The following is a summary of the DLocal Limited (DLO) Q1 2024 Earnings Call Transcript:

Financial Performance:

• DLocal reported Q1 TPV of $5.3 billion, growing by almost 50% year-on-year due to increases in various sectors like e-commerce and software as services.

• Revenues grew by 30% year-on-year but gross profit remained stagnant, leading to a decrease in adjusted EBITDA.

• Due to high merchant concentration, renegotiating fees with one of DLocal's largest merchants adversely affected revenue growth.

• Q1 net income totaled $18 million, falling by 50% YoY, and operating expenses reached $36 million due to investments in team growth and capabilities.

• The company yielded a free cash flow of $12 million, resulting in a net income to free cash flow conversion of 69% for the quarter.

• DLocal has a robust liquidity position, holding $320 million.

Business Progress:

• Development across multiple verticals affirms DLocal's competitive position and consistent share of wallet gains.

• Infrastructure investments to meet global remittance partners and marketplace merchants' needs are yielding results.

• DLocal has earned licenses in strategic markets like Argentina, Ecuador, Egypt, Dominican Republic, and Kenya.

• The company board authorized a $200 million share buyback program, showcasing faith in DLocal's future prospects.

• Although achieving 2024 objectives, DLocal predicts being at the lower end of their projected ranges.

• DLocal plans to maintain its investments in team growth, improve efficiencies, and onboard more merchants for business diversification.

• The Company is also considering potential M&A for boosting growth.

More details: DLocal IR

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