6-K
Baidu, Inc. (BIDU)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 6-K
REPORT OFFOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of February 2025
Commission File Number: 000-51469
BAIDU, INC.
Baidu Campus
No. 10 Shangdi 10th Street
Haidian District, Beijing 100085
The People’s Republic of China
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
EXHIBIT INDEX
| Exhibit No. | Description |
|---|---|
| 99.1 | Press Release—Baidu Announces Fourth Quarter and Fiscal Year 2024 Results |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| BAIDU, INC. | |
|---|---|
| By: | /s/ Junjie He |
| Name: | Junjie He |
| Title: | Interim Chief Financial Officer |
Date: February 18, 2025
EX-99.1
Exhibit 99.1
Baidu Announces Fourth Quarter and Fiscal Year 2024 Results
BEIJING, China, February 18, 2025 – 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 quarter and fiscal year ended December 31, 2024.
“2024 marked a pivotal year in our ongoing transformation from an internet-centric to an AI-first business. AI Cloud gained momentum, fueled by broad market recognition of our full stack AI capabilities. In Mobile Ecosystem, we have been steadfast in advancing the AI transformation, making search more AI-native to deliver a better user experience. Apollo Go, after years of investment, validated its business model, paving the way for global expansion and scalable, asset-light strategies,” said Robin Li, Co-founder and CEO of Baidu. “With our strategic foresight increasingly validated, we expect our AI investments to deliver more significant results in 2025.”
“Our AI Cloud business demonstrated robust momentum with fourth-quarter revenue growth accelerating to 26% year over year, offsetting the softness in online marketing business,” said Junjie He, Interim CFO of Baidu. “While navigating near-term pressures, we are confident that our strategic AI investments will drive meaningful progress and foster long-term success.”
Fourth Quarter and Fiscal Year 2024 Financial Highlights^1^
| Baidu, Inc. | |||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (In millions except per | Q4 | Q3 | Q4 | FY | FY | ||||||||||||||||||||
| ADS, unaudited) | 2023 | 2024 | 2024 | YOY | 2023 | 2024 | YOY | ||||||||||||||||||
| RMB | RMB | RMB | US | RMB | RMB | US | |||||||||||||||||||
| Total revenues | 34,951 | 33,557 | 34,124 | (2 | %) | 134,598 | 133,125 | (1 | %) | ||||||||||||||||
| Operating income | 5,392 | 5,925 | 3,917 | (27 | %) | 21,856 | 21,270 | (3 | %) | ||||||||||||||||
| Operating income (non-GAAP)^2^ | 7,075 | 7,014 | 5,047 | (29 | %) | 28,433 | 26,234 | (8 | %) | ||||||||||||||||
| Net income to Baidu | 2,599 | 7,632 | 5,192 | 100 | % | 20,315 | 23,760 | 17 | % | ||||||||||||||||
| Net income to Baidu (non-GAAP)^2^ | 7,755 | 5,886 | 6,709 | (13 | %) | 28,747 | 27,002 | (6 | %) | ||||||||||||||||
| Diluted earnings per ADS | 6.77 | 21.60 | 14.26 | 111 | % | 55.08 | 65.91 | 20 | % | ||||||||||||||||
| Diluted earnings per ADS (non-GAAP) ^2^ | 21.86 | 16.60 | 19.18 | (12 | %) | 80.85 | 76.85 | (5 | %) | ||||||||||||||||
| Adjusted EBITDA^2^ | 9,057 | 8,733 | 6,954 | (23 | %) | 35,823 | 33,078 | (8 | %) | ||||||||||||||||
| Adjusted EBITDA margin | 26 | % | 26 | % | 20 | % | % | 27 | % | 25 | % | % |
All values are in US Dollars.
| ^1^ | Unless otherwise noted, RMB to USD was converted at an exchange rate of RMB 7.2993 as of December 31,<br>2024, as set forth in the H.10 statistical release of the Board of Governors of the Federal Reserve System. Translations are provided solely for the convenience of the reader. |
|---|---|
| ^2^ | Non-GAAP measures are defined in the<br>Non-GAAP Financial Measures section (see also “Reconciliations of Non-GAAP Financial Measures to the Nearest Comparable GAAP Measures” for more details).<br> |
| --- | --- |
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| Baidu Core | |||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Q4 | Q3 | Q4 | FY | FY | |||||||||||||||||||||
| (In millions, unaudited) | 2023 | 2024 | 2024 | YOY | 2023 | 2024 | YOY | ||||||||||||||||||
| RMB | RMB | RMB | US | RMB | RMB | US | |||||||||||||||||||
| Total revenues | 27,488 | 26,524 | 27,698 | 1 | % | 103,465 | 104,712 | 1 | % | ||||||||||||||||
| Operating income | 4,668 | 5,694 | 3,638 | (22 | %) | 18,825 | 19,478 | 3 | % | ||||||||||||||||
| Operating income (non-GAAP)^2^ | 6,197 | 6,652 | 4,647 | (25 | %) | 24,748 | 23,890 | (3 | %) | ||||||||||||||||
| Net income to Baidu Core | 2,440 | 7,536 | 5,283 | 117 | % | 19,401 | 23,431 | 21 | % | ||||||||||||||||
| Net income to Baidu Core (non-GAAP)^2^ | 7,500 | 5,676 | 6,741 | (10 | %) | 27,418 | 26,335 | (4 | %) | ||||||||||||||||
| Adjusted EBITDA^2^ | 8,118 | 8,336 | 6,516 | (20 | %) | 31,863 | 30,587 | (4 | %) | ||||||||||||||||
| Adjusted EBITDA margin | 30 | % | 31 | % | 24 | % | % | 31 | % | 29 | % | % |
All values are in US Dollars.
Operational Highlights
Corporate
| • | Baidu returned US$356 million to shareholders since Q4 2024, bringing the cumulative repurchase to over<br>US$1 billion since 2024 and to US$1.7 billion under the 2023 share repurchase program. |
|---|---|
| • | Baidu earned a position in the global edition of the S&P Global Sustainability Yearbook for the first time,<br>demonstrating its further advancement in ESG performance. The selection stems from a comprehensive evaluation of 7,690 companies globally as part of the S&P Global 2024 Corporate Sustainability Assessment, underscoring Baidu’s<br>sustainability practices. |
| --- | --- |
| • | Forbes China placed Baidu on its 2024 China ESG 50 list. |
| --- | --- |
AI Cloud
| • | ERNIE handled approximately 1.65 billion API calls daily in December 2024, with external API calls<br>increasing by 178% quarter over quarter, highlighting particularly strong momentum. |
|---|---|
| • | The MAU of Baidu Wenku’s AI-enabled features reached 94 million<br>in December 2024, with a 216% year over year and an 83% quarter over quarter increase. |
| --- | --- |
Intelligent Driving
| • | Apollo Go, Baidu’s autonomous ride-hailing service, provided over 1.1 million rides in the fourth<br>quarter of 2024, up 36% year over year. In January 2025, accumulated rides provided to the public by Apollo Go surpassed 9 million. |
|---|---|
| • | In November 2024, Apollo Go was granted permits to conduct autonomous driving testing on public roads in Hong<br>Kong, making Apollo Go the first and only of its kind to receive robotaxi testing authorization in the region. This marks Apollo Go’s first entry into a right-hand drive, left-hand traffic market. |
| --- | --- |
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| • | Apollo Go has commenced 100% fully driverless operations across China since February 2025. |
|---|
Mobile Ecosystem
| • | In December 2024, Baidu App’s MAUs reached 679 million, up 2% year over year. |
|---|---|
| • | Managed Page accounted for 48% of Baidu Core’s online marketing revenue in the fourth quarter of 2024.<br> |
| --- | --- |
Fourth Quarter 2024 Financial Results
Total revenues were RMB34.1 billion ($4.68 billion), decreasing 2% year over year.
| • | Revenue from Baidu Core was RMB27.7 billion ($3.80 billion), increasing 1% year over year; onlinemarketing revenue was RMB17.9 billion ($2.46 billion), decreasing 7% year over year, and non-online marketing revenue was RMB9.8 billion ($1.34 billion), up 18% year over year, mainly<br>driven by AI Cloud business. |
|---|---|
| • | Revenue from iQIYI was RMB6.6 billion ($906 million), decreasing 14% year over year.<br> |
| --- | --- |
Cost of revenues was RMB18.0 billion ($2.47 billion), increasing 3% year over year, primarily due to an increase in traffic acquisition costs, costs related to AI Cloud business and a one-time write-down of inventories, partially offset by a decrease in personnel-related expenses and content costs.
