BIDU(BIDU) - 2024 Q4 - Annual Report

Financial Performance - Total revenues for Q4 2024 were RMB 34.1 billion ($4.68 billion), a decrease of 2% year over year[9]. - Net income attributable to Baidu for Q4 2024 was RMB 5.2 billion ($711 million), representing a 100% increase year over year[17]. - Total revenues for the fiscal year 2024 were RMB 133.1 billion ($18.24 billion), a decrease of 1% year over year[20]. - Baidu's total revenues for the twelve months ended December 31, 2024, were RMB 134.6 billion, a slight increase from RMB 133.1 billion in the previous year[46]. - The company's net income attributable to Baidu for the twelve months ended December 31, 2024, was RMB 23.8 billion, compared to RMB 20.3 billion in the previous year, reflecting a year-over-year increase of 17.3%[46]. - Total revenues for Baidu, Inc. reached RMB 134,598 million for the twelve months ended December 31, 2024, representing a year-over-year decrease of 1%[50]. - The net income attributable to Baidu for the same period was RMB 23,760 million, reflecting a year-over-year increase of 17%[50]. Operating Income and Margins - Baidu's operating income for Q4 2024 was RMB 3.9 billion ($537 million), down 27% year over year due to one-time losses[13]. - Operating income for Baidu in Q4 2023 was RMB 5,392 million, with an operating margin of 15%[49]. - Operating income (non-GAAP) was RMB 28,433 million, with a year-over-year decrease of 8%[50]. - The operating margin (non-GAAP) for Baidu was 20% for the twelve months ended December 31, 2024[50]. - The operating income (non-GAAP) for Baidu for the twelve months ended December 31, 2023, was RMB 24,748 million, while it decreased to RMB 23,890 million in 2024, reflecting a decline of approximately 3.5%[57]. Cash Flow and Shareholder Returns - Free cash flow for FY 2024 was RMB 13.1 billion ($1.80 billion), and free cash flow excluding iQIYI was RMB 11.1 billion ($1.52 billion)[30]. - Baidu returned $356 million to shareholders since Q4 2024, bringing cumulative repurchases to over $1 billion since 2024[8]. - The company reported a free cash flow of RMB 6,344 million for the three months ended December 31, 2023[51]. - Baidu's free cash flow for the twelve months ended December 31, 2023, was RMB 22,109 million, which increased to RMB 25,425 million in 2024, indicating a growth of about 15.5%[53]. Research and Development - Research and development expenses for the twelve months ended December 31, 2024, totaled RMB 24.2 billion, compared to RMB 22.1 billion in the previous year, indicating a 9.5% increase[46]. - Research and development expenses for Baidu in Q4 2023 were RMB 6,287 million, reflecting a year-over-year decrease of 13%[49]. - Research and development expenses totaled RMB 22,133 million for the twelve months ended December 31, 2024, a decrease of 9% year-over-year[50]. - Baidu's share-based compensation expenses for the twelve months ended December 31, 2024, were RMB 4,239 million, down from RMB 5,708 million in 2023, indicating a reduction of approximately 25.8%[57]. User Engagement and AI Growth - Baidu's AI Cloud business saw revenue growth of 26% year over year in Q4 2024, offsetting declines in the online marketing segment[3]. - The MAU of Baidu Wenku's AI-enabled features reached 94 million in December 2024, with a 216% year over year increase[8]. - Apollo Go provided over 1.1 million rides in Q4 2024, a 36% increase year over year, and surpassed 9 million total rides by January 2025[8]. Assets and Liabilities - Baidu's total current assets decreased from RMB 230,255 million in 2023 to RMB 168,849 million in 2024, a decline of approximately 26.7%[48]. - Total non-current assets increased from RMB 176,504 million in 2023 to RMB 258,931 million in 2024, an increase of approximately 46.6%[48]. - Total liabilities remained relatively stable, with a slight increase from RMB 144,151 million in 2023 to RMB 144,168 million in 2024[48]. - Baidu's cash and cash equivalents decreased from RMB 25,231 million in 2023 to RMB 24,832 million in 2024, a decline of approximately 1.6%[48]. - Baidu's cash, cash equivalents, and restricted cash at the end of the period decreased from RMB 32,293 million on December 31, 2023, to RMB 32,999 million on December 31, 2024[53].