Q2’23 Results

Investor
Presentation
MercadoLibre, Inc.

> August 2nd, 2023

 > This presentation may contain forward-looking statements relating to such
matters as continued growth prospects for the Company, industry trends and
Disclaimer product and technology initiatives.

Second Quarter 2023 These statements are based on currently available Certain monetary amounts included elsewhere in
information and our current assumptions, this document have been subject to rounding
expectations and projections about future events. adjustments. Accordingly, figures shown as totals in
While we believe that our assumptions, certain tables may not be the arithmetic
expectations and projections are reasonable in aggregation of the figures that precede them.
view of currently available information, you are
Our actual results may differ materially from those
cautioned not to place undue reliance on these
included in this conference call, for a variety of
forward-looking statements.
reasons, including those described in the
A reconciliation of Non-GAAP measures can be forward-looking statements and risk factor sections
found in our Second Quarter 2023 earnings press of our annual report on Form 10-K for the year
release, available on our investor relations website, ended December 31st, 2022, and any of
and in the section entitled "Non-GAAP Measures of MercadoLibre Inc.’s other applicable filings with the
Financial Performance" of our quarterly report on Securities and Exchange Commission, which are
Form 10-Q for the quarter ended June 30th, 2023. available on our investor relations website
(http://investor.mercadolibre.com).
All the information included in this presentation is
updated as of June 30th, 2023. Except as may be
required by applicable law, we assume no
obligation to publicly update or revise our
statements.
Q2’23 RESULTS

Operational & Financial Highlights

Second Quarter 2023

US$10.5BN 325.3MM 93.9% US$3.4BN

+47% FXN YoY +18% YoY +288 bps YoY +57% FXN1 YoY

GMV ITEMS SOLD MANAGED NETWORK2 NET REVENUES

US$42.1BN US$31.0BN US$3.3BN US$558MM

+97% FXN YoY +129% FXN YoY +21% YoY 16.3% Margin

TPV TPV OFF MARKETPLACE CREDIT PORTFOLIO INCOME FROM OPERATIONS

¹ FX-Neutral basis (Please see shareholder letter for reconciliation to nearest GAAP measure)
Mercado Libre, Inc. I 3
² Percentage of items sold that were shipped on our Managed Logistics Network
 • > MercadoLibre delivered another strong performance in Q2’23, setting another
record for quarterly Income from Operations of $558mn, with a margin of 16.3%.
Revenue and profit growth was broad-based across geographies and business
lines, demonstrating our increasing ability to drive leverage in our financial model.
Key Messages
• > Brazil and Mexico stood out as the markets with the fastest profit growth due to
Second Quarter 2023 solid operational KPIs, strong monetization and cost efficiency. These two markets
accounted for 64% of Q2’23 Direct Contribution, up from 58% in Q1’23 and Q2’22.

• > Quarterly Gross Merchandise Volume surpassed $10bn for the first time, on the
back of FX-neutral growth of 47% year-on-year. Mexico’s FX-neutral GMV growth
accelerated to 34% YoY and Brazil’s remained solid at 25% YoY, implying major
market share gains based on third party data. On a consolidated basis, items sold
accelerated for the third successive quarter to reach 18% YoY in Q2’23.

• > We continue to invest in logistics to offer the fastest delivery times across the
region; as such, fulfillment penetration rose to 46%, driven primarily by Brazil.

• > Mercado Pago’s Total Payment Volume surpassed $42bn; with solid growth across
all major geographies that led to FX-neutral growth of 97% YoY. In Argentina,
Off-Platform TPV is significantly above the country’s inflation rate.

• > Mercado Pago’s credit portfolio grew by 7% QoQ to $3.3bn with strong profitability
as the annualized NIMAL* spread reached 37%, and broadly stable <90 day NPLs.
We are seeing good results from the cohorts of credit cards issued in recent months
in Brazil, and Mexico’s consumer book continues to grow rapidly.