Selling, general and administrative expenses were RMB6.7 billion ($915 million), increasing 14% year over year, primarily due to an increase in expected credit losses, and channel spending and promotional marketing expenses, partially offset by a decrease in personnel-related expenses. RMB561 million of the increase in expected credit losses was pertaining to a one-time accrual.
Research and development expenses were RMB5.5 billion ($756 million), decreasing 12% year over year, primarily due to a decrease in personnel-related expenses, partially offset by an increase in server depreciation expenses and server custody fees which support Gen-AI research and development inputs.
Operating income was RMB3.9 billion ($537 million) in Q4, compared to RMB5.4 billion for the same period last year. BaiduCore operating income was RMB3.6 billion ($498 million), and Baidu Core operating margin was 13% in Q4, compared to RMB4.7 billion and 17% for the same period last year. The decrease was due to one-time losses of RMB1.0 billion including accrual of expected credit losses, write-down of inventories and others. Non-GAAP operating income was RMB5.0 billion ($691 million). Non-GAAP Baidu Core operating income was RMB4.6 billion ($637 million), and non-GAAP Baidu Core operating margin was 17%.
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Total other income, net was RMB2.7 billion ($364 million), compared to total other loss,net of RMB2.5 billion for the same period last year, mainly due to an increase in net foreign exchange gain arising from exchange rate fluctuation between Renminbi and U.S. dollar, and a decrease in pickup of losses from an equity method investment, which modified certain terms of its preferred shares and resulted in significant loss pickup in 2023.
Income tax expense was RMB1.6 billion ($222 million), compared to income tax benefit of RMB96 million for the same period last year.
Net income attributableto Baidu was RMB5.2 billion ($711 million), and diluted earnings per ADS was RMB14.26 ($1.95). Net income attributable to Baidu Core was RMB5.3 billion ($724 million), and net margin for Baidu Core was 19%. Non-GAAP net income attributable to Baidu was RMB6.7 billion ($919 million). Non-GAAP diluted earnings per ADS was RMB19.18 ($2.63). Non-GAAP net income attributable to Baidu Core was RMB6.7 billion ($924 million), and non-GAAP net margin for Baidu Core was 24%.
Adjusted EBITDA was RMB7.0 billion ($953 million) and adjusted EBITDA margin was 20%. Adjusted EBITDA for Baidu Core was RMB6.5 billion ($893 million) and adjusted EBITDA margin for Baidu Core was 24%.
As of December 31, 2024, cash, cash equivalents,restricted cash and short-term investments were RMB139.1 billion ($19.06 billion), and cash, cash equivalents, restricted cash and short-term investments excluding iQIYI were RMB134.7 billion ($18.45 billion). Free cashflow was RMB23 million ($3 million), and free cash flow excluding iQIYI was negative RMB476 million (negative $65 million).
Fiscal Year 2024 Results
Total revenues were RMB133.1 billion ($18.24 billion), decreasing 1% year over year.
| • | Revenue from Baidu Core was RMB104.7 billion ($14.35 billion), increasing 1% year over year;<br>online marketing revenue was RMB73.0 billion ($10.00 billion), decreasing 3% year over year, and non-online marketing revenue was RMB31.7 billion ($4.35 billion), up 12% year over year,<br>mainly driven by AI Cloud business. |
|---|---|
| • | Revenue from iQIYI was RMB29.2 billion ($4.00 billion), decreasing 8% year over year.<br> |
| --- | --- |
Cost of revenues was RMB66.1 billion ($9.06 billion), increasing 2% year over year, primarily due to an increase in traffic acquisition costs, bandwidth costs and server custody fees, partially offset by a decrease in personnel-related expenses and content costs.
Selling,general and administrative expenses were RMB23.6 billion ($3.24 billion), which remained flat compared to the same period last year.
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Research and development expenses were RMB22.1 billion ($3.03 billion), decreasing 9% year over year, primarily due to a decrease in personnel-related expenses.
Operating income was RMB21.3 billion ($2.91 billion). Baidu Coreoperating income was RMB19.5 billion ($2.67 billion), and Baidu Core operating margin was 19%. Non-GAAP operating income was RMB26.2 billion ($3.59 billion). Non-GAAP Baidu Core operating income was RMB23.9 billion ($3.27 billion), and non-GAAP Baidu Core operating margin was 23%.
Total other income, net was RMB7.4 billion ($1.01 billion), increasing 120% year over year, primarily due to a decrease in pickup of losses from an equity method investment, which modified certain terms of its preferred shares and resulted in significant loss pickup in 2023.
Income tax expensewas RMB4.4 billion ($609 million), compared to RMB3.6 billion in the same period last year.
Net income attributable to Baidu was RMB23.8 billion ($3.26 billion), and diluted earnings per ADS was RMB65.91 ($9.03). Net income attributable to Baidu Core was RMB23.4 billion ($3.21 billion), and net margin for Baidu Core was 22%. Non-GAAP net income attributable to Baidu was RMB27.0 billion ($3.70 billion). Non-GAAP diluted earnings per ADS was RMB76.85 ($10.53). Non-GAAP net income attributable to Baidu Core was RMB26.3 billion ($3.61 billion), and non-GAAP net margin for Baidu Core was 25%.
Adjusted EBITDA was RMB33.1 billion ($4.53 billion) and adjusted EBITDA margin was 25%. Adjusted EBITDA for Baidu Core was RMB30.6 billion ($4.19 billion) and adjusted EBITDA margin for Baidu Core was 29%.
Free cash flow was RMB13.1 billion ($1.80 billion), and free cash flow excluding iQIYI was RMB11.1 billion ($1.52 billion).
Conference Call Information
Baidu’s management will hold an earnings conference call at 7.30 AM on February 18, 2025, U.S. Eastern Time (8.30 PM on February 18, 2025, Beijing Time).
Please register in advance of the conference call using the link provided below. It will automatically direct you to the registration page of “Baidu Inc. Q4 2024 Earnings Conference Call”. Please follow the steps to enter your registration details, then click “Register”. Upon registering, you will then be provided with the dial-in number, the passcode, and your unique access PIN. This information will also be emailed to you as a calendar invite.
For pre-registration, please click:
https://s1.c-conf.com/diamondpass/10044727-f3pyuq.html
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In the 10 minutes prior to the call start time, you may use the conference access information (including dial-in number(s), the passcode and unique access PIN) provided in the calendar invite that you have received following your pre-registration.
Additionally, a live and archived webcast of this conference call will be available at https://ir.baidu.com.
About Baidu
Founded in 2000, Baidu’s mission is to make the complicated world simpler through technology. Baidu is a leading AI company with strong Internet foundation, trading on NASDAQ under “BIDU” and HKEX under “9888”. One Baidu ADS represents eight Class A ordinary shares.
Contacts
Investors Relations, Baidu, Inc.
