Cash generation remains robust with an OCF/NI ratio of 3.72 in 2026Q1, providing a substantial liquidity buffer through $15.1B in cash reserves.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'03 | Dec'02 |
|---|
| Cash from Operations | 11.95B | 12.12B | 7.92B | 5.14B | 2.94B | 965.04M | 1.18B | 451.09M | 230.91M | 269.01M | 190.26M | 221.37M | 196.79M | 142.51M | 139.89M | 89.43M | 67.9M | 49.7M | 54.55M | 6.76M | 6.16M | 3.44M | 0 | 0 |
| Operating CF Margin % | - | 41.93% | 38.11% | 34.02% | 27.27% | 13.65% | 29.76% | 19.64% | 16.04% | 22.11% | 22.53% | 33.96% | 35.36% | 30.16% | 37.44% | 29.92% | 31.33% | 28.75% | 39.81% | 7.94% | 11.83% | 12.17% | - | - |
| Operating CF Growth % | 243.77% | 53.02% | 54.05% | 74.83% | 204.65% | -18.39% | 162.15% | 95.36% | -14.16% | 41.39% | -14.05% | 12.49% | 38.09% | 1.87% | 56.43% | 31.71% | 36.61% | -8.88% | 706.6% | 9.81% | 79.09% | - | - | - |
| Net Income | 1.92B | 2B | 1.91B | 987M | 482M | 83.3M | -707K | -172M | -36.59M | 13.78M | 136.37M | 105.79M | 72.58M | 117.51M | 101.25M | 76.78M | 56.03M | 33.21M | 18.81M | 9.69M | 1.07M | 2.35M | -3.2M | -2.5M |
| Depreciation & Amortization | 892M | 818M | 617M | 524M | 403M | 203.94M | 104.99M | 73.32M | 45.79M | 40.92M | 29.02M | 23.21M | 16.95M | 11.88M | 8.96M | 7.27M | 4.92M | 3.89M | 3.34M | 2.31M | 2.02M | 1.57M | 800K | 600K |
| Stock-Based Compensation | 160M | 0 | 261M | 167M | 84M | 89M | 131M | 52.06M | 27.52M | 35.72M | 22.98M | 10.21M | 11.85M | 11.65M | 4.44M | 1.75B | 37.94K | 76.13K | 949.58K | 15.48B | 0 | 0 | 0 | 0 |
| Deferred Taxes | -511M | 0 | -243M | 40M | -97M | -29.48M | -70.31M | 16.45M | -92.58M | -24.57M | -6.19M | 4.35M | -20.24M | -7.85M | -492.36K | 1.02M | -7.05M | -3.61M | 446.29K | -198.37K | -1.29M | -2M | 0 | 0 |
| Other Non-Cash Items | 3.93B | 4.87B | 2.18B | 1.63B | 1.66B | 618.59M | 244.75M | 126.34M | 21.46M | 130.27M | 26.45M | 45.12M | 71.9M | 8.03M | -2.44M | -1.75B | 2.97M | 2.14M | -8.7M | -15.47B | 1.17M | 46.88K | 2.4M | 1.9M |
| Working Capital Changes | 5.55B | 4.44B | 3.19B | 1.79B | 411M | -312K | 772.83M | 354.92M | 265.3M | 72.89M | -18.37M | 32.69M | 43.75M | 1.3M | 28.17M | 3.44M | 10.99M | 13.99M | 39.71M | -7.04M | 3.19M | 1.66M | 0 | 0 |
| Change in Receivables | -3.26B | -1.51B | -157M | -1.41B | -1.16B | -1.09B | -509.91M | -507K | -27.11M | -21.82M | -15.43M | -36.48M | -36.12M | -22.76M | -8.65M | -9.27M | -7.06M | -2.97M | 4.03M | -736.43B | 0 | 0 | 0 | 0 |
| Change in Inventory | -255.96M | -235M | -113M | -69M | 114M | -142.38M | -106.98M | -4.15M | -3.02M | -1.55M | -787K | -237K | 0 | 0 | 0 | -8.69T | -9.05T | -8.69T | -10.61T | -3.55T | 0 | 0 | 0 | 0 |
| Change in Payables | 1.17B | 0 | 1.59B | 1.23B | 449M | 379.77M | 584.28M | 143.5M | 90.12M | 150.22M | 47.98M | 63.67M | 68.78M | 26.04M | 18.06M | 8.69T | 9.05T | 8.69T | 10.61T | 4.28T | 0 | 0 | 0 | 0 |
| Cash from Investing | -5.34B | -6.18B | -8.29B | -3.45B | -3.87B | -1.6B | -252.18M | -1.45B | -672.46M | -22.64M | -84.24M | -183.54M | -322.39M | -78.79M | -84.62M | -66.88M | -58.83M | -3.09M | -37.63M | -48.59M | -5.2M | -13.04M | -900K | 0 |
| Capital Expenditures | -698M | -1.34B | -860M | -509M | -455M | -609.5M | -247.14M | -136.87M | -97.75M | -74.88M | -77.37M | -64.28M | -35.28M | -114.21M | -18.14M | -19.2M | -13.63M | -4.75M | -4.96M | -3.09M | -2.44M | -2M | -900K | 0 |
