Mercadolibre, Inc. · NASDAQ:MELI
Mercadolibre — J.P. Morgan Global Emerging Markets Corporate Conference 2025
43 slides from Mercadolibre's conference presentation, February 2025
Slide 1: Mercado Libre
Mercado Libre MERCADO LIBRE J.P. Morgan Global Emerging Markets Corporate Conference Miami, Florida, February 2025 1
Slide 2: Agenda
Agenda Overview of Mercado Libre Financial Highlights MERCADO LIBRE 2
Slide 3: Overview of Mercado Libre
Overview of Mercado Libre MERCADO LIBRE 3
Slide 4: Key Messages
﹥ Founded in 1999, MercadoLibre’s purpose is to democratize Key Messages access to commerce and financial services in Latin America MELI 2025 ﹥ Leading e-commerce marketplace, consistently outgrowing key markets Marketplace ﹥ Fintech challenger and disruptor by being one of the top Retail payment pro
Slide 5: Tech Leader in Latin America
Tech Leader in Latin America Our purpose is to expand access to commerce and financial services to transform the lives of millions of people in Latin America.
Slide 6: One of the Largest in Latin America
If Mercado Libre were a country, it would be One of the Largest in Latin America BRA 214 M 126 M MEX 100 M Unique active buyers 61 M Monthly active users in fintech COL 51 M ARG ARG 45 M Back to Key Messages Source: Latinometrics (2024)
Slide 7: MELI's Story
MELI’s Story 2020 2016 Inauguration of our IT 2024 2005 Center in Bogotá. Inauguration 25 years! We acquire of MELIcidade, Starting our own DeRemate.com our São crypto currency operations 2011 2000 2003 Paulo/Brazil MELI Dólar and Expanded to We opened a based corporate MELI +, loyalty We introduce
Slide 8: Leadership in Commerce is a competitive advantage as we disrupt Financial Services
Leadership in Commerce is a competitive advantage as we disrupt Financial Services Market leader in Commerce 6.4x 4.2x We have consistently outgrown our main markets Challenger & Disruptor in Fintech We are one of the largest Fintech MERCADO LIBRE acquirers in the region 8 Back to Key Messages *Sour
Slide 9: Our Ecosystem
OUR ECOSYSTEM 3P DIGITAL ACCOUNTS 1P PAYMENTS ADVERTISING SAVINGS & INVESTMENTS SHIPPING CREDIT VIS Vehicles, INSURANCE Properties
Slide 10: Our 2024 Operational and Financial Highlights
Our 2024 Operational and Financial Highlights GMV ITEMS SOLD TOTAL TPV CREDIT PORTFOLIO US$51.5BN 1.8BN US$196.7BN US$6.6BN +15% YoY +69% FXN YoY +27% YoY +34% YoY +71% FXN YoY +74% YoY NET REVENUE AND INCOME FROM OPERATIONS NET INCOME ADJUSTED FREE CASH FINANCIAL INCOME FLOW2 US$20.8BN US$2.6BN US$
Slide 11: 2024 Cash Flow
2024 Cash Flow Full Year Cash Flow (US$ M) 6,024 2022 A 3,275 5,140 $1.3bn Adjusted Free Cash Flow in 2024 1 -1,499 Strong cash generation, even after net Adjusted -2,047 investment of almost $3bn in Fintech free cash flow 248 (mainly growth of the credit business) and 1,315 982 $860mn of capex. -509
Slide 12: Workforce
Workforce OUR TEAM We rely on the leaders of MELI and on our employer brand to find, choose and recruit the 84,207 best talent. In a new year of growth, in which we welcomed over 25,000 people in the 58,313 region, we rely on our culture and the experience working at 40,548 Mercado Libre to form and
Slide 13: Commerce
Commerce The widest assortment with the fastest shipping accessible to millions of consumers and sellers
Slide 14: 3P Marketplace and 1P Retail Commerce
>90% of our GMV; 3P Marketplace we connect buyers and sellers across millions of SKUs <10% of our GMV; we purchase and resell certain products where there are gaps 1P Retail in sellers' competitiveness Cross-sell into the existing user base Commerce 94% of items sold on our marketplace are shipped t
Slide 15: The region's leading ecommerce platform
