TPV reached nearly US$18 billion (+92% year-over-year), the 7th consecutive quarter of 50%+ growth, and continued acceleration over the last 5 quarters.
Record gross profit: US$127 million (+29% year-over-year).
Operating profit: US$64 million (+15% year-over-year), with Operating Profit/Gross Profit ratio reaching 50% (+6 p.p. quarter-over-quarter); operating leverage to improve in the second half of 2026.
Net income at US$55 million (+28% year-over-year), diluted EPS $0.18 (vs. $0.14 in 1Q26).
Adj. Free Cash Flow US$69 million (+41% year-over-year), Adj. FCF/Net income conversion of 125%.
Guidance update: TPV guidance raised to 60–70% year-over-year and Gross profit to 25–30% year-over-year; Operating profit guidance maintained at 27.5–32.5% year-over-year.
MONTEVIDEO, Uruguay, Aug. 13, 2026 (GLOBE NEWSWIRE) -- DLocal Limited (“dLocal”, “we”, “us”, and “our”) (NASDAQ:DLO), the leading cross-border financial infrastructure platform connecting global merchants to emerging markets, today announced its financial results for the second quarter ended June 30, 2026.
dLocal’s management team will host a conference call and audio webcast on August 13, 2026 at 5:00 p.m. Eastern Time. Please click here to pre-register for the conference call and obtain your dial in number and passcode.
The live conference call can be accessed via audio webcast at the investor relations section of dLocal’s website, at https://investor.dlocal.com/. An archive of the webcast will be available for a year following the conclusion of the conference call. The investor presentation will also be filed on EDGAR at www.sec.gov.
“TPV growth has remained above 50% year-over-year for seven consecutive quarters, with the last three quarters at or above 70%. Growth has also accelerated over the past five quarters, reaching its highest year-over-year rate in four years. Although the pace and scale of this growth will naturally create more demanding comparisons as we move through the second half of the year and into 2027, what we are seeing today reflects the positive returns on the investments we have made in our platform and portfolio of licenses. It is also a testament to the trust merchants place in us as they build and grow across emerging markets,” said Pedro Arnt, CEO of dLocal.
Second quarter 2026 financial highlights
dLocal reports in US dollars and in accordance with IFRS as issued by the IASB
- Total Payment Volume (“TPV”) reached US$17.7 billion in the second quarter of 2026, up 92% year-over-year compared to US$9.2 billion in the second quarter of 2025 and up 26% compared to US$14.1 billion in the first quarter of 2026. In constant currency, TPV growth for the period would have been 80% year-over-year.
- Revenues amounted to US$399.7 million, up 56% year-over-year compared to US$256.5 million in the second quarter of 2025 and up 19% compared to US$335.9 million in the first quarter of 2026. In constant currency, revenue growth for the period would have been 50% year-over-year. The quarter-over-quarter comparison was driven by volume growth.
- Gross profit was US$127.2 million in the second quarter of 2026, a new record, up 29% compared to US$98.9 million in the second quarter of 2025 and up 7% compared to US$118.7 million in the first quarter of 2026. In constant currency, gross profit growth for the period would have been 23% year-over-year. The quarterly comparison was driven by (i) Brazil, supported by the ramp-up of ride-hailing and travel merchants alongside sustained e-commerce growth; (ii) Argentina, driven by broad-based growth across e-commerce, ride-hailing and on-demand delivery, as well as lower advancement costs; partially offset by (iii) Mexico, with large Tier 0 merchants hitting higher volume pricing tier along with cost pressure. Underlying volume and revenue growth (64% YoY) remain solid; and (iv) Africa and Asia, with lower contribution from higher FX spread markets (Mozambique and Vietnam) and one-off cost increase in Nigeria.
- As a result, gross profit margin was 32% in this quarter, compared to 39% in the second quarter of 2025 and 35% in the first quarter of 2026.
- Gross profit over TPV was at 0.72%, decreasing from 1.07% in the second quarter of 2025 and from 0.84% in the first quarter of 2026, reflecting the higher local-to-local share, the ramp-up of large merchants, and the natural margin dynamics of scaling volume with established merchants and into new payment methods, products, and countries.
