Baidu shares jump as quarterly earnings shine

February 26, 2016
Baidu reported profit of $24.7 billion yuan ($3.8 billion) in the quarter in what amounted to a 663 percent increase from the sa
Baidu reported profit of $24.7 billion yuan ($3.8 billion) in the quarter in what amounted to a 663 percent increase from the same period the prior year

Baidu shares jumped Thursday after the Chinese Internet giant reported quarterly earnings that topped Wall Street expectations.

"2015 was a touchstone year for Baidu: we made significant progress in broadening our online marketing platform and further extending our reach into transactions services," Baidu chief executive Robin Li said in an earnings release.

"Even as China's overall growth slows, services and domestic consumption are growing."

Baidu reported profit of $24.7 billion yuan ($3.8 billion) in the quarter in what amounted to a 663 percent increase from the same period the prior year. Meanwhile, revenue was 33 percent higher than it was in the final quarter of 2014, according to Baidu.

"We are very pleased to deliver a strong set of results in the fourth quarter," said Baidu Jennifer Li.

"We look forward to continuing this journey in 2016 to further build out Baidu's online marketing and transactions services platform."

Baidu shares leapt more than 10 percent in after-market trade that followed release of the .

A portion of Baidu's income came from an exchange of Qunar Cayman Islands Ltd. shares with Ctrip.com, according to the earnings report. Qunar and Ctrip are Chinese travel companies.

Baidu said that its net income for last year totaled 33.66 billion yuan ($5.2 billion) in an increase of about 155 percent from 2014.

Baidu, sometimes referred to as the Google of China, said that 657 million people used it for online searches from mobile devices in December in a 21 percent rise from the same month a year earlier.

The ranks of those using Baidu's mobile mapping service grew 43 percent when comparing those months, according to the earnings report.

"Looking ahead, we will continue to build the Next Baidu not only to benefit from, but also drive, key secular trends of rising domestic consumption, growth in services, and a rapidly evolving mobile environment," the chief executive said.

Explore further: China search giant Baidu sees lift from travel deal

Related Stories

China search giant Baidu sees lift from travel deal

October 30, 2015

Chinese search giant Baidu said Thursday it expects a new travel services partnership to help drive future revenue as the country's middle class grows, after it reported better-than-expected third quarter earnings.

Baidu profit up 27 percent as mobile grows

October 30, 2014

Chinese search engine Baidu Inc. said Thursday its quarterly profit rose 27 percent as user traffic for its mobile operation surpassed passed its desktop computer-based search business.

Recommended for you

Samsung to disable Note 7 phones in recall effort

December 9, 2016

Samsung announced Friday it would disable its Galaxy Note 7 smartphones in the US market to force remaining owners to stop using the devices, which were recalled for safety reasons.

Swiss unveil stratospheric solar plane

December 7, 2016

Just months after two Swiss pilots completed a historic round-the-world trip in a Sun-powered plane, another Swiss adventurer on Wednesday unveiled a solar plane aimed at reaching the stratosphere.

Solar panels repay their energy 'debt': study

December 6, 2016

The climate-friendly electricity generated by solar panels in the past 40 years has all but cancelled out the polluting energy used to produce them, a study said Tuesday.

0 comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.