Tel: +86-10-5992-8888
Email: [email protected]
Safe Harbor Statement
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. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “confident” and similar statements. Among other things, Baidu’s and other parties’ strategic and operational plans, contain forward-looking statements. Baidu may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission, in announcements made on the website of The Stock Exchange of Hong Kong Limited (the “Hong Kong Stock Exchange”), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including but not limited to statements about Baidu’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: Baidu’s growth strategies; its future business development, including development of new products and services; its ability to attract and retain users and customers; competition in the Chinese Internet search and newsfeed market; competition for online marketing customers; changes in the Company’s revenues and certain cost or expense items as a percentage of its revenues; the outcome of ongoing, or any future, litigation or arbitration, including those relating to intellectual property rights; the expected growth of the Chinese-language Internet search and newsfeed market and the number of Internet and broadband users in China; Chinese governmental policies relating to the Internet and Internet search providers, and general economic conditions in China and elsewhere. Further information regarding these and other risks is included in the Company’s annual report on Form 20-F and other documents filed with the Securities and Exchange Commission, and announcements on the website of the Hong Kong Stock Exchange. Baidu does not undertake any obligation to update any forward-looking statement, except as required under applicable law. All information provided in this press release and in the attachments is as of the date of the press release, and Baidu undertakes no duty to update such information, except as required under applicable law.
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Non-GAAP Financial Measures
To supplement Baidu’s consolidated financial results presented in accordance with GAAP, Baidu uses the following non-GAAP financial measures: non-GAAP operating income, non-GAAP operating margin, non-GAAP net income (loss) attributable to Baidu, non-GAAP net margin, non-GAAP diluted earnings per ADS, adjusted EBITDA, adjusted EBITDA margin and free cash flow. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP.
Baidu believes that these non-GAAP financial measures provide meaningful supplemental information regarding its performance and liquidity by excluding certain items that may not be indicative of its recurring core business operating results, such as operating performance excluding non-cash charges or non-operating in nature. The Company believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing its performance and when planning and forecasting future periods. These non-GAAP financial measures also facilitate management’s internal comparisons to Baidu’s historical performance and liquidity. The Company believes these non-GAAP financial measures are useful to investors in allowing for greater transparency with respect to supplemental information used by management in its financial and operational decision making. A limitation of using these non-GAAP financial measures is that these non-GAAP measures exclude certain items that have been and will continue to be for the foreseeable future a significant component in the Company’s results of operations. These non-GAAP financial measures presented here may not be comparable to similarly titled measures presented by other companies. Other companies may calculate similarly titled measures differently, limiting their usefulness as comparative measures to the Company’s data.
Non-GAAP operating income represents operating income excluding share-based compensation expenses, and amortization and impairment of intangible assets resulting from business combinations.
Non-GAAP net income attributable to Baidu represents net income attributable to Baidu excluding share-based compensation expenses, amortization and impairment of intangible assets resulting from business combinations, disposal gain or loss, impairment of long-term investments, and fair value gain or loss of long-term investments, adjusted for related income tax effects. Baidu’s share of equity method investments for these non-GAAP reconciling items, amortization and impairment of intangible assets not on the investees’ books, accretion of their redeemable non-controlling interests, and the gain or loss associated with the issuance of shares by the investees at a price higher or lower than the carrying value per share, adjusted for related income tax effects, are also excluded.
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Non-GAAP diluted earnings per ADS represents diluted earnings per ADS calculated by dividing non-GAAP net income attributable to Baidu, by the weighted average number of ordinary shares expressed in ADS. Adjusted EBITDA represents operating income excluding depreciation, amortization and impairment of intangible assets resulting from business combinations, and share-based compensation expenses.
For more information on non-GAAP financial measures, please see the tables captioned “Reconciliations of non-GAAP financial measures to the nearest comparable GAAP measure.”
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Baidu, Inc.
Condensed Consolidated Statements of Income
(In millions except for per share (or ADS) information, unaudited)
| Three Months Ended | Twelve Months Ended | ||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, | September 30, | December 31, | December 31, | December 31, | December 31, | December 31, | |||||||||||||
| 2023 | 2024 | 2024 | 2024 | 2023 | 2024 | 2024 | |||||||||||||
| RMB | RMB | RMB | US(2) | RMB | RMB | US(2) | |||||||||||||
| Revenues: | |||||||||||||||||||
| Online marketing services | 20,804 | 20,108 | 19,340 | 81,203 | 78,563 | ||||||||||||||
| Others | 14,147 | 13,449 | 14,784 | 53,395 | 54,562 | ||||||||||||||
| Total revenues | **** | 34,951 | **** | **** | 33,557 | **** | **** | 34,124 | **** | **** | **** | 134,598 | **** | **** | 133,125 | **** | **** | ||
| Costs and expenses: | |||||||||||||||||||
| Cost of revenues^(1)^ | 17,418 | 16,399 | 18,014 | 65,031 | 66,102 | ||||||||||||||
| Selling, general and<br>administrative^(1)^ | 5,854 | 5,867 | 6,678 | 23,519 | 23,620 | ||||||||||||||
| Research and development^(1)^ | 6,287 | 5,366 | 5,515 | 24,192 | 22,133 | ||||||||||||||
| Total costs and expenses | **** | 29,559 | **** | **** | 27,632 | **** | **** | 30,207 | **** | **** | **** | 112,742 | **** | **** | 111,855 | **** | **** | ||
| Operating income | **** | 5,392 | **** | **** | 5,925 | **** | **** | 3,917 | **** | **** | **** | 21,856 | **** | **** | 21,270 | **** | **** | ||
| Other (loss) income: | |||||||||||||||||||
| Interest income | 2,064 | 1,877 | 2,001 | 8,009 | 7,962 | ||||||||||||||
| Interest expense | (774 | ) | (673 | ) | (643 | ) | ) | (3,248 | ) | (2,824 | ) | ) | |||||||
| Foreign exchange (loss) gain, net | (449 | ) | (1,096 | ) | 1,678 | 595 | 1,076 | ||||||||||||
| Share of (losses) earnings from equity method investments | (2,970 | ) | 32 | (399 | ) | ) | (3,799 | ) | (691 | ) | ) | ||||||||
| Others, net | (398 | ) | 2,535 | 23 | 1,785 | 1,829 | |||||||||||||
| Total other (loss) income, net | **** | (2,527 | ) | **** | 2,675 | **** | **** | 2,660 | **** | **** | **** | 3,342 | **** | **** | 7,352 | **** | **** | ||
| Income before income taxes | **** | 2,865 | **** | **** | 8,600 | **** | **** | 6,577 | **** | **** | **** | 25,198 | **** | **** | 28,622 | **** | **** | ||
| Income tax (benefit) expense | (96 | ) | 814 | 1,619 | 3,649 | 4,447 | |||||||||||||
| Net income | **** | 2,961 | **** | **** | 7,786 | **** | **** | 4,958 | **** | **** | **** | 21,549 | **** | **** | 24,175 | **** | **** | ||
| Net income (loss) attributable to noncontrolling interests | 362 | 154 | (234 | ) | ) | 1,234 | 415 | ||||||||||||
| Net income attributable to Baidu | **** | 2,599 | **** | **** | 7,632 | **** | **** | 5,192 | **** | **** | **** | 20,315 | **** | **** | 23,760 | **** | **** | ||
| Earnings per ADS (1 ADS representing 8 Class A ordinary shares): | |||||||||||||||||||
| -Basic | 6.85 | 21.93 | 14.41 | 55.83 | 66.40 | ||||||||||||||
| -Diluted | 6.77 | 21.60 | 14.26 | 55.08 | 65.91 | ||||||||||||||
| Earnings per share for Class A and Class B ordinary shares: | |||||||||||||||||||
| -Basic | 0.86 | 2.74 | 1.80 | 6.98 | 8.31 | ||||||||||||||
| -Diluted | 0.85 | 2.70 | 1.78 | 6.89 | 8.24 | ||||||||||||||
| Weighted average number of Class A and Class B ordinary shares outstanding<br>(in millions): | |||||||||||||||||||
| -Basic | 2,812 | 2,785 | 2,775 | 2,807 | 2,790 | ||||||||||||||
| -Diluted | 2,830 | 2,789 | 2,783 | 2,837 | 2,798 | ||||||||||||||
| (1) Includes share-based compensation expenses as follows: | |||||||||||||||||||
| Cost of revenues | 159 | 104 | 103 | 590 | 461 | ||||||||||||||
| Selling, general and administrative | 411 | 328 | 297 | 1,678 | 1,427 | ||||||||||||||
| Research and development | 1,068 | 612 | 685 | 4,077 | 2,896 | ||||||||||||||
| Total share-based compensation expenses | 1,638 | 1,044 | 1,085 | 6,345 | 4,784 |
All values are in US Dollars.