| CapEx % of Revenue | 2.19% | 4.65% | 4.14% | 3.37% | 4.22% | 8.62% | 6.22% | 5.96% | 6.79% | 6.16% | 9.16% | 9.86% | 6.34% | 24.17% | 4.86% | 6.42% | 6.29% | 2.75% | 3.62% | 3.63% | 4.69% | 7.1% | 16.07% | - |
| Acquisitions | 0 | 0 | -6M | 0 | 0 | -55.73M | -6.94M | -72K | -4.2M | -35.8M | -7.28M | -45.01M | -40.81M | -3.42M | -1.39M | -5.47M | 416.45K | 955.68K | -39.18M | 28.75B | 0 | -12.14M | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -7.12B | -4.84B | -4.67B | -2.1B | -1.7B | -1.35B | -344.33M | -173.78M | -57.23M | -72.24M | -6.6M | -76M | -247.15M | 38.39M | 1.39M | -955.68B | -416.45K | -955.68K | -58.24B | -28.75B | 0 | 0 | 900K | 0 |
| Cash from Financing | 3.18B | 2.9B | 1.96B | -267M | 916M | 1.93B | 242.27M | 2.02B | 608.88M | -50.9M | -19.67M | -27.71M | 264.3M | -9.25M | -17.96M | -10.58M | -2.98M | -15.28M | -11.65M | 50.24M | -2.99M | 12.01M | 0 | 0 |
| Debt Issued (Net) | 3.31B | 2.9B | 1.96B | 89M | 1.06B | 598M | 606M | 155.04M | 644.61M | 42.9M | 4.75M | -4.03M | 322.3M | 15.52M | 0 | 0 | -3M | -15.31M | -9.14M | -116.9K | -3M | 12M | 0 | 0 |
| Equity Issued (Net) | -887.48K | -1M | -1M | -356M | -148M | 1.03B | -54M | -720K | -12.84M | -67.31M | 0 | -2.71M | -1.94M | -1.01M | 0 | 0 | 0 | 0 | -2.6M | 49.57M | 7.11K | 9K | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | -3.36M | -2.84M | -6.62M | -26.5M | -24.42M | -20.97M | -28.3M | -23.75M | -17.97M | -10.59M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -887.48K | -1M | -1M | -356M | -148M | -486M | -54.09M | -720K | -148.94M | -67.31M | 0 | -2.71M | -1.94M | -1.01M | 0 | 0 | 0 | 0 | -2.6M | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -130.89M | 0 | 0 | 0 | 0 | 293M | -306.38M | 1.87B | -16.26M | 0 | 0 | 0 | -27.75M | 2.85K | 5.7K | 11.18K | 18.2K | 28.35K | 83.09K | 788.57K | 0 | 0 | 0 | 0 |
| Net Change in Cash | 11.57B | 8.84B | 851M | 485M | -285M | 1.14B | 1.06B | 986.73M | 76.44M | 154.12M | 67.26M | -56.26M | 82.86M | 38.8M | 34.11M | 10.55M | 7.03M | 32.33M | 1.8M | 8.53M | -1.84M | 1.96M | -900K | 0 |
| Free Cash Flow | 10.71B | 10.77B | 7.06B | 4.63B | 2.48B | 355.55M | 935.41M | 314.22M | 133.15M | 194.13M | 112.89M | 157.09M | 161.51M | 28.3M | 121.75M | 70.22M | 54.27M | 44.95M | 49.58M | 3.68M | 3.71M | 1.43M | -900K | 0 |
| FCF Margin % | 33.67% | 37.29% | 33.97% | 30.65% | 23.05% | 5.03% | 23.54% | 13.68% | 9.25% | 15.96% | 13.37% | 24.1% | 29.02% | 5.99% | 32.59% | 23.49% | 25.04% | 26% | 36.19% | 4.32% | 7.14% | 5.08% | -16.07% | - |
| FCF Growth % | 68.2% | 52.64% | 52.41% | 86.36% | 598.92% | -61.99% | 197.69% | 135.98% | -31.41% | 71.96% | -28.14% | -2.73% | 470.73% | -76.76% | 73.39% | 29.4% | 20.73% | -9.35% | 1249.21% | -1.06% | 159.03% | 259.33% | - | - |
| FCF per Share | 211.21 | 212.50 | 139.22 | 90.79 | 48.41 | 7.14 | 18.81 | 6.45 | 2.99 | 4.40 | 2.56 | 3.56 | 3.66 | 0.64 | 2.76 | 1.59 | 1.23 | 1.02 | 1.12 | 0.14 | 0.28 | 0.10 | -0.09 | - |
| FCF Conversion (FCF/Net Income) | 5.58x | 6.07x | 4.14x | 5.21x | 6.10x | 11.63x | -1182.55x | -2.62x | -6.31x | 19.52x | 1.40x | 2.09x | 2.71x | 1.21x | 1.38x | 1.16x | 1.21x | 1.50x | 2.90x | 0.70x | 5.74x | 1.46x | - | - |
