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Aug. 8, 2019, 2:18 p.m. EDT

MercadoLibre, Inc. Reports Second Quarter 2019 Financial Results

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BUENOS AIRES, Argentina, Aug 08, 2019 (GLOBE NEWSWIRE via COMTEX) -- Net Revenues of $545.2 million, up 102.1% YoY on an FX neutral basis

$6.5 billion Total Payment Volume, up 90.3% YoY on an FX neutral basis

$3.4 billion Gross Merchandise Volume, up 33.0% YoY on an FX neutral basis

MercadoLibre, Inc. /zigman2/quotes/200678442/composite MELI -1.56% ( http://www.mercadolibre.com ), Latin America's leading e-commerce technology company, today reported financial results for the quarter ended June 30, 2019.

Pedro Arnt, Chief Financial Officer of MercadoLibre, Inc., commented, "We are pleased and optimistic about how 2019 is playing out for us. We delivered another very strong quarter as we continue to grow and scale our leading e-commerce and FinTech ecosystems across Latin America."

Second Quarter 2019 Business Highlights

Percentages have been calculated using whole amounts rather than rounded amounts.

The tables below present our gross billings and amounts paid by us in connection with our free shipping service.

The Company presents net revenue net of amounts paid in connection with the Company's free shipping initiative, when the Company acts as an agent, rather than including these amounts in the cost of net sales, as previously recorded. For the three-month period ended June 30, 2019 the Company incurred $60.5 million of shipping subsidies that have been netted from revenues.







        
                             In Millions (*)
                             Q2 2019      Q2 2018
                 Brazil    $ 385.1    $   270.5
        Gross    Argentina $ 121.6    $   105.9
        Billings Mexico    $ 70.7     $   31.3
                 Others    $ 28.3     $   24.3
                 Total     $ 605.7    $   432.0
        








                                  In Millions (*)
                                  Q2 2019       Q2 2018
                      Brazil    $ (44.3 )    $  (74.7 )
        Free Shipping Argentina $ (7.7  )    $  (5.7  )
        service cost  Mexico    $ (6.3  )    $  (13.8 )
                      Others    $ (2.2  )    $  (2.4  )
                      Total     $ (60.5 )    $  (96.7 )
        








                             In Millions (*)
                             Q2 2019      Q2 2018
                 Brazil    $ 340.9    $   195.8
        Net      Argentina $ 113.9    $   100.1
        Revenues Mexico    $ 64.4     $   17.5
                 Others    $ 26.1     $   21.9
                 Total     $ 545.2    $   335.4
        


*The table above may not total due to rounding.

Second Quarter 2019 Financial Highlights

The following table summarizes certain key performance metrics for the six and three months periods ended June 30, 2019 and 2018.







                                                                Six-month Periods Ended        Three-month Periods Ended
                                                                June 30,                       June 30,
        (in millions)                                           2019           2018            2019     2018
        Number of confirmed registered users at end of period        292.5          234.9      292.5           234.9
        Number of confirmed new registered users during period       24.7           23.0       12.4            11.8
        Gross merchandise volume                                $    6,485.5   $    6,276.6  $ 3,397.7  $      3,135.4
        Number of successful items sold                              171.4          165.6      88.7            85.4
        Number of successful items shipped                           132.6          105.3      70.2            52.8
        Total payment volume                                    $    12,156.5  $    8,601.4  $ 6,517.4  $      4,426.1
        Total volume of payments on marketplace                 $    6,016.1   $    5,603.8  $ 3,120.0  $      2,794.3
        Total payment transactions                                   325.6          159.8      181.6           85.5
        Unique buyers                                                28.6           25.0       20.4            16.9
        Unique sellers                                               6.9            6.8        4.3             4.2
        Capital expenditures                                    $    71.4      $    46.8     $ 38.4     $      23.7
        Depreciation and amortization                           $    33.0      $    22.6     $ 17.3     $      11.5
        


(*) Figures have been expressed using rounding amounts. Growth calculations using this table may not total due to rounding.

Table of Year-over-year USD Revenue Growth Rates by Quarter







        Consolidated Net Revenues Q2'18    Q3'18    Q4'18    Q1'19    Q2'19
        Brazil                    25    %  25    %  34    %  64    %  74    %
        Argentina                 14    %  (8    )% (16   )% (8    )% 14    %
        Mexico                    62    %  152   %  157   %  220   %  267   %
        


Table of Year-over-year Local Currency Revenue Growth Rates by Quarter







        Consolidated Net Revenues  Q2'18    Q3'18   Q4'18   Q1'19   Q2'19
        Brazil                     40    %  56    % 58    % 91    % 89    %
        Argentina                  68    %  68    % 77    % 83    % 115   %
        Mexico                     71    %  168   % 170   % 227   % 261   %
        


Conference Call and Webcast

The Company will host a conference call and audio webcast on August 7th, 2019 at 4:30 p.m. Eastern Time. The conference call may be accessed by dialing (877) 303-7209 / (970) 315-0420 (Conference ID -5289808-) and requesting inclusion in the call for MercadoLibre. The live conference call can be accessed via audio webcast at the investor relations section of the Company's website, at http://investor.mercadolibre.com . An archive of the webcast will be available for one week following the conclusion of the conference call.

Definition of Selected Operational Metrics

Gross Billings - Total accrued fees, commissions, interest, and other sales received from users.

Foreign Exchange ("FX") Neutral - Calculated by using the average monthly exchange rate of each month of 2018 and applying it to the corresponding months in the current year, so as to calculate what the results would have been had exchange rates remained constant. Intercompany allocations are excluded from this calculation. These calculations do not include any other macroeconomic effect such as local currency inflation effects or any price adjustment to compensate local currency inflation or devaluations.

Gross merchandise volume - Measure of the total U.S. dollar sum of all transactions completed through the MercadoLibre Marketplace, excluding Classifieds transactions.

Total payment transactions - Measure of the number of all transactions paid for using Mercado Pago.

Total volume of payments on marketplace - Measure of the total U.S. dollar sum of all marketplace transactions paid for using Mercado Pago, excluding shipping and financing fees.

Total payment volume - Measure of total U.S. dollar sum of all transactions paid for using Mercado Pago, including marketplace and non-marketplace transactions.

Enhanced Marketplace - Revenues from the Enhanced Marketplace service, include the final value fees and shipping fees charged to the Company's customers.

Items sold - Measure of the number of items that were sold/purchased through the MercadoLibre Marketplace, excluding Classifieds items.

Items shipped - Measure of the number of items that were shipped through our shipping service.

Local Currency Growth Rates - Refer to FX Neutral definition.

Net income margin - Defined as net income as a percentage of net revenues.

New confirmed registered users - Measure of the number of new users who have registered on the MercadoLibre Marketplace and confirmed their registration, excluding Classifieds users.

Operating margin - Defined as income from operations as a percentage of net revenues.

Total confirmed registered users - Measure of the cumulative number of users who have registered on the MercadoLibre Marketplace and confirmed their registration, excluding Classifieds users.

/zigman2/quotes/200678442/composite
US : U.S.: Nasdaq
$ 536.89
-8.49 -1.56%
Volume: 276,534
Oct. 22, 2019 4:00p
P/E Ratio
1,737
Dividend Yield
N/A
Market Cap
$26.69 billion
Rev. per Employee
$198,875
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