| (2) | All translations from RMB to U.S. dollars are made at a rate of RMB7.2993 to US$1.00, the exchange rate in<br>effect as of December 31, 2024 as set forth in the H.10 statistical release of The Board of Governors of the Federal Reserve System. |
|---|
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Baidu, Inc.
Condensed Consolidated Balance Sheets
(In millions, unaudited)
| December 31, | December 31, | December 31, | |||
|---|---|---|---|---|---|
| 2023 | 2024 | 2024 | |||
| RMB | RMB | US | |||
| ASSETS | |||||
| Current assets: | |||||
| Cash and cash equivalents | 25,231 | 24,832 | |||
| Restricted cash | 11,503 | 11,697 | |||
| Short-term investments, net | 168,670 | 102,608 | |||
| Accounts receivable, net | 10,848 | 10,104 | |||
| Amounts due from related parties | 1,424 | 790 | |||
| Other current assets, net | 12,579 | 18,818 | |||
| Total current assets | **** | 230,255 | **** | 168,849 | |
| Non-current assets: | |||||
| Fixed assets, net | 27,960 | 30,102 | |||
| Licensed copyrights, net | 6,967 | 6,930 | |||
| Produced content, net | 13,377 | 14,695 | |||
| Intangible assets, net | 881 | 772 | |||
| Goodwill | 22,586 | 22,586 | |||
| Long-term investments, net | 47,957 | 41,721 | |||
| Long-term time deposits and<br>held-to-maturity investments | 24,666 | 98,535 | |||
| Amounts due from related parties | 195 | 137 | |||
| Deferred tax assets, net | 2,100 | 2,193 | |||
| Operating lease<br>right-of-use assets | 10,851 | 10,898 | |||
| Prepayments and receivables related to the proposed acquisition of YY Live, net | 13,198 | 13,547 | |||
| Other non-current assets | 5,766 | 16,815 | |||
| Total non-current assets | **** | 176,504 | **** | 258,931 | |
| Total assets | **** | 406,759 | **** | 427,780 | |
| LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY | |||||
| Current liabilities: | |||||
| Short-term loans | 10,257 | 10,669 | |||
| Accounts payable and accrued liabilities | 37,717 | 41,443 | |||
| Customer deposits and deferred revenue | 14,627 | 14,624 | |||
| Deferred income | 306 | 684 | |||
| Long-term loans, current portion | 2 | 168 | |||
| Convertible senior notes, current portion | 2,802 | 242 | |||
| Notes payable, current portion | 6,029 | 8,026 | |||
| Amounts due to related parties | 1,603 | 1,794 | |||
| Operating lease liabilities | 3,108 | 3,303 | |||
| Total current liabilities | **** | 76,451 | **** | 80,953 | |
| Non-current liabilities: | |||||
| Deferred income | 200 | 231 | |||
| Deferred revenue | 481 | 585 | |||
| Amounts due to related parties | 77 | 56 | |||
| Long-term loans | 14,223 | 15,596 | |||
| Notes payable | 34,990 | 27,996 | |||
| Convertible senior notes | 8,144 | 8,351 | |||
| Deferred tax liabilities | 2,725 | 3,870 | |||
| Operating lease liabilities | 5,040 | 4,973 | |||
| Other non-current liabilities | 1,820 | 1,557 | |||
| Total non-current liabilities | **** | 67,700 | **** | 63,215 | |
| Total liabilities | **** | 144,151 | **** | 144,168 | |
| Redeemable noncontrolling interests | **** | 9,465 | **** | 9,870 | |
| Equity | |||||
| Total Baidu shareholders’ equity | 243,626 | 263,620 | |||
| Noncontrolling interests | 9,517 | 10,122 | |||
| Total equity | **** | 253,143 | **** | 273,742 | |
| Total liabilities, redeemable noncontrolling interests, and equity | **** | 406,759 | **** | 427,780 |
All values are in US Dollars.
10
Baidu, Inc.
Selected Information
(In millions, unaudited)
| Three months endedDecember 31, 2023 (RMB) | Three months endedSeptember 30, 2024 (RMB) | Three months endedDecember 31, 2024 (RMB) | Three months endedDecember 31, 2024 (US) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| BaiduCore | iQIYI | Elim &<br>adj^(2)^ | Baidu,Inc. | BaiduCore | iQIYI | Elim &<br>adj^(2)^ | Baidu,Inc. | BaiduCore | iQIYI | Elim &<br>adj^(2)^ | Baidu,Inc. | BaiduCore | iQIYI | Elim &<br>adj^(2)^ | Baidu,Inc. | ||||||||||||||||||||||||||||||||||||||||
| Total revenues | **** | 27,488 | **** | **** | 7,707 | **** | (244 | ) | **** | 34,951 | **** | **** | 26,524 | **** | **** | 7,246 | **** | (213 | ) | **** | 33,557 | **** | **** | 27,698 | **** | **** | 6,613 | **** | (187 | ) | **** | 34,124 | **** | **** | **** | 906 | **** | (26 | ) | **** | 4,675 | **** | |||||||||||||
| YOY | 1 | % | (14 | %) | (2 | %) | |||||||||||||||||||||||||||||||||||||||||||||||||
| QOQ | 4 | % | (9 | %) | 2 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| Costs and expenses: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Cost of revenues ^(1)^ | 12,050 | 5,533 | (165 | ) | 17,418 | 10,923 | 5,650 | (174 | ) | 16,399 | 13,180 | 4,995 | (161 | ) | 18,014 | 684 | (23 | ) | 2,467 | ||||||||||||||||||||||||||||||||||||
| Selling, general and administrative<br>^(1)^ | 4,936 | 948 | (30 | ) | 5,854 | 4,990 | 908 | (31 | ) | 5,867 | 5,816 | 882 | (20 | ) | 6,678 | 121 | (3 | ) | 915 | ||||||||||||||||||||||||||||||||||||
| Research and development ^(1)^ | 5,834 | 453 | — | 6,287 | 4,917 | 449 | — | 5,366 | 5,064 | 451 | — | 5,515 | 62 | — | 756 | ||||||||||||||||||||||||||||||||||||||||
| Total costs and expenses | **** | 22,820 | **** | **** | 6,934 | **** | **** | (195 | ) | **** | 29,559 | **** | **** | 20,830 | **** | **** | 7,007 | **** | **** | (205 | ) | **** | 27,632 | **** | **** | 24,060 | **** | **** | 6,328 | **** | **** | (181 | ) | **** | 30,207 | **** | **** | **** | 867 | **** | **** | (26 | ) | **** | 4,138 | **** | |||||||||
