BEIJING, Aug. 13, 2020 /PRNewswire/ -- Baidu, Inc.
(NASDAQ: BIDU) ("Baidu" or the "Company"), a leading search engine,
knowledge and information centered Internet platform and AI
company, today announced its unaudited financial results for the
second quarter ended June 30,
20201.
"With COVID-19 becoming more manageable in China, Baidu's business is steadily
rebounding. We are pleased that in-app revenue grew in the second
quarter, despite a challenging macro environment, further
validating our strategy to make Baidu App a super app through
AI-powered building blocks and marketing cloud platform." said
Robin Li, Co-founder and CEO of
Baidu. "Baidu's new AI businesses, including cloud, smart devices
and smart transportation, saw double-digit growth in the second
quarter and stand to become an important revenue driver in the
years to come."
"In addition to investing in new AI businesses, Baidu is also
diversifying our revenue streams through membership, online games
and others to increase the ARPU of our existing traffic." said
Herman Yu, CFO of Baidu. "The
healthy growth of Baidu App and new AI businesses have enabled
Baidu Core's adjusted EBITDA margin to reach 41% in the second
quarter. We plan to continue heavy investments in technology to
maximize Baidu's future growth potential."
Second Quarter
2020 Financial Highlights
|
|
|
|
Baidu,
Inc.
|
(In millions except
per ADS,
|
Q2
|
|
Q1
|
|
Q2
|
|
|
|
|
unaudited)
|
2019
|
|
2020
|
|
2020
|
|
YOY
|
|
QOQ
|
|
RMB
|
|
RMB
|
|
RMB
|
US$
|
|
|
|
|
Total
revenues
|
26,326
|
|
22,545
|
|
26,034
|
3,685
|
|
(1%)
|
|
15%
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
(loss)
|
233
|
|
(437)
|
|
3,644
|
516
|
|
1464%
|
|
-
|
Operating income
(non-GAAP) 2
|
1,955
|
|
1,437
|
|
5,605
|
793
|
|
187%
|
|
290%
|
|
|
|
|
|
|
|
|
|
|
|
Net income to
Baidu
|
2,412
|
|
41
|
|
3,579
|
507
|
|
48%
|
|
8629%
|
Net income to Baidu
(non-GAAP) 2
|
3,635
|
|
3,082
|
|
5,082
|
719
|
|
40%
|
|
65%
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings
per ADS
|
6.57
|
|
0.02
|
|
10.31
|
1.46
|
|
57%
|
|
51450%
|
Diluted earnings
per ADS (non-GAAP) 2
|
10.11
|
|
8.84
|
|
14.73
|
2.08
|
|
46%
|
|
67%
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA
2
|
3,355
|
|
2,852
|
|
7,015
|
993
|
|
109%
|
|
146%
|
Adjusted EBITDA
margin
|
13%
|
|
13%
|
|
27%
|
27%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Baidu
Core
|
(In millions,
unaudited)
|
Q2
|
|
Q1
|
|
Q2
|
|
|
|
|
|
2019
|
|
2020
|
|
2020
|
|
YOY
|
|
QOQ
|
|
RMB
|
|
RMB
|
|
RMB
|
US$
|
|
|
|
|
Total
revenues
|
19,540
|
|
15,268
|
|
18,926
|
2,679
|
|
(3%)
|
|
24%
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income
|
2,109
|
|
1,848
|
|
4,966
|
703
|
|
135%
|
|
169%
|
Operating income
(non-GAAP) 2
|
3,485
|
|
3,348
|
|
6,482
|
917
|
|
86%
|
|
94%
|
|
|
|
|
|
|
|
|
|
|
|
Net income to
Baidu Core
|
3,731
|
|
1,698
|
|
4,424
|
626
|
|
19%
|
|
161%
|
Net income to
Baidu Core (non-GAAP) 2
|
4,740
|
|
4,519
|
|
5,656
|
801
|
|
19%
|
|
25%
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA2
|
4,766
|
|
4,641
|
|
7,771
|
1,100
|
|
63%
|
|
67%
|
Adjusted EBITDA
margin
|
24%
|
|
30%
|
|
41%
|
41%
|
|
|
|
|
Other Highlights
Corporate
- As part of corporate social responsibilities, Baidu is
partnering with healthcare professionals and government
organizations to tackle public health risks and improve the quality
of life, using Baidu AI for public health monitoring, drug
development and disease diagnosis. Baidu AI healthcare solutions
have been adopted by nearly 2,000 hospitals and primary healthcare
institutions across 27 provinces.
- Baidu returned US$540 million to
shareholders under the 2020 Share Repurchase Program in the second
quarter, bringing the Company's cumulative repurchase for the last
two years to approximately US$1.9
billion.
- Baidu's board of directors recently approved a change to the
2020 Share Repurchase Program, increasing the repurchase
authorization from US$1 billion to
US$3 billion, which is effective
through December 31, 2022.
Mobile Ecosystem
- Baidu App daily active users ("DAUs") reached 204 million in
June 2020, adding 16 million users in
the last 12 months.
- As a leading Internet platform for content and services, Baidu
has attracted a large variety of knowledge and information-based
videos to its platform, including live and short videos. Over 800
sessions of topical live streaming were broadcasted in the second
quarter, with sessions like Baidu Wiki Virtual Zoo, Summer Art
Festival and Wandering through Civilization Season 2,
attracting over 40,000,000 views.
- Baijiahao ("BJH") publisher accounts reached 3.4 million, up
52% year over year, in June 2020. The
large scale of Baidu's platform is drawing more original content
creators to join BJH, which allows easy sharing of content across
Baidu App, Haokan, Quanmin and Baidu's full set of knowledge
products.
- Baidu Smart Mini Program ("SMP") is becoming more lively with
the number of SMPs joining Baidu's network growing over five folds
in the last year, and SMP monthly active users ("MAUs") on Baidu
App reaching 339 million, up 25% year over year. App developers are
migrating to SMP, which enables users native-app like, closed-loop
experience on third-party content and services, without having to
leave Baidu and download the host apps.