The region’s leading ecommerce platform #1 player in all main geographies Market leader in eCommerce 26% GMV CAGR (USD) The Largest Ecommerce Platform in Latam We continue growing our # of unique active buyers Back to Key Messages
Slide 16: Logistics network and technology
1.8 billions items sold in 2024 Over 50% FBM penetration Sustainability Network Technology 2800+ EVs, largest fleet in Fulfillment to drive efficiency with LatAm Cross-Docking thousands of dedicated Packing materials 100% Flex engineers recyclable, reusable or Drop Shipping compostable MERCADO LIBRE 16
Slide 17: The fastest and more extensive delivery network
The fastest and more extensive delivery network 1.8 billion 75% North of 1.8Bn items sold… … of which 75% were delivered within 48 hs Back to Key Messages
Slide 18: One of the region's largest Retail Media platforms
One of the region’s largest Retail Media platforms #3 Digital Ads Market Share Mercado Ads Revenue YoY Growth (%) GMV Penetration 0.6% 0.9% 1.3% 1.6% 2.0% Back to Key Messages
Slide 19: Leveraging our ecosystem to offer unique benefits
Leveraging our ecosystem to offer unique benefits Back to Key Messages
Slide 20: Our Loyalty Program
OUR LOYALTY PROGRAM Back to Key Messages
Slide 21: Mercado Play: our streaming service
Mercado Play: our streaming service Back to Key Messages
Slide 22: Fin
Fin Leading innovations for the future of financial services
Slide 23: Fintech services and acquiring
Enabling day-to-day financial services, aiming for principality among users where we have a “right to win” Fintech Services We offer users several financial services, including debit and credit Credits & Digital Account cards, Consumer & Merchant Loans, insurance, savings, investments, online payments
Slide 24: One of the region's leading Fintechs
One of the region’s leading Fintechs $197 billion 61 mn MAUs Total Payment Volume ($bn)1 Monthly active users (mn) 40% CARG No.2 Fintech MAUs No.1 Fintech MAUs No.1 Fintech MAUs No.1 Fintech MAUs Back to Key Messages 1- Period between 2022-2024 does not include PtoP Source: Internal Data for MAUs; 3
Slide 25: AUM continues to rise; Credit Card now our largest portfolio
AUM continues to rise as consumers bring more funds to Mercado Pago and Credit Card is now our largest portfolio Assets Under Management1 Credit Portfolio (US$ M) (US$ M; % share of total) 3 +129% YoY +74% YoY Orginations 128 265 601 1,067 4,176 9,936 13,751 24,043 3 Q4’24 Consumer Credit Card Merch
Slide 26: With solid NIMAL spreads
With solid NIMAL spreads Net Interest Margin After Losses (% of avg portfolio) Solid NIMAL spread in Q4’24 The sequential improvement in the spread was driven by strong collections, partly due to favorable seasonality, and better risk model performance. The YoY decline was mostly due to higher credi
Slide 27: Portfolio shifting towards lower risk products, stable asset quality
Portfolio keeps growing and shifting towards lower risk products, asset quality remains stable and robust Past Dues 15-90 & >90 Provision Coverage ( % NPLs / Total Portfolio) (% Allowance of Doubtful Accounts / NPLs) Back to Key Messages
Slide 28: A highly profitable acquiring business + Ecosystem cross-sell
A highly profitable acquiring business + Ecosystem cross-sell 23% TPV Acq. YoY (USD) Acquiring TPV Monthly Active Sellers with Credit (US$ BN) (% of total) Back to Key Messages
Slide 29: Impact
Impact Driving financial inclusion and democratizing access to commerce and financial services in Latin America Back to Key Messages
Slide 30: Entrepreneurial ecosystem
+1.8M find their main source of income through Mercado Libre FAMILIES ENTREPRENEURIAL 574K SMBs selling on the marketplace ECOSYSTEM We support the business development journey, generating income through fair and democratic trade that promotes equal conditions. 27 NEW JOBS created per hour PEOPLE DIR