| YOY | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Cost of revenues | 9 | % | (10 | %) | 3 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| Selling, general and administrative | 18 | % | (7 | %) | 14 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| Research and development | (13 | %) | (0 | %) | (12 | %) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Costs and expenses | 5 | % | (9 | %) | 2 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| Operating income (loss) | **** | 4,668 | **** | **** | 773 | **** | **** | (49 | ) | **** | 5,392 | **** | **** | 5,694 | **** | **** | 239 | **** | **** | (8 | ) | **** | 5,925 | **** | **** | 3,638 | **** | **** | 285 | **** | **** | (6 | ) | **** | 3,917 | **** | **** | **** | 39 | **** | **** | — | **** | **** | 537 | **** | |||||||||
| YOY | (22 | %) | (63 | %) | (27 | %) | |||||||||||||||||||||||||||||||||||||||||||||||||
| QOQ | (36 | %) | 19 | % | (34 | %) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Operating margin | 17 | % | 10 | % | 15 | % | 21 | % | 3 | % | 18 | % | 13 | % | 4 | % | 11 | % | |||||||||||||||||||||||||||||||||||||
| Add: total other (loss) income, net | (2,267 | ) | (260 | ) | — | (2,527 | ) | 2,667 | 8 | — | 2,675 | 3,125 | (465 | ) | — | 2,660 | (64 | ) | — | 364 | |||||||||||||||||||||||||||||||||||
| Less: income tax (benefit) expense | (134 | ) | 38 | — | (96 | ) | 803 | 11 | — | 814 | 1,612 | 7 | — | 1,619 | 1 | — | 222 | ||||||||||||||||||||||||||||||||||||||
| Less: net income (loss) attributable to NCI | 95 | 9 | 258 | (3 | ) | 362 | 22 | 7 | 125 | (3 | ) | 154 | (132 | ) | 2 | (104 | ) | (3 | ) | (234 | ) | ) | — | (13 | ) | (3 | ) | (32 | ) | ||||||||||||||||||||||||||
| Net income (loss) attributable to Baidu | **** | 2,440 | **** | **** | 466 | **** | **** | (307 | ) | **** | 2,599 | **** | **** | 7,536 | **** | **** | 229 | **** | **** | (133 | ) | **** | 7,632 | **** | **** | 5,283 | **** | **** | (189 | ) | **** | 98 | **** | **** | 5,192 | **** | **** | **** | (26 | ) | **** | 13 | **** | **** | 711 | **** | |||||||||
| YOY | 117 | % | — | 100 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
| QOQ | (30 | %) | — | (32 | %) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Net margin | 9 | % | 6 | % | 7 | % | 28 | % | 3 | % | 23 | % | 19 | % | (3 | %) | 15 | % | |||||||||||||||||||||||||||||||||||||
| Non-GAAP financial measures: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Operating income (non-GAAP) | **** | 6,197 | **** | **** | 927 | **** | **** | 7,075 | **** | **** | 6,652 | **** | **** | 370 | **** | **** | 7,014 | **** | **** | 4,647 | **** | **** | 406 | **** | **** | 5,047 | **** | **** | **** | 54 | **** | **** | 691 | **** | |||||||||||||||||||||
| YOY | (25 | %) | (56 | %) | (29 | %) | |||||||||||||||||||||||||||||||||||||||||||||||||
| QOQ | (30 | %) | 10 | % | (28 | %) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Operating margin (non-GAAP) | 23 | % | 12 | % | 20 | % | 25 | % | 5 | % | 21 | % | 17 | % | 6 | % | 15 | % | |||||||||||||||||||||||||||||||||||||
| Net income (loss) attributable to Baidu(non-GAAP) | **** | 7,500 | **** | **** | 681 | **** | **** | 7,755 | **** | **** | 5,676 | **** | **** | 480 | **** | **** | 5,886 | **** | **** | 6,741 | **** | **** | (59 | ) | **** | 6,709 | **** | **** | **** | (9 | ) | **** | 919 | **** | |||||||||||||||||||||
| YOY | (10 | %) | — | (13 | %) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| QOQ | 19 | % | — | 14 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Net margin (non-GAAP) | 27 | % | 9 | % | 22 | % | 21 | % | 7 | % | 18 | % | 24 | % | (1 | %) | 20 | % | |||||||||||||||||||||||||||||||||||||
| Adjusted EBITDA | **** | 8,118 | **** | **** | 988 | **** | **** | 9,057 | **** | **** | 8,336 | **** | **** | 405 | **** | **** | 8,733 | **** | **** | 6,516 | **** | **** | 444 | **** | **** | 6,954 | **** | **** | **** | 60 | **** | **** | 953 | **** | |||||||||||||||||||||
| YOY | (20 | %) | (55 | %) | (23 | %) | |||||||||||||||||||||||||||||||||||||||||||||||||
| QOQ | (22 | %) | 10 | % | (20 | %) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Adjusted EBITDA margin | 30 | % | 13 | % | 26 | % | 31 | % | 6 | % | 26 | % | 24 | % | 7 | % | 20 | % | |||||||||||||||||||||||||||||||||||||
| (1) Includes share-based compensation as follows: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Cost of revenues | 125 | 34 | 159 | 73 | 31 | 104 | 74 | 29 | 103 | 4 | 14 | ||||||||||||||||||||||||||||||||||||||||||||
| Selling, general and administrative | 340 | 71 | 411 | 268 | 60 | 328 | 240 | 57 | 297 | 8 | 41 | ||||||||||||||||||||||||||||||||||||||||||||
| Research and development | 1,020 | 48 | 1,068 | 574 | 38 | 612 | 652 | 33 | 685 | 3 | 93 | ||||||||||||||||||||||||||||||||||||||||||||
| Total share-based compensation | 1,485 | 153 | 1,638 | 915 | 129 | 1,044 | 966 | 119 | 1,085 | 15 | 148 |
All values are in US Dollars.
| (2) | Relates to intersegment eliminations and adjustments |
|---|---|
| (3) | Relates to the net income attributable to iQIYI noncontrolling interests <br> |
| --- | --- |
11
Baidu, Inc.
