By reducing manual efforts and saving time and resources, AI effectively facilitate our cost reduction and efficiency enhancement. I would like to point out that 36Kr was the first ever industry pioneer in using AI technologies to create an e-commerce store on Taobao, launching live-stream sales sessions hosted by digital humans and we were exclusively featured on CCTV with multiple follow-up initiatives. In addition, we recently entered into a strategic cooperation with Baidu, joining hands in broadening AI applications across our media platform, enterprise services and training offerings, driving commercialization and innovation as we empower the manual goals. Our teams are working closely on a diversified AI-powered landscape, including content production, an application marketplace showcasing applications powered by large language model, LLM functions, LLM solutions and training program on AI applications.
Operator: Our next question today will come from Lingyi Zhao of SWS Research.
Lingyi Zhao: The short video business has been doing really well and what’s our plan to further tap into this growth potential?
Dagang Feng: Thank you, Lingyi. First of all, we will continue to launch diversified content offerings and further expand our 2C products. At present, our short video lineup covers diverse topics, including technological innovation, business insight and lifestyle delighting users with a variety of content options. In addition, multichannel content distribution remains a key focus for us. In addition to posting on short video media platforms, including Bilibili, Douyin, Kuaishou, Xiaohongshu, Xigua and WeChat Video Account, we also actively expanded our reach across social media platforms. We are pleased to see the number of our short video followers surpass 8.3 million, up 42% year-over-year, among which more than 2 million were Bilibili users.
Regarding our commercial cooperation for creative brand marketing, we signed additional customers from a wide array of industries. Revenue from this segment doubled year-over-year, accounting for more than 20% of our total advertising revenue.
Operator: Our next question today will come from Richie [ph] of Sealand Securities.
Unidentified Analyst: How did the company achieve a rebound in gross profit margin this quarter?
Lin Wei: Thank you, Richie [ph]. This is Lin. I will take your questions regarding gross profit margin. I think the rebound is mainly attributable to our seasonality of our business nature as well as the economy of scale. We have mentioned several times on our previous calls that our cost structure is largely fixed. That means when our revenues grow, there is not such a linear relationship between our revenue growth and cost growth. So if you look at our Q2 revenues, our sequential revenue growth was almost 52%. That’s a very big jump. But if you look at our cost, actually, our cost only grew by 5%. That’s a very obvious economy of scale. So that’s basically the seasonality and the economy of scale contributed to the sequential strong rebound of our GP margin.
And also, we — in Q1, we started off several new content initiatives. For example, we launched our first long-form video program called Broadcasting Foreseeing 2033. That’s a long-form video we started to produce in the beginning of the year. So in Q1, we basically haven’t started off the commercialization. But in Q2, this program has been very well received by both the audiences and also the — our advertising customer. So in Q2, we have achieved revenue to cover the cost — production cost of this program and actually more than cover the cost of this program. So that’s why that’s another reason contributing to our GP management growth. And looking ahead, we think our GP margin, we will be able to maintain at a high level of 55% or even between 55% to 60% because as we said, we believe our advertising revenue will continue to grow and advertising revenue is a relatively high-margin business and our enterprise value-added services as well as our cleaning business will also grow, that will contribute to higher revenue and hence contribute to higher gross profit and GP margin.
