1. Baidu's Q1 2025 revenue increased by 3% year over year. 2. AI Cloud revenue surged 42% year over year, indicating strong growth. 3. Net income increased 42%, reflecting operational efficiency improvements. 4. Apollo Go expanded internationally, enhancing Baidu's market presence. 5. Baidu remains committed to AI investments for long-term growth.
Strong financial performance and AI cloud growth signals market confidence; previous instances show growth potential positively impacts stock price.
The strong financial showing combined with AI advancements indicates significant future stock potential and investor confidence.
Baidu's continued investments in AI and successful international expansions suggest sustained growth; examples include similar trends within tech stocks correlating with long-term expansion.
Baidu, Inc. (NASDAQ: BIDU and HKEX: 9888 (HKD Counter) and 89888 (RMB Counter)) ("Baidu" or the "Company"), a leading AI company with a strong Internet foundation, today announced its unaudited financial results for the first quarter ended March 31, 2025.
"Baidu Core revenue grew 7% year over year in the first quarter, driven by the accelerating momentum of AI Cloud, which surged 42% year over year. The strong performance of our AI Cloud business underscores the growing market recognition of our distinctive strength in providing full-stack AI products and solutions with a highly competitive price-performance advantage. We also achieved a pivotal milestone in our robotaxi business, as Apollo Go expanded internationally by entering Dubai and Abu Dhabi, reinforcing our commitment to bringing safe, comfortable, and affordable autonomous ride-hailing services to global markets," said Robin Li, Co-founder and CEO of Baidu. "We are confident that our AI-first strategy positions us to remain at the forefront and to capture long-term growth opportunities in the AI era."
"AI Cloud continued its robust growth in the first quarter, which provides solid support to our overall revenue while we accelerate the AI transformation across our mobile ecosystem," said Junjie He, Interim CFO of Baidu. "Looking ahead, we are strongly committed to investing in AI to translate our technological strengths into sustainable long-term growth."
| (In millions except per ADS, unaudited) | Q1 2024 | Q4 2024 | Q1 2025 | YOY | QOQ |
|---|---|---|---|---|---|
| Total revenues | 31,513 | 34,124 | 32,452 | 4.3% | (5% ) |
| Operating income | 5,484 | 3,917 | 4,508 | (18%) | 15% |
| Net income to Baidu | 5,448 | 5,192 | 7,717 | 42% | 49% |
| Diluted earnings per ADS | 14.91 | 14.26 | 21.59 | 45% | 51% |
- Total revenues were RMB32.5 billion ($4.47 billion), increasing 3% year over year.
- Cost of revenues was RMB17.5 billion ($2.41 billion), increasing 14% year over year.
- Selling, general and administrative expenses were RMB5.9 billion ($815 million), increasing 10% year over year.
- Research and development expenses were RMB4.5 billion ($626 million), decreasing 15% year over year.
Baidu's management will hold an earnings conference call 8.00 AM on May 21, 2025, U.S. Eastern Time.
Please register in advance of the conference call using the link provided below: Register here.
Founded in 2000, Baidu's mission is to make the complicated world simpler through technology. Baidu is a leading AI company with a strong Internet foundation, trading on NASDAQ under "BIDU" and HKEX under "9888".
This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995.
Baidu uses the following non-GAAP financial measures: non-GAAP operating income, non-GAAP net income attributable to Baidu, non-GAAP diluted earnings per ADS, adjusted EBITDA, and free cash flow.