Baidu Beats Q1 Revenue Estimates on AI Cloud Strength
Baidu beat quarterly revenue estimates as AI cloud growth offset weak advertising. Revenue hit 32.1 billion yuan, surpassing the 31.35 billion yuan forecast.
BAIDU INC reported first-quarter revenue of 32.1 billion yuan ($4.47 billion), beating analyst estimates of 31.35 billion yuan. A 49% surge in AI cloud revenue offset a 21% decline in the search giant's core advertising business. The shift highlights how enterprise AI demand is decoupling tech growth from China's broader consumer spending slump.
U.S.-listed shares of Baidu rose more than 3% during premarket trading. LSEG data shows total revenue reached 32.1 billion yuan for the quarter ended March. Baidu's core AI-powered business, including cloud and robotaxis, jumped to 13.6 billion yuan.
