Baidu Posts Its Biggest Decline Ever Since Going Public

July 28, 2016, 8:55 PM UTC
Baidu Inc.'s Autonomous Car Project And Senior Vice President Wang Jing Interview
The Baidu Inc.'s autonomous car stands at the company's headquarters in Beijing, China, on Tuesday, Jan. 19, 2016. Wang Jing, the senior vice president in charge of Baidu's autonomous driving efforts, is on a mission: To push China to the forefront of the coming driverless-car era. He thinks the company can leverage its expertise in artificial intelligence, data mapping and Internet connectivity to excel in autonomous driving technology. Photographer: Qilai Shen/Bloomberg via Getty Imagese
Photograph by Qilai Shen — Bloomberg via Getty Images

Baidu, China’s biggest Internet search firm, reported a 34% fall in quarterly net income—its biggest ever decline since going public—hurt by a healthcare scandal that embroiled the company this year.

The company’s net income fell to 2.41 billion yuan ($362 million) in the April-June quarter from 3.66 billion yuan a year earlier, Baidu said in a statement on Thursday.

Baidu was expected to post net income of 2.42 billion yuan, according to a Thomson Reuters survey of eight analysts.

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Baidu’s revenue rose 10.2% to 18.26 billion yuan from 16.58 billion yuan a year earlier, marking its slowest growth in nearly eight years.

For more about how self-driving cars are transforming the auto industry, watch:

Analysts had expected revenue to rise 9.6%.

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