018.

營業費用總額增至人民幣 5.97 億元，較 2018 年同期增長 67%。

Selling and marketing expenses were RMB 240 million, representing an 88% increase year-over-year.

銷售及營銷費用為人民幣2.4億元，同比增長88%。

This increase was primarily attributable to the increased channel and marketing expenses associated with our app and the brand as well as promotional expense for our mobile games and increasing head count in sales and marketing personnel as well as the fulfilment costs for our e-commerce-related products.

這一增長主要是由於與我們的應用程序和品牌相關的渠道和營銷費用增加以及我們的手機遊戲的促銷費用以及銷售和營銷人員人數的增加以及我們與電子商務相關的履行成本產品。

R&D expenses were RMB 216 million, representing a 64% increase year-over-year.

研發費用2.16億元，同比增長64%。

The increase was primarily due to increased head count in R&D personnel and other increased research and development expenses for online games, app development and our virtual idol business.

增加的主要原因是研發人員人數增加以及網絡遊戲、應用程序開發和我們的虛擬偶像業務的其他研發費用增加。

G&A expenses were RMB 141 million, represents a 44% increase year-over-year.

G&A 費用為人民幣 1.41 億元，同比增長 44%。

The increase was primarily due to increased G&A personnel-related expenses and increased amortization expense related to intangible assets acquired through business acquisition, partially offset by a decrease in share-based compensation expenses.

增加的主要原因是與一般行政人員相關的費用增加，以及與通過業務收購獲得的無形資產相關的攤銷費用增加，部分被股權激勵費用的減少所抵消。

Loss from operations was RMB 345 million compared with RMB 107 million in the same period of 2018.

經營虧損為人民幣 3.45 億元，而 2018 年同期為人民幣 1.07 億元。

Net loss was RMB 315 million for the second quarter of 2019 compared with RMB 70 million in the same period of 2018.

2019年第二季度淨虧損為人民幣3.15億元，而2018年同期為人民幣7,000萬元。

Adjusted net loss, which is a non-GAAP measure that excludes share-based compensation expenses and amortization expenses related to intangible assets acquired through the business acquisition, was RMB 256 million compared to RMB 19 million in the same period 2018.

調整後的淨虧損為人民幣 2.56 億元，而 2018 年同期為人民幣 1,900 萬元，調整後的淨虧損為人民幣 2.56 億元，這是一項非公認會計準則指標，不包括通過業務收購獲得的股權補償費用和與無形資產相關的攤銷費用。

Basic and diluted net loss per share were RMB 0.96.

每股基本及攤薄淨虧損為人民幣0.96元。

Adjusted basic and diluted net loss per share were RMB 0.78.

調整後的每股基本及攤薄淨虧損為人民幣0.78元。

As of June 30, 2019, the company had cash and cash equivalents, time deposits as well as short-term investments of RMB 8.6 billion.

截至2019年6月30日，公司擁有現金及現金等價物、定期存款及短期投資86億元。

In April, we completed an offering of the convertible senior notes due 2026 in aggregated principal amount of USD 500 million and the concurrent offering of approximately 14.2 million ADS and 6.5 million ADS from certain selling shareholders, the company received in combination of the notes and share offerings total approximately USD 733.9 million in net proceeds.

4 月，我們完成了本金總額為 5 億美元的 2026 年到期的可轉換優先票據的發行，並同時從某些出售股東處發行了約 1420 萬股美國存託憑證和 650 萬股美國存託憑證，公司以票據和股票的形式收到募集資金淨額約為 7.339 億美元。

Looking ahead, our financial goals are to further grow our business and improve our operating efficiency.

展望未來，我們的財務目標是進一步發展我們的業務並提高我們的運營效率。

With that in mind, we are currently projecting net revenues for the third quarter of 2019 to be between RMB 1.74 billion and RMB 1.77 billion.

考慮到這一點，我們目前預計 2019 年第三季度的淨收入將在人民幣 17.4 億元至人民幣 17.7 億元之間。

Thank you for your attention.