Selected Information
(In millions except for per ADS information, unaudited)
| Twelve months endedDecember 31, 2023 (RMB) | Twelve months endedDecember 31, 2024 (RMB) | Twelve months endedDecember 31, 2024 (US) | ||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| BaiduCore | iQIYI | Elim &<br>adj^(2)^ | Baidu,Inc. | BaiduCore | iQIYI | Elim &<br>adj^(2)^ | Baidu,Inc. | BaiduCore | iQIYI | Elim &<br>adj^(2)^ | Baidu,Inc. | |||||||||||||||||||||||||||||
| Total revenues | **** | 103,465 | **** | **** | 31,873 | **** | (740 | ) | **** | 134,598 | **** | **** | 104,712 | **** | **** | 29,225 | **** | (812 | ) | **** | 133,125 | **** | **** | **** | 4,004 | **** | (111 | ) | **** | 18,238 | ||||||||||
| YOY | 1 | % | (8 | %) | (1 | %) | ||||||||||||||||||||||||||||||||||
| Costs and expenses: | ||||||||||||||||||||||||||||||||||||||||
| Cost of revenues ^(1)^ | 42,592 | 23,103 | (664 | ) | 65,031 | 44,830 | 21,954 | (682 | ) | 66,102 | 3,008 | (94 | ) | 9,056 | ||||||||||||||||||||||||||
| Selling, general and administrative<br>^(1)^ | 19,623 | 4,014 | (118 | ) | 23,519 | 20,049 | 3,682 | (111 | ) | 23,620 | 504 | (15 | ) | 3,236 | ||||||||||||||||||||||||||
| Research and development ^(1)^ | 22,425 | 1,767 | — | 24,192 | 20,355 | 1,778 | — | 22,133 | 244 | — | 3,032 | |||||||||||||||||||||||||||||
| Total costs and expenses | **** | 84,640 | **** | **** | 28,884 | **** | (782 | ) | **** | 112,742 | **** | **** | 85,234 | **** | **** | 27,414 | **** | (793 | ) | **** | 111,855 | **** | **** | **** | 3,756 | **** | (109 | ) | **** | 15,324 | ||||||||||
| YOY | ||||||||||||||||||||||||||||||||||||||||
| Cost of revenues | 5 | % | (5 | %) | 2 | % | ||||||||||||||||||||||||||||||||||
| Selling, general and administrative | 2 | % | (8 | %) | 0 | % | ||||||||||||||||||||||||||||||||||
| Research and development | (9 | %) | 1 | % | (9 | %) | ||||||||||||||||||||||||||||||||||
| Cost and expenses | 1 | % | (5 | %) | (1 | %) | ||||||||||||||||||||||||||||||||||
| Operating income (loss) | **** | 18,825 | **** | **** | 2,989 | **** | 42 | **** | 21,856 | **** | **** | 19,478 | **** | **** | 1,811 | **** | (19 | ) | **** | 21,270 | **** | **** | **** | 248 | **** | (2 | ) | **** | 2,914 | |||||||||||
| YOY | 3 | % | (39 | %) | (3 | %) | ||||||||||||||||||||||||||||||||||
| Operating margin | 18 | % | 9 | % | 16 | % | 19 | % | 6 | % | 16 | % | ||||||||||||||||||||||||||||
| Add: total other income (loss), net | 4,298 | (956 | ) | — | 3,342 | 8,311 | (959 | ) | — | 7,352 | (132 | ) | — | 1,007 | ||||||||||||||||||||||||||
| Less: income tax expense | 3,568 | 81 | — | 3,649 | 4,386 | 61 | — | 4,447 | 8 | — | 609 | |||||||||||||||||||||||||||||
| Less: net income (loss) attributable to NCI | 154 | 27 | 1,053 | (3 | ) | 1,234 | (28 | ) | 27 | 416 | (3 | ) | 415 | ) | 4 | 57 | (3 | ) | 57 | |||||||||||||||||||||
| Net income (loss) attributable to Baidu | **** | 19,401 | **** | **** | 1,925 | **** | (1,011 | ) | **** | 20,315 | **** | **** | 23,431 | **** | **** | 764 | **** | (435 | ) | **** | 23,760 | **** | **** | **** | 104 | **** | (59 | ) | **** | 3,255 | ||||||||||
| YOY | 21 | % | (60 | %) | 17 | % | ||||||||||||||||||||||||||||||||||
| Net margin | 19 | % | 6 | % | 15 | % | 22 | % | 3 | % | 18 | % | ||||||||||||||||||||||||||||
| Non-GAAP financial measures: | ||||||||||||||||||||||||||||||||||||||||
| Operating income (non-GAAP) | **** | 24,748 | **** | **** | 3,643 | **** | **** | 28,433 | **** | **** | 23,890 | **** | **** | 2,363 | **** | **** | 26,234 | **** | **** | **** | 323 | **** | **** | 3,594 | ||||||||||||||||
| YOY | (3 | %) | (35 | %) | (8 | %) | ||||||||||||||||||||||||||||||||||
| Operating margin (non-GAAP) | 24 | % | 11 | % | 21 | % | 23 | % | 8 | % | 20 | % | ||||||||||||||||||||||||||||
| Net income attributable to Baidu (non-GAAP) | **** | 27,418 | **** | **** | 2,838 | **** | **** | 28,747 | **** | **** | 26,335 | **** | **** | 1,512 | **** | **** | 27,002 | **** | **** | **** | 206 | **** | **** | 3,699 | ||||||||||||||||
| YOY | (4 | %) | (47 | %) | (6 | %) | ||||||||||||||||||||||||||||||||||
| Net margin (non-GAAP) | 26 | % | 9 | % | 21 | % | 25 | % | 5 | % | 20 | % | ||||||||||||||||||||||||||||
| Adjusted EBITDA | **** | 31,863 | **** | **** | 3,918 | **** | **** | 35,823 | **** | **** | 30,587 | **** | **** | 2,510 | **** | **** | 33,078 | **** | **** | **** | 344 | **** | **** | 4,532 | ||||||||||||||||
| YOY | (4 | %) | (36 | %) | (8 | %) | ||||||||||||||||||||||||||||||||||
| Adjusted EBITDA margin | 31 | % | 12 | % | 27 | % | 29 | % | 9 | % | 25 | % | ||||||||||||||||||||||||||||
| (1) Includes share-based compensation as follows: | ||||||||||||||||||||||||||||||||||||||||
| Cost of revenues | 457 | 133 | 590 | 340 | 121 | 461 | 16 | 63 | ||||||||||||||||||||||||||||||||
| Selling, general and administrative | 1,363 | 315 | 1,678 | 1,153 | 274 | 1,427 | 37 | 195 | ||||||||||||||||||||||||||||||||
| Research and development | 3,888 | 189 | 4,077 | 2,746 | 150 | 2,896 | 21 | 397 | ||||||||||||||||||||||||||||||||
| Total share-based compensation | 5,708 | 637 | 6,345 | 4,239 | 545 | 4,784 | 74 | 655 |
All values are in US Dollars.
| (2) | Relates to intersegment eliminations and adjustments |
|---|---|
| (3) | Relates to the net loss attributable to iQIYI noncontrolling interests |
| --- | --- |
12
Baidu, Inc.
Condensed Consolidated Statements of Cash Flows
(In millions,unaudited)
| Three months ended | Three months ended | Three months ended | Three months ended | ||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, 2023 (RMB) | September 30, 2024 (RMB) | December 31, 2024 (RMB) | December 31, 2024 (US) | ||||||||||||||||||||||||||||||||
| Baiduexcl.iQIYI | iQIYI | Baidu,Inc. | Baiduexcl.iQIYI | iQIYI | Baidu,Inc. | Baiduexcl.iQIYI | iQIYI | Baidu,Inc. | Baiduexcl.iQIYI | iQIYI | Baidu,Inc. | ||||||||||||||||||||||||
| Net cash provided by operating activities | **** | 9,985 | **** | **** | 633 | **** | **** | 10,618 | **** | **** | 4,036 | **** | **** | 243 | **** | **** | 4,279 | **** | **** | 1,836 | **** | **** | 520 | **** | **** | 2,356 | **** | **** | **** | 71 | **** | **** | 323 | **** | |
| Net cash used in investing activities | (11,805 | ) | (1,431 | ) | (13,236 | ) | (12,300 | ) | (1,663 | ) | (13,963 | ) | (4,741 | ) | (896 | ) | (5,637 | ) | ) | (123 | ) | (772 | ) | ||||||||||||
| Net cash (used in) provided by financing activities | (7,586 | ) | (22 | ) | (7,608 | ) | (2,787 | ) | (2,612 | ) | (5,399 | ) | (1,784 | ) | 114 | (1,670 | ) | ) | 16 | (229 | ) | ||||||||||||||
| Effect of exchange rate changes on cash, cash equivalents and restricted cash | (364 | ) | (31 | ) | (395 | ) | (721 | ) | (84 | ) | (805 | ) | 582 | 61 | 643 | 8 | 88 | ||||||||||||||||||
| Net decrease in cash, cash equivalents and restricted cash | **** | (9,770 | ) | **** | (851 | ) | **** | (10,621 | ) | **** | (11,772 | ) | **** | (4,116 | ) | **** | (15,888 | ) | **** | (4,107 | ) | **** | (201 | ) | **** | (4,308 | ) | ) | **** | (28 | ) | **** | (590 | ) | |
| Cash, cash equivalents and restricted cash | |||||||||||||||||||||||||||||||||||
| At beginning of period | 42,063 | 6,132 | 48,195 | 48,878 | 7,907 | 56,785 | 37,106 | 3,791 | 40,897 | 519 | 5,603 | ||||||||||||||||||||||||
| At end of period | 32,293 | 5,281 | 37,574 | 37,106 | 3,791 | 40,897 | 32,999 | 3,590 | 36,589 | 491 | 5,013 | ||||||||||||||||||||||||
| Net cash provided by operating activities | **** | 9,985 | **** | **** | 633 | **** | **** | 10,618 | **** | **** | 4,036 | **** | **** | 243 | **** | **** | 4,279 | **** | **** | 1,836 | **** | **** | 520 | **** | **** | 2,356 | **** | **** | **** | 71 | **** | **** | 323 | **** | |
| Less: Capital expenditures | (3,641 | ) | (19 | ) | (3,660 | ) | (1,637 | ) | (8 | ) | (1,645 | ) | (2,312 | ) | (21 | ) | (2,333 | ) | ) | (3 | ) | (320 | ) | ||||||||||||
| Free cash flow | **** | 6,344 | **** | **** | 614 | **** | **** | 6,958 | **** | **** | 2,399 | **** | **** | 235 | **** | **** | 2,634 | **** | **** | (476 | ) | **** | 499 | **** | **** | 23 | **** | ) | **** | 68 | **** | **** | 3 | **** |
All values are in US Dollars.
