Repeaters EXTEND network segments. They amplify
the incoming signal received from one segment and send it on to all
other attached segments. This allows the distance limitations of
network cabling to be extended. There are limits on the number of
repeaters which can be used. The repeater counts as a single node
in the maximum node count associated with the Ethernet standard
[30 for thin coax].

Repeaters also allow isolation of segments in the event of failures or fault conditions. Disconnecting one side of a repeater effectively isolates the associated segments from the network.
Using repeaters simply allows you to extend your network distance limitations. It does not give you any more bandwidth or allow you to transmit data faster.

It should be noted that in the above diagram, the network number assigned to the main network segment and the network number assigned to the other side of the repeater are the same. In addition, the traffic generated on one segment is propagated onto the other segment. This causes a rise in the total amount of traffic, so if the network segments are already heavily loaded, it's not a good idea to use a repeater.
A repeater works at the Physical Layer by simply repeating all data from one segment to another.

During initialization, the bridge learns about the network and the routes. Packets are passed onto other network segments based on the MAC layer. Each time the bridge is presented with a frame, the source address is stored. The bridge builds up a table which identifies the segment to which the device is located on. This internal table is then used to determine which segment incoming frames should be forwarded to. The size of this table is important, especially if the network has a large number of workstations/servers.
The advantages of bridges are
Transparent bridges (also known as spanning tree, IEEE 802.1 D) make all routing decisions. The bridge is said to be transparent (invisible) to the workstations. The bridge will automatically initialize itself and configure its own routing information after it has been enabled.
Bridges are ideally used in environments where there a number of well defined workgroups, each operating more or less independent of each other, with occasional access to servers outside of their localized workgroup or network segment. Bridges do not offer performance improvements when used in diverse or scattered workgroups, where the majority of access occurs outside of the local segment.
The diagram below shows two separate network segments connected via a bridge. Note that each segment must have a unique network address number in order for the bridge to be able to forward packets from one segment to the other.

Ideally, if workstations on network segment A needed access to a server, the best place to locate that server is on the same segment as the workstations, as this minimizes traffic on the other segment, and avoids the delay incurred by the bridge.
A bridge works at the MAC Layer by looking at the destination address and forwarding the frame to the appropriate segment upon which the destination computer resides.
