Bilibili BILI is set to report fourth-quarter 2022 results on Mar 3.
For the fourth quarter of 2022, the company expects net revenues between RMB6 billion and RMB6.2 billion.
The Zacks Consensus Estimate for revenues is pegged at $887.9 million, indicating a 1.79% decline from the year-ago quarter’s reported figure.
The consensus mark for fourth-quarter loss has been unchanged at 53 cents over the past 30 days, indicating a year-over-year loss of 19.7%.
Notably, the company’s earnings missed the Zacks Consensus Estimate in the trailing two quarters, while beating twice, the average negative surprise being 1.26%.
Let’s see how things have shaped up for the upcoming announcement.
Bilibili Inc. Sponsored ADR Price and EPS Surprise
Bilibili Inc. Sponsored ADR price-eps-surprise | Bilibili Inc. Sponsored ADR Quote
Factors to Consider
Bilibili’s fourth-quarter top line is expected to have benefited from its enhanced monetization efforts, led by increased number of paying users for the company’s premium membership program, live broadcasting services and other value-added services.
In the third quarter of 2022, average monthly paying users reached 28.5 million, up 19% year over year.
Additionally, strong popularity of both existing and newly launched mobile games is expected to have driven active user growth in the to-be-reported quarter.
In the fourth quarter, average monthly active users reached 332.6 million, representing an increase of 25% from the year-ago quarter. User-base growth, particularly mobile gamers, is expected to have increased during the holiday season, boosted by social-distancing guidelines in the to-be-reported quarter.
Increasing number of advertisers, driven by further recognition of Bilibili’s brand name in China’s online advertising market, is expected to have boosted advertising revenues in the to-be-reported quarter.
However, increasing channel and marketing expenses associated with Bilibili’s app and brand, as well as promotional expenses for the company’s mobile games are expected to have kept margins under pressure in the to-be-reported quarter.
What Our Model Suggests
Per 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. But that’s not the case here.
Bilibili has an Earnings ESP of 0.00% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are some stocks that you may consider, as our model shows that these have the right combination of elements to beat on earnings this season.
Burlington Stores BURL has an Earnings ESP of +2.90% and a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Burlington is scheduled to release its fourth-quarter fiscal 2022 results on Mar 2. The Zacks Consensus Estimate for BURL’s earnings is pegged at $2.72 per share, suggesting an increase of 7.5% from the prior-year quarter’s reported figure.
Axonics AXNX has an Earnings ESP of +0.86% and a Zacks Rank #3 at present.
Axonics is set to report its fourth-quarter 2022 results on Mar 1. The Zacks Consensus Estimate for AXNX’s loss is pegged at 23 cents per share, narrower than the loss of 34 cents reported in the year-ago quarter.
Casey’s General Stores CASY has an Earnings ESP of +6.37% and a Zacks Rank #3 at present.
Casey’s is scheduled to release its third-quarter fiscal 2023 results on Mar 7. The Zacks Consensus Estimate for CASY’s earnings is pegged at $1.79 per share, suggesting an increase of 4.7% from the prior-year period’s reported figure.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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