finance.yahoo.com

Baidu Shares Drop After Earnings as AI Growth Faces Profit Pressure

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Sig2.70Sen-4.80Env0.00Soc0.00Gov0.00

Shares fell 12.7% after Baidu released results showing profitability deterioration even as AI segments grew. Core AI-powered Business rose to RMB12.5 billion and AI Cloud Infrastructure revenue to RMB7.3 billion, but online marketing revenue fell 19% and attributable net income dropped 68% year over year. Management expects AI Cloud growth and margin support from GPU mix, utilization, and scale.

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