Baidu Announces Fourth Quarter and Fiscal Year 2024 Results

Core Insights - Baidu is transitioning from an internet-centric model to an AI-first business, with significant growth in its AI Cloud segment and advancements in its Mobile Ecosystem [2][3] - The company anticipates that its AI investments will yield substantial results in 2025, following a year of strategic validation [2] Financial Highlights for Q4 2024 - Total revenues for Q4 2024 were RMB 34.1 billion ($4.68 billion), a decrease of 2% year over year [3][7] - Operating income was RMB 3.9 billion ($537 million), down 27% from the previous year [3][11] - Net income attributable to Baidu was RMB 5.2 billion ($711 million), reflecting a 100% increase year over year [3][14] - Diluted earnings per ADS were RMB 14.26 ($1.95), up 111% year over year [3][14] - Adjusted EBITDA was RMB 7.0 billion ($953 million), with an adjusted EBITDA margin of 20% [3][15] Financial Highlights for Fiscal Year 2024 - Total revenues for FY 2024 were RMB 133.1 billion ($18.24 billion), a decrease of 1% year over year [17] - Operating income for FY 2024 was RMB 21.3 billion ($2.91 billion) [19] - Net income attributable to Baidu for FY 2024 was RMB 23.8 billion ($3.26 billion), with diluted earnings per ADS of RMB 65.91 ($9.03) [21] - Adjusted EBITDA for FY 2024 was RMB 33.1 billion ($4.53 billion), with an adjusted EBITDA margin of 25% [22] Operational Highlights - Baidu returned $356 million to shareholders since Q4 2024, totaling over $1 billion in repurchases since 2024 [6] - ERNIE, Baidu's AI model, handled approximately 1.65 billion API calls daily in December 2024, with a 178% increase in external API calls quarter over quarter [6] - Apollo Go, Baidu's autonomous ride-hailing service, provided over 1.1 million rides in Q4 2024, marking a 36% year-over-year increase [6] Segment Performance - Revenue from Baidu Core was RMB 27.7 billion ($3.80 billion) in Q4 2024, a 1% increase year over year [24] - Online marketing revenue decreased by 7% year over year to RMB 17.9 billion ($2.46 billion), while non-online marketing revenue increased by 18% year over year to RMB 9.8 billion ($1.34 billion) [24] - Revenue from iQIYI was RMB 6.6 billion ($906 million), down 14% year over year [24]