| Interest Paid | 0 | 0 | 0 | 608M | 247M | 58M | 54M | 40.52M | 19.51M | 7.73M | 8.06M | 7.98M | 4.75M | 658K | 68.92K | 58.56K | 5.78M | 12.33M | 7.14M | 1.57M | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 651M | 437M | 282M | 140M | 94.95M | 99.49M | 110.91M | 74.01M | 65.55M | 67.66M | 56M | 38.84M | 31.05M | 22.25M | 11.65M | 7.92M | 3.86M | 0 | 0 | 0 | 0 |
Regional Credit Cycle Sensitivity
As reported in recent financial statements, MELI's operating cash flow consistently dwarfs net income, with the OCF/NI ratio reaching 3.72 in 2026Q1, suggesting that reported earnings significantly understate the actual cash-generative capacity of the underlying commerce and fintech platforms.
The persistent divergence between net income and operating cash flow appears driven by substantial non-cash charges and working capital adjustments inherent to the credit business. Investors should monitor whether this gap reflects genuine cash-generative strength or merely the timing of credit provisions and deferred tax assets.
Based on quarterly data, free cash flow margins have exhibited extreme variance, peaking at 54.6% in 2025Q4 before moderating to 14.5% in 2026Q1, which indicates that the company's cash trajectory remains highly sensitive to seasonal working capital swings and periodic infrastructure investment cycles.
While the company demonstrates an ability to generate significant free cash flow, the lack of a stable margin trend suggests that capital requirements for logistics and credit funding remain lumpy. This volatility warrants caution, as it may obscure the underlying cash-flow-to-revenue conversion efficiency of the core business.
According to historical filings, the company's CapEx/Revenue ratio has fluctuated between 2.1% and 5.1% over the last ten quarters, reflecting a strategic commitment to building out proprietary fulfillment networks that are essential for maintaining a competitive advantage against regional and global retail peers.
The consistent investment in automated fulfillment centers suggests that management prioritizes long-term infrastructure control over short-term cash preservation. This capital intensity appears necessary to defend market share, though it creates a structural drag on free cash flow that investors must weigh against future margin expansion.
As evidenced by the 2025Q4 working capital inflow of $2.6B, MELI's cash flow is heavily influenced by the timing of credit book expansion and payables management, which can cause dramatic, non-linear shifts in quarterly liquidity that do not necessarily correlate with immediate operational performance.
The significant quarterly fluctuations in working capital suggest that the company's cash position is highly dependent on the velocity of its fintech credit cycle. Analysts should interpret these swings as a reflection of the company's role as a financial intermediary rather than purely retail-driven inventory management.
Quick answers to the most common questions about buying MELI stock.
MercadoLibre, Inc. (MELI) generated $12.12B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
MercadoLibre, Inc. (MELI) generated $10.77B in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
MercadoLibre, Inc. (MELI) spent $1.34B on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, MercadoLibre, Inc. (MELI) spent $1.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.