dLocal Reports Strong Q2 Results with Record Revenue and Payment Volume Growth
On August 13, dLocal (NASDAQ:DLO) reported robust second-quarter results. Total payment volume reached $17.7 billion, up 92% year over year — the fastest growth in more than four years. Revenue increased by 56% to $399.7 million and gross profit hit a record high of $127.2 million. The company's net revenue retention was at 153%, with TPV (Total Payment Volume) retention reaching an impressive 188%. This indicates that existing clients are expanding their use cases, including adding new countries and payment methods. Brazil and Argentina were key contributors to profitability, driven by growth in ride-hailing, travel, and e-commerce sectors. Despite the strong performance, dLocal faces challenges ahead. Mexico's gross profit declined sequentially due to pricing pressures on large merchants. The company also warned of potential tax rate increases starting 2027 under OECD’s Pillar 2 framework. Additionally, some growth drivers like marketing campaigns may not be sustainable in future quarters.
Topics: growth net revenue retention payments revenue TPV