<< Back

Baidu Announces First Quarter 2023 Results

May 16, 2023

BEIJING, May 16, 2023 /PRNewswire/ -- Baidu, Inc. (NASDAQ: BIDU and HKEX: 9888) ("Baidu" or the "Company"), a leading AI company with strong Internet foundation, today announced its unaudited financial results for the first quarter ended March 31, 2023.

"In the first quarter of 2023, Baidu Core delivered a solid performance, with year-on-year revenue growth accelerating from previous quarters, supporting operating margin improvement through operating leverage," said Robin Li, Co-founder and CEO of Baidu. "We believe the emergence of generative AI and large language model presents a transformative potential of AI in various industries, to help people and organizations to achieve more and to place a positive impact on society. In light of this trend, Baidu has introduced its ERNIE Bot in China, which we plan to steadily incorporate into all our businesses. This will empower our products and offerings, drawing in a larger user and customer base, while allowing us to establish a new ecosystem around the ERNIE Bot for the new era. It will also enable us to drive long-term, sustainable growth."

"Non-GAAP operating margin of Baidu Core expanded to 23% in the quarter, up from 17% in the same period last year and 21% in the previous quarter, driven by our ability to leverage our operations effectively," said Rong Luo, CFO of Baidu. "Generative AI represents a new paradigm shift in the AI, and Baidu is poised to take advantage of this massive market opportunity. Baidu will continue to invest unwaveringly in this area in the coming quarters."

First Quarter 2023 Financial Highlights[1]



Baidu, Inc.

(In millions except per

Q1


Q4


Q1






ADS, unaudited)

2022


2022


2023



YOY


QOQ


RMB


RMB


RMB

US$





Total revenues

28,411


33,077


31,144

4,535


10 %


(6 %)












Operating income

2,601


4,593


4,980

725


91 %


8 %

Operating income (non-GAAP) [2]

3,996


6,497


6,428

936


61 %


(1 %)












Net (loss) income to Baidu

(885)


4,953


5,825

848


-


18 %

Net income to Baidu (non-GAAP) [2]

3,879


5,371


5,727

834


48 %


7 %












Diluted (loss) earnings per ADS

(2.87)


13.59


15.92

2.32


-


17 %

Diluted earnings per ADS (non-GAAP) [2]

11.22


15.25


16.10

2.34


43 %


6 %












Adjusted EBITDA [2]

5,499


8,231


8,145

1,186


48 %


(1 %)

Adjusted EBITDA margin

19 %


25 %


26 %

26 %





 


Baidu Core


Q1


Q4


Q1






(In millions, unaudited)

2022


2022


2023



YOY


QOQ


RMB


RMB


RMB

US$





Total revenues

21,378


25,654


22,998

3,349


8 %


(10 %)












Operating income

2,524


3,782


4,091

596


62 %


8 %

Operating income (non-GAAP) [2]

3,686


5,491


5,363

781


45 %


(2 %)












Net (loss) income to Baidu Core

(963)


4,773


5,513

803


-


16 %

Net income to Baidu Core (non-GAAP) [2]

3,804


4,915


5,268

767


38 %


7 %












Adjusted EBITDA[2]

5,106


7,146


7,003

1,020


37 %


(2 %)

Adjusted EBITDA margin

24 %


28 %


30 %

30 %





 

[1] Unless otherwise noted, RMB to USD was converted at an exchange rate of RMB 6.8676 as of March 31, 2023, 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 Non-GAAP Financial Measures section (see also "Reconciliations of Non-GAAP Financial Measures to the Nearest Comparable GAAP Measures" for more details).

 

Operational Highlights

Corporate

Intelligent Driving

  • Apollo Go, Baidu's autonomous ride-hailing service, provided around 660K rides in the first quarter of 2023, up 236% year over year and 18% quarter over quarter.
  • Apollo Go received Beijing's first permits to operate ride-hailing services with no driver or safety operator in the vehicles, on March 17, 2023.

Other Growth Initiatives

  • Xiaodu ranked No.1 in smart display shipments and smart speaker shipments in China for 2022, according to IDC and Canalys.

Mobile Ecosystem

  • In March, Baidu App's MAUs reached 657 million, up 4% year over year.
  • Managed Page accounted for 49% of Baidu Core's online marketing revenue in the first quarter of 2023.

iQIYI

  • iQIYI's average daily number of total subscribing members for the quarter was 129 million, compared to 101 million for the first quarter of 2022 and 112 million for the fourth quarter of 2022.

 

First Quarter 2023 Financial Results

Total revenues were RMB 31.1 billion ($4.54 billion), increasing 10% year over year.