*NIMAL refers to net interest margin after losses, which is credit revenues (APRs and late fees) net of provisions for doubtful
Mercado Libre, Inc. I 4
accounts and funding costs.
Q2’23 RESULTS

Agenda
1. Quarterly Highlights

2. Financial Metrics

3. Margins

4. Appendix
 Q2’23 RESULTS

Quarterly Highlights
Q2’23 RESULTS

Marketplace Highlights
Momentum remains strong, with Mexico accelerating and Brazil continuing to stand out

Gross Merchandise Volume Items Sold Total Unique Buyers

(FX-Neutral YoY Growth) (YoY Growth) (Units, MM)

> Strong GMV growth, with Brazil solid and > Items sold accelerated for the third successive > Unique buyers grew by almost 17% YoY
Mexico accelerating quarter
All major markets showed growth in unique buyers
Strong GMV growth in Mexico was driven by new buyer MercadoLibre sold an additional 50mn items YoY in year-on-year, with Brazil and Mexico posting the fastest
growth reaching its highest level for two years, helped by Q2’23, selling more items than in last year’s Q4. growth rates.
a well-executed Hot Sale event.
Items sold per buyer remained consistent with prior
Growth in Brazil continues to be broad-based, with all quarters, and continues to be impacted by lower items
categories making a strong contribution to overall GMV sold in the Supermarket category following last year’s
growth of 25%. adjustments to the category’s free shipping threshold.

Mercado Libre, Inc. I 7

 Q2’23 RESULTS

Logistics Highlights
A new record of same- and next-day deliveries as Fulfillment penetration continues to rise

Same-day & Next-day Delivery

(MM, %)

> Over 100mn same-day & next-day shipments in Q2’23, with penetration at record levels

Mercado Libre shipped almost 319 million items in Q2’23, growing at 21% year-on-year.

Same-day or next-day shipments reached 56% of deliveries, the highest level in Mercado Libre’s history and underlining the
positive effect of our continued investment in logistics across the region.

Almost 80% of shipments were delivered within 48 hours across Latin America.

Managed Network1 Penetration

(Q2’23, %)
> Ongoing improvements in our managed network in most geographic segments

Total Managed Network penetration reached 93.9%, a record level for Mercado Libre.

Fulfillment by MELI grew once again, and reached a record level with over 46% penetration. All markets with fulfillment operations
posted higher penetration year-on-year, with Brazil showing the most progress.

Meli Places reached the important milestone of over 8,000 partner locations being used by millions of buyers and sellers.

Our crowdsourcing solution for last mile, Mercado Envíos Extra, is now operating in 4 countries: Brazil, Mexico, Chile and
Colombia, with the latter gone live in Q2’23.

1
Includes Fulfillment, Cross Docking & Flex Mercado Libre, Inc. I 8
 Q2’23 RESULTS

Core Fintech Highlights

Growth remains robust, with solid gains on the acquiring and the digital account businesses

Acquiring & Digital Account1 TPV TPN Unique Fintech Active Users2 and Wallet Payers
(US$ BN, FX-Neutral YoY Growth) (Units, MM) (Units, MM)

Digital Account TPV: +181.8% Year-on-Year growth: 69.0%

Acquiring TPV: +73.6%

1 Acquiring TPV sustained growth across all geographies and products 3 Unique Fintech Active Users reached a new milestone by
Acquiring TPV growth accelerated quarter-on-quarter in Argentina and Mexico. Mexico and Chile continue to deliver triple-digit TPV surpassing the 45 million users in a quarter, largely due to
growth in POS, and their combined POS TPV surpassed Argentina. the increased adoption of the remunerated account in
Merchant Services and QR TPV accelerated sequentially, offsetting a slower rate of growth - still at robust levels - in POS. Brazil.

2 Digital Account TPV growth continues to grow rapidly

Mexico and Argentina continue to drive growth in all products. Digital Account TPV in Argentina is growing well above the country’s
inflation. Debit card in Chile increased its volume by half QoQ, thanks to partnerships with online businesses and payments during
CyberDay.
1
Transfers to other external accounts are not considered payments volume
2
Unique Fintech Users refers to the users who engage in at least one of the following services within the quarter: wallet payments online, in app or in store; transfers; withdrawals; consumer or merchant credit borrowers; card users; fintech sellers; and fintech active products Mercado Libre, Inc. I 9
such as asset management and insurtech users
Q2’23 RESULTS

Credits Highlights
Consolidated profitability expansion with largely stable credit portfolio

> NIMAL reached 36.8% in Q2, showing both a quarterly and an annual
Net Interest Margin After Losses3, Total
(% of avg portfolio) expansion. This can be explained by:

1 Total portfolio maintained the same low-single digit pace of dollar growth as the previous
Net Interest Margin quarter, still driven by Mexico’s consumer and Brazil’s credit card books.
After Losses (NIMAL) = 2 Revenue growth due to: accelerated originations in the Mexican consumer book, and
repricing in the Argentinian books to maintain bottom line spread.
Credit Revenues
3 Bad debt decrease due to: shift in originations and portfolio growth from Brazil to lower risk
(-) Bad Debt Mexican consumer book, and continued improvement in credit card asset quality.

