DLocal (DLO) investor relations material

Executive summary

• TPV reached $17.7 billion in Q2 2026, up 92% year-over-year and 26% sequentially, marking the seventh consecutive quarter of 50%+ growth and the highest rate since Q1 2022.

• Revenue grew 56% year-over-year to $400 million, with gross profit at $127 million, up 29% year-over-year and annualizing over $500 million.

• Net income was $55 million, up 28% year-over-year, with diluted EPS of $0.18, and adjusted free cash flow at $69 million, up 41% year-over-year with a 125% conversion rate.

• Operating profit as a percentage of gross profit improved by 6 percentage points sequentially to 50%.

• Growth was diversified across verticals, geographies, and products, with strong merchant retention and expansion.

Financial highlights

• Operating profit reached $64 million, up 22% sequentially and 15% year-over-year, with a 50% operating profit/gross profit ratio.

• Net income increased 28% year-over-year and about 30% sequentially, reaching $55 million.

• Diluted EPS was $0.18, supported by earnings growth and share repurchases.

• Adjusted free cash flow was $69 million, up 41% year-over-year, with conversion at 125% of net income.

• Gross profit margin was 32%, down from 39% a year ago and 35% in the previous quarter.

Outlook and guidance

• Annual TPV growth guidance raised to 60%-70% year-over-year.

• Gross profit growth guidance increased to 25%-30% year-over-year.

• Operating profit growth guidance maintained at 27.5%-32.5% year-over-year due to non-recurring tax and FX headwinds.

• Further operating leverage expected in the next two quarters as automation and AI investments scale.