- Revenue from Baidu Managed Page increased to approximately 30%
of Baidu Core's online marketing services revenue in the second
quarter of 2020. Merchants with HTML5 websites across many
industries are switching to Managed Page, as the landing page for
their search results.
DuerOS
- In June 2020, DuerOS monthly
voice queries on Xiaodu devices reached 2.8 billion, nearly
doubling from last year, and DuerOS total monthly voice queries
reached 5.8 billion, up 57% from last year.
- DuerOS skills store now offers 4,000 skills in wide ranging
genres, including education, video, online game and live streaming.
DuerOS developer community has grown to over 42,000 members.
- JD.com announced that Xiaodu series of smart displays and smart
speakers was the best-selling in the smart speaker category on its
platform during this year's June
18 Shopping Festival.
Cloud, AI Services & AI Platform
- Baidu formed a strategic partnership with China National
Building Materials Group (CNBM Group), the parent of 13 listed
companies. CNBM Group plans to use Baidu AI PaaS, equipped with big
data and IoT edge computing capabilities, to provide intelligent
logistics, intelligent factory and industrial autonomous driving.
For example, CNBM Group plans to use Baidu AI PaaS paired with
Baidu intelligent map to improve the routing efficiency of its
logistics vehicles and track the vehicles whereabouts to optimize
operational costs and increase traffic safety.
- Baidu's AI open platform, built on top of Baidu Cloud, offers
over 260 AI capabilities, which are tapped by over 2.1 million
developers.
- At the World Artificial Intelligence Conference, Baidu's
natural language processing framework ERNIE (Enhanced
Representation through kNowledge IntEgration) earned the
distinction of the SAIL (Super AI Leader) Award, recognizing
inspiring technology breakthroughs, application innovations and AI
projects that change people's lives.
Apollo
- The Apollo robotaxi operations in Beijing, Changsha and Cangzhou have expanded into
larger networks and more complex road conditions, such as downtown
streets.
- In May 2020, Baidu completed the
145,000 square feet Apollo
Park in Beijing, an
autonomous driving and V2X testing facility that supports testing,
operational command center, cloud control system, vehicle
warehousing, maintenance and calibration.
iQIYI
- iQIYI subscribers reached 104.9 million, up 4% year over year,
in June 2020, and membership revenue
was up 19% year over year. iQIYI's large subscriber base further
strengthens iQIYI's foundation to produce entertainment blockbuster
originals.
Second Quarter 2020 Results
Total revenues
reached RMB 26.0 billion
($3.69 billion), decreasing 1% year
over year. Online marketing revenues were RMB 17.7 billion ($2.50
billion), decreasing 8% year over year. Other revenues were
RMB 8.3 billion ($1.18 billion), increasing 18% year over year,
driven by the strong growth of iQIYI membership and Baidu's cloud
and smart transportation solutions.
Revenue from Baidu Core reached RMB 18.9 billion ($2.68
billion), decreasing 3% year over year. Revenue from
iQIYI reached RMB 7.4 billion
($1.05 billion), up 4% year over
year. iQIYI membership revenue grew 19% year over year, partially
offset by online advertising revenue declining 28% year over
year.
Cost of revenues was RMB 13.1
billion ($1.86 billion),
decreasing 19% year over year, primarily due to a decrease in
traffic acquisition costs, sales tax and surcharges, and costs of
goods sold. The decrease in traffic acquisition costs reflected
decreasing union revenues, as the Company focused on optimizing
profitability over revenue growth.
Selling, general and administrative expenses were
RMB 4.4 billion ($625 million), decreasing 16% year over year,
primarily due to decreased marketing spending and personnel related
expenses.
Research and development expenses were RMB 4.8 billion ($685
million), increasing 2% year over year.
Operating income was RMB 3.6
billion ($516 million) and
operating margin was 14%. Baidu Core operating income was
RMB 5.0 billion ($703 million) and Baidu Core operating margin was
26%.
Non-GAAP operating income was RMB
5.6 billion ($793 million),
and non-GAAP operating margin was 22%. Non-GAAP Baidu Core
operating income was RMB 6.5
billion ($917 million), and
non-GAAP Baidu Core operating margin was 34%.
Total other income was RMB 366
million ($53 million),
decreasing 70% year over year, primarily due to loss from equity
method investments, which is booked a quarter in arrears and
reflects the impact of COVID-19 on its investees.
Income tax expense was RMB 1.2
billion ($174 million), which
included tax withholding accrual for dividend distribution to
offshore entities, compared to RMB 416
million in Q2 2019.
Net income attributable to Baidu was RMB 3.6 billion ($507
million), and diluted earnings per ADS was RMB 10.31 ($1.46).
Net income attributable to Baidu Core was RMB 4.4 billion ($626
million). Non-GAAP net income attributable to Baidu
was RMB 5.1 billion ($719 million), and non-GAAP net margin was 20%.
Non-GAAP diluted earnings per ADS amounted to RMB 14.73 ($ 2.08).
Non-GAAP net income attributable to Baidu Core was
RMB 5.7 billion ($801 million), and non-GAAP net margin for Baidu
Core was 30%.
Adjusted EBITDA was RMB 7.0
billion ($993 million) and
adjusted EBITDA margin was 27%. Adjusted EBITDA for Baidu Core was
RMB 7.8 billion ($1.1 billion) and adjusted EBITDA margin for
Baidu Core was 41%.
As of June 30, 2020, cash, cash
equivalents, restricted cash and short-term investments were
RMB 154.1 billion ($21.80 billion), and cash, cash equivalents,
restricted cash and short-term investments excluding iQIYI were
RMB 144.6 billion ($20.46 billion). Free cash flow was
RMB 7.3 billion ($1.04 billion). Free cash flow excluding
iQIYI was RMB 8.8 billion
($1.24 billion).
For more information on the adoption of ASU 2019-02 beginning
January 1, 2020, in accordance with
the new accounting standard, please see explanation under "Non-GAAP
Financial Measures."
