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Baidu profits double in Q1

Baidu (BIDU.NASDAQ) reported that profits doubled in the first quarter and increased its second-quarter forecasts based on strong advertising demand, Reuters reported. China’s leading search engine reported net income of US$163.5 million compared to US$70.4 million a year ago, beating analyst expectations. Total revenues reached US$372 million, up 88% year-on-year. The company also projected earnings between US$493.3 million and US$503.9 million in the second quarter, also higher than analysts’ forecasts. Baidu has profited from Google’s (GOOG.NASDAQ) partial withdrawal from the mainland search market but faces increasing competition for market share from Sohu.com (SOHU.NASDAQ), Alibaba Group’s new eTao search engine and Tencent (0700.HK).

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