China search engine company Baidu posts slower revenue growth

SAN FRANCISCO Tue Oct 30, 2012 5:55am IST

An employee walks past the Baidu company signage outside its headquarters in Beijing, July 26, 2011. REUTERS/Soo Hoo Zheyang/Files

An employee walks past the Baidu company signage outside its headquarters in Beijing, July 26, 2011.

Credit: Reuters/Soo Hoo Zheyang/Files

Related Topics

Stocks

   

SAN FRANCISCO (Reuters) - Baidu Inc (BIDU.O), China's largest search engine company, posted its slowest quarterly revenue growth in more than two years, hurt by slowing sales as economic growth slows.

Baidu said on Monday that revenue in the third quarter was $994.6 million, up 49.7 percent from the year-ago period.

For the fourth quarter, Baidu said it expects revenue of $979.3 million to $1.010 billion, below the average analysts' forecasts of $1.03 billion according to Thomson Reuters I/B/E/S.

Baidu posted net income of $478.6 million in the three months ended September 30, up roughly 60 percent year-on-year. Baidu said it earned $1.39 per American Depository Share in the third quarter, excluding stock-based compensation expenses.

Baidu, which has dominated the search market since Google Inc (GOOG.O) relocated its search engine to Hong Kong in a row over censorship in 2010, is facing a new challenge from China's top anti-virus software firm, Qihoo 360 Technology (QIHU.N).

A search engine launched by Qihoo in August has started to gain traction, accounting for 5-10 percent of search traffic since its launch, according to data from research firm Analysys International.

Baidu shares have fallen about 2 percent this year on expectations that it will be hurt by slower economic growth in China, underperforming a 14 percent rise on the Nasdaq exchange.

(Reporting By Alexei Oreskovic; Editing by David Gregorio)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Rising Star

Reuters Showcase

Cybercrime

Cybercrime

Hacker sentenced to 21 months in U.S. prison for $15 mln scheme.  Full Article 

Printed Instruments

Printed Instruments

3D printed instruments make sweet music in Sweden.  Video 

Tweet Debut

Tweet Debut

Britain's Queen Elizabeth sends her first tweet.  Full Article 

Artificial Intelligence

Artificial Intelligence

Google bolsters artificial intelligence efforts, partners with Oxford.  Full Article 

Fighting For Workers

Fighting For Workers

Ralph Nader urges Apple to reduce buybacks, improve wages - WSJ.  Full Article 

Future Uncertainty

Future Uncertainty

Ericsson flags North America slowdown.  Full Article 

Microsoft Earnings

Microsoft Earnings

Microsoft sales beat Street hopes, cloud profits up.  Full Article 

Looking To Sell

Looking To Sell

HP seeking buyers for corporate-networking business in China - WSJ.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage