MercadoLibre, the Latin American e-commerce giant, saw its stock soar by 11.97% in the night session on Thursday, following the release of its blockbuster fourth-quarter earnings report that surpassed analyst expectations.
The company reported a staggering 287% year-over-year increase in net income to $639 million, far exceeding the $401.5 million projected by analysts. This remarkable performance was driven by several factors, including lower funding costs, improved logistics efficiency, particularly in Mexico, and reduced currency losses, especially in Argentina.
Furthermore, MercadoLibre's net revenue climbed an impressive 37% year-over-year to $6.1 billion, beating estimates of $5.9 billion. This growth was fueled by an 8% increase in gross merchandise volume, with Brazil, the company's main market, seeing a 32% surge on a foreign exchange-neutral basis.
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