Despite surpassing the estimates, Baidu’s share price encountered big slump. Shares of Baidu ended lower by $7.63 per share or down 4.1% at $180.23 per share despite beating the estimates.

　　According to the earnings report, Baidu said revenues would come in between $2.974 billion and $3.048 billion, a year-on-year growth of 12.1% and 14.9%.

　　However, according to Thomson Reuters’s analysts, the Wall Street estimates that Baidu would cash in ￥20.84 billion in Q2.

　　Jennifer Li commented on the estimates that Baidu’s revenue forecast on Q2 mainly covers IQIYI and the company’s main businesses.

　　Baidu’s information flow business also made major progress in user acquisition and is gradually making profits. However, it’s not providing obvious thrust to the growth of revenue. The expansion of search business makes it possible for more users and clients to enjoy Baidu’s service.

　　In accordance with Baidu’s 20-F document, IQIYI had a strong growth last year and provided great driving force for Baidu. In Q2 all business lines had convincing growth, as well as IQYI’s advertising business and its membership business.

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　　Translated by Garrett Lee (Senior Translator at PAGE TO PAGE), working for TMTpost.