Slide 31: Financial inclusion
FINANCIAL INCLUSION Empowering people and driving businesses towards a better financial life #1 source of credit for SMBs with 50% receiving their first credit offer ever through MELI +$24 In loans originated to users and sellers billion
Slide 32: Environmental impact
VEHICLES Largest private Electric and powered by natural gas +2.8k electric fleet in Latin America +36M MILLION packages delivered using sustainable methods. ENVIRONMENTAL IMPACT +46% of renewable energy consumption at Mercado Libre NEWLAB +8 Deep tech startups working to address critical challenges
Slide 33: 2024 Financial Highlights
2024 Financial Highlights LIVRE MERCADO LIBRE 33
Slide 34: Growth & Profitability
Growth & Profitability Net Revenues Income from Operations and Margin Net Income / (Loss) and Margin (US$ billion, %) (US$ million, % of Net Revenues) (US$ million, % of Net Revenues) 38% 40% 2 2 3 3 > Net revenue up more than $5 billion year-on-year, growing > Adj EBITDA Margin reached 15.6%, a decr
Slide 35: Cash, Liquidity & Leverage
Cash, Liquidity & Leverage Available Cash & Liquidity Cash Flow from Operations Total Debt & Leverage (US$M) (US$ M) (US$M, %) 1 2 Capital Raise 1.9B Follow-on 1.5B Convertible 0.9B Convertible -0.4B Unsecured Bond 1.1B > Available cash grew +1B in 2024 over year end 2023 > Cash from operations grew
Slide 36: Debt Profile: Debt breakdown by type and country
Debt Profile: Debt breakdown by type and country Debt Instruments & Operating Leasings Debt Instruments by Country (excl. Leasings) (US$ billion, Q4’24) (US$ billion, Q4’24) 6.9B 5.6B (1) Brazil Real-Estate Securities (2) For SEC reporting purposes, we consolidate 100% of the debt into securitization
Slide 37: Public Debt Instruments: Maturity Profile
Meli Inc. Public Debt Instruments: Maturity Profile (US$ Million) 700 > Convertible Note (2028) - In 2023, we announced the redemption 440 of 100% of our 2028 notes by converting 400 them into approximately 1 million shares d of common stock, which had been held e me as treasury stock de 23 Re n 20 (
Slide 38: Long Term Credit Rating and Sovereign comparison
Long Term Credit Rating: MELI current rating and Sovereign comparison S&P FITCH Moody’s S&P Global (Jun/2024) AAA AAA AAA S&P Global Ratings has revised its outlook on MercadoLibre, Inc. to positive, while affirming its 'BB+' issuer and issue-level credit ratings AA+ AA+ Aa1 AA AA Aa2 We could upgrade
Slide 39: Q4'24 Financial Highlights
Q4’24 Financial Highlights LIVRE MERCADO LIBRE 39
Slide 40: Q4'24 Operational and Financial Highlights
Q4’24 Operational and Financial Highlights GMV ITEMS SOLD TOTAL TPV CREDIT PORTFOLIO US$14.5BN 525.5MM US$58.9BN US$6.6BN +8% YoY +56% FXN YoY +27% YoY +33% YoY +49% FXN YoY +74% YoY NET REVENUE AND INCOME FROM OPERATIONS NET INCOME ADJUSTED FREE CASH FINANCIAL INCOME FLOW2 US$6.1BN US$820MM US$639M
Slide 41: Q4'2024 Financial Highlights: Revenue growth remains strong
Q4’2024 Financial Highlights: Revenue growth remains strong overall and across geographic segments Net Revenues Income from Operations1 and Margin Net Income and Margin (US$ million, % FX Neutral) (US$ million, % of Net Revenues) (US$ million, %) 37% > MELI added more than $1.5bn in additional net r
Slide 42: Q4'24 Cash flow
Q4’24 Cash flow Q4’24 Cash Flow (US$ M) 6,725 Q3’23 B 3,774 1,928 $680mn Adjusted Free Cash Flow in Q4 1 (1,035) Strong cash generation, even after net Adjusted (582) investment of $655mn in Fintech (mainly free cash flow 154 growth of the credit business) and 680 393 $305mn of capex. (180) 2 37 (81)
Slide 43: Mercado Libre
mercado libre
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