Baidu's Q3 Top-Line Rises 2% As Core Revenue Resumed Positive Growth

  • Baidu, Inc BIDU reported third-quarter FY22 revenue growth of 2% year-on-year to $4.57 billion, beating the consensus of $4.46 billion
  • Segments: Baidu's Core revenue increased 2% Y/Y to $3.55 billion; Online marketing revenue declined 4% Y/Y to $2.63 billion. Non-online marketing revenue jumped 25% Y/Y to $916 million, driven by cloud and other AI-powered businesses. 
  • Revenue from IQIYI, Inc IQ decreased 2% Y/Y to $1.1 billion, beating the consensus of $1.03 billion. iQIYI subscribers reached 101 million versus 104.7 million a year ago.
  • Baidu's SG&A fell 29% Y/Y, and R&D expenses declined 7% Y/Y.  
  • Margins: Baidu's adjusted EBITDA margin expanded by 800 bps to 27%. Baidu Core's adjusted EBITDA margin declined by 500 bps to 33%.
  • Baidu's Non-GAAP earnings per ADS of $2.37 beat the consensus of $2.15. 
  • Baidu held $25.94 billion in cash and equivalents and generated $921 million in free cash flow. 
  • "Baidu Core's revenue resumed positive growth, driven by a gradual recovery of our online marketing business and the steady growth of our AI Cloud revenue. Notably, we continued to make significant progress in intelligent driving," said Robin Li, Co-founder, and CEO of Baidu. 
  • "Looking ahead, we expect our mobile ecosystem to continue generating strong cash flow and fund our investment in AI Cloud and intelligent driving, which will help maintain our leadership in the new AI business and drive long-term business growth."
  • Price Action: BIDU shares traded higher by 1.52% at $96.00 in the premarket session on the last check Tuesday.
  •  

 

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Date
ticker
name
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: EarningsNewsPenny StocksTechBriefsEurasia
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!