BIDU(09888) 华安证券·2024-05-23 04:07Investment Rating - The investment rating for Baidu Group is maintained as "Buy" [1][2] Core Insights - In Q1 2024, Baidu's total revenue reached 31.5 billion yuan, showing a year-over-year growth of 1.2% but a quarter-over-quarter decline of 9.8%. The net profit (Non-GAAP) was 7 billion yuan, reflecting a year-over-year increase of 22.4% and a quarter-over-quarter decrease of 9.6% [2] - Baidu's core revenue was 23.8 billion yuan, with a year-over-year growth of 3.5% and a quarter-over-quarter decline of 13.4%. The core net profit (Non-GAAP) was 6.6 billion yuan, up 25.8% year-over-year and down 11.6% quarter-over-quarter [2] - The company has expanded its Wenxin series of models and launched several lightweight models, along with a Model as a Service (MaaS) platform aimed at enterprise clients [2] - Baidu's autonomous driving service platform, "Luobo Kuaipao," saw a 25% year-over-year increase in orders, totaling 826,000 orders in Q1 2024 [2] - The active user base of the Baidu app reached 676 million, a 3% year-over-year increase, with managed page revenue accounting for 50% of the online marketing revenue [2] Financial Summary - For 2024, 2025, and 2026, the projected net profits (Non-GAAP) are 30.0 billion yuan, 32.2 billion yuan, and 34.6 billion yuan, respectively, with year-over-year growth rates of 4.4%, 7.2%, and 7.7% [2][3] - The corresponding P/E ratios for these years are projected to be 12.1, 11.2, and 10.5 [2][3] - Key financial metrics for 2023 and projections for 2024E, 2025E, and 2026E include: - Revenue: 134.6 billion yuan (2023), 139.5 billion yuan (2024E), 149.2 billion yuan (2025E), 159.3 billion yuan (2026E) [3] - Net profit (Non-GAAP): 28.7 billion yuan (2023), 30.0 billion yuan (2024E), 32.2 billion yuan (2025E), 34.6 billion yuan (2026E) [3] - ROE: 7.7% (2023), 7.9% (2024E), 7.9% (2025E), 7.8% (2026E) [3]