(Yicai) Feb. 29 -- Chinese artificial intelligence leader Baidu said profit soared 39 percent last year thanks to generative AI and foundation models.

Net profit on the basis of non-generally accepted accounting principles was USD4.1 billion in the year ended Dec. 31, the Beijing-based firm's trading results showed yesterday. Revenue rose 9 percent to USD19 billion.

Revenue from Baidu Core, which mainly provides online marketing services and non-marketing value-added services, as well as from new AI projects such as its ChatGPT rival Ernie Bot was USD14.6 billion, up 8 percent from a year earlier. Online marketing income climbed 8 percent to USD10.6 billion.

“We made significant strides in advancing Ernie and Ernie Bot, reinventing our products and services, and achieving breakthroughs in monetization,” said Chief Executive Officer Robin Li. “Concurrently, our core business remained resilient and healthy. 

"Looking ahead, our commitment to Gen-AI and foundation models remains unwavering, paving the way for the gradual creation of a new growth engine," added Li, who is also Baidu’s co-founder.

In the three months ended Dec. 31, Baidu's non-GAAP net profit soared 44 percent from a year earlier to USD537 million, while revenue rose 6 percent to USD4.9 billion.

“In the fourth quarter, we maintained our focus on enhancing operational efficiencies,” said Chief Financial Officer Rong Luo. “As we look ahead into 2024, our goal is to persistently enhance operational efficiencies and achieve high-quality growth.”

Daily use of Ernie Bot exceeded 50 million in the fourth quarter, a 190 percent surge from the previous quarter, Li said on the firm's earnings conference call.

Many well-known companies, such as South Korea's Samsung, agreed in the fourth quarter to cooperate with Baidu to integrate or develop applications based on Ernie Bot, Li said. Around 26,000 businesses use Ernie Bot every month, up 150 percent quarter on quarter, he added.

Baidu [HKG: 9888] ended 6.6 percent down at HKD99.55 (USD12.72) a share in Hong Kong today, after its New York-listed stock [NASDAQ: BIDU] dropped 8 percent to USD103.31 yesterday.

Editor: Martin Kadiev