- Operating expenses reached US$63.0 million for the second quarter of 2026, up 46% year-over-year and down 4% quarter-over-quarter. The year- over-year increase reflects the annualization of investments made in the second half of 2025, higher average salaries driven by the annual merit cycle and a limited number of senior strategic hires, and higher marketing spend concentrated in the first half around the World Cup campaign and large merchant events. The sequential decrease partly reflects the absence of the US$4.4 million non-recurring prior-year tax item recorded in OPEX in the first quarter of 2026.
- As a result, Operating profit was US$64.2 million, up 15% year-over-year and 22% quarter-over- quarter. The Operating Profit to Gross Profit ratio was 50%, up 6 p.p. quarter-over-quarter compared to 44% as reported in the first quarter of 2026 and down 6 p.p. year-over-year compared to 56% as reported in the second quarter of 2025.
- Net financial result was a US$2.3 million gain, compared to a net finance loss of US$3.8 million in the second quarter of 2025 and a net finance gain of US$5.2 million in the first quarter of 2026.
- Our effective income tax rate for the period was approximately 16%, in line with the second quarter of 2025 and lower when compared to 26% for the first quarter of 2026, which was elevated by the non-recurring prior-period adjustment, as explained in the previous quarter.
- Net income for the second quarter of 2026 was US$54.8 million, or US$0.18 per diluted share, up 28% compared to a profit of US$42.8 million, or US$0.14 per diluted share, for the second quarter of 2025, and up 31% compared to a profit of US$41.9 million, or US$0.14 per diluted share, for the first quarter of 2026. The quarterly comparison is explained by higher operational profit and lower tax expenses.
- Adjusted free cash flow for the second quarter of 2026 amounted to US$68.5 million, up 41% year-over-year compared to US$48.4 million in the second quarter of 2025, and up substantially compared to US$14.7 million in the first quarter of 2026. The improvement reflects the normalization of the temporary working-capital effects (including timing in tax-credit netting and receivables from advancement operations) that had weighed on the first quarter of 2026.
- As of June 30, 2026, dLocal had US$794.9 million in total cash and cash equivalents, which includes US$369.1 million of Corporate cash and cash equivalents. The Corporate cash and cash equivalents increased by US$115.3 million from US$253.8 million as of June 30, 2025. When compared to the US$451.8 million Corporate cash and cash equivalents position as of March 31, 2026, it decreased by US$82.7 million quarter-over-quarter, explained by the dividends payment and execution of the share repurchase program. Under the $300 million program authorized in March 2026, the Company has repurchased approximately 6.9 million Class A shares for US$86.1 million through the end of the second quarter.
- Before the date of this release, and following the Board of Directors’ approval of the Company’s financial statements for the second quarter of 2026, ended June 30, 2026, on August 12, 2026 we entered into a credit agreement with certain of our subsidiaries as initial guarantors and the lenders party thereto, providing for a U.S.$150.0 million senior unsecured credit facility. The facility matures on August 14, 2029, and is repayable in 11 equal, quarterly installments of US$13.6 million each, plus interest, commencing six months following the borrowing date, as specified in the Credit Agreement. Interest accrues at Term SOFR (Secured Overnight Financing Rate) plus 2.00% per annum. The proceeds of the facility are intended to be used for general corporate purposes.
The following table summarizes our key performance metrics:
Three months ended on June 30Six months ended on June 30 20262025% change20262025% changeKey Performance metrics(In millions of US$ except for %)TPV17,6949,21292%31,74917,31983%Revenue399.7256.556%735.5473.255%Gross Profit127.298.929%245.8183.834%Gross Profit margin32%39%-7p.p33%39%-5p.pOperating Profit64.255.815%116.9101.615%Operating Profit/Gross Profit50%56%-6p.p48%55%-8p.pNet Income54.842.828%96.789.58%Net Income margin14%17%-3p.p13%19%-6p.pAdjusted Free Cash Flow reconciliation
We calculate “Adjusted Free Cash Flow” as net cash (used in) / generated from cash flows from operating activities, less (i) changes in working capital (merchant), and (ii) capital expenditures. The working capital (merchant) is defined as (i) changes in Trade receivables net (disclosed in Note 17 to our consolidated financial statements for the period ended June 30, 2026), plus (ii) changes in Trade payables (disclosed in Note 20 to our consolidated financial statements for the period ended June 30, 2026), plus (iii) changes in Other tax liabilities (disclosed in note 21 to our consolidated financial statements for the period ended June 30, 2026). Capital expenditures consist of acquisitions of property, plant and equipment and additions of intangible assets.
