6-K
BAIDU, INC. filed this Form 6-K on 10/27/2017
Entire Document
 
EX-99.1

Exhibit 99.1

Baidu Announces Third Quarter 2017 Results

BEIJING, China, October 26, 2017 – Baidu, Inc. (NASDAQ: BIDU) (“Baidu” or the “Company”), the leading Chinese language Internet search provider, today announced its unaudited financial results for the third quarter ended September 30, 20171.

“In the third quarter, we made good progress in our strategic pillars to strengthen our mobile foundation and lead in AI,” said Robin Li, Baidu’s Co-Founder and Chief Executive Officer. “On strengthening our mobile foundation, our strategy to leverage Baidu’s leading AI technologies to increase the user scale and user stickiness of Mobile Baidu is showing measurable results. On our AI initiatives, we continue to focus on developing platforms for smart device and autonomous driving markets, as well as leveraging AI into vertical sectors, such as financial services.”

“We drove product innovation in our core business to strengthen our user and customer value proposition and made progress in our AI-enabled businesses,” said Qi Lu, Baidu’s Chief Operating Officer. “We continue to solidify the foundation of our AI platforms and grow our partner and developer ecosystems. iQIYI also continued to lead the online video industry, off the back of highly successful self-produced content.”

“We delivered solid financial results in the third quarter with top line increasing 29% year over year and operating profit growing 69% year over year,” said Herman Yu, Chief Financial Officer of Baidu. “In the third quarter, we also spun off Baidu Deliveries, as part of a year-long strategy to free up the company’s resources and management attention to focus on AI and projects with strong synergy that will optimize Baidu’s long term value.”

Third Quarter 2017 Financial Highlights

 

    Total revenues in the third quarter of 2017 were RMB 23.5 billion ($3.53 billion), a 29% increase from the corresponding period in 2016. Mobile revenue represented 73% of total revenues for the third quarter of 2017, compared to 64% for the corresponding period in 2016.

 

    Operating profit in the third quarter of 2017 was RMB 4.7 billion ($706 million), a 69% increase from the corresponding period in 2016. iQIYI reduced non-GAAP operating margins by 11 percentage points for the third quarter of 2017. Non-GAAP operating profit was RMB 5.5 billion ($833 million), representing a 73% increase from the corresponding period in 2016.

 

1  This announcement contains translations of certain RMB amounts into U.S. dollars at specified rates solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB6.6533 to US$1.00, the effective noon buying rate as of September 29, 2017, in The City of New York for cable transfers of RMB as certified for customs purposes by the Federal Reserve Bank of New York.