0910 GMT - Bilibili's advertising revenue growth momentum could top 20% in 2H, Daiwa analyst John Choi says in a research note. Given Bilibili's enhanced AI-driven targeting, still-low ad loads and a maturing user base with increasing spending willingness, its ad business could grow steadily, the analyst says. However, its games business could see pressure in 2H due to a relatively weak pipeline and high base of comparison, he notes. Daiwa estimates Bilibili's 3Q games revenue could decline 16% on year. As Bilibili is showing a favorable revenue-mix shift toward high-margin segments, the company's gross margin and adjusted operating margin could further improve, the analyst adds. Daiwa maintains a buy rating on Bilibili's ADR but trims its target price to US$28.00 from US$30.00 given the weak games pipeline. Shares last ended at US$23.98. (sherry.qin@wsj.com)

(END) Dow Jones Newswires

August 25, 2025 05:10 ET (09:10 GMT)

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