感謝您的關注。

We would now like to open the call to your questions.

我們現在想打開您的問題的電話。

Operator, please go ahead.

接線員，請繼續。

(Operator Instructions) Your first question comes from the line of Hillman Chan from Citi.

（操作員說明）您的第一個問題來自花旗的 Hillman Chan。

(foreign language)

（外語）

(technical difficulty)

（技術難度）

Excuse me.

打擾一下。

Hillman, we can't hear you.

希爾曼，我們聽不見你的聲音。

I'm sorry.

對不起。

Hillman, you are breaking up.

希爾曼，你要分手了。

(foreign language)

（外語）

(foreign language)

（外語）

(foreign language) Noting that the MAU growth accelerated in the quarter, could management share more on the user growth strategy?

（外語）注意到本季度MAU增長加速，管理層能否分享更多關於用戶增長戰略的信息？

Why are we trying to accelerate user growth right now in this quarter?

為什麼我們現在要在本季度加快用戶增長？

And also where are we acquiring the users from which particular channel and addressing which particular user demographics?

還有，我們從哪個特定渠道獲取用戶並解決哪些特定用戶的人口統計數據？

And how we should think about the related marketing expense and target for MAU by end of this year and next year?

以及今年年底和明年MAU的相關營銷費用和目標應該如何考慮？

And then my second question is on live streaming, could management share more on the strategy as to how we convert user from video viewers to live streaming, and how we step up the -- help the users to step up the paying behavior going forward?

然後我的第二個問題是關於直播，管理層能否分享更多關於我們如何將用戶從視頻觀眾轉換為直播的策略，以及我們如何加強 - 幫助用戶加強未來的付費行為？

(foreign language)

（外語）

[Interpreted] Okay.

[解釋] 好的。

So I'll take the first question.

所以我會回答第一個問題。

I'll discuss why we wanted to accelerate our user growth at this stage and how we're going to do it.

我將討論為什麼我們要在這個階段加速用戶增長以及我們將如何做到這一點。

And Sam will explain a little bit more on the cost side.

Sam 將在成本方面進行更多解釋。

So first of all, why we're doing so because we have made substantial growth on our content ecosystem.

首先，我們為什麼要這樣做，因為我們已經在我們的內容生態系統上取得了實質性的增長。

We have made breakthrough on both quality and quantity of our content.

我們在內容的質量和數量上都取得了突破。

(foreign language)

（外語）

[Interpreted] So first, for example, on the content side, we have seen substantial growth on the number of content newly submitted daily on our platform, and our video views also improved substantially.

【解讀】首先，比如在內容方面，我們看到我們平台每天新提交的內容數量大幅增長，我們的視頻觀看量也大幅提升。

How many user have participated in the interaction and how many searches per DAU per day, they have all grown substantially over the past few years.

有多少用戶參與了互動，每個 DAU 每天有多少搜索量，在過去幾年中都大幅增長。

(foreign language)

（外語）

[Interpreted] So secondly, we have expanded to new content categories without doing massive subsidy on the content or finding massive new content creators.

【解讀】其次，我們在沒有對內容進行大量補貼或尋找大量新的內容創作者的情況下，擴展了新的內容類別。

For example, the new content submission in the Vlog session increased 81% sequentially in Q2.

例如，Vlog 會話中的新內容提交在第二季度環比增長了 81%。

And on the mobile content submission side, on average, in Q2 over -- about 47% of the content were submitted through mobile content submission function, and this ratio were even over 50% as we move into summer.

在移動內容提交方面，平均而言，在第二季度結束 - 大約 47% 的內容是通過移動內容提交功能提交的，而隨著我們進入夏季，這個比例甚至超過 50%。

(foreign language)

（外語）

[Interpreted] So when we look at our blockbuster hit new titles, new videos emerging in our -- on our platform, we see a lot of new content creators and new videos emerging in lifestyle, entertainment and technologies.