Financial Guidance
For the third quarter of 2020,
Baidu expects revenues to be between RMB
26.3 billion ($3.7 billion)
and RMB 28.7 billion ($4.1 billion), representing a growth rate of -6%
to 2% year over year, which assumes that Baidu Core revenue will
grow between -7% and 3% year over year. The COVID-19 situation in
China is evolving, and business
visibility is very limited. The above forecast reflects Baidu's
current and preliminary view, which is subject to substantial
uncertainty.
Conference Call Information
Baidu's management
will hold an earnings conference call at 9:15 PM on
August 13, 2020, U.S. Eastern Time
(9:15 AM on August 14, 2020, Beijing/Hong Kong Time).
Please register in advance of the conference call using the link
provided below. Upon registering, you will be provided with
participant dial-in numbers, Direct Event passcode and unique
registrant ID by email.
For pre-registration, please click
http://apac.directeventreg.com/registration/event/2568424. It will
automatically direct you to the registration page of "Baidu Q2 2020
Earnings Conference Call", where you may fill in your details for
RSVP. If it requires you to enter a participant conference ID,
please enter "2568424".
In the 10 minutes prior to the call start time, you may use the
conference access information (including dial-in number(s), Direct
Event passcode and unique registrant ID) provided in the
confirmation email that you have received following your
pre-registration.
Additionally, a live and archived webcast of this conference
call will be available at http://ir.baidu.com.
A replay of the conference call may be accessed by phone at the
following number until August 21,
2020:
International:
|
+61 2 8199
0299
|
Passcode:
|
2568424
|
About Baidu
Baidu, Inc. is a leading search engine,
knowledge and information centered Internet platform and AI
company. The Company's mission is to make the complicated world
simpler through technology. Baidu's ADSs trade on the NASDAQ Global
Select Market under the symbol "BIDU". Currently, ten ADSs
represent one Class A ordinary share.
Contacts
Investors Relations, Baidu, Inc.
Tel: +86-10-5992-8888
Email: ir@baidu.com
Safe Harbor Statement
This announcement contains
forward-looking statements. These statements are made under the
"safe harbor" provisions of the U.S. Private Securities Litigation
Reform Act of 1995. These forward-looking statements can be
identified by terminology such as "will," "expects," "anticipates,"
"future," "intends," "plans," "believes," "estimates," "confident"
and similar statements. Among other things, the outlook for the
third quarter of 2020, quotations from management in this
announcement, as well as Baidu's and other parties' strategic and
operational plans, contain forward-looking statements. Baidu may
also make written or oral forward-looking statements in its
periodic reports to the U.S. Securities and Exchange Commission, in
its annual report to shareholders, in press releases and other
written materials and in oral statements made by its officers,
directors or employees to third parties. Statements that are not
historical facts, including but not limited to statements about
Baidu's beliefs and expectations, are forward-looking statements.
Forward-looking statements involve inherent risks and
uncertainties. A number of factors could cause actual results to
differ materially from those contained in any forward-looking
statement, including but not limited to the following: Baidu's
growth strategies; its future business development, including
development of new products and services; its ability to attract
and retain users and customers; competition in the Chinese Internet
search and newsfeed market; competition for online marketing
customers; changes in the Company's revenues and certain cost or
expense items as a percentage of its revenues; the outcome of
ongoing, or any future, litigation or arbitration, including those
relating to intellectual property rights; the expected growth of
the Chinese-language Internet search and newsfeed market and the
number of Internet and broadband users in China; Chinese governmental policies relating
to the Internet and Internet search providers, and general economic
conditions in China and elsewhere.
Further information regarding these and other risks is included in
the Company's annual report on Form 20-F and other documents filed
with the Securities and Exchange Commission. Baidu does not
undertake any obligation to update any forward-looking statement,
except as required under applicable law. All information provided
in this press release and in the attachments is as of the date of
the press release, and Baidu undertakes no duty to update such
information, except as required under applicable law.
Non-GAAP Financial Measures
To supplement Baidu's
consolidated financial results presented in accordance with GAAP,
Baidu uses the following non-GAAP financial measures: non-GAAP
operating income (loss), non-GAAP operating margin, non-GAAP net
income (loss) attributable to Baidu, non-GAAP net margin, non-GAAP
diluted earnings per ADS, adjusted EBITDA, adjusted EBITDA margin
and free cash flow. The presentation of these non-GAAP financial
measures is not intended to be considered in isolation or as a
substitute for the financial information prepared and presented in
accordance with GAAP.
Baidu believes that these non-GAAP financial measures provide
meaningful supplemental information regarding its performance and
liquidity by excluding certain items that may not be indicative of
its recurring core business operating results, such as operating
performance excluding not only non-cash charges, but also other
items that are infrequent or unusual in nature. The Company
believes that both management and investors benefit from referring
to these non-GAAP financial measures in assessing its performance
and when planning and forecasting future periods. These non-GAAP
financial measures also facilitate management's internal
comparisons to Baidu's historical performance and liquidity. The
Company believes these non-GAAP financial measures are useful to
investors in allowing for greater transparency with respect to
supplemental information used by management in its financial and
operational decision making. A limitation of using these non-GAAP
financial measures is that these non-GAAP measures exclude certain
items that have been and will continue to be for the foreseeable
future a significant component in the Company's results of
operations. These non-GAAP financial measures presented here
may not be comparable to similarly titled measures presented by
other companies. Other companies may calculate similarly titled
measures differently, limiting their usefulness as comparative
measures to the Company's data.
Non-GAAP operating income represents operating income excluding
share-based compensation expenses and amortization and impairment
of intangible assets resulting from business combinations.
Non-GAAP net income attributable to Baidu represents net income
attributable to Baidu excluding share-based compensation expenses,
amortization and impairment of intangible assets resulting from
business combinations, disposal gain or loss, impairment of
long-term investments, fair value change of long-term investments,
adjusted for related income tax effects. Baidu's share of equity
method investments for these non-GAAP reconciling items,
amortization and impairment of intangible assets not on the
investees' books, accretion of their redeemable non-controlling
interests, and the gain or loss associated with the issuance of
shares by the investees at a price higher or lower than the
carrying value per shares, adjusted for related income tax effects,
are also excluded.
