Baidu Posts Strong Mobile Revenue
Baidu.com Inc (Nasdaq: BIDU), China's dominant search engine, said revenue from its mobile services has for the first time represented over 10% of total revenue in Q2 2013 as the company invested heavily boosting user experience in mobile services. Earlier this month Baidu paid $1.1 billion for a 57.41% stake in 91 Wireless, a leading Chinese mobile platform connected to 93,000 app developers. The deal is expected to give Baidu access to 91 Wireless's massive app store as a supplement to its desktop and wireless search business and make up for its disadvantages in the mobile Internet market where Qihoo 360 Technology Co (NYSE: QIHU) is the leader. Baidu posted 7.56 billion yuan in revenues and 3.48 billion yuan in net profits for Q2 2013, up 38.6% and 8.4% respectively from a year earlier. Spending on R&D surged 72.6% year on year to 941.8 million yuan in Q2 2013, due primarily to an increase in R&D personnel. Baidu is expected to report better performance in Q3 2013 as its acquisition of video site PPStream begins working to benefit its video business.
China Railway Corp Issues 20 Billion Yuan Bonds
China Railway Corp, the entity that assumes business operations after the powerful Ministry of Railways broke up in March, issued this year's first tranche of bonds valued at 20 billion yuan with a fixed yield of 4.97% and a term of 10 years. The interest rate beat market expectations given the current tight liquidity conditions. China Railway Corp has been approved to issue a total of 150 billion yuan in railway construction bonds in 2013. The company offered 20 billion yuan of 5-year medium-term notes on the interbank bond market in May, with an interest rate of 4.5%, which was lower than in 2012.
Citic Bank Gets Banking Regulator's Approval for Bond Issuance
China Citic Bank Corp (SHA: 601998, HKG: 0998) has received approval from the banking regulator to sell up to 30 billion yuan worth of bonds in the interbank bond market, according to a filing to the Shanghai Stock Exchange. The plan is still pending approval from the People's Bank of China, the nation's central bank. The maturity of the bonds will not be over 5 years and the money raised will be lent to small and microsized businesses, Citic Bank said in January 2012, when it first announced the bond issuance plan.
China Construction Bank Leads Mobile Banking
The value of China's banking transactions done via cellphones reached 2.22 trillion yuan in Q2 2013, up 56.2% from a quarter earlier, according to EnfoDesk data. China Construction Bank Corp (HKG: 0939, SHA: 601939) led the mobile banking market in Q2 2013 with a 35.4% share, followed by 32% for Industrial & Commercial Bank of China Ltd (HKG: 1398, SHA: 601398) and 12.1% for Bank of Communications Co (HKG: 3328, SHA: 601328).
Gome to Buy 28 Billion Yuan Goods from Sharp
Gome Electrical Appliances Holding Ltd (HKG: 0493), China's second largest consumer electronics retailer by revenue, has signed a procurement agreement with Sharp, the South Daily reported. Under the terms, Gome plans to buy a total of 28 billion yuan worth of Sharp products in 2013-2015, including 700,000 TV sets in 2013. Gome said mass sourcing will cut cost and therefore prices for consumers.
You are currently reading
total words in this article.
To continue reading this article, you must be a subscriber. Log in now..