Management uses Adjusted Free Cash Flow as a measure for evaluating the Company's cash generation and the cash available for distribution to our shareholders as dividends pursuant to our dividend policy. Adjusted Free Cash Flow is not a financial measure recognized under IFRS and does not purport to be an alternative to cash generated from operating activities or as a measure of liquidity. Our presentation of Adjusted Free Cash Flow has limitations as an analytical tool, and you should not consider it in isolation or as a substitute for analysis of our results as reported under IFRS. See below for a reconciliation of our Adjusted Free Cash Flow to the nearest IFRS measure.
The table below presents a reconciliation of dLocal’s Adjusted Free Cash Flow reconciliation:
$ in thousands (except percentages)Three months ended on June 30Six months ended on June 30 2026202520262025Net cash (used in ) / generated from operating activities140,522124,459233,304219,872Changes in working capital (merchant)¹(62,064)(67,578)(130,455)(115,748)Capital expenditures²(9,910)(8,434)(19,649)(15,946)Adjusted Free Cash Flow68,54848,44783,20088,176Note: 1 Changes in working capital (merchant) consists of (i) changes in the period in the balance of trade receivables net, plus (ii) changes in the period in the balance of trade payables, plus (iii) changes in the period in the balance of other tax liabilities. 2 Capital expenditures consist of acquisitions of property, plant and equipment and Additions of Intangible Assets.
dLocal Limited
Certain financial information
Consolidated Statements of Comprehensive Income for the three-month and six-month periods ended June 30, 2026 and 2025
(All amounts in thousands of U.S. Dollars except share data or as otherwise indicated)
dLocal Limited
Certain financial information
Consolidated Statements of Financial Position as of June 30, 2026 and 2025
(All amounts in thousands of U.S. dollars)
2025
on June 30, 2026on June 30, 2025ASSETS Current Assets Cash and cash equivalents794,943476,939Financial assets at fair value through profit or loss79,214125,526Trade and other receivables1,149,456487,320Derivative financial instruments169691Other assets25,05529,888Total Current Assets2,048,8371,120,364 Non-Current Assets Trade and other receivables24,73714,698Deferred tax assets4,1735,961Property, plant and equipment3,8644,208Right-of-use assets2,7524,124Intangible assets94,85068,165Goodwill6,550-Other assets5,7823,792Total Non-Current Assets142,708100,948TOTAL ASSETS2,191,5451,221,312 LIABILITIES Current Liabilities Trade and other payables1,554,943691,081Lease liabilities1,1131,201Tax liabilities19,35114,330Derivative financial instruments1,9282,555Financial liabilities64,63256,806Provisions759544Total Current Liabilities1,642,726766,517 Non-Current Liabilities Deferred tax liabilities6,6763,918Lease liabilities1,6262,696Total Non-Current Liabilities8,3026,615TOTAL LIABILITIES1,651,028773,131 EQUITY Share Capital576587Share Premium-192,820Treasury Shares-(200,980)Capital Reserve55,45339,241Other Reserves(11,035)(13,190)Retained earnings495,254429,482Total Equity Attributable to owners of the Group540,248447,960Non-controlling interest269220TOTAL EQUITY540,517448,180TOTAL EQUITY AND LIABILITIES2,191,5451,221,312
dLocal Limited
Certain interim financial information.
