The Chinese search-engine giant delivered strong fourth-quarter earnings, and is starting to siphon off cash-burning businesses
China’s search-engine giant looks to have found an answer to its growth problem.
Baidu delivered better-than-expected results after Tuesday’s market close; revenue last quarter grew 29% from a year ago while its operating profit more than doubled. Its Nasdaq-listed shares jump 5% in after-hours trading. Revenue at its bread-and-butter advertising business grew 26%. Baidu also said it expected 25% to 32% revenue growth this quarter, a better-than-expected increase after adjusting for changes in relevant accounting standards.