[解釋]因此，當我們看到我們的大片新標題、新視頻出現在我們的平台上時，我們看到許多新的內容創作者和新視頻出現在生活方式、娛樂和技術領域。

Those are the relatively more general emerging content categories that become more and more popular on our platform.

這些是相對更普遍的新興內容類別，在我們的平台上變得越來越流行。

(foreign language)

（外語）

[Interpreted] So based on the dense and depth of our content, we evaluated the overall content supply on our platform now can at least supply over -- or can support twice as much of our existing user base.

[解釋] 因此，基於我們內容的密集度和深度，我們評估了我們平台上的整體內容供應現在至少可以提供 - 或者可以支持我們現有用戶群的兩倍。

(foreign language)

（外語）

[Interpreted] So second of all, also based on our internal data, as our content getting more massive and our users increasing faster than ever, the retention level and engagement level of our community also improved.

[解釋]其次，同樣基於我們的內部數據，隨著我們的內容越來越龐大，我們的用戶增長速度比以往任何時候都快，我們社區的保留水平和參與度也有所提高。

(foreign language)

（外語）

[Interpreted] So for example, when we went for IPO into late 2017, the 12-month retention rate of our official members, those members who take the community exam test were about 80%.

【解讀】所以比如我們2017年底去IPO的時候，我們官方會員12個月的留存率，那些參加社區考試的會員大概80%左右。

And when we look at the data, right now, in second quarter 2019, the one who joined us in second quarter 2018, their 12-month retention rates were even above 80%.

當我們查看數據時，現在，在 2019 年第二季度，也就是在 2018 年第二季度加入我們的人，他們的 12 個月保留率甚至超過 80%。

(foreign language)

（外語）

[Interpreted] So the long-term retention rate has been essential to the longevity and activeness of our community.

[解釋]因此，長期保留率對於我們社區的長壽和活躍度至關重要。

And from this data, it's suggesting the users' long-term satisfaction rate and to our community actually improved over time.

從這些數據來看，這表明用戶的長期滿意度和對我們社區的滿意度實際上隨著時間的推移而提高。

(foreign language)

（外語）

[Interpreted] The third of all is, we have improved our monetization capabilities.

【解讀】第三點，我們提升了變現能力。

(foreign language)

（外語）

[Interpreted] So for example, looking at the paying ratio, our -- the number of users who paid in the first half, who are also newly registered user, actually improved 60% year-on-year.

【解讀】比如說，從付費比例來看，我們——上半年付費的用戶，也是新註冊的用戶，實際上同比增長了60%。

(foreign language)

（外語）

[Interpreted] And that absolute number of paying user actually already surpassed the number of users who paid in 2017, who are also joined on 2017.

【解讀】而這個付費用戶的絕對數量其實已經超過了2017年付費用戶的數量，2017年也加入了。

(foreign language)

（外語）

[Interpreted] So this supports our theory that we have improved our ability to monetize new users.

[解釋] 因此，這支持了我們的理論，即我們提高了通過新用戶獲利的能力。

(foreign language)

（外語）

[Interpreted] And on our ability to monetize through nongame business, our nongame revenue per MAU actually improved 102% year-on-year in the second quarter.

[解釋] 就我們通過非遊戲業務變現的能力而言，我們每 MAU 的非遊戲收入實際上在第二季度同比增長了 102%。

(foreign language)

（外語）

[Interpreted] And the money we spent on user acquisition actually only improved -- increased 70% year-on-year, much lesser than the revenue growth.

[解讀] 而我們花在用戶獲取上的錢實際上只增加了——同比增長了 70%，遠低於收入增長。

(foreign language)

（外語）

[Interpreted] This means we are able to make much more money on the single new user compared to the money we spend on acquiring them.

[解釋] 這意味著與我們花在獲取新用戶上的錢相比，我們能夠從單個新用戶身上賺到更多的錢。

(foreign language)

（外語）

[Interpreted] And another data that we can provide is the paying ratio for user who joined in 2017, that -- their 2018 paying ratio actually doubled compared to 2017.

