NASDAQ$MELI

MercadoLibre Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

MercadoLibre experienced a strong start to the year, demonstrating profit growth alongside rapid revenue expansion.

MercadoLibre reported net revenues of $3.0 billion, a 58.4% increase year-over-year on an FX neutral basis. Income from operations reached $340 million, resulting in an 11.2% margin. Total Payment Volume was $37.0 billion, up 96.1% year-over-year on an FX neutral basis, and Gross Merchandise Volume reached $9.4 billion, a 43.3% increase year-over-year on an FX neutral basis.

  • Revenue grew 58.4% year-over-year on an FX neutral basis, reaching $3.0 billion.
  • Income from operations hit a new Q1 record of $340 million, with margin expanding to 11.2%.
  • GMV grew 43% year-over-year on an FX-neutral basis, driven by acceleration in items sold growth.
  • TPV grew 96% on an FX-neutral basis, reaching $37.0 billion, with off-platform TPV growing above 100%.

Headline financials

Total Revenue

$3.04B

Previous: $2.25B+35.1%
EPS (adj)

$3.97

Previous: $1.30+205.4%
Gross Merchandise Volume

$9.43B

Previous: $7.67B+23.1%
Total Payment Volume

$37B

Previous: $25.3B+46.1%
Items Sold

309.0M

Previous: 267.0M+15.7%
Payment Transactions

1.9B

Previous: 1.1B+71.9%
Unique Active Buyers

101.0M

No prior period
Capital Expenditures

-$89M

Previous: -$137M+35.0%
Free Cash Flow

$112M

Previous: -$72M+255.6%
Net Income

$201M

Previous: $65M+209.2%
Operating Income

$340M

Previous: $139M+144.6%
Gross Profit

$1.54B

Previous: $1.07B+43.2%
Cash & Equivalents

$2.14B

Previous: $1.57B+36.2%
Total Assets

$14.2B

Previous: $11B+28.8%

Revenue & EPS history

MercadoLibre · Revenue · Quarterly

$3.04B

Q1 2023+35.1%vs Q1 2022
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Forward guidance

MercadoLibre remains focused on executing well through the rest of the year, with many businesses contributing to sustained margin expansion. They believe there are attractive growth opportunities ahead, with plans to hire an additional 1,700 engineers in 2023.

Tailwinds

  • Sustained margin expansion.
  • Attractive growth opportunities.
  • Commitment to profitable growth in the long-term.
  • Good momentum as we look to the remainder of 2023, and further ahead.
  • Many new products still to develop.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2023

Historical avgQ1 2023

+4.2%

Avg return

Earnings day

+4.3%

Avg return

5 days after

+4.5%

Avg return

30 days after

63%

44 / 70 earnings

Positive

+26.2%

Q2 2012

Best reaction

-15.1%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-12.7%-16.5%
Q4 2025-4.6%-7.6%-16.8%
Q3 2025+4.5%+0.4%-9.8%
Q2 2025-3.8%-4.8%+0.4%
Q1 2025+6.4%+11.2%+9.7%
Q4 2024+7.1%+4.1%-0.7%
Q3 2024-15.1%-6.2%-6.8%
Q2 2024+6.4%+8.5%+23.5%
Q1 2024+11.9%+15.9%+18.5%
Q4 2023-6.2%-7.5%-9.5%
Q3 2023+6.3%+10.8%+33.1%
Q2 2023+9.3%+12.3%+17.5%
Q1 2023-3.4%+2.3%+1.2%
Q4 2022+3.5%+9.1%+6.2%
Q3 2022+10.3%+10.1%+11.0%
Q2 2022+23.5%+22.3%+2.2%
Q1 2022-9.3%-24.3%-22.9%
Q4 2021-1.8%+18.6%+31.9%
Q3 2021+6.4%+11.6%-31.3%
Q2 2021+13.4%+11.4%+23.5%
Q1 2021-5.3%-9.3%-13.2%
Q4 2020+0.3%-10.2%-10.1%
Q3 2020+16.5%+7.8%+26.2%
Q2 2020-7.9%-3.1%-11.4%
Q1 2020+22.3%+29.2%+38.3%
Q4 2019+0.9%+13.8%-14.8%
Q3 2019-11.1%-12.0%+5.4%
Q2 2019+14.5%+3.8%-0.5%
Q1 2019+19.4%+11.3%+17.7%
Q4 2018+19.1%+20.4%+32.5%
Q3 2018+9.2%+3.6%+8.5%
Q2 2018+10.6%+3.3%-6.0%
Q1 2018-5.0%-10.5%-13.4%
Q4 2017+3.7%+0.6%-7.7%
Q3 2017+11.9%+11.1%+14.2%
Q2 2017-9.1%-12.1%-12.1%
Q1 2017+17.1%+19.9%+19.3%
Q4 2016+3.7%+5.2%+5.2%
Q3 2016+0.2%+4.8%-8.4%
Q2 2016+14.3%+12.5%+23.1%
Q1 2016+3.0%
Q4 2015-5.4%
Q3 2015+11.7%
Q2 2015-6.3%
Q1 2015-2.7%
Q4 2014-1.1%
Q3 2014+19.7%
Q2 2014+13.9%
Q1 2014+0.5%
Q4 2013+10.9%
Q3 2013-11.3%
Q2 2013+9.3%
Q1 2013+17.8%
Q4 2012-1.3%
Q3 2012+2.9%
Q2 2012+26.2%
Q1 2012-0.3%
Q1 2009-5.3%
Q4 2011-5.3%
Q3 2011+5.6%
Q2 2011+7.2%
Q1 2010-0.2%
Q1 2011-0.2%
Q4 2008-2.0%
Q4 2010-2.0%
Q3 2010+5.6%
Q3 2009+5.6%
Q2 2009+6.0%
Q4 2009+6.0%
Q2 2010+6.0%

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