By Dhirendra Tripathi
Investing.com – MercadoLibre stock (NASDAQ: MELI ) soared 8% Friday as the Latin American ecommerce giant continued to ride the pandemic wave and its various initiatives in logistics and fintech in the third quarter to beat analysts’ estimates.
The Argentine company reached new records in gross merchandise volume, payment volumes and credit portfolio size during the September quarter.
Gross merchandise volume, the most-commonly used metric to determine the growth of an ecommerce company, signifying the value of goods sold on the platform, rose 24%, to $7.3 billion.
It sold almost 260 million items in the third quarter, up 26% year over year. The company posted a more than 3% rise in unique active users to 78.7 million across its operation.
Revenue growth was strong in all its three key markets of Argentina (38% rise), Mexico (94%) and Brazil (74%). All three geographies improved in transactions per buyer versus the previous quarter. The company said more products from Nike (NYSE: NKE ), Enjoei, Nivea and PlayStation were found at its marketplace in Brazil, as well as Apple (NASDAQ: AAPL ), Samsung (KS: 005930 ) and Asics added to its Mexico platform.
The company established another fulfilment center in Mexico to take on the likes of Amazon (NASDAQ: AMZN ) and homegrown brand Magazine Luiza.
Net revenue for the third quarter rose over 66%, to $1.9 billion. Adjusted profit per share was $1.92 and beat estimates.
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