Non-GAAP diluted earnings per ADS represents diluted earnings
per ADS calculated by dividing non-GAAP net income attributable to
Baidu, which is adjusted for accretion for the redeemable
non-controlling interests, by the weighted average number of
ordinary shares expressed in ADS. Adjusted EBITDA represents
operating income excluding depreciation, amortization and
impairment of intangible assets resulting from business
combinations, and share-based compensation expenses.
Free cash flow represents net cash provided by operating
activities less capital expenditures. Starting from January 1, 2020, Baidu adopted ASU 2019-02,
Improvements to Accounting for Costs of Films and License
Agreements for Program Materials, which reclassifies cash
outflows for costs incurred to acquire licensed contents from
investing activities to operating activities. To increase
comparability, 2019 free cash flow has been retrospectively
adjusted to include cash outflows of acquisition of licensed
copyrights, which is presented on the same basis as 2020 and going
forward.
For more information on non-GAAP financial measures, please see
the tables captioned "Reconciliations of non-GAAP financial
measures to the nearest comparable GAAP measures."
1 Unless otherwise noted, all translations from RMB
to U.S. dollars are made at a rate of RMB7.0651 to US$1.00, the exchange rate in effect as of
June 30, 2020 as set forth in the
H.10 statistical release of the Board of Governors of the Federal
Reserve System. Translations are provided solely for the
convenience of the reader.
2 Non-GAAP measures are defined in Non-GAAP Financial
Measures section. Also see the table captioned "Reconciliations of
Non-GAAP Financial Measures to the Nearest Comparable GAAP
Measures" for more details.
Baidu,
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Condensed
Consolidated Statements of Income (Loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
(In millions except
for share, per share (or ADS) information, unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
June
30,
|
|
March
31,
|
|
June
30,
|
|
June
30,
|
|
June
30,
|
|
June
30,
|
|
June
30,
|
|
|
2019
|
|
2020
|
|
2020
|
|
2020
|
|
2019
|
|
2020
|
|
2020
|
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$(2)
|
|
RMB
|
|
RMB
|
|
US$(2)
|
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Online
marketing services
|
|
19,237
|
|
14,243
|
|
17,688
|
|
2,504
|
|
36,894
|
|
31,931
|
|
4,520
|
Others
|
|
7,089
|
|
8,302
|
|
8,346
|
|
1,181
|
|
13,555
|
|
16,648
|
|
2,355
|
Total
revenues
|
|
26,326
|
|
22,545
|
|
26,034
|
|
3,685
|
|
50,449
|
|
48,579
|
|
6,875
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenues(1)
|
|
16,116
|
|
14,687
|
|
13,134
|
|
1,859
|
|
30,955
|
|
27,821
|
|
3,938
|
Selling, general and
administrative(1)
|
|
5,243
|
|
3,852
|
|
4,417
|
|
625
|
|
11,297
|
|
8,269
|
|
1,170
|
Research and
development(1)
|
|
4,734
|
|
4,443
|
|
4,839
|
|
685
|
|
8,900
|
|
9,282
|
|
1,313
|
Total costs
and expenses
|
|
26,093
|
|
22,982
|
|
22,390
|
|
3,169
|
|
51,152
|
|
45,372
|
|
6,421
|
Operating
income (loss)
|
|
233
|
|
(437)
|
|
3,644
|
|
516
|
|
(703)
|
|
3,207
|
|
454
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income
(loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
1,205
|
|
1,441
|
|
1,312
|
|
186
|
|
2,277
|
|
2,753
|
|
390
|
Interest
expense
|
|
(805)
|
|
(751)
|
|
(820)
|
|
(116)
|
|
(1,498)
|
|
(1,571)
|
|
(222)
|
Foreign
exchange income (loss), net
|
|
216
|
|
(98)
|
|
55
|
|
8
|
|
(97)
|
|
(43)
|
|
(6)
|
Gain (loss)
from equity method investments
|
|
429
|
|
181
|
|
(1,732)
|
|
(245)
|
|
(431)
|
|
(1,551)
|
|
(220)
|
Other income
(loss), net
|
|
193
|
|
(1,816)
|
|
1,551
|
|
220
|
|
1,887
|
|
(265)
|
|
(37)
|
Total other
income (loss), net
|
|
1,238
|
|
(1,043)
|
|
366
|
|
53
|
|
2,138
|
|
(677)
|
|
(95)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income
(loss) before income taxes
|
|
1,471
|
|
(1,480)
|
|
4,010
|
|
569
|
|
1,435
|
|
2,530
|
|
359
|
Income tax
expense
|
|
416
|
|
198
|
|
1,222
|
|
174
|
|
710
|
|
1,420
|
|
201
|
Net income
(loss)
|
|
1,055
|
|
(1,678)
|
|
2,788
|
|
395
|
|
725
|
|
1,110
|
|
158
|
Net loss
attributable to noncontrolling interests
|
|
(1,357)
|
|
(1,719)
|
|
(791)
|
|
(112)
|
|
(1,360)
|
|
(2,510)
|
|
(355)
|
Net income
attributable to Baidu
|
|
2,412
|
|
41
|
|
3,579
|
|
507
|
|
2,085
|
|
3,620
|
|
513
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per ADS (1
Class A ordinary share equals 10 ADSs):
|
|
|
|
|
|
|
|
|
|
|
|
|
-Basic
|
|
6.84
|
|
0.05
|
|
10.34
|
|
1.46
|
|
5.86
|
|
10.37
|
|
1.47
|
-Diluted
|
|
6.57
|
|
0.02
|
|
10.31
|
|
1.46
|
|
5.72
|
|
10.32
|
|
1.46
|
Earnings per share
for Class A and Class B ordinary shares:
|
|
|
|
|
|
|
|
|
|
|
|
|
-Basic
|
|
68.38
|
|
0.52
|
|
103.44
|
|
14.64
|
|
58.60
|
|
103.66
|
|
14.67
|
-Diluted
|
|
65.69
|
|
0.23
|
|
103.06
|
|
14.59
|
|
57.22
|
|
103.20
|
|
14.61
|
Weighted average
number of Class A and Class B ordinary shares
outstanding:
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
34,996,791
|
|
34,577,763
|
|
34,377,658
|
|
34,377,658
|
|
34,981,800
|
|
34,477,710
|
|
34,477,710
|
Diluted
|
|
35,044,719
|
|
34,757,943
|
|
34,505,617
|
|
34,505,617
|
|
35,055,695
|
|
34,631,780
|
|
34,631,780
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes
share-based compensation expenses as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
|
99
|
|
81
|
|
108
|
|
15
|
|
165
|
|
189
|
|
27
|
Selling,
general and administrative
|
|
503
|
|
464
|
|
550
|
|
78
|
|
1,019
|
|
1,014
|
|
144
|
Research and
development
|
|
1,022
|
|
945
|
|
1,188
|
|
168
|
|
1,648
|
|
2,133
|
|
302
|
Total
share-based compensation expenses
|
|
1,624
|
|
1,490
|
|
1,846
|
|
261
|
|
2,832
|
|
3,336
|
|
473
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) All
translations from RMB to U.S. dollars are made at a rate of RMB
7.0651 to US$1.00, the exchange rate in effect as of June 30, 2020
as set forth in the H.10
statistical release of The Board of Governors of the Federal
Reserve System.
