Overview

* DLocal ( DLO ) Q3 revenue grows 52% yr/yr, beating analyst expectations

* Adjusted EBITDA for Q3 beats consensus, rising 37% yr/yr

* Net income for Q3 rises 93% yr/yr, reflecting strong growth

Outlook

* Dlocal ( DLO ) did not provide specific future guidance in the statement

Result Drivers

* TPV GROWTH - Record TPV of US$10.4 bln, up 59% yr/yr, driven by strong performance in frontier markets and Brazil

* FRONTIER MARKETS - Volume growth in Colombia, Bolivia, and Nigeria contributed to gross profit increase

* CHALLENGES IN EGYPT AND ARGENTINA - Egypt faced share-of-wallet losses; Argentina saw lower interest-rate spreads and increased processing costs

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat $282 mln $255.40

Revenue mln (4

Analysts

)

Q3 Beat $71.70 $63.30

Adjusted mln mln (3

EBITDA Analysts

)

Q3 Gross 37.00%

Margin

Q3 25.00%

Adjusted

EBITDA

Margin

Q3 Gross $100 mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the business support services peer group is "buy"

* Wall Street's median 12-month price target for Dlocal Ltd ( DLO ) is $16.00, about 9.3% above its November 11 closing price of $14.52

* The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 15 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)