(-) Funding Costs

4 Continued measured approach to credit card originations, with encouraging Q2’23 results
in terms of profitability and delinquency.

Credit Portfolio, Total & by Product Exposure per User2 Duration

(US$ M) (US$)’ (months)

1
In-store Merchant 388 3.5

Online Merchant 1.7k 4.5

4 Credit Cards 227 2.4

Consumer 203 2.1

2,756 2,688 3,116 Originations1
(US$ M) 1
Originations include credit card TPV
2
Exposure = Portfolio eop / Credit Active Users per book
3
Net Interest Margin After Losses (NIMAL) = Revenues (interest from loans + late fees) net of provision for doubtful accounts
and funding costs. Note: Interchange fee revenues from credit card is not considered Credit Revenues. Portfolio considered is
annualized period average.
Mercado Libre, Inc. I 10
Q2’23 RESULTS

Credits Highlights
Resilient past dues thanks to improved asset quality and product and geography mix

Total Portfolio and Past Dues <90 & >90 Past dues and PDA1 Provision Coverage
(US$ M, % NPLs / Total Portfolio) (US$ M, % of Total Portfolio) (% Allowance of Uncollectibles Provisions / NPLs)

Our <90-day NPL edged slightly higher quarter-on quarter, Our provision in Q2’23 was equivalent to 6.8% of the Provision coverage increased sequentially and stayed
driven by our Merchants book and partially offset by portfolio. Whilst our provisioning policies and accounting above 100%.
improvements on the Credit Card. We still skew portfolio practices remain unchanged for all books, the decrease
exposure towards lower risk cohorts. in PDA was due to focus on improved asset quality on the
credit risk front.
Our >90-day NPL trended downwards for the second quarter.
Buckets from 90 to 300 dpd decreased sequentially in absolute
terms, thanks to the natural aging of Brazil’s loans. The largest
portion of the USD improvement in longer NPLs is concentrated
between 180 and 210 dpd, which shows that the shift in risk
exposure we commenced in 2022 is harvesting promising 1
Provision for Doubtful Accounts
results. Mercado Libre, Inc. I 11
 Q2’23 RESULTS

Financial Metrics
Q2’23 RESULTS

Financial Highlights
Continued strong Revenue growth alongside a major gain in the Income from Operations margin

Net Revenues Income from Operations and Margin Consolidated Net Revenues per Quarter
(US$ M, %) (US$ M, % of Net Revenues) (FX-Neutral YoY Growth, %)|

> Consolidated Net Revenue up $819 million > Income from operations more than doubled, > All geographic segments delivered revenue
year-on-year, growing at 31.5% in US dollars and with a YoY margin gain of 6.7ppts growth above 20% YoY in US dollars
57% on a FX-neutral basis.
Continued strong growth led to dilution of costs in some
Commerce revenues reached $1,936mn, growing at 65% cost of net revenue and operating expenses lines.
year-on-year on an FX-neutral basis.
Margin expansion was broad-based across business lines
Fintech revenues amounted to $1,479mn, up 48% and geographic segments.
year-on-year on a FX-neutral basis.

Mercado Libre, Inc. I 13

 Q2’23 RESULTS

Financial Highlights
Commerce Revenue growth accelerated due to faster 3P GMV growth, a higher share of 1P and
continued monetization efforts that drove the take rate higher

Commerce Net Revenues per Quarter Commerce Take Rate1

(US$ M, %) (YoY Growth)

3.3%
2.9%

15.1%
13.5%

3P Revs. & GMV: 13.9% 0.6% 0.8% 0.5% - -0.2% 15.6% 15.4%

3P 1P

Revenues from Commerce transactions are mainly generated from: Marketplace final value fees paid by sellers derived from intermediation services and
related shipping fees, classified fees derived from classified advertising services and ad sales, revenues from inventories sales and related shipping fees. 1
Commerce Take Rate: Commerce Revenues as a % of Total GMV Mercado Libre, Inc. I 14
 Q2’23 RESULTS

Financial Highlights
Fintech Revenue growth remained high, but slowed as it lapped the 2022 peak of Credits growth

Fintech Net Revenues per Quarter Fintech Take Rate1

(US$ M, %) (YoY Growth)

