Bumping this one too, since Q2 hadn’t been posted yet
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Putting q4 2024 here as well
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D.local’s quarterly report showed strong growth and record-level activity.
Total Payment Volume (TPV) rose 41 percent year-over-year, and revenue grew 13 percent.
Operating profit improved compared to the previous quarter, although it slightly decreased year-over-year. Cash reserves increased significantly, and the company achieved 100 percent cash conversion from net income. Cross-border payments exceeded the $3 billion mark.
Net income decreased, which was mainly due to higher financing costs. The company invested in technology and payment systems, e.g., by launching new services. Management is particularly optimistic about the long-term strategy. 
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Dlocal is acquiring African payment processor AZA Finance, with the aim of strengthening its presence in the African market. Link attached:
Apparently, the market has not liked the price or the acquisition, as the stock is down approximately 3% at the time of writing. I couldn’t find any official information about this acquisition target with a quick Google search. Since the last message, Dlocal has also reported its Q1 2025 results. At that time, both EPS and revenue exceeded forecasts. Dlocal has a very strong cash position, and this acquisition of AZA Finance can be financed directly with cash reserves, meaning no debt needs to be taken on.
Here is also a link to Dlocal’s own Q1 report: https://dlocal.gcs-web.com/news-releases/news-release-details/dlocal-reports-2025-first-quarter-financial-results
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The tweet thread below tells, among other things, how dLocal has risen to be a strong player in the payment processing side of emerging markets, serving giant companies like Amazon and Spotify.
The thread also discusses, among other things, how the company is growing rapidly, but pressures on margins and pricing are visible.
Below is a link to the tweet thread and its initial post. Then, below those, there is another link from which you can read the entire tweet thread directly, even if you don’t have an X account.
The tweet thread below explains how DLocal’s story might be poised for a new upturn, and the thread justifies why this could happen.
The stock has plummeted from its highs, but now, according to the tweeter, the numbers, management, and markets are speaking a different language. The thread includes a concise but good overview of growth figures, TPV development, normalization of margins, and why the new guy Pedro Arnt might be exactly who can help the company turn around. What’s good about the post is that it also includes bull/base/bear scenarios for valuation at the end.
Below is a link where you can read the entire tweet thread directly, even if you don’t have an X account, and below that is a link directly to X if you have an X account and want to read it there.
https://twitter-thread.com/t/1948723093733564812
https://x.com/TacticzH/status/1948723061101838656
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Q2 out, with quite excellent results 
In the second quarter of 2025, DLocal achieved a record Total Payment Volume (TPV) of $9.2 billion, marking a 53% year-over-year increase. The company also reported revenues of $256.5 million, up 50% from the previous year, driven by strong performance in Brazil and Mexico, as well as rapid growth in other regions. DLocal’s Adjusted EBITDA rose by 64% to $70.1 million, reflecting consistent operational leverage.
Key financial metrics highlighted in the report include a gross profit of $98.9 million, up 42% year-over-year, and a free cash flow of $48 million, demonstrating robust cash generation capabilities. The company’s net income for the quarter was $42.8 million, slightly down due to currency devaluation impacts, but operational improvements were evident with an 85% increase in operating profit.
Looking ahead, DLocal has adjusted its full-year 2025 guidance upwards for TPV, revenue, gross profit, and Adjusted EBITDA, indicating confidence in sustained business momentum. The company is also making governance changes, including transitioning to a majority independent board and canceling treasury shares to return capital to shareholders.
source: https://www.tipranks.com/news/company-announcements/dlocal-reports-strong-q2-2025-financial-growth
dLocal’s own investor presentation
https://d3r2gobaqkqkis.cloudfront.net/files/dlocal_2q25_earnings_results_vf.pdf
Outlook raised significantly
postmarket after the results 
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According to the link below, Dlocal’s short interest has clearly increased over the last month. I don’t understand these things very well, but the premarket action suggests to me that a short squeeze might be building here? As I understand it, about 10% of the float is shorted. Additionally, insiders own about half of the shares, so relatively few shares are available on the open market. If I understood correctly
https://www.nasdaq.com/market-activity/stocks/dlo/short-interest
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dLocal and Tiendamia partner to drive cross-border eCommerce growth in Latin America
The partnership expands local payments across five key Latin American markets, enabling businesses to efficiently collect and pay out while delivering shoppers faster, more convenient, and inclusive payment experiences.