|
Baidu,
Inc.
|
|
|
|
|
|
|
Condensed
Consolidated Balance Sheets
|
|
|
|
|
|
|
(In millions except
for share information, unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December
31,
|
|
June
30,
|
|
June
30,
|
|
|
2019
|
|
2020
|
|
2020
|
|
|
RMB
|
|
RMB
|
|
US$
|
ASSETS
|
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
33,443
|
|
20,349
|
|
2,880
|
Restricted
cash
|
|
996
|
|
1,528
|
|
216
|
Short-term
investments
|
|
112,924
|
|
132,174
|
|
18,708
|
Accounts
receivable, net
|
|
7,416
|
|
6,706
|
|
949
|
Amounts due
from related parties
|
|
1,594
|
|
1,637
|
|
232
|
Other current
assets, net
|
|
9,189
|
|
9,654
|
|
1,366
|
Total current assets
|
|
165,562
|
|
172,048
|
|
24,351
|
|
|
|
|
|
|
|
Non-current assets:
|
|
|
|
|
|
|
Fixed assets,
net
|
|
18,311
|
|
16,894
|
|
2,391
|
Licensed
copyrights, net
|
|
6,287
|
|
5,743
|
|
813
|
Intangible
assets, net
|
|
1,600
|
|
1,633
|
|
231
|
Goodwill
|
|
18,250
|
|
18,767
|
|
2,656
|
Long-term
investments, net
|
|
69,410
|
|
68,625
|
|
9,713
|
Amounts due
from related parties
|
|
3,564
|
|
3,585
|
|
507
|
Deferred tax
assets, net
|
|
2,193
|
|
1,399
|
|
198
|
Operating lease
right-of-use assets
|
|
7,332
|
|
7,352
|
|
1,041
|
Other
non-current assets
|
|
8,807
|
|
8,422
|
|
1,193
|
Total non-current assets
|
|
135,754
|
|
132,420
|
|
18,743
|
|
|
|
|
|
|
|
Total
assets
|
|
301,316
|
|
304,468
|
|
43,094
|
|
|
|
|
|
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
|
Short-term
loans
|
|
2,618
|
|
3,619
|
|
512
|
Accounts payable and
accrued liabilities
|
|
32,701
|
|
31,986
|
|
4,527
|
Customer deposits and
deferred revenue
|
|
11,062
|
|
11,601
|
|
1,642
|
Deferred
income
|
|
529
|
|
507
|
|
72
|
Long-term loans,
current portion
|
|
737
|
|
7,506
|
|
1,062
|
Notes payable,
current portion
|
|
5,219
|
|
-
|
|
-
|
Amounts due to
related parties
|
|
2,231
|
|
2,850
|
|
403
|
Operating lease
liabilities
|
|
2,283
|
|
2,379
|
|
337
|
Total current liabilities
|
|
57,380
|
|
60,448
|
|
8,555
|
|
|
|
|
|
|
|
Non-current liabilities:
|
|
|
|
|
|
|
Deferred
income
|
|
17
|
|
44
|
|
6
|
Deferred
revenue
|
|
1,009
|
|
756
|
|
107
|
Amounts due to
related parties
|
|
3,846
|
|
3,853
|
|
545
|
Long-term
loans
|
|
7,804
|
|
887
|
|
126
|
Notes
payable
|
|
38,090
|
|
45,681
|
|
6,466
|
Convertible senior
notes
|
|
12,297
|
|
12,694
|
|
1,797
|
Deferred tax
liabilities
|
|
3,273
|
|
3,511
|
|
497
|
Operating lease
liabilities
|
|
4,486
|
|
4,404
|
|
623
|
Other non-current
liabilities
|
|
299
|
|
394
|
|
57
|
Total non-current liabilities
|
|
71,121
|
|
72,224
|
|
10,224
|
|
|
|
|
|
|
|
Total
liabilities
|
|
128,501
|
|
132,672
|
|
18,779
|
|
|
|
|
|
|
|
Redeemable
noncontrolling interests
|
|
1,109
|
|
1,173
|
|
166
|
|
|
|
|
|
|
|
Equity
|
|
|
|
|
|
|
Total Baidu shareholders' equity
|
|
163,599
|
|
164,509
|
|
23,284
|
Noncontrolling interests
|
|
8,107
|
|
6,114
|
|
865
|
Total
equity
|
|
171,706
|
|
170,623
|
|
24,149
|
|
|
|
|
|
|
|
Total liabilities,
redeemable noncontrolling
interests, and equity
|
|
301,316
|
|
304,468
|
|
43,094
|
Baidu,
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selected
Information
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In millions except
for per ADS information, unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
June 30, 2019 (RMB)
|
|
Three months
ended
March 31, 2020 (RMB)
|
|
Three months
ended
June 30, 2020 (RMB)
|
|
Three months
ended
June 30, 2020 (US$)
|
|
|
Baidu
Core
|
iQIYI
|
Elim &
adj(2)
|
|
Baidu,
Inc.