  • Revenue from Baidu Core was RMB 23.0 billion ($3.35 billion), increasing 8% year over year; online marketing revenue was RMB 16.6 billion ($2.42 billion), up 6% year over year, and non-online marketing revenue was RMB 6.4 billion ($928 million), up 11% year over year.
  • Revenue from iQIYI was RMB 8.3 billion ($1.22 billion), increasing 15% year over year.

Cost of revenues was RMB 15.2 billion ($2.21 billion), decreasing 3% year over year, primarily due to a decrease in content costs, bandwidth costs and cost of goods sold, partially offset by the increase of traffic acquisition costs.

Selling, general and administrative expenses were RMB 5.6 billion ($814 million), increasing 20% year over year, primarily due to an increase in channel spending and promotional marketing expenses.

Research and development expense was RMB 5.4 billion ($790 million), decreasing 3% year over year, primarily due to a decrease in personnel related expense.

Operating income was RMB 5.0 billion ($725 million). Baidu Core operating income was RMB 4.1 billion ($596 million), and Baidu Core operating margin was 18%. Non-GAAP operating income was RMB 6.4 billion ($936 million). Non-GAAP Baidu Core operating income was RMB 5.4 billion ($781 million), and non-GAAP Baidu Core operating margin was 23%.

Total other income, net was RMB 2.6 billion ($378 million), which mainly included a fair value gain of RMB 1.5 billion from long-term investments. Total other loss, net was RMB 3.0 billion for the same period last year, which mainly included a fair value loss of RMB 3.0 billion from long-term investments. A significant portion of long-term investments, including but not limited to investments in equity securities of public and private companies, private equity funds, is subject to quarterly fair value adjustments, which may contribute to net income volatility in future periods.

Income tax expense was RMB 1.2 billion ($174 million), increasing 205% year over year, primarily due to an increase in profit before tax.

Net income attributable to Baidu was RMB 5.8 billion ($848 million), and diluted earnings per ADS was RMB 15.92 ($2.32). Net income attributable to Baidu Core was RMB 5.5 billion ($803 million), and net margin for Baidu Core was 24%. Non-GAAP net income attributable to Baidu was RMB 5.7 billion ($834 million). Non-GAAP diluted earnings per ADS was RMB 16.10 ($2.34). Non-GAAP net income attributable to Baidu Core was RMB 5.3 billion ($767 million), and non-GAAP net margin for Baidu Core was 23%.

Adjusted EBITDA was RMB 8.1 billion ($1.19 billion) and adjusted EBITDA margin was 26%. Adjusted EBITDA for Baidu Core was RMB 7.0 billion ($1.02 billion) and adjusted EBITDA margin for Baidu Core was 30%. 

As of March 31, 2023, cash, cash equivalents, restricted cash and short-term investments were RMB 194.0 billion ($28.25 billion), and cash, cash equivalents, restricted cash and short-term investments excluding iQIYI were RMB 188.8 billion ($27.49 billion). Free cash flow was RMB 4.5 billion ($661 million), and free cash flow excluding iQIYI was RMB 3.5 billion ($515 million).

Conference Call Information

Baidu's management will hold an earnings conference call at 8 AM on May 16, 2023, U.S. Eastern Time (8 PM on May 16, 2023, 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 Q1 2023 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/10030497-jz1rwg.html

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.

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.

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 (loss), 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, 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, fair value change 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 shares, adjusted for related income tax effects, are also excluded.

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.

 

Baidu, Inc. 

Condensed Consolidated Statements of (Loss) Income 

(In millions except for per share (or ADS) information, unaudited)




Three Months Ended




March 31,


December 31,


March 31,


March 31,




2022


2022


2023


2023




RMB


RMB


RMB


US$(2)


Revenues: 










Online marketing services 


16,929


19,571


17,972


2,617


Others 


11,482


13,506


13,172


1,918


Total revenues  


28,411


33,077


31,144


4,535












Costs and expenses: 










     Cost of revenues(1)


15,546


16,945


15,152


2,206


     Selling, general and administrative(1)


4,656


5,881


5,589


814


     Research and development(1)


5,608


5,658


5,423


790


Total costs and expenses 


25,810


28,484


26,164


3,810


Operating income 


2,601


4,593


4,980


725












Other (loss) income: 










Interest income 


1,454


1,647


1,915


279


Interest expense 


(710)


(738)


(804)


(117)


Foreign exchange loss, net 


(11)


(338)


(106)


(15)


Share of losses from equity method investments 


(408)


(523)


