Segment Reporting

12 Months Ended

Dec. 31, 2022

Segment Reporting [Abstract]

Segment Reporting

25. SEGMENT REPORTING

The Company’s operations are organized into two segments, consisting of Baidu Core and iQIYI. Within Baidu Core, the Company’s product and services offerings are categorized as follows—Mobile Ecosystem, Baidu Cloud and Apollo Intelligent Driving & Other Growth Initiatives. iQIYI is an innovative market-leading online entertainment service provider. iQIYI’s platform features iQIYI original content, as well as a comprehensive library of other professionally produced content (PPC), professional user generated content (PUGC) and user-generated content. 

The Company derives the results of the segments directly from its internal management reporting system. The CODM reviews the performance of each segment based on its operating results and uses these results to evaluate the performance of, and to allocate resources to, each of the segments. Because substantially all of the Group’s long-lived assets and revenues are located in and derived from the PRC, geographical segments are not presented. The Company does not allocate assets to its segments as the CODM does not evaluate the performance of segments using asset information.

The table below provides a summary of the Group’s operating segment operating results for the year ended December 31, 2020.

	For the year ended December 31, 2020
	Baidu Core			iQIYI			Intersegment eliminations			Consolidated
	RMB			RMB			RMB			RMB
	(In millions)
Total revenues		78,684			29,707			(1,317	)		107,074
Operating costs and expenses:
Cost of revenues		28,368			27,884			(1,094	)		55,158
Selling, general and administrative		12,931			5,188			(56	)		18,063
Research and development		16,847			2,676			(10	)		19,513
Total operating costs and expenses		58,146			35,748			(1,160	)		92,734
Operating profit (loss)		20,538			(6,041	)		(157	)		14,340
Total other income (loss), net		9,693			(943	)		—			8,750
Income (loss) before income taxes		30,231			(6,984	)		(157	)		23,090
Income taxes		4,041			23			—			4,064
Net income (loss)		26,190			(7,007	)		(157	)		19,026
Less: net (loss) income attributable to noncontrolling interests		(334	)		31			(3,143	)		(3,446	)
Net income (loss) attributable to Baidu, Inc.		26,524			(7,038	)		2,986			22,472

The table below provides a summary of the Group’s operating segment operating results for the year ended December 31, 2021.

	For the year ended December 31, 2021
	Baidu Core		iQIYI			Intersegment eliminations			Consolidated
	RMB		RMB			RMB			RMB
	(In millions)
Total revenues		95,163		30,554			(1,224	)		124,493
Operating costs and expenses:
Cost of revenues		37,838		27,513			(1,037	)		64,314
Selling, general and administrative		20,040		4,725			(42	)		24,723
Research and development		22,143		2,795			—			24,938
Total operating costs and expenses		80,021		35,033			(1,079	)		113,975
Operating profit (loss)		15,142		(4,479	)		(145	)		10,518
Total other income (loss), net		1,793		(1,533	)		—			260
Income (loss) before income taxes		16,935		(6,012	)		(145	)		10,778
Income taxes		3,090		97			—			3,187
Net income (loss)		13,845		(6,109	)		(145	)		7,591
Less: net income (loss) attributable to noncontrolling interests		288		61			(2,984	)		(2,635	)
Net income (loss) attributable to Baidu, Inc.		13,557		(6,170	)		2,839			10,226

The table below provides a summary of the Group’s operating segment operating results for the year ended December 31, 2022.

	For the year ended December 31, 2022
	Baidu Core						iQIYI						Intersegment eliminations						Consolidated
	RMB			US$			RMB			US$			RMB			US$			RMB			US$
	(In millions)
Total revenues		95,431			13,836			28,998			4,204			(754	)		(109	)		123,675			17,931
Operating costs and expenses:
Cost of revenues		42,378			6,144			22,321			3,236			(764	)		(111	)		63,935			9,269
Selling, general and administrative		17,103			2,480			3,466			503			(55	)		(8	)		20,514			2,975
Research and development		21,416			3,105			1,899			275			—			—			23,315			3,380
Total operating costs and expenses		80,897			11,729			27,686			4,014			(819	)		(119	)		107,764			15,624
Operating profit		14,534			2,107			1,312			190			65			10			15,911			2,307
Total other (loss) income, net		(4,453	)		(646	)		(1,346	)		(195	)		—			—			(5,799	)		(841	)
Income before income taxes		10,081			1,461			(34	)		(5	)		65			10			10,112			1,466
Income taxes		2,494			362			84			12			—			—			2,578			374
Net income (loss)		7,587			1,099			(118	)		(17	)		65			10			7,534			1,092
Less: net income (loss) attributable to noncontrolling interests		36			4			18			3			(79	)		(11	)		(25	)		(4	)
Net income (loss) attributable to Baidu, Inc.		7,551			1,095			(136	)		(20	)		144			21			7,559			1,096

The following table presents the Company’s revenues disaggregated by segment and by types of products or services:

	For the years ended
	December 31, 2020			December 31, 2021			December 31, 2022			December 31, 2022
	RMB			RMB			RMB			US$
	(In millions)
Online marketing services		66,283			73,919			69,522			10,080
Cloud services (i)		9,173			15,070			17,721			2,569
Others (i)		3,228			6,174			8,188			1,187
Baidu Core Subtotal		78,684			95,163			95,431			13,836
Membership services (i)		16,491			16,714			17,711			2,568
Online advertising services (ii)		6,822			7,067			5,332			773
Content distribution (i)		2,660			2,856			2,470			358
Others (i)(iii)		3,734			3,917			3,485			505
iQIYI Subtotal		29,707			30,554			28,998			4,204
Intersegment eliminations		(1,317	)		(1,224	)		(754	)		(109	)
Total revenue		107,074			124,493			123,675			17,931

(i) The revenues were presented as “Others” in the consolidated statements of comprehensive income

(ii) The revenues were presented as “Online marketing services” in the consolidated statements of comprehensive income

(iii) The Others category above mainly include revenues from online games, live broadcasting and other licensing.