Note: Baidu excl. iQIYI represents Baidu, Inc. minus iQIYI’s consolidated cash flows.
13
Baidu, Inc.
Condensed Consolidated Statements of Cash Flows
(In millions,unaudited)
| Twelve months ended | Twelve months ended | Twelve months ended | ||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, 2023 (RMB) | December 31, 2024 (RMB) | December 31, 2024 (US) | ||||||||||||||||||||||||
| Baiduexcl.iQIYI | iQIYI | Baidu,Inc. | Baiduexcl.iQIYI | iQIYI | Baidu,Inc. | Baiduexcl.iQIYI | iQIYI | Baidu,Inc. | ||||||||||||||||||
| Net cash provided by operating activities | **** | 33,263 | **** | **** | 3,352 | **** | **** | 36,615 | **** | **** | 19,126 | **** | **** | 2,108 | **** | **** | 21,234 | **** | **** | **** | 289 | **** | **** | 2,909 | **** | |
| Net cash used in investing activities | (48,657 | ) | (1,740 | ) | (50,397 | ) | (6,110 | ) | (2,445 | ) | (8,555 | ) | ) | (335 | ) | (1,172 | ) | |||||||||
| Net cash used in financing activities | (9,876 | ) | (4,286 | ) | (14,162 | ) | (12,391 | ) | (1,368 | ) | (13,759 | ) | ) | (187 | ) | (1,885 | ) | |||||||||
| Effect of exchange rate changes on cash, cash equivalents and restricted cash | 189 | 93 | 282 | 81 | 14 | 95 | 2 | 13 | ||||||||||||||||||
| Net (decrease) increase in cash, cash equivalents and restricted cash | **** | (25,081 | ) | **** | (2,581 | ) | **** | (27,662 | ) | **** | 706 | **** | **** | (1,691 | ) | **** | (985 | ) | **** | **** | (231 | ) | **** | (135 | ) | |
| Cash, cash equivalents and restricted cash | ||||||||||||||||||||||||||
| At beginning of period | 57,374 | 7,862 | 65,236 | 32,293 | 5,281 | 37,574 | 722 | 5,148 | ||||||||||||||||||
| At end of period | 32,293 | 5,281 | 37,574 | 32,999 | 3,590 | 36,589 | 491 | 5,013 | ||||||||||||||||||
| Net cash provided by operating activities | **** | 33,263 | **** | **** | 3,352 | **** | **** | 36,615 | **** | **** | 19,126 | **** | **** | 2,108 | **** | **** | 21,234 | **** | **** | **** | 289 | **** | **** | 2,909 | **** | |
| Less: Capital expenditures | (11,154 | ) | (36 | ) | (11,190 | ) | (8,055 | ) | (79 | ) | (8,134 | ) | ) | (11 | ) | (1,114 | ) | |||||||||
| Free cash flow | **** | 22,109 | **** | **** | 3,316 | **** | **** | 25,425 | **** | **** | 11,071 | **** | **** | 2,029 | **** | **** | 13,100 | **** | **** | **** | 278 | **** | **** | 1,795 | **** |
All values are in US Dollars.
Note: Baidu excl. iQIYI represents Baidu, Inc. minus iQIYI’s consolidated cash flows.
14
Baidu, Inc.
Reconciliations of Non-GAAP Financial Measures to the Nearest Comparable GAAP Measures
(In millions except for per ADS information, unaudited)
| Three months ended | Three months ended | Three months ended | Three months ended | |||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, 2023 (RMB) | September 30, 2024 (RMB) | December 31, 2024 (RMB) | December 31, 2024 (US) | |||||||||||||||||||||||||||||||
| BaiduCore | iQIYI | Baidu,Inc. | BaiduCore | iQIYI | Baidu,Inc. | BaiduCore | iQIYI | Baidu,Inc. | BaiduCore | iQIYI | Baidu,Inc. | |||||||||||||||||||||||
| Operating income | **** | 4,668 | **** | **** | 773 | **** | **** | 5,392 | **** | **** | 5,694 | **** | **** | 239 | **** | 5,925 | **** | **** | 3,638 | **** | **** | 285 | **** | **** | 3,917 | **** | **** | **** | 39 | **** | **** | 537 | **** | |
| Add: Share-based compensation expenses | 1,485 | 153 | 1,638 | 915 | 129 | 1,044 | 966 | 119 | 1,085 | 15 | 148 | |||||||||||||||||||||||
| Add: Amortization and impairment of intangible<br>assets^(1)^ | 44 | 1 | 45 | 43 | 2 | 45 | 43 | 2 | 45 | — | 6 | |||||||||||||||||||||||
| Operating income (non-GAAP) | **** | 6,197 | **** | **** | 927 | **** | **** | 7,075 | **** | **** | 6,652 | **** | **** | 370 | **** | 7,014 | **** | **** | 4,647 | **** | **** | 406 | **** | **** | 5,047 | **** | **** | **** | 54 | **** | **** | 691 | **** | |
| Add: Depreciation of fixed assets | 1,921 | 61 | 1,982 | 1,684 | 35 | 1,719 | 1,869 | 38 | 1,907 | 6 | 262 | |||||||||||||||||||||||
| Adjusted EBITDA | **** | 8,118 | **** | **** | 988 | **** | **** | 9,057 | **** | **** | 8,336 | **** | **** | 405 | **** | 8,733 | **** | **** | 6,516 | **** | **** | 444 | **** | **** | 6,954 | **** | **** | **** | 60 | **** | **** | 953 | **** | |
| Net income (loss) attributable to Baidu | **** | 2,440 | **** | **** | 466 | **** | **** | 2,599 | **** | **** | 7,536 | **** | **** | 229 | **** | 7,632 | **** | **** | 5,283 | **** | **** | (189 | ) | **** | 5,192 | **** | **** | **** | (26 | ) | **** | 711 | **** | |
| Add: Share-based compensation expenses | 1,484 | 153 | 1,553 | 914 | 129 | 972 | 965 | 119 | 1,019 | 16 | 140 | |||||||||||||||||||||||
| Add: Amortization and impairment of intangible<br>assets^(1)^ | 42 | 1 | 42 | 41 | 2 | 42 | 41 | 2 | 42 | — | 6 | |||||||||||||||||||||||
| Add: Disposal (gain) loss | (37 | ) | (1 | ) | (38 | ) | (1,501 | ) | 22 | (1,491 | ) | 7 | — | 7 | — | 1 | ||||||||||||||||||
| Add: Impairment of long-term investments | 132 | 62 | 160 | 26 | 91 | 68 | 84 | 14 | 90 | 2 | 12 | |||||||||||||||||||||||
| Add: Fair value loss (gain) of long-term investments | 403 | — | 403 | (1,361 | ) | 7 | (1,358 | ) | (288 | ) | (5 | ) | (290 | ) | ) | (1 | ) | (40 | ) | |||||||||||||||
| Add: Reconciling items on equity method<br>investments^(2)^ | 3,172 | — | 3,172 | 8 | — | 8 | 679 | — | 679 | — | 93 | |||||||||||||||||||||||