1.76%
1.45%
1.42%

2.19% 2.23%
2.10%

Other Fintech Revenues Credit Revenues

Fintech revenues are generated from payments fees. Regarding our Mercado Pago service, we generate payment fees attributable to: commissions
representing a percentage of the payment volume processed that are charged to sellers in connection with off Marketplace platform transactions;
commissions from additional fees we charge when a buyer elects to pay in installments through our Mercado Pago platform for transactions that occur
either on or off our Marketplace platform; commissions from additional fees we charge when our sellers elect to withdraw cash; commissions that we
charge from transactions carried out with Mercado Pago credit and debit cards; interest cash advances and fees from merchant and consumer credits
granted under our Mercado Credito solution; and revenues from the sale of mobile points of sale products and insurtech fees. 1
Fintech Take Rate: Fintech Revenues as a % of Total TPV Mercado Libre, Inc. I 15
 Q2’23 RESULTS

Net Revenue Breakdown by Products and Services

Second Quarter & First Half 2023

Brazil Argentina Mexico Others Total

2Q231 & 2Q222
(US$ M)
2Q23 2Q22 2Q23 2Q22 2Q23 2Q22 2Q23 2Q22 2Q23 2Q22
Commerce Services (a) 846 641 243 200 393 232 102 82 1,584 1,155
Commerce Products Sales (b) 203 111 59 70 82 58 8 10 352 249
Total Commerce Revenues 1,049 752 302 270 475 290 110 92 1,936 1,404
Fintech Services (c) 462 384 296 202 67 34 46 28 871 648
Credit Revenues (d) 263 307 172 120 159 101 2 1 596 529
Fintech Products Sales (e) 6 8 1 2 2 3 3 3 12 16
Total Fintech Revenues 731 699 469 324 228 138 51 32 1,479 1,193
Total Net Revenues 1,780 1,451 771 594 703 428 161 124 3,415 2,597
Brazil Argentina Mexico Others Total
6M233 & 6M224
(US$ M)
6M23 6M22 6M23 6M22 6M23 6M22 6M23 6M22 6M23 6M22
Commerce Services (a) 1,608 1,208 467 381 731 445 193 158 2,999 2,192
Commerce Products Sales (b) 348 233 108 129 142 107 15 21 613 490
Total Commerce Revenues 1,956 1,441 575 510 873 552 208 179 3,612 2,682
Fintech Services (c) 888 702 583 391 123 59 89 54 1,683 1,206
Credit Revenues (d) 504 546 331 208 294 176 3 1 1,132 931
Fintech Products Sales (e) 11 14 3 3 4 5 7 4 25 26
Total Fintech Revenues 1,403 1,262 917 602 421 240 99 59 2,840 2,163
Total Net Revenues 3,359 2,703 1,492 1,112 1,294 792 307 238 6,452 4,845
1
Figures for the three month period ended June 30, 2023; 2 Figures for the three month period ended June 30, 2022; 3 Figures for the six month period ended June 30, 2023; 4 Figures for the six month period months ended June 30, 2022; (a) Includes final value fees paid by
sellers derived from intermediation services and related shipping fees, classified fees derived from classified advertising services and ad sales; (b) Includes revenues from inventory sales and related shipping fees; (c) Includes revenues from commissions the Company charges
for transactions off-platform derived from use of the Company’s payment solution, revenues as a result of offering installments for the payment to its Mercado Pago users, either when the Company finances the transactions directly or when the Company sells the corresponding
financial assets, Mercado Pago credit and debit card fees and insurtech fees; (d) Includes interest earned on loans and advances granted to merchants and consumers, and interest earned on Mercado Pago credit card transactions; (e) Includes sales of mobile point of sales
devices.
Mercado Libre, Inc. I 16
 Q2’23 RESULTS

Margins
Q2’23 RESULTS

Gross Profit Margin

Gross margin expansion driven by cost dilution and efficiency, as well as lower POS device sales

+100 bps

3 4
2 5
1
1 Dilution of Customer Experience costs

2 Higher volumes through our own acquirer

3 Gain from lower POS device sales, partially offset by a headwind from
1P COGS (which are improving, but still dilutive overall)

4 Higher funding costs, including CDBs related to Credits

5 Higher shipping operations costs, primarily due to the increase in

fulfillment penetration.

Mercado Libre, Inc. I 18

Q2’23 RESULTS

Income from Operations Margin

The 6.7ppts margin gain was broad-based across geographies and business lines

+670 bps

1 Higher Product Development expenses

2 Dilution of operating expenses, particularly G&A

3
3 Better asset quality alongside limited growth in originations in the credit
1 2 business, as well as dilution from other company revenue streams that
grew at a faster pace than Credits.