[解釋] 我們可以提供的另一個數據是 2017 年加入的用戶的付費比率，即他們 2018 年的付費比率實際上比 2017 年翻了一番。

That means once the users are in our community, they tend to spend more over time.

這意味著一旦用戶進入我們的社區，他們往往會隨著時間的推移花費更多。

(foreign language)

（外語）

[Interpreted] So that concludes 3 points: 1) as we are able to attract a lot of high-quality user, and we are able to retain them.

【解讀】所以總結了3點：1）因為我們能夠吸引很多優質用戶，我們能夠留住他們。

And most importantly, we can better monetize those new users as our monetization progresses.

最重要的是，隨著我們的貨幣化進程，我們可以更好地從這些新用戶中獲利。

(foreign language)

（外語）

[Interpreted] And we'd like to update our MAU target.

[解釋] 我們想更新我們的 MAU 目標。

We've previously guided our MAU target for this year were 110 million to 120 million.

我們之前將今年的 MAU 目標設定為 1.1 億至 1.2 億。

Now we raised that target to reach 120 million to 130 million by end of this year.

現在我們將這個目標提高到今年年底達到 1.2 億到 1.3 億。

(foreign language)

（外語）

[Interpreted] We also like to update our 3-year MAU target from 150 million to 220 million by 2021.

[解釋] 我們還想將我們的 3 年 MAU 目標從 1.5 億更新到 2021 年的 2.2 億。

(foreign language)

（外語）

[Interpreted] More importantly, to achieve this target, we did not just simply wanted to increase the number of users, we also wanted to maintain the quality of the user, and we can achieve that by leveraging the longevity, the power, the activeness of our content ecosystem.

【解讀】更重要的是，為了實現這個目標，我們不僅僅是想增加用戶數量，我們還想保持用戶的質量，我們可以通過利用長壽、力量、活躍度來實現。我們的內容生態系統。

(foreign language)

（外語）

[Interpreted] And on how we are able to -- how we achieve that type of target is the same as we said in before.

[解釋] 關於我們如何能夠——我們如何實現這種類型的目標與我們之前所說的相同。

Bilibili's user growth are not purely just rely on fine topic or making subsidies to our content creators.

嗶哩嗶哩的用戶增長並不僅僅靠精品話題或對內容創作者的補貼。

It's relied on our substantial and rich content ecosystem.

它依賴於我們龐大而豐富的內容生態系統。

We wanted to do constant optimization and upgrade on our content ecosystem, on improved engagement and activeness of our community and improve our product design and upgrade on our branding, on our marketing efforts, also improve our channel user acquisitions.

我們希望不斷優化和升級我們的內容生態系統，提高我們社區的參與度和活躍度，改進我們的產品設計和升級我們的品牌，我們的營銷工作，同時改善我們的渠道用戶獲取。

(foreign language)

（外語）

[Interpreted] And I elaborate our strategy from 3 aspects first is on the branding side.

【解讀】我從三個方面闡述我們的策略，首先是品牌方面。

Over the past 10 years, we barely did any promotion and marketing on Bilibili brand.

過去10年，我們幾乎沒有對嗶哩嗶哩品牌做任何推廣和營銷。

Although a lot of youngsters know Bilibili very well, but from a wider demographic, age bracket or lower Tier city, and there are still some of the users do not know Bilibili, do not know what Bilibili can do.

雖然很多年輕人對B站很了解，但是從更廣泛的人群、年齡層或者低線城市來看，還是有一部分用戶不了解B站，不知道B站能做什麼。

So in this -- starting from the second half of this year, we are going to upgrade our branding campaign and starting to do more branding awareness and promotions to those users who do not know Bilibili.

所以在這——從今年下半年開始，我們將升級我們的品牌推廣活動，並開始對那些不了解嗶哩嗶哩的用戶進行更多的品牌宣傳和推廣。

(foreign language)

（外語）

[Interpreted] This is one of the highest priority job in our to-do list.

