Baidu 2Q Results: Postgame Scorecard
Baidu's (NASDAQ:BIDU) net income increased and topped Wall Street expectations in the second quarter.
Earnings and Revenue The company experienced stronger-than-expected EPS and revenues. The company reported adjusted net income of $1.26 a share versus the $1.12 a share estimate and revenues of $858.8 million versus the $850.8 million estimate. The company's reported EPS came in above the high estimate of 11 analysts of a profit of $1.16.
The company's net income for the quarter was $436 million. According to the reported number, this is up 59.8% from last year's levels. Revenue climbed 62.6% from $528.3 million in the same period last year.
Company Fundamental Trends
History Against Expectations The company has now topped analyst estimates for at least the last four quarters. It beat by one cent in the first quarter, 4 cents in the fourth quarter of the last fiscal year and one cent in the third quarter of the last fiscal year.
Official Comment: "We are pleased to announce strong results for the second quarter despite macro headwinds and challenging comparisons with the same period last year," said Robin Li, chairman and chief executive officer of Baidu. "Our efforts to expand our customer base continue to make solid progress." Mr. Li continued, "In the coming quarters, we will maintain momentum by rolling out optimized sales processes and more advanced tools to help current and potential customers increase returns on their online marketing spend. We will also continue to actively explore the vast opportunities in China's fast-emerging mobile Internet and cloud sectors."
Estimates provided by Zacks Investment Research and company fundamentals from Xignite Financials.