Glonghui, June 3 | Bank of America Securities released a report stating that due to the good growth of Bilibili (9626.HK) advertising revenue, gross margin showed a positive trend, and the company's results for the first quarter of this year were basically in line with expectations. The bank expects that Bilibili's performance growth trend for the second quarter and full year of the 2024 fiscal year will be on the right track. The bank believes that Bilibili's hybrid transformation into a high-margin advertising and game business, combined with control over operating expenses, may drive the company's long-term profit margin of more than 10%. However, it is still too early for the bank to say anything about the long-term profit margin status after the potential break-even. The bank also indicated that it decided to raise the company's earnings forecast per share for the 2024-2026 fiscal year by 3% to 5% based on improvements recorded in Bilibili's advertising and game business. At the same time, its target price for H shares was raised from HK$131 to HK$140, confirming the buy rating.