Revenue Reaches CNY 31.9 Bn as Baidu Announces Q3 2021

Communication Author: 刘城宏 Editor: 张宇喆 Nov 17, 2021 06:10 PM (GMT+8)

"Baidu Core delivered another solid quarter, powered by our AI cloud revenue growing 73% year over year," said Rong Luo, CFO of Baidu. "With a diversified AI portfolio, including cloud services, smart transportation, smart devices, self-driving, smart EV and robotaxi, we are well positioned for long-term growth."

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  •  Total revenues were CNY 31.9 billion, increasing 13% year-on-year.

  • Revenue from Baidu Core was CNY 24.7 billion, increasing 15% year-on-year; online marketing revenue was CNY 19.5 billion up 6% year-on-year and non-online marketing revenue was CNY 5.2 billion, up 76% year-on-year, driven by cloud and other AI-powered businesses.

  • Revenue from iQIYI was CNY 7.6 billion, increasing 6% year-on-year.

  • Cost of revenues was CNY 16.1 billion, increasing 26% year-on-year, primarily due to an increase in traffic acquisition costs, content costs and cost of goods sold related to new AI business.

  • Research and development expense was CNY 6.2 billion increasing 35% year-on-year, primarily related to personnel-related expenses.

  • Operating income was CNY 2.3 billion. Baidu Core operating income was CNY 3.7 billion and Baidu Core operating margin was 15%. Non-GAAP operating income was CNY 4.7 billion. Baidu Core non-GAAP operating income was CNY 5.8 billion and Baidu Core non-GAAP operating margin was 24%.

  • For the fourth quarter of 2021, Baidu expects revenues to be between CNY 31.0 billion and CNY 34.0 billion, representing a growth rate of 2% to 12% year-on-year, which assumes that Baidu Core revenue will grow between 5% and 16% year-on-year.

  • The COVID-19 situation in China is evolving and business visibility is limited. The above forecast reflects Baidu's current and preliminary view, which is subject to substantial uncertainties.