Caixin
Aug 14, 2020 06:28 AM
BUSINESS & TECH

Baidu Quarterly Revenue Dips 1% With Ad Sales Under Pressure

What’s New: Chinese search engine operator Baidu Inc. posted a 1% drop in second-quarter revenue as advertising sales weakened, according to the company’s unaudited financial report released Thursday.

Revenue for the quarter totaled 26 billion yuan ($3.69 billion), compared with 26.3 billion yuan a year ago. Online marketing revenue decreased 8% year-on-year to 17.7 billion yuan while other revenue rose 18% driven by strong growth of video streaming, cloud and smart transportation solutions, Baidu said.

Net income attributable to the company was 3.6 billion yuan, a 48% growth from a year ago.

More to know: Baidu’s video streaming unit iQiyi reported 7.4 billion yuan of revenue for the second quarter, a 4% rise from the previous year. The net loss narrowed to 1.4 billion yuan from last year’s 2.3 billion yuan.

Subscribers of iQiyi rose 4% to 104.9 million in June, boosting membership revenue by 19%.

"With COVID-19 becoming more manageable in China, Baidu's business is steadily rebounding,” said Robin Li, co-founder and CEO of Baidu. Li said AI businesses, including cloud, smart devices and smart transportation, are becoming an important revenue driver for the company.

Quick Takes are condensed versions of China-related stories for fast news you can use.

Contact reporter Han Wei (weihan@caixin.com) and editor Bob Simison (bobsimison@caixin.com).

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