Analysis of Baidu Financials

The financials over last four quarter have shown a very strong performance of Baidu.

	Q2, 05	Q3,05	Q4, 05	Q1, 06	Q2,06
Revenue	8,400	11,000	14,200	16,900	23,500
Q/Q	52.6%	27.6%	29.2%	18%	39%
Yr/Yr	188.6%	174.4%	167.7%	196.8%
Non-GAAP Op Income	2,200	2,200	3,100	5,000
Q/Q	110.8%	unchanged	39.2%	61%
Yr/Yr	218%	139.8%	124.6%	347%
Operating Margin		20%	22%	30%	32%
Net Income	1,500	1,100	3,000	4,400	7,520
Q/Q	381.8%	-29.4%	188.7%	43.5%
Yr/Yr	625.5%	189.3%	285.6%	1309%
EPS	0.05	0.03	0.09	0.13	0.22
Active Customer	41,248	53,000	63,000	74,000	86,500
Q/Q	29.8%	28.9%	18.6%	17.5%	17%
Rev. Per Customer	18.9%	-1%	9.7%	unchanged	18%

The Q2 quarter figures are estimate according to management's guidance of 23 to 24 million revenue for the quarter.

If assuming a pick up of 17% more customer for the coming quarter, the management must have seen somewhere around 20% increased spending by active customers in the month of April and first week of May.

Having seen the conservative side of the management, we speculate that the coming quarter will probably coming in at 24 to 25 million with EPS around 24 - 25 cents.

(figure add on 5/13/06)

Baidu is taking off!