[解釋] 這是我們待辦事項列表中最優先的工作之一。

(foreign language)

（外語）

[Interpreted] Second of all is to optimize and improve on our product as well as our algorithms.

[解釋] 其次是優化和改進我們的產品以及我們的算法。

In the past, we have been very focused on the long-term retention of our users.

過去，我們一直非常關注用戶的長期留存。

And now we wanted to also focus on the retention rate of our new users.

現在我們還想關注新用戶的留存率。

And this will definitely be very helpful on the user growth.

而這對用戶增長肯定是非常有幫助的。

(foreign language)

（外語）

[Interpreted] And third is to improve our ability to acquire users from various channels.

【解讀】三是提升多渠道獲客能力。

In the past, our investment in channel acquisitions actually is lower than industry average who are at around our similar scale with their product.

過去，我們對渠道收購的投資實際上低於行業平均水平，他們的產品規模與我們差不多。

And in the future, we'll -- we are going to improve our ability to acquire users from various online and offline channels.

在未來，我們將——我們將提高從各種線上和線下渠道獲取用戶的能力。

(foreign language)

（外語）

[Interpreted] And above all else, we wanted to improve our conversion from our traffic to paid and increase revenue per MAU.

[解釋] 最重要的是，我們希望提高從流量到付費的轉化率，並增加每 MAU 的收入。

And I think in the past, we have proven our ability to monetize our traffic.

我認為在過去，我們已經證明了我們將流量貨幣化的能力。

And as our user continue to grow, we should be able to grow our top line as we extend our user base.

隨著我們的用戶不斷增長，我們應該能夠隨著我們擴大用戶群而增加我們的收入。

(foreign language)

（外語）

[Interpreted] Okay.

[解釋] 好的。

I'll take the answer in short.

我會簡短地回答。

As Chairman stated, we are at the right time to enter into this strategy.

正如主席所說，我們正處於進入這一戰略的正確時機。

And there are 2 keywords, all the spending will be controllable and measurable.

並且有2個關鍵詞，所有的支出都是可控可測的。

We will track all ROI for their spending.

我們將跟踪他們支出的所有投資回報率。

We -- actually, as Chairman mentioned, we are not just to look at purely to acquire the new users through the marketing spending.

我們——實際上，正如主席所說，我們不只是單純地通過營銷支出來獲取新用戶。

But if you look at marketing dollar we spend, we will make sure that we -- that all the marketing dollar we spend will be collected through the growth of the top line.

但是，如果您查看我們花費的營銷費用，我們將確保我們 - 我們花費的所有營銷費用都將通過收入的增長來收集。

There are also

還有

(technical difficulty)

（技術難度）

be 2 or 3 quarters delay.

延遲 2 或 3 個季度。

We should take time for our platform to monetize those user traffic.

我們應該花時間讓我們的平台通過這些用戶流量獲利。

But based on the other metrics we mentioned during our call as Chairman also mentioned that of conversion from our visitor to the paid users are quite good and their spending behavior are exceeding our expectations.

但基於我們在主席電話會議中提到的其他指標，也提到從訪客到付費用戶的轉化非常好，他們的消費行為超出了我們的預期。

So we will take that very, very seriously.

所以我們會非常非常認真地對待這一點。

And the second is, if you look -- want to know some guidance about the marketing dollar spending, actually, in Q3 last year, we spent about 18% of the total revenues for the selling and marketing expenses, and 16% marketing expenses in Q4.

第二個是，如果你想知道一些關於營銷美元支出的指導，實際上，在去年第三季度，我們將總收入的 18% 用於銷售和營銷費用，16% 的營銷費用用於Q4。

We now guide that number in this year will be around 19% to 20% in Q3 and Q4.

我們現在指導今年第三季度和第四季度的這一數字將在 19% 到 20% 左右。

So you can see, it's not a significantly increase of the marketing dollar spending.

所以你可以看到，這並不是營銷美元支出的顯著增加。

By the way, I'm looking forward to a very strong MAU growth and the growth of the top line in next year.

