MercadoLibre-Mercado Libre delivers stellar Q4 2024 with net revenue of $6.1 billion and net income of $639 million

Core Insights - Mercado Libre reported strong Q4 2024 results with net revenue of $6.1 billion, a 37% year-over-year increase, and net income of$ 639 million, reflecting robust operational performance [3][4][16] Financial Performance - Q4 2024 net revenue reached $6.1 billion, with income from operations at$ 820 million and net income at $639 million, representing margins of 13.5% and 10.5% respectively [3][16] - For the full year 2024, consolidated net revenue was$ 21 billion, growing 38% year-over-year, with net income of $1.9 billion and an operating income margin of 12.7% [17] E-commerce Operations - Unique buyers exceeded 67 million in Q4 2024, marking a 24% increase year-over-year, with gross merchandise value (GMV) rising 8% to$ 14.5 billion [4][8] - Items sold on the platform increased by 27% year-over-year in Q4, with Brazil and Mexico showing significant GMV growth of 32% and 28% respectively [4][8] Strategic Initiatives - The company opened 10 new fulfillment centers in 2024 and expanded its free shipping offerings, resulting in record-breaking new buyer acquisition [5][20] - Logistics improvements led to 49% of shipments being delivered within the same or next day, enhancing operational efficiency [5][20] Advertising and Fintech Growth - Advertising revenue grew by 41% year-over-year in Q4, reaching 2.1% of GMV, driven by successful campaigns during peak seasons [6][20] - Mercado Pago's monthly active users increased by 34% to 61 million, with assets under management climbing 129% year-over-year to $10.6 billion [7][20] Credit Portfolio Expansion - The credit portfolio for Mercado Pago reached$ 6.6 billion in Q4, up 74% year-over-year, with significant contributions from credit card growth [7][8][20] - The fintech segment's total payment volume (TPV) rose by 34% year-over-year to $197 billion, indicating strong demand for digital financial services [19][20]