05/05/2021 19:20
Clarín.com
Economy
Updated 05/05/2021 19:20
Mercado Libre reported on Wednesday the financial results for the first quarter of the year. Although the bottom line of the balance sheet shows a
loss of 34 million dollars and a profit before taxes of just 9.5 million
, the numbers exhibited by the company that runs Mercado Libre
were well received by financial analysts
. The growth in turnover, the volume of shipments, the financial business and the investments in growth of the company itself, such as its logistics and product distribution scheme, stand out.
"With more than a year having passed since the start of the COVID-19 pandemic, we remain strongly committed to our purpose of democratizing trade and financial services in Latin America," said
Pedro Arnt,
Mercado Libre's Chief Financial Officer. “We are aware of the increasingly relevant social and economic role that we occupy in the countries where we operate and we are proud to know that behind each reported indicator there are thousands of SMEs that can continue to operate and maintain jobs throughout the region, and that there are millions of consumers who were able to access the products they need ”, he added.
The company's shares had a market capitalization value for Mercado Libre of US $ 76,000 million.
By January, it had touched $ 100 billion.
After the close, the papers rose 1.3%.
The analyst
Gustavo Neffa,
from Research For Traders highlighted what in his opinion was the important part of the balance sheet. They showed a very good growth figure, above expectations.
- Before taxes, it achieved a profit of US $ 9.5 million against a loss of US $ 16.7 million during the same period of 2020.
- The company is aggressively reinvesting its income, especially in improving its logistics.
- The news fell very well that he
bought bitcoins for 7.9 million dollars.
The investments you are making will sooner or later cause operating cash flow to explode.
The main numbers
- The
active unique user base
during the quarter increased 61.7% year-on-year, reaching 69.8 million.
- The
total value of traded items for
the quarter was US $ 6.1 billion, which represents a year-on-year growth of 77.4% in dollars and 114.3% in constant currency.
72.9% of this value comes from transactions made from mobile devices.
222.0 million items were sold,
which implies a year-on-year growth of 110.2%.
299.5 million publications
were registered
on its platform.
208.1 million articles were shipped
through Mercado Envíos, a year-on-year increase of 130.7%.
The
total volume of payments processed
during the quarter through Mercado Pago was USD 14.7 billion, a year-on-year increase of 81.8% in dollars and 129.2% in constant currency.
630.1 million transactions were processed in the period, representing a year-on-year increase of 116.7%.
Mercado Pago
continues to grow its payment processing service outside the MercadoLibre platform.
The total volume of off-platform payments reached USD 8.5 billion, with a growth of 82.5% year-on-year in dollars and 136.4% in constant currency, through 478.9 million payments in the quarter, representing 120.4% year-on-year growth.
For their part,
online payments
grew by 138.8% year-on-year in constant currency.
The total volume of
payments processed
through “MPOS” mobile point of sale devices grew 90.2% year-on-year in constant currency.
The
transactions through the digital wallet
reached USD 2.9 billion on a
consolidated basis, which implies a growth of 192.0% in constant currency.
About 16.0 million users in the region already have their balances invested in
Mercado Fondo,
for a total of over USD 650 million.
Mercado Crédito's
portfolio
grew to USD 576 million, more than double that of the first quarter of 2020.
Financial results for the quarter
The
net income
for the first quarter was $ 1.4 billion, an increase of 111.4% the dollar and the 158.4% in constant currency.
The i
NCOME of business e-commerce
increased by 139.2% in dollars, reaching USD 910.6 million, while revenues from the Fintech business increased 72.4% in dollars, reaching USD 467.8 millions.
The
gross profit for the quarter was $ 591.4 million
, with a margin of 42.9%, compared with 48.0% in the same quarter last year.
The quarter closed with a
profit before tax of USD 9.5 million,
different from the loss of USD 16.7 million during the same period of 2020.
The
net loss for the quarter
totaled USD 34.0 million, resulting in a net loss of USD 0.68 per share.
“We are off to a great start to 2021, with strong growth and successful execution of our plans.
All this is the result of the extraordinary work of our now almost 19 thousand employees who are demonstrating resilience and commitment to continue achieving our objectives ”, concluded Arnt.
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