|
|
Baidu
Core
|
iQIYI
|
Elim &
adj(2)
|
|
Baidu,
Inc.
|
|
Baidu
Core
|
iQIYI
|
Elim &
adj(2)
|
|
Baidu,
Inc.
|
|
Baidu
Core
|
iQIYI
|
Elim &
adj(2)
|
|
Baidu,
Inc.
|
Total
revenues
|
|
19,540
|
7,110
|
(324)
|
|
26,326
|
|
15,268
|
7,650
|
(373)
|
|
22,545
|
|
18,926
|
7,412
|
(304)
|
|
26,034
|
|
2,679
|
1,049
|
(43)
|
|
3,685
|
YOY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3%)
|
4%
|
|
|
(1%)
|
|
|
|
|
|
|
QOQ
|
|
|
|
|
|
|
|
|
|
|
|
|
|
24%
|
(3%)
|
|
|
15%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenues (1)
|
|
9,453
|
6,981
|
(318)
|
|
16,116
|
|
7,088
|
7,903
|
(304)
|
|
14,687
|
|
6,555
|
6,834
|
(255)
|
|
13,134
|
|
928
|
967
|
(36)
|
|
1,859
|
Selling,
general and administrative (1)
|
|
3,898
|
1,346
|
(1)
|
|
5,243
|
|
2,560
|
1,311
|
(19)
|
|
3,852
|
|
3,230
|
1,196
|
(9)
|
|
4,417
|
|
457
|
169
|
(1)
|
|
625
|
Research and
development (1)
|
|
4,080
|
655
|
(1)
|
|
4,734
|
|
3,772
|
678
|
(7)
|
|
4,443
|
|
4,175
|
664
|
-
|
|
4,839
|
|
591
|
94
|
-
|
|
685
|
Total costs and
expenses
|
|
17,431
|
8,982
|
(320)
|
|
26,093
|
|
13,420
|
9,892
|
(330)
|
|
22,982
|
|
13,960
|
8,694
|
(264)
|
|
22,390
|
|
1,976
|
1,230
|
(37)
|
|
3,169
|
YOY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(31%)
|
(2%)
|
|
|
(19%)
|
|
|
|
|
|
|
Selling,
general and administrative
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(17%)
|
(11%)
|
|
|
(16%)
|
|
|
|
|
|
|
Research
and development
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2%
|
1%
|
|
|
2%
|
|
|
|
|
|
|
Cost and
expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(20%)
|
(3%)
|
|
|
(14%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
(loss)
|
|
2,109
|
(1,872)
|
(4)
|
|
233
|
|
1,848
|
(2,242)
|
(43)
|
|
(437)
|
|
4,966
|
(1,282)
|
(40)
|
|
3,644
|
|
703
|
(181)
|
(6)
|
|
516
|
YOY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
135%
|
(32%)
|
|
|
1464%
|
|
|
|
|
|
|
QOQ
|
|
|
|
|
|
|
|
|
|
|
|
|
|
169%
|
(43%)
|
|
|
-
|
|
|
|
|
|
|
Operating
margin
|
|
11%
|
(26%)
|
|
|
1%
|
|
12%
|
(29%)
|
|
|
(2%)
|
|
26%
|
(17%)
|
|
|
14%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: total
other income (loss),net
|
|
1,664
|
(426)
|
-
|
|
1,238
|
|
(414)
|
(629)
|
-
|
|
(1,043)
|
|
507
|
(141)
|
-
|
|
366
|
|
73
|
(20)
|
-
|
|
53
|
Less: income
tax expense
|
|
410
|
6
|
|
|
416
|
|
193
|
5
|
-
|
|
198
|
|
1,206
|
16
|
-
|
|
1,222
|
|
172
|
2
|
-
|
|
174
|
Less: net
income (loss) attributable to NCI
|
|
(368)
|
23
|
(1,012)
|
(3)
|
(1,357)
|
|
(457)
|
(1)
|
(1,261)
|
(3)
|
(1,719)
|
|
(157)
|
3
|
(637)
|
(3)
|
(791)
|
|
(22)
|
-
|
(90)
|
(3)
|
(112)
|
Net income(loss)
attributable to Baidu
|
|
3,731
|
(2,327)
|
1,008
|
|
2,412
|
|
1,698
|
(2,875)
|
1,218
|
|
41
|
|
4,424
|
(1,442)
|
597
|
|
3,579
|
|
626
|
(203)
|
84
|
|
507
|
YOY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
19%
|
(38%)
|
|
|
48%
|
|
|
|
|
|
|
QOQ
|
|
|
|
|
|
|
|
|
|
|
|
|
|
161%
|
(50%)
|
|
|
8629%
|
|
|
|
|
|
|
Net
margin
|
|
19%
|
(33%)
|
|
|
9%
|
|
11%
|
(38%)
|
|
|
0%
|
|
23%
|
(19%)
|
|
|
14%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP financial
measures:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
(loss) (non-GAAP)
|
|
3,485
|
(1,526)
|
|
|
1,955
|
|
3,348
|
(1,868)
|
|
|
1,437
|
|
6,482
|
(837)
|
|
|
5,605
|
|
917
|
(118)
|
|
|
793
|
YOY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
86%
|
(45%)
|
|
|
187%
|
|
|
|
|
|
|
QOQ
|
|
|
|
|
|
|
|
|
|
|
|
|
|
94%
|
(55%)
|
|
|
290%
|
|
|
|
|
|
|
Operating margin
(non-GAAP)
|
|
18%
|
(21%)
|
|
|
7%
|
|
22%
|
(24%)
|
|
|
6%
|
|
34%
|
(11%)
|
|
|
22%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
attributable to Baidu
(non-GAAP)
|
|
4,740
|
(1,962)
|
|
|
3,635
|
|
4,519
|
(2,482)
|
|
|
3,082
|
|
5,656
|
(956)
|
|
|
5,082
|
|
801
|
(135)
|
|
|
719
|
YOY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
19%
|
(51%)
|
|
|
40%
|
|
|
|
|
|
|
QOQ
|
|