(48)


(7)


Others, net 


(3,286)


1,733


1,638


238


Total other (loss) income, net 


(2,961)


1,781


2,595


378












(Loss) income before income taxes 


(360)


6,374


7,575


1,103


Income tax expense 


391


1,254


1,193


174


Net (loss) income  


(751)


5,120


6,382


929


Net income attributable to noncontrolling interests 


134


167


557


81


Net (loss) income attributable to Baidu 


(885)


4,953


5,825


848






















(Loss) earnings per ADS (1 ADS representing 8 Class A ordinary shares):








 -Basic


(2.87)


13.73


16.17


2.35


 -Diluted


(2.87)


13.59


15.92


2.32


(Loss) earnings per share for Class A and Class B ordinary shares:








 -Basic


(0.36)


1.72


2.02


0.29


 -Diluted


(0.36)


1.70


1.99


0.29


Weighted average number of Class A and Class B ordinary shares outstanding  (in millions):






 -Basic 


2,767


2,789


2,798


2,798


 -Diluted


2,767


2,801


2,837


2,837












(1)  Includes share-based compensation expenses as follows:










 Cost of revenues 


82


158


98


14


 Selling, general and administrative 


377


450


463


68


 Research and development 


864


1,233


828


120


 Total share-based compensation expenses 


1,323


1,841


1,389


202



(2)  All translations from RMB to U.S. dollars are made at a rate of RMB 6.8676 to US$1.00, the exchange rate in effect as of March 31, 2023 as set
forth in the H.10 statistical release of The Board of Governors of the Federal Reserve System.

 

Baidu, Inc. 

Condensed Consolidated Balance Sheets

(In millions, unaudited)




December 31,


March 31,


March 31,



2022


2023


2023



RMB


RMB


US$

 ASSETS







    Current assets:







 Cash and cash equivalents


53,156


23,638


3,442

 Restricted cash


11,330


11,252


1,638

 Short-term investments, net


120,839


159,127


23,171

 Accounts receivable, net


11,733


10,798


1,572

 Amounts due from related parties


5,432


5,211


759

 Other current assets, net(1)


10,360


19,179


2,793

    Total current assets


212,850


229,205


33,375








    Non-current assets:







 Fixed assets, net


23,973


22,975


3,345

 Licensed copyrights, net


6,841


6,701


976

 Produced content, net


13,002


12,603


1,835

 Intangible assets, net


1,254


1,183


172

 Goodwill


22,477


22,589


3,289

 Long-term investments, net


55,297


55,463


8,076

 Long-term time deposits and held-to-maturity investments


23,629


18,676


2,719

 Amounts due from related parties


60


96


14

 Deferred tax assets, net


2,129


2,091


304

 Operating lease right-of-use assets


10,365


10,183


1,483

 Other non-current assets


19,096


19,214


2,798

    Total non-current assets


178,123


171,774


25,011








Total assets


390,973


400,979


58,386








LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY





   Current liabilities:







       Short-term loans


5,343


6,833


995

Accounts payable and accrued liabilities


38,014


34,043


4,957

Customer deposits and deferred revenue


13,116


13,913


2,026

Deferred income


72


142


21

Long-term loans, current portion


-


1


-

Convertible senior notes, current portion


8,305


8,265


1,203

Notes payable, current portion


6,904


6,865


1,000

Amounts due to related parties


5,067


5,211


759

Operating lease liabilities


2,809


2,797


407

    Total current liabilities


79,630


78,070


11,368








    Non-current liabilities:







Deferred income


159


116


17

Deferred revenue


331


375


55

Amounts due to related parties


99


94


14

Long-term loans


13,722


13,678


1,992

Notes payable


39,893


39,670


5,776

Convertible senior notes


9,568


11,668


1,699

Deferred tax liabilities


2,898


3,014


439

Operating lease liabilities


4,810


4,650


677

Other non-current liabilities


2,058


2,068


300

    Total non-current liabilities


73,538


75,333


10,969








Total liabilities


153,168


153,403


22,337








Redeemable noncontrolling interests


8,393


8,709


1,268








Equity







    Total Baidu shareholders' equity


223,478


230,095


33,504

    Noncontrolling interests


5,934


8,772


1,277

Total equity


229,412


238,867


34,781








Total liabilities, redeemable noncontrolling interests, and equity


390,973


400,979


58,386


(1) This includes payment of US$1,198 million to the paying agent to meet the iQIYI's repurchase obligation of the 2.00%
Convertible Senior Notes due 2025. The repurchase was completed in April 2023.

 

Baidu, Inc. 

