MercadoLibre, Inc. (MELI) Announced Q2 2026 Earnings on August 5, 2026, Reporting "Net revenue surpassed $10 billion for the first time, growing 50% year-on-year"

MercadoLibre, Inc. reported its Q2 2026 financial results, announcing that "Net revenue surpassed $10 billion for the first time, growing 50% year-on-year" for the quarter.

The company delivered "Income from operations was $683 million, with a margin of 6.7%". Management explained that the quarter's EBIT margin "was down 550 basis points year-on-year" as they continue to "prioritize long-term strategic investments over short-term profitability." The company also reported that it "generated $214 million in adjusted free cash flow for the quarter" after absorbing "capital expenditure of $441 million" and investing "$2.1 billion into the growth of our credit book."Key business updates highlighted the performance of the company's credit and commerce segments.

The credit portfolio reached "$16.4 billion in Q2, growing 75% year-on-year" with a "15- to 90-day NPL in Q2 was 7.0% for the total portfolio and 4.6% for the credit card specifically." In Brazil, "items per buyer grew 19% year-on-year in Q2" following the decision last year to lower the free shipping threshold, and conversion in Brazil increased by "1.1 percentage points year-on-year." In the cross-border trade segment, GMV grew "approximately at 60% year-over-year" while volume coming from the Chinese fulfillment center increased "170% quarter-over-quarter."The company also highlighted its progress with artificial intelligence initiatives and the affiliate channel.

MercadoLibre "invested about $80 million on AI this quarter compared to a year ago" and reported that its product development scaled from "8.4% of revenues to 7.2% of revenues year-on-year." The company noted that the affiliate GMV share grew across every market in Q2, with affiliate buyers demonstrating "materially higher platform retention than non-affiliate buyers." No specific quantitative forward financial guidance figures were provided during the call, as management reiterated their standard long-term focus.