Consolidated Statements of Cash flows for the the three-month and six-month periods ended June 30, 2026 and 2025
(All amounts in thousands of U.S. dollars)
202520262025Cash flows from operating activities Profit before income tax64,98850,996121,533102,925Adjustments: Interest Income from financial instruments(5,067)(5,976)(15,657)(11,083)Interest charges for lease liabilities534111082Other interests charges(752)1,5686,7602,452Finance expense related to derivative financial instruments2,9323,1773,6323,591Net exchange differences4699,765(2,147)13,908Fair value loss/(gain) on financial assets at FVPL-(4,791)(167)(12,134)Amortization of Intangible assets7,3285,05514,3909,639Depreciation and disposals of PP&E and right-of-use6084851,2611,188Share-based payment expense, net of forfeitures6,4894,91112,55510,931Other operating gain1,9092,4802,3412,902Net Impairment loss/(gain) on financial assets1,4301,4152,2101,801Inflation adjustment and other financial results2,1873,1805,0509,265 82,57472,306151,871135,467Changes in working capital Increase in Trade and other receivables(410,436)(13,046)(580,738)8,036Decrease / (Increase) in Other assets(4,265)1,175(18,544)2,200Increase / (Decrease) in Trade and Other payables495,66476,948700,50793,294Increase / (Decrease) in Tax Liabilities(7,261)(2,928)2,316(1,963)Increase / (Decrease) in Provisions298132644Cash (used) / generated from operating activities156,575134,457255,738237,078Income tax paid(16,052)(9,998)(22,434)(17,206)Net cash (used) / generated from operating activities140,522124,459233,304219,872 Cash flows from investing activities Acquisitions of Property, plant and equipment(241)(515)(763)(1,460)Additions of Intangible assets(9,669)(7,919)(18,886)(14,486)Acquisition of financial assets(65,164)(92,090)(92,040)(133,464)Collections of financial assets83,15386,554111,123133,970Interest collected from financial instruments5,0675,97715,65711,083Cash acquired in a business combination791-791-Payments for investments in other assets at FVPL-(2,500)-(12,500)Net cash (used in) / generated investing activities13,936(10,493)15,882(16,857) Cash flows from financing activities Repurchase of shares(75,940)-(86,062)-Share-options exercise paid65940257940Dividends paid(57,211)(149,982)(57,211)(149,982)Interest payments on lease liability(53)(41)(110)(82)Principal payments on lease liability382(478)(366)(1,141)Finance expense paid related to derivative financial instruments601(1,948)(3,300)(5,080)Net proceeds from financial liabilities(47,619)6,224(22,266)12,014Interest payments on financial liabilities5,306(3,835)-(6,001)Other finance expense paid591(1,399)(6,864)(2,113)Net cash used in by financing activities(173,878)(150,520)(175,922)(151,445)Net increase in cash flow(19,419)(36,554)73,26451,570 Cash and cash equivalents at the beginning of the period815,605511,506719,897425,172Net (decrease)/increase in cash flow(19,419)(36,554)73,26451,570Effects of exchange rate changes on inflation and cash and cash equivalents(1,243)1,9871,782197Cash and cash equivalents at the end of the period794,943476,939794,943476,939
About dLocal
dLocal builds financial infrastructure for markets of the future, connecting global enterprises with billions of emerging market consumers in more than 60 countries across high-growth markets in Africa, Asia, the Middle East, and Latin America. Through the "One dLocal" concept (one direct API, one platform, and one contract), global companies can accept payments, send payouts, and settle funds globally without the need to manage multiple local entities and integrations. For more information, visit www.dlocal.com
Forward-looking statements
This presentation may contain forward-looking statements. These forward-looking statements convey dLocal’s current expectations or forecasts of future events, including guidance in respect of total payment volume, gross profit and operating profit. Forward-looking statements regarding dLocal and amounts stated as guidance involve known and unknown risks, uncertainties and other factors that may cause dLocal’s actual results, performance or achievements to be materially different from any future results, performances or achievements expressed or implied by the forward-looking statements. Certain of these risks and uncertainties are described in the “Risk Factors,” and “Cautionary Statement Regarding Forward-Looking Statements” sections of dLocal’s filings with the U.S. Securities and Exchange Commission.
Unless required by law, dLocal undertakes no obligation to publicly update or revise any forward-looking statements to reflect circumstances or events after the date hereof.
Starting in 2026, we provide guidance in respect of Operating Profit, which management believes is useful as a measure to compare our operating results to the operations of other companies in our industry, and to assess our operating performance independently of our capital structure, tax position, and non-cash depreciation and amortization charges.
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This press release does not contain sufficient information to constitute an interim financial report as defined in International Accounting Standards 34, “Interim Financial Reporting” nor a financial statement as defined by International Accounting Standards 1 “Presentation of Financial Statements”. The second quarter financial information in this press release has not been audited nor has it been subject to any limited review procedures, whereas the annual results for the year ended December 31, 2025 are audited.