dLocal Q3 Revenue Misses, Shares Down 2.9%

dLocal Ltd Q3 2026 Results Overview

dLocal Ltd (NASDAQ:DLO) released its third‑quarter 2026 earnings, showing revenue of $398.1 million, which missed the analyst consensus of $406.7 million but represented a 41 % year‑over‑year increase from $282.5 million in the comparable prior‑year quarter. Adjusted earnings per share were $0.23, surpassing the $0.22 estimate. The company’s total payment volume (TPV) reached $18.3 billion, up 77 % YoY, marking the eighth consecutive quarter with more than 50 % YoY growth.

Net income rose to a record $68 million, or $0.23 per diluted share, a 31 % increase from $51.8 million in Q3 2025. Gross profit grew 28 % YoY to $132 million, while operating profit climbed 37 % YoY to $76.2 million. The operating‑profit‑to‑gross‑profit ratio improved to 58 % from 54 % in the prior year period. Gross profit margin fell to 33 % from 37 % a year earlier, reflecting a mix shift toward local‑to‑local and payout volumes and softer volumes in Argentina. Adjusted free cash flow surged 163 % YoY to $99.1 million.

CEO Pedro Arnt said the quarter demonstrated “consistent execution, supported by deepening merchant relationships, improving operating leverage and solid cash generation.”

Following the release, dLocal’s shares declined 2.9 % in after‑hours trading on Thursday. The company reaffirmed its full‑year 2026 guidance for TPV growth of 60‑70 % YoY and gross profit growth of 25‑30 % YoY. However, it now expects operating profit growth at the lower end of its previously stated 27.5‑32.5 % YoY range, citing foreign‑exchange headwinds in Brazil, Mexico and Argentina.

Key Figures

• Revenue: $398.1 million (‑$8.6 million vs consensus)
• Adjusted EPS: $0.23 (beat $0.22)
• TPV: $18.3 billion, +77 % YoY
• Net income: $68 million, +31 % YoY
• Gross profit: $132 million, +28 % YoY
• Operating profit: $76.2 million, +37 % YoY
• Operating profit/gross profit ratio: 58 % (up from 54 %)
• Gross profit margin: 33 % (down from 37 %)
• Adjusted free cash flow: $99.1 million, +163 % YoY
• Share price reaction: –2.9 % after‑hours
• FY2026 guidance: TPV +60‑70 % YoY, gross profit +25‑30 % YoY, operating profit growth at lower end of 27.5‑32.5 % YoY range.