Baidu Released its Q1 2022 Financial Report with a 45% Increase in Its Intelligence Cloud

On May 26, 2022, Baidu (BIDU: NASDAQ) released its unaudited financial report for Q1 2022. Baidu's total revenue was CNY 28.4 billion, up 1% year-over-year compared with CNY 28.1 billion in Q1 2021. The market expectation for the total revenue was CNY 27.8 billion, which is below the actual gained total revenue. Under non-GAAP, its net profit was CNY 3.879 billion. Under GAAP, its net loss was CNY 885 million. 

Baidu's core revenue was CNY 21.4 billion, up 4% year-over-year, including online marketing and non-network marketing. Online marketing revenue was CNY 15.7 billion, down 4% year-over-year. It was driven by the cloud and other AI businesses. Its revenue in the intelligent cloud was up 45% year-over-year. Its non-network marketing revenue was CNY 5.7 billion, up 35% year-over-year. The iQIYI's revenue was CNY 7.3 billion yuan, down 9% year-over-year. The core R&D expenses reached CNY 5.1 billion, accounting for more than 20% of Baidu's core revenue for six consecutive quarters.

After releasing its financial report, Baidu’s stock price increased by more than 4% on that day. Even though COVID-19 might be a huge influence towards Baidu’s development in Q1 2022, Baidu was continuing to increase gradually. Baidu mentioned that they would continue to work on the development of Artificial Intelligence. As this is a new area that Baidu is touching on, Baidu looks forward to letting this part as one of its major revenue sources.

As Baidu has cooperated with BYD in its electronic cars, Baidu will work closer with BYD on the development of its electronic cars, and explore a new area of its businesses. Its exploration in different other areas indicated a high potential to grow in the future, and maintain Baidu's increased development.