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Technology Services

Baidu, Inc.

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.

 

Business Summary

Baidu, Inc. engages in the provision of internet search and online marketing solutions. The firm’s products and services include Baidu App, Baidu Search, Baidu Feed, Haokan, Quanmin, Baidu Post Bar, Baidu Knows, Baidu Encyclopedia, Baidu Input Method Editor or Baidu IME and Overseas Products. It operates through the following segments: Baidu Core and iQIYI. The Baidu Core segment provides search-based, feed-based, and other online marketing services. The iQiyi segment is an online entertainment service provider, which offers original, professionally produced and partner-generated content on its platform. The company was founded by Yanhong Li and Xu Yong on January 18, 2000 and is headquartered in Beijing, China.

Financial Highlights

Dec 2021 USD
Revenue19,303.16M19,303.16M
Gross Profit9,331.00M9,331.00M
Operating income1,630.85M1,630.85M
Income before tax1,815.68M1,815.68M
Net income1,531.31M1,531.31M
EBITDA2,587.69M2,587.69M
Diluted EPS4.354.35
Dividends Per Share00
Total Assets59,628.60M59,628.60M
Total liabilities24,489.78M24,489.78M
Total equity33,178.62M33,178.62M
Operating cash flow3,120.00M3,120.00M
Currency in USDCurrency in USD

Historical Data

 Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021
Revenue 12,549.01M 15,456.67M 15,544.90M 15,512.94M 19,303.16M
Gross Profit 6,116.25M 7,636.83M 6,449.19M 7,521.62M 9,331.00M
Operating income 2,321.76M 2,346.98M 912.75M 2,077.58M 1,630.85M
Income before tax 3,158.52M 4,141.44M 132.27M 3,670.98M 1,815.68M
Net income 2,710.47M 4,147.34M 286.54M 3,243.00M 1,531.31M
EBITDA 4,052.98M 4,795.21M 3,676.92M 2,982.22M 2,587.69M
Diluted EPS 7.75 11.79 0.82 9.41 4.35
Dividends Per Share 0 0 0 0 0
Total Assets 38,656.01M 43,340.95M 43,257.10M 50,874.33M 59,628.60M
Total liabilities 18,635.74M 17,742.40M 18,447.67M 21,539.64M 24,489.78M
Total equity 17,712.83M 23,726.20M 23,486.36M 27,936.02M 33,178.62M
Operating cash flow 4,857.49M 5,435.53M 4,118.46M 3,506.11M 3,120.00M
 Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021
Revenue 12,549.01M 15,456.67M 15,544.90M 15,512.94M 19,303.16M
Gross Profit 6,116.25M 7,636.83M 6,449.19M 7,521.62M 9,331.00M
Operating income 2,321.76M 2,346.98M 912.75M 2,077.58M 1,630.85M
Income before tax 3,158.52M 4,141.44M 132.27M 3,670.98M 1,815.68M
Net income 2,710.47M 4,147.34M 286.54M 3,243.00M 1,531.31M
EBITDA 4,052.98M 4,795.21M 3,676.92M 2,982.22M 2,587.69M
Diluted EPS 7.75 11.79 0.82 9.41 4.35
Dividends Per Share 0 0 0 0 0
Total Assets 38,656.01M 43,340.95M 43,257.10M 50,874.33M 59,628.60M
Total liabilities 18,635.74M 17,742.40M 18,447.67M 21,539.64M 24,489.78M
Total equity 17,712.83M 23,726.20M 23,486.36M 27,936.02M 33,178.62M
Operating cash flow 4,857.49M 5,435.53M 4,118.46M 3,506.11M 3,120.00M

Valuation Measures

Dec 2021
PER33.49
ROA2.77%
ROE5.01%
Operating margin8.44%
Profit margin7.93%

Key executives

  • Chairman & Chief Executive Officer: Yan Hong Li
  • Chief Financial Officer: Rong Luo
  • Chief Technology Officer: Hai Feng Wang
  • Executive Vice President: Dou Shen
  • Senior Vice President & General Counsel: Zhi Xiang Liang

Shareholders

  • PRIMECAP Management Co. (3.3%)
  • Dodge & Cox (2.3%)
  • T. Rowe Price Associates, Inc. (Investment Management) (1.2%)
  • ARGA Investment Management LP (1.0%)
  • Baillie Gifford & Co. (0.9%)
  • Black Creek Investment Management, Inc. (0.9%)
  • Ariel Investments LLC (0.9%)
  • Norges Bank Investment Management (0.8%)
  • Alkeon Capital Management LLC (0.6%)
  • Dimensional Fund Advisors LP (0.6%)

Contact Details

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

Related Companies

  • Baidu, Inc. (Hong Kong)
  • Baidu.com Times Technology (Beijing) Co., Ltd.
  • Baidu Ventures (United States)
  • Baidu India Internet Pvt Ltd.
  • Baidu International Technology (Shenzhen) Co., Ltd
  • Baidu Inc /Financial Services Business/
  • iQIYI, Inc.
  • Baidu USA LLC
  • Baidu Ventures
  • xPerception Technology, Inc.
  • Baidu Times Netmedia Technology (Beijing) Co. Ltd.
  • Baidu Games
  • Baidu Capital Co. Ltd.
  • Hummingbird Computation LLC
  • Beijing Raven Tech, Inc.
  • Baidu Music
  • Baidu Online Network Technology (Beijing) Co., Ltd.
  • PhotoWonder KK
  • Beijing Perusal Technology Co., Ltd.
  • Baidu Holdings Ltd.
  • TrustGo Mobile, Inc.
  • Anquanbao Co. Ltd.
  • Baidu Japan, Inc.
  • Baidu (China) Co., Ltd.
  • PPStream.com Co., Ltd.
  • Hao123.com

Competitors

  • Alphabet Inc. Class A
  • Tencent Holdings Ltd.
  • Microsoft Corporation
  • Kingsoft Corp. Ltd.
  • Alibaba Group Holding Ltd.
  • Mango Excellent Media Co., Ltd. Class A
  • Meta Platforms Inc. Class A
  • Bilibili, Inc. Class Z
  • Xiaomi Corp. Class B
  • Sohu.com Limited Sponsored ADR
  • Phoenix New Media Ltd. Sponsored ADR Class A
  • Weibo Corp Class A
  • Cerence Inc.
  • Navya SA
  • Borqs Technologies, Inc.
  • Business-Intelligence of Oriental Nations Corporation Ltd. Class A
  • Airbnb, Inc. Class A
  • Aurora Mobile Ltd. Sponsored ADR Class A
  • Beijing Transtrue Technology Inc Class A
  • Digital Turbine, Inc.
  • eBay Inc.
  • Guangdong Tloong Technology Group Co., Ltd. Class A
  • iClick Interactive Asia Group Ltd. Sponsored ADR
  • Liberty TripAdvisor Holdings Inc Class A
  • Lyft, Inc. Class A
  • Marriott International, Inc. Class A
  • Polestar Automotive Holding UK PLC Sponsored ADR Class A
  • Primax Electronics Ltd.
  • Remark Holdings, Inc.
  • RocKontrol Technology Group Co. Ltd. Class A
Last Updated on 1 Dec, 2022

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