Mercado Libre, Inc. I 19

Q2’23 RESULTS

Net Income Margin

Strong Net Income margin expansion, driven by higher Income from Operations and margin expansion

+295 bps

1 Higher interest income from balances stored in the MercadoPago

wallet, particularly in Brazil and Argentina, and interest income on
2
corporate cash balance
2
1
2 FX losses, primarily related to our share repurchase programme in the
Argentine market

3 High tax rate driven by FX losses related to our share repurchase being
3 non tax deductible. Higher pre-tax gains in top geographies in 2023.

Mercado Libre, Inc. I 20

Q2’23 RESULTS

Cash Flow & Leverage

Solid CFO generation, with resilient Available Cash

Total Cash Q2 2023 x Q1 2023 Leverage Evolution

(US$ M) (US$ M)

2
3
4 5

1,381 1,964

Total Cash Q1’23 vs. Q2’23: US$ +300m

2,143 1,860

Cash and cash equivalents

Restricted cash and cash equivalents
> Cash flow from operations amounted to USD 1,412 MM, fuelled by robust quarterly
1 Higher profitability in Q2 and continuous improvements in working capital income from operations and strong working capital management.
2 Continued investments in our managed logistics network
Credit portfolio growth continues to be cautious but nonetheless delivers firm profitability. Funding
3 Growth of the Total Credit Portfolio
strategies across all geographies remain unaltered.
4 Higher third party funding for Credit Portfolio, offset by interest payments and FX
fluctuations Leverage ratios halved YoY, in line with appropriate cash management initiatives.
5 Increase in short and long-term investments * Cash and cash equivalents and total investments (excl. restricted BACEN securities, securitization transactions and equity securities held at cost)
** Total loans payable and other financial liabilities plus total lease liabilities Mercado Libre, Inc. I 21
*** Adjusted EBITDA is calculated LTM
 Q2’23 RESULTS

Appendix
 Q2’23 RESULTS

Operational & Financial Factsheet

Second Quarter 2023

Volumes (US$ M, %) Users (MM) Cons. Net Revs. per Country1 (US$ M, %)
GMV (FX-Neutral growth) 10,506 47.2% Unique MELI Active Users (units) 108.6 28.8% Brazil 1,780 22.7%

Items Sold (units) 325 18.2% Unique Marketplace Buyers (units) 47.6 16.6% Commerce 1,049 39.5%

Live Listings (units) 424 13.9% Unique Fintech Active Users (units) 45.3 18.6% Fintech 731 4.6%

Managed Network Penetration (%) 93.9% +288bps Unique Wallet Payers (units) 26.1 22.0% Argentina 771 29.8%
TPV (FX-Neutral growth) 42,064 96.6% Unique Asset Mgmt. Users (units) 21.5 18.2% Commerce 302 11.9%

TPV ON (FX-Neutral growth) 11,074 53.1% Fintech 469 44.8%

TPV OFF (FX-Neutral growth) 30,990 128.7% P&L (US$ M, %) México 703 64.3%
TPV Acquiring (FX-Neutral growth) 27,246 73.6% Net Revenue (FX-Neutral growth) 3.415 57.2% Commerce 475 63.8%

TPV Digital Account (FX-Neutral growth) 14,818 181.8% Commerce Revenues (FX-Neutral growth) 1.936 64.8% Fintech 228 65.2%

TPN (units, mn) 2,132 69.0% Fintech Revenues (FX-Neutral growth) 1.479 48.4% Other countries 161 29.8%

Assets Under Management2 (US$ growth) 3,133 194.9% Gross Profit (FX-Neutral growth) 1.720 64.3% Commerce 110 19.6%

Credit Portfolio (US$ growth) 3,250 21.0% Gross Profit Margin (%) 50.4% +100bps Fintech 51 59.4%

Merchant (US$ growth) 707 2.5% Income from Operations (FX-Neutral growth) 558 175.2% Consolidated 3,415 31.5%

Consumer (US$ growth) 1,795 21.9% Operating Margin (%) 16.3% +670bps Commerce 1,936 37.9%

Credit Card (US$ growth) 748 42.5% Net Income (NI Margin %) 262 7.7% Fintech 1,479 24.0%

Note: Growth rates presented on a yearly basis, except otherwise stated;

1
Consolidated Net Revenues for the quarter ended June 30, 2023. Mercado Libre, Inc. I 23
2
Includes only asset under management related to remunerated accounts.
 Q2’23 Results

Thank You
MercadoLibre, Inc.

> August 2nd, 2023