| Add: Tax effects on non-GAAP adjustments^(3)^ | (136 | ) | — | (136 | ) | 13 | — | 13 | (30 | ) | — | (30 | ) | ) | — | (4 | ) | |||||||||||||||||
| Net income (loss) attributable to Baidu(non-GAAP) | **** | 7,500 | **** | **** | 681 | **** | **** | 7,755 | **** | **** | 5,676 | **** | **** | 480 | **** | 5,886 | **** | **** | 6,741 | **** | **** | (59 | ) | **** | 6,709 | **** | **** | **** | (9 | ) | **** | 919 | **** | |
| Diluted earnings per ADS | **** | 6.77 | **** | **** | 21.60 | **** | **** | 14.26 | **** | **** | 1.95 | **** | ||||||||||||||||||||||
| Add: Accretion of the redeemable noncontrolling interests | 0.53 | 0.01 | 0.55 | 0.08 | ||||||||||||||||||||||||||||||
| Add: Non-GAAP adjustments to earnings per ADS | 14.56 | (5.01 | ) | 4.37 | 0.60 | |||||||||||||||||||||||||||||
| Diluted earnings per ADS (non-GAAP) | **** | 21.86 | **** | **** | 16.60 | **** | **** | 19.18 | **** | **** | 2.63 | **** |
All values are in US Dollars.
| (1) | This represents amortization and impairment of intangible assets resulting from business combinations.<br> |
|---|---|
| (2) | This represents Baidu’s share of equity method investments for other<br>non-GAAP reconciling items, amortization and impairment of intangible assets not on the investee’s books, accretion of their redeemable noncontrolling interests, and the gain or loss associated with the<br>issuance of shares by the investees at a price higher or lower than the carrying value per share. |
| --- | --- |
| (3) | This represents tax impact of all non-GAAP adjustments.<br> |
| --- | --- |
15
Baidu, Inc.
Reconciliations of Non-GAAP Financial Measures to the Nearest Comparable GAAP Measures
(In millions except for per ADS information, unaudited)
| Twelve months ended | Twelve months ended | Twelve months ended | ||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, 2023 (RMB) | December 31, 2024 (RMB) | December 31, 2024 (US) | ||||||||||||||||||||||||
| BaiduCore | iQIYI | Baidu,Inc. | BaiduCore | iQIYI | Baidu,Inc. | BaiduCore | iQIYI | Baidu,Inc. | ||||||||||||||||||
| Operating income | **** | 18,825 | **** | **** | 2,989 | **** | **** | 21,856 | **** | **** | 19,478 | **** | **** | 1,811 | **** | **** | 21,270 | **** | **** | **** | 248 | **** | **** | 2,914 | **** | |
| Add: Share-based compensation expenses | 5,708 | 637 | 6,345 | 4,239 | 545 | 4,784 | 74 | 655 | ||||||||||||||||||
| Add: Amortization and impairment of intangible<br>assets^(1)^ | 215 | 17 | 232 | 173 | 7 | 180 | 1 | 25 | ||||||||||||||||||
| Operating income (non-GAAP) | **** | 24,748 | **** | **** | 3,643 | **** | **** | 28,433 | **** | **** | 23,890 | **** | **** | 2,363 | **** | **** | 26,234 | **** | **** | **** | 323 | **** | **** | 3,594 | **** | |
| Add: Depreciation of fixed assets | 7,115 | 275 | 7,390 | 6,697 | 147 | 6,844 | 21 | 938 | ||||||||||||||||||
| Adjusted EBITDA | **** | 31,863 | **** | **** | 3,918 | **** | **** | 35,823 | **** | **** | 30,587 | **** | **** | 2,510 | **** | **** | 33,078 | **** | **** | **** | 344 | **** | **** | 4,532 | **** | |
| Net income attributable to Baidu | **** | 19,401 | **** | **** | 1,925 | **** | **** | 20,315 | **** | **** | 23,431 | **** | **** | 764 | **** | **** | 23,760 | **** | **** | **** | 104 | **** | **** | 3,255 | **** | |
| Add: Share-based compensation expenses | 5,704 | 637 | 5,993 | 4,235 | 545 | 4,482 | 75 | 613 | ||||||||||||||||||
| Add: Amortization and impairment of intangible<br>assets^(1)^ | 195 | 17 | 204 | 165 | 7 | 168 | 1 | 23 | ||||||||||||||||||
| Add: Disposal (gain) loss | (1,926 | ) | (90 | ) | (1,967 | ) | (1,982 | ) | 22 | (1,972 | ) | ) | 3 | (270 | ) | |||||||||||
| Add: Impairment of long-term investments | 479 | 336 | 631 | 172 | 193 | 260 | 26 | 36 | ||||||||||||||||||
| Add: Fair value (gain) loss of long-term investments | (54 | ) | 4 | (52 | ) | (393 | ) | (19 | ) | (403 | ) | ) | (3 | ) | (55 | ) | ||||||||||
| Add: Reconciling items on equity method<br>investments^(2)^ | 3,918 | 9 | 3,922 | 1,050 | — | 1,050 | — | 144 | ||||||||||||||||||
| Add: Tax effects on non-GAAP adjustments^(3)^ | (299 | ) | — | (299 | ) | (343 | ) | — | (343 | ) | ) | — | (47 | ) | ||||||||||||
| Net income attributable to Baidu(non-GAAP) | **** | 27,418 | **** | **** | 2,838 | **** | **** | 28,747 | **** | **** | 26,335 | **** | **** | 1,512 | **** | **** | 27,002 | **** | **** | **** | 206 | **** | **** | 3,699 | **** | |
| Diluted earnings per ADS | **** | 55.08 | **** | **** | 65.91 | **** | **** | 9.03 | **** | |||||||||||||||||
| Add: Accretion of the redeemable noncontrolling interests | 2.02 | 1.68 | 0.23 | |||||||||||||||||||||||
| Add: Non-GAAP adjustments to earnings per ADS | 23.75 | 9.26 | 1.27 | |||||||||||||||||||||||
| Diluted earnings per ADS (non-GAAP) | **** | 80.85 | **** | **** | 76.85 | **** | **** | 10.53 | **** |
All values are in US Dollars.
| (1) | This represents amortization and impairment of intangible assets resulting from business combinations.<br> |
|---|---|
| (2) | This represents Baidu’s share of equity method investments for other<br>non-GAAP reconciling items, amortization and impairment of intangible assets not on the investee’s books, accretion of their redeemable noncontrolling interests, and the gain or loss associated with the<br>issuance of shares by the investees at a price higher or lower than the carrying value per share. |
| --- | --- |
| (3) | This represents tax impact of all non-GAAP adjustments.<br> |
| --- | --- |
16