BUENOS AIRES (dpa-AFX) - e-commerce technology company MercadoLibre, Inc. (MELI) Thursday reported a marginal drop in third-quarter profit, but revenues climbed 19 percent from last year. Both earnings and revenues missed Wall Street estimates, sending the stock lower in after-hours trading.
Net income attributable to the company was $26.04 million or $0.59 per share, compared to $26.3 million or $0.60 per share in the prior-year quarter. On average, 10 analysts polled by Thomson Reuters expected earnings of $0.60 per share for the quarter. Analysts' estimates typically exclude special items.
The marginal decline stemmed from a one-time tax benefit last year and increased profit attributable to noncontrolling interest in the just concluded period.
Revenues rose to $97.27 million from $81.63 million last year. Analysts expected revenues of $98.12 million.
Marcos Galperin, CEO, said, 'We are pleased to see the business deliver 37% revenue growth in local currency, and in particular with the performance of our adjacent business units which now represent slightly more than 30% of our revenue.'
Gross merchandise volume grew 6.5 percent to $1.44 billion, while total payment volume climbed 30.3 percent to $480.1 million.
Items sold on MercadoLibre increased 22.4 percent, while total payments transactions through MercadoPago increased 64.7 percent.
The stock closed higher by 2.8 percent on Thursday at $86.35, but dropped 6.2 percent in the extended trade.
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