(Yicai) Aug. 18 -- Bilibili logged a 23 percent contraction in net losses in the second quarter from the same period last year as revenue from the Chinese long-form video platform’s advertising and value-added services increases.

Bilibili racked up losses of CNY1.5 billion (USD207.1 million) in the three months ended June 30, according to the Shanghai-based firm’s latest financial report released yesterday. Revenue climbed 8 percent to CNY5.3 billion (USD727 million).

The jump in revenue was largely driven by growth in its advertising and value-added services. Earnings from advertising surged 36 percent in the second quarter from a year earlier to CNY1.6 billion (USD219 million) and that from value-added services jumped 9 percent to CNY2.3 billion (USD310 million), the report said.

The number of daily active users soared 15 percent to 96.5 million in the three months ended June 30, and the average amount of time spent online per day leapt 22 percent to 94 minutes.

Revenue from mobile games, though, sank 15 percent to CNY890.9 million (USD122.9 million), and earnings from intellectual property-based derivatives and other businesses plunged 10 percent to CNY538.7 million, it said.

Bilibili has lowered its expectations for the year to achieving revenue of between CNY22.5 billion (USD3 billion) and CNY23.5 billion, down from between CNY24 billion and CNY26 billion, as the release of some games has been delayed and revenue from non-core businesses such as IP-based derivatives is less than expected, it said.

Bilibili’s share price [HKG:9626] was trading down 2.4 percent at HKD121 (USD15) as of 11.30 a.m. China time today. In New York, its stock [NASDAQ: BILI] closed down 0.7 percent at USD15.35 apiece yesterday.

Editor: Kim Taylor