Selected Information

(In millions, unaudited)




Three months ended
March 31, 2022 (RMB)


Three months ended
December 31, 2022 (RMB)


Three months ended
March 31, 2023 (RMB)


Three months ended
March 31, 2023 (US$)



Baidu
Core

iQIYI

Elim &
adj
(2)


Baidu,
Inc.


Baidu
Core

iQIYI

Elim &
adj
(2)


Baidu,
Inc.


Baidu
Core

iQIYI

Elim &
adj
(2)


Baidu,
Inc.


Baidu
Core

iQIYI

Elim &
adj
(2)


Baidu,
Inc.

Total revenues 


21,378

7,277

(244)


28,411


25,654

7,593

(170)


33,077


22,998

8,349

(203)


31,144


3,349

1,216

(30)


4,535

  YOY














8 %

15 %



10 %







  QOQ














(10 %)

10 %



(6 %)
































Costs and expenses: 

























  Cost of revenues(1)


9,807

5,964

(225)


15,546


11,712

5,405

(172)


16,945


9,379

5,956

(183)


15,152


1,365

867

(26)


2,206

  Selling, general and administrative(1)


3,913

745

(2)


4,656


4,969

939

(27)


5,881


4,533

1,106

(50)


5,589


660

161

(7)


814

  Research and development(1)


5,134

474

-


5,608


5,191

467

-


5,658


4,995

428

-


5,423


728

62

-


790

Total costs and expenses 


18,854

7,183

(227)


25,810


21,872

6,811

(199)


28,484


18,907

7,490

(233)


26,164


2,753

1,090

(33)


3,810

  YOY 

























  Cost of revenues 














(4 %)

(0 %)



(3 %)







  Selling, general and administrative 














16 %

48 %



20 %







  Research and development 














(3 %)

(10 %)



(3 %)







  Cost and expenses














0 %

4 %



1 %
































Operating income (loss)


2,524

94

(17)


2,601


3,782

782

29


4,593


4,091

859

30


4,980


596

126

3


725

  YOY














62 %

814 %



91 %







  QOQ














8 %

10 %



8 %







Operating margin 


12 %

1 %



9 %


15 %

10 %



14 %


18 %

10 %



16 %
































  Add: total other (loss) income, net


(3,058)

97

-


(2,961)


2,271

(490)

-


1,781


2,803

(208)

-


2,595


408

(30)

-


378

  Less: income tax expense (benefit)


374

17

-


391


1,265

(11)

-


1,254


1,168

25

-


1,193


170

4

-


174

  Less: net income (loss) attributable to NCI


55

5

74

(3)

134


15

(1)

153

(3)

167


213

8

336

(3)

557


31

1

49

(3)

81

Net (loss) income attributable to Baidu


(963)

169

(91)


(885)


4,773

304

(124)


4,953


5,513

618

(306)


5,825


803

91

(46)


848

  YOY














-

266 %



-







  QOQ














16 %

103 %



18 %







Net margin 


(5 %)

2 %



(3 %)


19 %

4 %



15 %


24 %

7 %



19 %
































Non-GAAP financial measures:

























Operating income (non-GAAP)


3,686

327



3,996


5,491

977



6,497


5,363

1,035



6,428


781

152



936

  YOY














45 %

217 %



61 %







  QOQ














(2 %)

6 %



(1 %)







Operating margin (non-GAAP)


17 %

4 %



14 %


21 %

13 %



20 %


23 %

12 %



21 %
































Net income attributable to Baidu (non-GAAP)


3,804

162



3,879


4,915

856



5,371


5,268

940



5,727


767

138



834

  YOY














38 %

480 %



48 %







  QOQ














7 %

10 %



7 %







Net margin (non-GAAP)


18 %

2 %



14 %


19 %

11 %



16 %


23 %

11 %



18 %
































Adjusted EBITDA


5,106

410



5,499


7,146

1,056



8,231


7,003

1,112



8,145


1,020

163



1,186

  YOY














37 %

171 %



48 %







  QOQ














(2 %)

5 %



(1 %)







Adjusted EBITDA margin 


24 %

6 %



19 %


28 %

14 %



25 %


30 %

13 %



26 %
































 (1) Includes share-based compensation as follows:

























 Cost of revenues 


45

37



82


122

36



158


65

33



98


9

5



14

 Selling, general and administrative 


257

120



377


355

95



450


377

86



463


55

13



68

 Research and development 


804

60



864


1,177

56



1,233


778

50



828


113

7



120

 Total share-based compensation 


1,106

217



1,323


1,654

187



1,841


1,220

169



1,389


177

25



202


 (2) Relates to intersegment eliminations and adjustments 

 (3) Relates to the net income/(loss) attributable to iQIYI noncontrolling interests  

 

Baidu, Inc. 

