Baidu’s (NASDAQ:BIDU) reported first-quarter revenue that exceeded expectations, while earnings aligned with analyst estimates. The company reported Q1 earnings per share (EPS) of RMB16.10, meeting consensus estimates. Revenue for the quarter was RMB31.51 billion, surpassing the projected RMB31.43 billion.
Baidu’s core business generated revenue of RMB23.80 billion, exceeding the estimated RMB23.58 billion. Conversely, revenue from iQIYI was RMB7.9 billion, falling short of the expected RMB8.02 billion.
Robin Li, Co-founder and CEO of Baidu, noted that the company’s online marketing revenue remained stable, and the end-to-end optimization of their AI technology stack continued to drive growth in AI Cloud revenue. He highlighted the emergence of a new era of Gen-AI in China, with foundation models like ERNIE serving as crucial infrastructure, enhancing various aspects of life. Li emphasized Baidu’s efforts to make the ERNIE family of models more affordable and efficient, which should create more opportunities for the company.