Mercado Libre

Mercado Libre (NASDAQ: MELI) uses free, fast shipping to win the shopper, then uses Mercado Pago to hold, pay and lend their money. Commerce — marketplace fees, shipping, ads and first-party sales — was $16.3B, 56% of FY2025's $28.9B revenue (+39%); Fintech — payments, yield accounts, cards and loans — was $12.6B, 44%, and growing faster (+46% vs +34%). Credit is the engine and the bill: $5.9B of credit revenue against $3.1B of loan-loss provisions (about 53% of it, INFERENCE), a 22.4% NIMAL (net interest margin after losses) down from 28.2%, and operating margin down from 12.7% to 11.1% (operating income $3.2B, net income $2.0B). The flywheel is the point: users who use both sides generated 70% more GMV (Q2 2026), and cardholders are 2–3x more likely to stay in the ecosystem. Q2 2026: revenue $10.2B (+50%), TPV $101B (+56%), GMV $21.9B (+44%), credit portfolio above $16B (+75%) — and operating margin 6.7% (from 12.2%) and net income $466M (−11%) as discounts, shipping and provisions are deliberately funded to buy engagement.

Click any of the 9 blocks below for a plain-language story of how that part of the model works for Mercado Libre — and how it connects to the others.