|
|
|
|
|
|
|
|
|
|
|
|
25%
|
(61%)
|
|
|
65%
|
|
|
|
|
|
|
Net margin
(non-GAAP)
|
|
24%
|
(28%)
|
|
|
14%
|
|
30%
|
(32%)
|
|
|
14%
|
|
30%
|
(13%)
|
|
|
20%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA
|
|
4,766
|
(1,407)
|
|
|
3,355
|
|
4,641
|
(1,746)
|
|
|
2,852
|
|
7,771
|
(716)
|
|
|
7,015
|
|
1,100
|
(101)
|
|
|
993
|
YOY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
63%
|
(49%)
|
|
|
109%
|
|
|
|
|
|
|
QOQ
|
|
|
|
|
|
|
|
|
|
|
|
|
|
67%
|
(59%)
|
|
|
146%
|
|
|
|
|
|
|
Adjusted EBITDA
margin
|
|
24%
|
(20%)
|
|
|
13%
|
|
30%
|
(23%)
|
|
|
13%
|
|
41%
|
(10%)
|
|
|
27%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes
share-based compensation as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
|
58
|
41
|
|
|
99
|
|
34
|
47
|
|
|
81
|
|
49
|
59
|
|
|
108
|
|
7
|
8
|
|
|
15
|
Selling,
general and administrative
|
|
327
|
176
|
|
|
503
|
|
273
|
191
|
|
|
464
|
|
331
|
219
|
|
|
550
|
|
47
|
31
|
|
|
78
|
Research and
development
|
|
959
|
63
|
|
|
1,022
|
|
877
|
68
|
|
|
945
|
|
1,102
|
86
|
|
|
1,188
|
|
156
|
12
|
|
|
168
|
Total
share-based compensation
|
|
1,344
|
280
|
|
|
1,624
|
|
1,184
|
306
|
|
|
1,490
|
|
1,482
|
364
|
|
|
1,846
|
|
210
|
51
|
|
|
261
|
(2) Relates to
intersegment eliminations and adjustments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3) Relates to
the net loss attributable to iQIYI noncontrolling
interests
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Baidu,
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Condensed
Consolidated Statements of Cash Flows
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In
millions,unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
Three months
ended
|
|
Three months
ended
|
|
Three months
ended
|
|
|
June 30, 2019
(RMB)
|
|
March 31, 2020
(RMB)
|
|
June 30, 2020
(RMB)
|
|
June 30, 2020
(US$)
|
|
|
Baidu
excl.
iQIYI
|
iQIYI
|
Baidu,
Inc.
|
|
Baidu
excl.
iQIYI
|
iQIYI
|
Baidu,
Inc.
|
|
Baidu
excl.
iQIYI
|
iQIYI
|
Baidu,
Inc.
|
|
Baidu
excl.
iQIYI
|
iQIYI
|
Baidu,
Inc.
|
Net cash provided
by (used in) operating
activities
|
|
6,074
|
891
|
6,965
|
|
2,801
|
(604)
|
2,197
|
|
9,547
|
(1,358)
|
8,189
|
|
1,351
|
(192)
|
1,159
|
Net cash provided by
(used in) investing activities
|
|
(2,713)
|
(7,836)
|
(10,549)
|
|
(11,084)
|
(1,610)
|
(12,694)
|
|
(8,854)
|
1,144
|
(7,710)
|
|
(1,254)
|
162
|
(1,092)
|
Net cash provided by
(used in) financing activities
|
|
(8,822)
|
373
|
(8,449)
|
|
(1,296)
|
(79)
|
(1,375)
|
|
(2,211)
|
823
|
(1,388)
|
|
(312)
|
116
|
(196)
|
Effect of exchange
rate changes on cash, cash
equivalents and restricted cash
|
|
235
|
170
|
405
|
|
139
|
64
|
203
|
|
26
|
(10)
|
16
|
|
3
|
(1)
|
2
|
Net increase
(decrease) in cash, cash
equivalents and restricted cash
|
|
(5,226)
|
(6,402)
|
(11,628)
|
|
(9,440)
|
(2,229)
|
(11,669)
|
|
(1,492)
|
599
|
(893)
|
|
(212)
|
85
|
(127)
|
Cash, cash
equivalents and restricted cash
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At beginning
of period
|
|
20,541
|
14,026
|
34,567
|
|
27,529
|
6,910
|
34,439
|
|
18,089
|
4,681
|
22,770
|
|
2,560
|
663
|
3,223
|
At end of
period
|
|
15,315
|
7,624
|
22,939
|
|
18,089
|
4,681
|
22,770
|
|
16,597
|
5,280
|
21,877
|
|
2,348
|
748
|
3,096
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided
by (used in) operating
activities
|
|
6,074
|
891
|
6,965
|
|
2,801
|
(604)
|
2,197
|
|
9,547
|
(1,358)
|
8,189
|
|
1,351
|
(192)
|
1,159
|
Less: Capital
expenditures
|
|
(1,204)
|
(155)
|
(1,359)
|
|
(478)
|
(67)
|
(545)
|
|
(797)
|
(57)
|
(854)
|
|
(113)
|
(8)
|
(121)
|
Less: Acquisition of
licensed copyrights(1)
|
|
(41)
|
(2,906)
|
(2,947)
|
|
-
|
-
|
-
|
|
-
|
-
|
-
|
|
-
|
-
|
-
|
Free cash
flow
|
|
4,829
|
(2,170)
|
2,659
|
|
2,323
|
(671)
|
1,652
|
|
8,750
|
(1,415)
|
7,335
|
|
1,238
|
(200)
|
1,038
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note: Baidu excl.
