2023-05-16 16:20:03 ET
Shares of Chinese tech giant Baidu ( NASDAQ: BIDU ) gained more than 4% on Tuesday after the company posted first-quarter results that topped expectations and the company's management offered commentary that spurred investor optimism.
Beijing, China-based Baidu ( BIDU ) said it earned $2.34 per share during the first-quarter, easily topping estimates of $1.84 per share.
In addition, Baidu ( BIDU ) said it generated $4.54B in revenue during the period, aided by an 8% year-over-year increase from Baidu Core to $3.35B. Online marketing revenue rose 6% year-over-year to $2.42B, while offline marketing revenue rose 11% year-over-year to $928M.
The company also generated $1.22B in revenue from its stake in iQiyi ( IQ ), up 15% year-over-year.
Adjusted EBITDA during the period was $1.19B, including $1.02B from Baidu Core.
On the company's earnings call , CEO Robin Li said marketing trends have strengthened in the current quarter.
"Recall that last year, online marketing revenue declined year-over-year for all four quarters," Li said. "I think it was a 4% decline in Q1, 10% in Q2, 4% in Q3, and 6% in Q4.
"Now, we are in a positive territory, and the momentum got further strengthened in the current quarter – in Q2."
Separately on the call, Dou Shen, the head of Baidu's AI cloud, said that he expects the company's AI cloud revenue growth is likely to continue in the coming quarters.
More on Baidu and Chinese tech stocks
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Why did Baidu stock go up today? Strong Q1 results, commentary spur optimism