$MELI · MERCADOLIBRE INC
MercadoLibre filed its 10-Q for the quarter ended September 30, 2026. Net revenues and financial income rose 45.1% YoY to $10.75B, driven by 47.2% commerce growth and 42.5% fintech growth. Net income was $448M (EPS $8.83) versus $421M a year ago, while gross margin was 40.8% and operating margin 6.3%. Nine-month revenue reached $29.76B, up 47.8%.
- Q3 revenue $10.75B, up 45.1% YoY; nine-month revenue $29.76B, up 47.8%.
- Q3 net income $448M (EPS $8.83) vs $421M (EPS $8.32) a year ago.
- Gross margin 40.8% and operating margin 6.3% for the quarter.
- Brazil direct contribution margin fell to 8.0% from 11.8% YoY on 56.3% cost growth.
- Nine-month net income $1.33B, down from $1.44B, as provision for doubtful accounts rose to $3.86B.
Extended-hours last trade $1630.74, down 6.27% vs the $1739.88 regular close, signaling investors focused on margin compression despite strong top-line growth.
MercadoLibre's explosive revenue growth is being partly offset by surging credit costs and margin compression, a key test of its fintech-heavy strategy.
MercadoLibre's 45% revenue growth far outpaces most global e-commerce peers, but rising credit costs and Brazil margin pressure echo fintech-heavy expansion trade-offs.
Rapid credit expansion lifted provision for doubtful accounts to $3.86B (nine months) from $2.11B, and Brazil segment costs grew 56.3% YoY, compressing direct contribution margin to 8.0%.