iQIYI represents Baidu, Inc. minus iQIYI's consolidated cash
flows.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Starting from
January 1, 2020, Baidu adopted ASU 2019-02, Improvements to
Accounting for Costs of Films and License Agreements for Program
Materials, which reclassifies cash outflows
for costs incurred to acquire licensed contents from investing
activities to operating activities. To increase comparability, 2019
non-GAAP measure of free cash flow has been retrospectively
adjusted to include cash outflows of acquisition of licensed
copyrights, which is presented on the same basis as 2020 and going
forward.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Free cash flow,
previously reported
|
|
4,870
|
736
|
5,606
|
|
2,323
|
2,056
|
4,379
|
|
8,750
|
1,290
|
10,040
|
|
1,238
|
183
|
1,421
|
Less: Acquisition of
licensed copyrights
|
|
(41)
|
(2,906)
|
(2,947)
|
|
-
|
(2,727)
|
(2,727)
|
|
-
|
(2,705)
|
(2,705)
|
|
-
|
(383)
|
(383)
|
Free cash flow,
revised
|
|
4,829
|
(2,170)
|
2,659
|
|
2,323
|
(671)
|
1,652
|
|
8,750
|
(1,415)
|
7,335
|
|
1,238
|
(200)
|
1,038
|
Baidu,
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliations of
Non-GAAP Financial Measures to the Nearest Comparable GAAP
Measures
|
|
|
|
|
|
|
|
|
|
(In millions except
for ADS and per ADS information, unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
Three months
ended
|
|
Three months
ended
|
|
Three months
ended
|
|
|
June 30, 2019
(RMB)
|
|
March 31, 2020
(RMB)
|
|
June 30, 2020
(RMB)
|
|
June 30, 2020
(US$)
|
|
|
Baidu
Core
|
iQIYI
|
Baidu,
Inc.
|
|
Baidu
Core
|
iQIYI
|
Baidu,
Inc.
|
|
Baidu
Core
|
iQIYI
|
Baidu,
Inc.
|
|
Baidu
Core
|
iQIYI
|
Baidu,
Inc.
|
Operating income
(loss)
|
|
2,109
|
(1,872)
|
233
|
|
1,848
|
(2,242)
|
(437)
|
|
4,966
|
(1,282)
|
3,644
|
|
703
|
(181)
|
516
|
Add:
Share-based compensation expenses
|
|
1,344
|
280
|
1,624
|
|
1,184
|
306
|
1,490
|
|
1,482
|
364
|
1,846
|
|
210
|
51
|
261
|
Add:
Amortization and impairment of intangible
assets(1)
|
|
32
|
66
|
98
|
|
316
|
68
|
384
|
|
34
|
81
|
115
|
|
4
|
12
|
16
|
Operating income
(loss) (non-GAAP)
|
|
3,485
|
(1,526)
|
1,955
|
|
3,348
|
(1,868)
|
1,437
|
|
6,482
|
(837)
|
5,605
|
|
917
|
(118)
|
793
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Add:
Depreciation of fixed assets
|
|
1,281
|
119
|
1,400
|
|
1,293
|
122
|
1,415
|
|
1,289
|
121
|
1,410
|
|
183
|
17
|
200
|
Adjusted
EBITDA
|
|
4,766
|
(1,407)
|
3,355
|
|
4,641
|
(1,746)
|
2,852
|
|
7,771
|
(716)
|
7,015
|
|
1,100
|
(101)
|
993
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
attributable to Baidu
|
|
3,731
|
(2,327)
|
2,412
|
|
1,698
|
(2,875)
|
41
|
|
4,424
|
(1,442)
|
3,579
|
|
626
|
(203)
|
507
|
Add: Share-based
compensation expenses
|
|
1,337
|
280
|
1,495
|
|
1,177
|
306
|
1,348
|
|
1,473
|
364
|
1,676
|
|
208
|
51
|
237
|
Add: Amortization and
impairment of intangible assets(1)(3)
|
|
8
|
52
|
37
|
|
143
|
54
|
173
|
|
19
|
65
|
55
|
|
4
|
9
|
8
|
Add: Disposal loss
(gain)(3)(4)
|
|
(181)
|
-
|
(181)
|
|
(252)
|
-
|
(252)
|
|
453
|
-
|
453
|
|
64
|
-
|
64
|
Add: Impairment of
long-term investments(3)
|
|
162
|
23
|
185
|
|
1,528
|
24
|
1,542
|
|
752
|
48
|
779
|
|
107
|
7
|
110
|
Add: Fair value loss
(gain) of long-term investments(3)
|
|
(285)
|
(1)
|
(286)
|
|
(176)
|
-
|
(176)
|
|
(2,535)
|
-
|
(2,535)
|
|
(359)
|
-
|
(359)
|
Add: Reconciling
items on equity method investments(2)
|
|
(32)
|
11
|
(27)
|
|
401
|
9
|
406
|
|
1,070
|
9
|
1,075
|
|
151
|
1
|
152
|
Net income (loss)
attributable to Baidu (non-GAAP)
|
|
4,740
|
(1,962)
|
3,635
|
|
4,519
|
(2,482)
|
3,082
|
|
5,656
|
(956)
|
5,082
|
|
801
|
(135)
|
719
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings
per ADS
|
|
|
|
6.57
|
|
|
|
0.02
|
|
|
|
10.31
|
|
|
|
1.46
|
Add: Accretion
of the redeemable noncontrolling interests
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0.05
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0.07
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0.07
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0.01
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Add: Non-GAAP
adjustments to earnings per ADS
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3.49
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8.75
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4.35
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0.61
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Diluted earnings
per ADS (non-GAAP)
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10.11
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8.84
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14.73
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2.08
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(1) This represents
amortization and impairment of intangible assets resulting from
business combinations.
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(2) This represents
Baidu's share of equity method investments for other non-GAAP
reconciling items, amortization and impairment of intangible assets
not on the investee's books, accretion of their
redeemable noncontrolling interests, and the gain or loss
associated with the issuance of shares by the investees at a price
higher or lower than the carrying value per shares, adjusted for
related income tax effects.
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(3) Net of related
tax impact
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(4) Includes
re-measurement gain or loss of previous held equity interest in the
acquisition
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View original
content:http://www.prnewswire.com/news-releases/baidu-announces-second-quarter-2020-results-301112078.html
SOURCE Baidu, Inc.