After the video game business Bilibili (NASDAQ:BILI) posted third-quarter earnings that were above projections, the Bilibili stock price jumped more than 23%, driving a more significant rise in Chinese IT companies after the nation revealed some adjustments to its COVID-19 laws.
With a loss of 63 cents per share on $814.5M in sales for the quarter that ended September 30, Bilibili (BILI) beat analyst estimates of a loss of 65 cents per share on $789.33M in revenue.
The firm also reported that its daily active users reached 90.3M in the quarter, up 25% year-over-year. In comparison, monthly active users also jumped 25% to 332.6M.
Expectations for net sales for Bilibili (BILI) in the future are between RMB6B and RMB6.2B.
Chinese authorities said on Tuesday that the government will increase vaccination rates for its senior residents as it attempts to cope with the Omicron strain and rising dissatisfaction from its populace in the face of lockdowns in numerous cities.
The New York Times reports that although 90% of Chinese citizens have gotten all recommended vaccinations, that percentage lowers to 65.8% for those aged 80 and over, with just 40% of that age group having obtained a booster.
Protests against China’s “zero-Covid” strategy, which has disrupted the global supply chain and economy and led some to call for the resignation of Chinese Premier Xi Jinping, have occurred in several cities, including Zhengzhou, where Foxconn’s main iPhone plant is located, as well as Shanghai and Beijing.
At 3 p.m. Beijing time today, Chinese government representatives will hold a news conference to address the steps to combat the epidemic in the nation.
Chinese stocks rose significantly overnight on expectations of the as-yet-unannounced measures, and the trend has persisted in New York. Alibaba (BABA), JD.com (JD), Tencent (OTCPK:TCEHY), Baidu (NASDAQ:BIDU), and numerous others surged substantially on Tuesday, topped by an 8.6% advance in JD.com.
With news that it intends to construct the most significant autonomous ride-hailing service region in the world by 2023, shares of Baidu (BIDU) jumped by about 6%.
After a slow start to the day, the KraneShares CSI China Internet ETF (KWEB) gained almost 6%.
On the same day, Disney (DIS) announced that Shanghai Disneyland would be closed “temporarily” once more due to new COVID-19 rules.
Earlier this month, Point 72 Asset Management, the hedge fund by Steve Cohen, reported that it had boosted its stake in Alibaba (BABA) during the third quarter while making many other modifications to its portfolio.
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