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The largest owner is selling 15,000,000 shares via a block trade, with an additional option of 2,500,000 if the price is favorable.
https://finance.yahoo.com/news/dlocal-announces-launch-secondary-offering-203100918.html
The market naturally anticipates a decline in the stock price, but often similar situations have been good buying opportunities.
Largest holdings currently and after the sale
source: https://dlocal.gcs-web.com/node/7471/html
https://x.com/mvcinvesting/status/1963342659751481729
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The deep dive published in September, in my opinion, partly summarizes this thread well regarding the events, short reports, and other accusations, which to my understanding proved to be baseless, and the latest rise after the Q2 results. Competition, risks, and potential are highlighted, and my own DCF calculations are also there. Clear text, recommended reading.
vilpukkaulpukka
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Hated Moats also made fresh DCF calculations on this
background calculations visible, everyone can evaluate according to their own taste
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Q3 - summarized by copilot
- TPV (Total Payment Volume): 10.4 billion USD → +59% y/y
- Record level, driven especially by Colombia, Bolivia, and Nigeria.
- Revenue: 282.5 million USD → +52% y/y
- Growth from increased volumes, especially LatAm and Africa.
- Gross Profit: 103.2 million USD → +32% y/y
- Margin was pressured by changes in payment methods in Mexico, a decrease in interest income in Argentina, and rising costs.
- Gross Profit Margin: 37% (vs. 42% a year earlier)
- EBITDA: 71.7 million USD → +37% y/y
- EBITDA margin 25% (vs. 28% a year earlier).
- Operating Income: 55.6 million USD → +35% y/y
- Net Income: 51.8 million USD → +93% y/y
- 0.17 USD/share. Benefited from lower financing costs as the company reduced Argentina peso-denominated debt instruments.
- Free Cash Flow: 37.6 million USD → +28% y/y, but -22% compared to Q2.
- Temporary impact from structural changes due to the repatriation of cash flows from Argentina.
- Cash: 604.5 million USD (corporate cash 333.1 M USD) → strong liquidity.
Summary:
dLocal once again delivered very strong growth for the quarter, but margins are slightly pressured due to market and cost factors. However, net income grew significantly, and the cash position is strong. The company continues to invest in technology and sales, which will support growth in future quarters.
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The full report:
And the investor presentation, from which a few excerpts:
Buy now, pay later model expands
This is apparently the slide affecting the stock price
Heading towards the upper end of the raised guidance
And a customer left in Egypt
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Excellent result. Pedro emphasized a couple of times during the call that TPV is the most important metric for them, and it performed very well. You can listen to the Q3 2025 earnings call from the link below; the call starts around 16:00 if you want to skip the streamer’s chatter:
A couple of interesting points that stood out to me:
- Dlocal has started offering BNPL (Buy now, pay later) products, but uses local partners for this and does not take on credit risk itself. Additionally, BNPL products yield a better margin, as the BNPL provider also pays Dlocal.
- 6 out of 7 of the Mag7 companies are Dlocal’s clients. This also provides a nice growth path as these giants continue to grow in emerging markets (24:00 in the link above).
- I personally read between the lines from Pedro’s comments at 46:50, that as volume increases and the company grows, the use of these netting opportunities will surely increase, and Dlocal will get a larger share of the exchange rate spread.
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Comrades, please help me understand the market’s reaction. Gross margin decreased “slightly” and net take rate decreased.
Did the market really expect an even stronger result? I’m completely baffled…
I would first observe the market reaction during normal opening hours. At least on normal days, aftermarket volume has been completely negligible. Additionally, management holds a significant portion of the shares, so the free float is small. Larger players move this as well. The proportion of short sellers is still large, so if a big player starts buying more aggressively, we might see big movements even within the day.
In my opinion, this is a good place to make an entry / add if this is the market’s verdict.
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Excellent Q3 walkthrough in Cunha’s familiar style.
e.g., The reason for the Net take rate decline was well explained.
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In this current quick overview of the company, it is highlighted that DLocal is a rapidly growing fintech company whose revenue and payment operations are soaring upwards at a fast pace.
According to the tweet, profitability is only temporarily under pressure due to scaling, but the business has a strong moat, and furthermore, according to the tweeter, the market still prices it as a slow basic grower, even though, relative to the risk, the return potential is, according to him, really attractive.
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