LOS ANGELES, April 28 (Reuters) - Top Chinese Internet search firm Baidu Inc smashed quarterly profit forecasts as advertisers flocked to its new keyword system amid Google Inc's high-profile departure from China, sending its shares skyrocketing.
Baidu's first-quarter net earnings came in at $70.4 million, or $2.02 per share. Analysts had expected a profit of $53.6 million or $1.51 a share, according to Thomson Reuters I/B/E/S.
Its shares have more than doubled this year on hopes it would benefit from Google's decision to shutter its Google.cn search site amid a dispute over Chinese censorship. It is trading at an expensive 65 times 2010 earnings compared with Google's 19.5 times and Yahoo Inc's 26.
China is the world's largest Internet market by users with more than 400 million, according to government data.
American Depositary Shares in Baidu jumped 13 percent to almost $700 in after-hours trade, from a regular-session close of $621.38.
(Reporting by Melanie Lee and Edwin Chan; Editing by Anshuman Daga and Matthew Lewis)
((melanie.lee@thomsonreuters.com; + 86 21 6104 1778; Reuters Messaging: melanie.lee.reuters.com@reuters.net)) Keywords: BAIDU/ (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Baidu's first-quarter net earnings came in at $70.4 million, or $2.02 per share. Analysts had expected a profit of $53.6 million or $1.51 a share, according to Thomson Reuters I/B/E/S.
Its shares have more than doubled this year on hopes it would benefit from Google's decision to shutter its Google.cn search site amid a dispute over Chinese censorship. It is trading at an expensive 65 times 2010 earnings compared with Google's 19.5 times and Yahoo Inc's 26.
China is the world's largest Internet market by users with more than 400 million, according to government data.
American Depositary Shares in Baidu jumped 13 percent to almost $700 in after-hours trade, from a regular-session close of $621.38.
(Reporting by Melanie Lee and Edwin Chan; Editing by Anshuman Daga and Matthew Lewis)
((melanie.lee@thomsonreuters.com; + 86 21 6104 1778; Reuters Messaging: melanie.lee.reuters.com@reuters.net)) Keywords: BAIDU/ (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.