順便說一句，我期待著非常強勁的 MAU 增長和明年收入的增長。

(foreign language)

（外語）

[Interpreted] So on your second question, regarding our live broadcasting, over the past few quarters, we can see the content ecosystem of our live broadcasting is also thriving.

【解讀】那麼關於你的第二個問題，關於我們的直播，在過去的幾個季度裡，我們可以看到我們直播的內容生態也正在蓬勃發展。

And on the games front, we already have a edge in terms of game-related video content, and game-related live broadcasting is actually helping us to even elevating that competitive advantage.

而在遊戲方面，我們在遊戲相關的視頻內容方面已經擁有優勢，而遊戲相關的直播實際上正在幫助我們提升競爭優勢。

You can see whenever we have -- when the market has new games, that will stimulate the growth of content on our live broadcasting content platform.

你可以看到，只要我們有——當市場有新遊戲時，這將刺激我們直播內容平台上內容的增長。

And also the popularity among e-sports is also starting to show positive effects on our platform.

電子競技的流行也開始對我們的平台產生積極影響。

(foreign language)

（外語）

[Interpreted] So new emerging content category is gaining popularity on our video platform, the [new] live broadcasting content is also thriving, for example, lifestyle type of content.

【解讀】所以新出現的內容品類在我們的視頻平台上越來越受歡迎，【新】直播內容也在蓬勃發展，比如生活方式類的內容。

We are seeing as the Vlog getting more and more popular, the lifestyle-related live broadcasting is also gaining attraction, similar with the studying live broadcasting.

我們看到隨著Vlog越來越流行，與生活相關的直播也越來越受歡迎，類似於學習直播。

Those are the emerging categories that we see on our live broadcasting platform.

這些是我們在直播平台上看到的新興類別。

(foreign language)

（外語）

[Interpreted] We used to say live broadcasting is a natural extension of our live broadcasting -- of our video platform, and it's also a type of ability we have to acquire.

【解讀】我們曾經說過，直播是我們直播的自然延伸——我們的視頻平台，也是我們必須具備的一種能力。

And over the past few quarters, we have proven that ability.

在過去的幾個季度中，我們已經證明了這種能力。

(foreign language)

（外語）

[Interpreted] So in the past, we haven't spent big bucks to top host finding or big marketing campaigns.

[解釋] 所以在過去，我們沒有花大筆錢來尋找頂級主機或大型營銷活動。

However, from the performance of our live broadcasting market in the past few quarters, that also is a strong evidence that our live broadcasting is growing with our content ecosystem.

但是，從我們直播市場在過去幾個季度的表現來看，這也是我們的直播隨著我們的內容生態系統而增長的有力證據。

(foreign language)

（外語）

[Interpreted] And on the monetization front, we can also see a lot of highlights that mirrors or echoes with our video platform ecosystem.

[解讀]在貨幣化方面，我們也可以看到很多與我們的視頻平台生態系統反映或呼應的亮點。

The uprising of VTuber live broadcasting is an evidence to show our dominant position in the ACG industry.

VTuber直播的興起，就是我們在ACG行業霸主地位的明證。

The number of VTuber hosts and number of viewers who watch VTuber content and number of users who pay for VTuber live broadcasting is increasing very fast, and we can also see the paying ratio for VTuber is much higher compared to other regular entertainment categories.

VTuber主播數量、觀看VTuber內容的觀眾數量以及為VTuber直播付費的用戶數量增長非常快，我們也可以看到VTuber的付費比例相比其他常規娛樂類別要高得多。

(foreign language)

（外語）

[Interpreted] We are confident that we are able to become the leading player in the VTuber live broadcasting industry.

【解讀】我們有信心成為VTuber直播行業的龍頭。

(foreign language)

（外語）

[Interpreted] On Bilibili, there is a strong fan, host, emotional connection already established on our video platform, and we can leverage that fan connection on our live broadcasting platform.

【解讀】在嗶哩嗶哩，我們的視頻平台已經建立了強大的粉絲、主持人、情感聯繫，我們可以在我們的直播平台上利用這種粉絲聯繫。

The Dahanghai function is actually a tool to monetize the fan economy.

大航海功能其實是粉絲經濟變現的工具。

So to summarize, our -- the Bilibili live broadcasting advantages come on the games front, we have equivalent or even stronger capabilities to continue to grow our games-related live broadcasting content, given our massive gamers, user base and game video content.

綜上所述，我們的 B站直播優勢來自遊戲方面，鑑於我們龐大的遊戲玩家、用戶群和遊戲視頻內容，我們有同等甚至更強的能力來繼續發展我們的遊戲相關直播內容。

And on Bilibili's strongest ACG area, we can also see some of the emerging new content categories, and we can also monetize our emotional connections from host and fans.

而在B站最強的ACG區，我們也可以看到一些新興的新內容品類，也可以通過主播和粉絲的情感聯繫變現。

Your next question comes from the line of Thomas Chong from Jefferies.

您的下一個問題來自 Jefferies 的 Thomas Chong。

(foreign language) Congratulations on the strong user growth this quarter.

（外語）祝賀本季度用戶增長強勁。

I have a question about our live streaming and VAS.

我有一個關於我們的直播和 VAS 的問題。

Given the fact that the revenue per MAU is growing very nicely, how should we think about the revenue contribution from live streaming and VAS going forward over the next couple of years?

鑑於每個 MAU 的收入增長非常好，我們應該如何看待未來幾年直播和 VAS 的收入貢獻？

And should we consider it is more driven by revenue per MAU or paying ratio?

我們是否應該認為它更多地受到每 MAU 收入或支付比率的驅動？

Thomas, let me take your question.

托馬斯，讓我回答你的問題。

Currently, the live broadcasting and VAS contribute about 20% of the total revenue.

目前，直播和增值服務貢獻了總收入的20%左右。

We foresee that number will going up in the short-term period.

我們預計該數字將在短期內上升。

But we also guided that our nongame revenues as a percentage of total revenue will ultimately contribute around 50% of the total revenues.

但我們也指導我們的非遊戲收入佔總收入的百分比最終將佔總收入的 50% 左右。

That includes advertising, live broadcasting, VAS and other revenues.

這包括廣告、直播、增值服務和其他收入。

So we're quite looking forward to that.

所以我們非常期待。

And the growth driver for live broadcasting again is now many for their paying ratio as well as the total targeted growth of the MAU we converted through our total MAU to those live broadcasting business as well as our VAS business.

直播的增長動力現在又是很多，因為他們的支付比率以及我們通過總 MAU 轉換為直播業務的 MAU 的總目標增長以及我們的 VAS 業務。

Hope that can answer your question?

希望能回答你的問題？

And that concludes the question-and-answer session.

問答環節到此結束。

I would now like to turn the conference back to the management for any additional or closing comments.

我現在想將會議轉回管理層，以徵求任何其他或結束意見。

Thank you once again for joining us today.

再次感謝您今天加入我們。

If you have any further questions, please contact myself, Juliet Yang, Bilibili's Senior IR Director or TPG Investor Relations.

如果您還有任何問題，請聯繫我本人、嗶哩嗶哩高級投資者關係總監 Juliet Yang 或 TPG 投資者關係部。

Our contact information for IR, in both China and the U.S., can be found on today's press release.

我們在中國和美國的 IR 聯繫信息可在今天的新聞稿中找到。

Have a great day.

祝你有美好的一天。

Ladies and gentlemen, that does conclude the conference for today.

女士們，先生們，今天的會議到此結束。

Thank you for participating.

感謝您的參與。

You may now all disconnect.

您現在可以全部斷開連接。

[Portions of this transcript that are marked [Interpreted] were spoken by an interpreter present on the live call.]

[此成績單中標記為 [已翻譯] 的部分由現場通話中的口譯員朗讀。]