Asia300

Baidu, Inc.

China

  • 1m
  • 3m
  • 6m
  • 1y
  • 2y
  • 5y
Mar 23, 2017
Prev close: 169.61
Mar 23, 2017
Market cap:
Market cap(USD):
58,900.13M
58,900.13M
Shares: 34.72M

Currency in USD

Company profile

Market(Ticker): NAS(BIDU)
Sector:
Industry:
Technology Services
Internet Software/Services
Full time employees: --

Business summary

Baidu, Inc. operates as an internet search provider, which offers internet search solutions and online marketing solutions. It operates as an e-commerce platform with an online payment tool, develops and markets web application software, and provides human resource related services. The company operates through the following segments: Search Services, Transaction Services and iQiyi. The Search Services segment includes the traditional search engine related businesses such as auction-based P4P services and display-based online advertising services. The Transaction Services segment includes the newly developed internet businesses such as services provided by Baidu Nuomi, takeout delivery services and other online-to-offline services. The iQiyi segment engages in the online video business. Baidu was founded by Yanhong Li and Xu Yong on January 18, 2000 and is headquartered in Beijing, China.

Company background

Baidu is the largest Internet search engine in China. The company's strength lies in its domestic market share, controlling 70% of Chinese online searches. The company is one of China's three biggest Internet companies, together with Alibaba Group and Tencent, collectively known as BAT. These three lead the Chinese information and technology industry.

Robin Li, who studied in the U.S. and worked at search engine company Infoseek, established Baidu after returning to China. Li is CEO. The company is largely dependent on his insight and ability for launching new businesses and expanding overseas.

Baidu has been actively diversifying its areas of business by entering speech translation, artificial intelligence and autonomous driving systems for cars. The expansion comes as domestic competition heats up, due in part, to Alibaba Group, which launched its own mobile app search engine.

Baidu is also trying to diversify its revenue by actively acquiring operations at home and abroad, including Japanese and American startups.

Li is Baidu's leading shareholder owning some 20% of the company's shares. Baidu is a private enterprise but is known to have close ties with the Chinese government. The company is taking a cooperative stance toward government restrictions on freedom of speech.

Also, Li is a member of the Chinese People's Political Consultative Conference, a political advisory body in China.

It was discovered at the end of 2013 that its free Japanese-language input software had been sending data to Baidu without the consent of its users.

In the news

Financial highlights

Dec 2016

  • Local currency
  • US Dollar
Revenue 10,597.92M
Gross profit 5,298.32M
Operating income 1,509.57M
Income before tax 2,333.65M
Net income 1,747.39M
EBITDA 1,971.48M
Diluted EPS 4.78
Dividends per share 0
Total assets 26,189.42M
Total liabilities 12,124.29M
Total equity 13,278.16M
Operating cash flow --

Currency in USD

Revenue 10,597.92M
Gross profit 5,298.32M
Operating income 1,509.57M
Income before tax 2,333.65M
Net income 1,747.39M
EBITDA 1,971.48M
Diluted EPS 4.78
Dividends per share 0
Total assets 26,189.42M
Total liabilities 12,124.29M
Total equity 13,278.16M
Operating cash flow --

Currency in USD

Valuation measures

Dec 2016

PER 34.25
ROA 7.13%
ROE 13.31%
Operating margin 14.24%
Profit margin 16.48%

Key executive

  • Chairman & Chief Executive Officer: Yan Hong Li
  • Vice Chairman, President & Chief Operating Officer: Qi Lu
  • Chief Financial Officer: Xinzhe Li
  • Chief Scientist: Andrew Y. Ng
  • Senior Vice President: Hai Long Xiang

Share holders

  • Baillie Gifford & Co.(9.0%)
  • OppenheimerFunds, Inc.(2.7%)
  • BlackRock Fund Advisors(2.6%)
  • Artisan Partners LP(2.5%)
  • Sands Capital Management LLC(2.4%)
  • Capital Research & Management Co. (World Investors)(2.3%)
  • Harris Associates LP(2.3%)
  • T. Rowe Price Associates, Inc.(2.1%)
  • Dodge & Cox(2.0%)
  • Lazard Asset Management LLC(2.0%)

Address

  • Website: http://www.baidu.com
  • Address: Baidu Campus, No. 10 Shangdi, 10th Street, Beijing, 100085, China
  • Phone: +86.10.5992.8888

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