NASDAQ$MELI

MercadoLibre Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

MercadoLibre had a highly successful Q4 2022, closing out a transformational year with significant growth in payments, revenues, and operations.

MercadoLibre's Q4 2022 saw net revenues of $3.0 billion, a 56.5% increase year-over-year on an FX neutral basis. Income from operations reached $349 million, representing an 11.6% margin. The company processed $36.0 billion in Total Payment Volume, up 80.0% year-over-year on an FX neutral basis, and $9.6 billion in Gross Merchandise Volume, up 34.7% year-over-year on an FX neutral basis.

  • Net revenues reached $3.0 billion, up 56.5% year-over-year on an FX neutral basis.
  • Income from operations was $349 million, with an 11.6% margin.
  • Total Payment Volume reached $36.0 billion, up 80.0% year-over-year on an FX neutral basis.
  • Gross Merchandise Volume reached $9.6 billion, up 34.7% year-over-year on an FX neutral basis.

Headline financials

Total Revenue

$3B

Previous: $2.13B+40.9%
EPS (adj)

$3.25

Previous: -$0.92+453.3%
Gross Merchandise Volume

$9.62B

Previous: $8B+20.2%
Total Payment Volume

$36B

Previous: $24.2B+48.8%
Payment Transactions

1.7B

Previous: 1.0B+63.0%
Unique Active Buyers

97.0M

Previous: 82.2M+18.0%
Capital Expenditures

$112M

Previous: $148M-24.5%
Free Cash Flow

$1.43B

Previous: $552M+158.9%
Net Income

$165M

Previous: -$46.1M+457.9%
Operating Income

$349M

Previous: $23.3M+1396.8%
Gross Profit

$1.46B

Previous: $853M+70.9%
Cash & Equivalents

$1.91B

Previous: $2.58B-26.1%
Total Assets

$13.7B

Previous: $10.1B+36.0%

Revenue & EPS history

MercadoLibre · Revenue · Quarterly

$3B

Q4 2022+40.9%vs Q4 2021
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Forward guidance

MercadoLibre is confident in its growth potential, planning to develop competitive advantages through technology to capitalize on opportunities in Commerce and Fintech across Latin America, while remaining optimistic about the fundamentals of their business.

Tailwinds

  • Sustainable and sequential growth in profit dollars.
  • Continued development of competitive advantages through technology.
  • Positioned as a natural home for consumers and merchants seeking commerce and fintech solutions.
  • High level of investment in new products and technologies.
  • Optimistic about the fundamentals of the business.

Headwinds

  • Operating in a fast-changing competitive landscape in Brazil.
  • Macroeconomic instability across the region.
  • Short-term headwinds in the Mercado Credito business.
  • Cautious posture needed until the cycle has turned.
  • Foreign currency losses.

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 Q4 2022

Historical avgQ4 2022

+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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