Condensed Consolidated Statements of Cash Flows

(In millions,unaudited)




Three months ended


Three months ended 


Three months ended


Three months ended



March 31, 2022 (RMB)


December 31, 2022 (RMB)


March 31, 2023 (RMB)


March 31, 2023 (US$)



 Baidu
excl.
iQIYI

iQIYI

Baidu,
Inc.


 Baidu
excl.
iQIYI

iQIYI

Baidu,
Inc.


 Baidu
excl.
iQIYI

iQIYI

Baidu,
Inc.


 Baidu
excl.
iQIYI

iQIYI

Baidu,
Inc.

Net cash provided by (used in) operating activities


3,039

(1,167)

1,872


6,999

854

7,853


4,838

1,002

5,840


704

146

850

Net cash (used in) provided by investing activities 


(2,884)

(67)

(2,951)


(5,902)

579

(5,323)


(32,816)

167

(32,649)


(4,778)

24

(4,754)

Net cash (used in) provided by financing activities


(644)

2,046

1,402


(5,124)

2,862

(2,262)


1,055

(3,357)

(2,302)


154

(489)

(335)

Effect of exchange rate changes on cash, cash equivalents
and restricted cash


(183)

(4)

(187)


(1,420)

(9)

(1,429)


(96)

(9)

(105)


(14)

(1)

(15)

Net (decrease) increase in cash, cash equivalents and
restricted cash 


(672)

808

136


(5,447)

4,286

(1,161)


(27,019)

(2,197)

(29,216)


(3,934)

(320)

(4,254)

Cash, cash equivalents and restricted cash

















  At beginning of period


44,596

3,075

47,671


62,821

3,576

66,397


57,374

7,862

65,236


8,354

1,145

9,499

  At end of period


43,924

3,883

47,807


57,374

7,862

65,236


30,355

5,665

36,020


4,420

825

5,245


















Net cash provided by (used in) operating activities


3,039

(1,167)

1,872


6,999

854

7,853


4,838

1,002

5,840


704

146

850

Less: Capital expenditures


(1,928)

(51)

(1,979)


(1,920)

(9)

(1,929)


(1,295)

-

(1,295)


(189)

-

(189)

Free cash flow


1,111

(1,218)

(107)


5,079

845

5,924


3,543

1,002

4,545


515

146

661


Note: Baidu excl. iQIYI represents Baidu, Inc. minus iQIYI's consolidated cash flows.

 

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 



March 31, 2022 (RMB)


December 31, 2022 (RMB)


March 31, 2023 (RMB)


March 31, 2023 (US$)



Baidu
Core

iQIYI

Baidu, Inc.


Baidu
Core

iQIYI

Baidu, Inc.


Baidu
Core

iQIYI

Baidu, Inc.


Baidu
Core

iQIYI

Baidu, Inc.

Operating income


2,524

94

2,601


3,782

782

4,593


4,091

859

4,980


596

126

725

Add: Share-based compensation expenses


1,106

217

1,323


1,654

187

1,841


1,220

169

1,389


177

25

202

Add: Amortization and impairment of intangible assets(1)


56

16

72


55

8

63


52

7

59


8

1

9

Operating income (non-GAAP)


3,686

327

3,996


5,491

977

6,497


5,363

1,035

6,428


781

152

936


















Add:  Depreciation of fixed assets


1,420

83

1,503


1,655

79

1,734


1,640

77

1,717


239

11

250

Adjusted EBITDA


5,106

410

5,499


7,146

1,056

8,231


7,003

1,112

8,145


1,020

163

1,186


















Net (loss) income attributable to Baidu


(963)

169

(885)


4,773

304

4,953


5,513

618

5,825


803

91

848

Add: Share-based compensation expenses


1,101

217

1,210


1,654

187

1,748


1,220

169

1,297


177

25

189

Add: Amortization and impairment of intangible assets(1)


50

16

59


50

8

55


49

7

53


7

1

8

Add: Disposal (gain) loss


-

(430)

(216)


(484)

62

(453)


(217)

-

(217)


(32)

-

(32)

Add: Impairment of long-term investments


598

183

690


318

271

453


31

119

85


5

17

12

Add: Fair value loss (gain) of long-term investments


3,037

(1)

3,037


(1,662)

8

(1,658)


(1,312)

10

(1,307)


(191)

1

(190)