Baidu Inc. reported its financial results for the fourth quarter and full year of 2024, highlighting a mixed performance. The company's total revenue for the year reached $18.24 billion, with net income attributable to Baidu Core growing by 21% year over year to $3.21 billion. However, fourth-quarter revenue saw a 2% decrease to $4.675 billion, despite surpassing market expectations. Baidu's adjusted earnings per share for the quarter stood at $2.63, exceeding estimates. The company's core business, Baidu Core, generated revenue of RMB27.7 billion ($3.80 billion) in the fourth quarter, marking a 1% increase year over year. Within this, online marketing revenue fell by 7% to RMB17.9 billion ($2.46 billion), while non-online marketing revenue rose by 18% to RMB9.8 billion ($1.34 billion). Baidu's AI Cloud business showed robust growth, with revenue increasing by 26% year over year to CNY 7.1 billion in the fourth quarter. The company's adjusted earnings per share for the quarter were ¥19.18, and revenue was ¥34.1 billion, with adjusted EBITDA at ¥6.95 billion and an adjusted EBITDA margin of 20%. Free cash flow, excluding iQIYI, was negative at -¥476 million. Baidu's CEO, Robin Li, noted that 2024 marked a pivotal year in the company's transformation towards an AI-first business, with expectations for AI investments to deliver more significant results in 2025. Despite these gains, Baidu's stock fell in pre-market trading, reflecting investor concerns over the company's core business struggles.