Bilibili-W's stock price plummeted 5.07% during intraday trading on Wednesday, marking a significant decline for the Hong Kong-listed shares.

The sharp drop occurred amid broad-based selling pressure across the Interactive Media & Services sector, with peers including Tencent, Kuaishou-W, and Meitu also trading lower. This sector-wide weakness contributed to negative sentiment toward Bilibili.

Furthermore, the company continues to face regulatory scrutiny over content compliance issues. Recent reports have highlighted that Bilibili's membership store and decoration mall contained soft-pornographic products, including suggestive figurines and decorations that were accessible to minors with minimal purchase restrictions. This controversy has drawn attention from regulators and media, posing potential reputational and compliance risks for the platform.