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Baidu’s AI Cloud Offsets Marketing Decline in Q1 2025 Earnings

Baidu’s AI Cloud Offsets Marketing Decline in Q1 2025 Earnings

Global Cryptocurrency
Release Time:
2025-05-21 19:03:01
0

Baidu Inc. reported a 3% year-over-year revenue increase to CNY32.45 billion ($4.47 billion) for Q1 2025, surpassing analyst expectations. The growth was driven by a 42% surge in AI Cloud revenue, which helped counterbalance a 6% drop in marketing income. Adjusted earnings per share stood at CNY18.54, significantly higher than the projected CNY14.74.

Despite the positive earnings, Baidu recorded a free cash FLOW outflow of $1.23 billion due to aggressive AI investments. The company also expanded its Apollo Go robotaxi service internationally, launching in Dubai and Abu Dhabi. Shares of Baidu (NASDAQ: BIDU) fell 3.36% to $86.34 following the earnings release.

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