DLocal revenue beats estimates in Q2 2026, earnings fall short

DLocal Ltd. on Tuesday reported second-quarter 2026 revenue that exceeded market estimates, though earnings per share fell below projections as operating expenses climbed.

The Latin American payments company posted revenue of $245.3 million for the quarter ended June 30, up 18% year-over-year and topping the $238 million consensus estimate compiled by Refinitiv. Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) rose 15% to $102.7 million.

Net income attributable to shareholders totaled $58.2 million, or $0.32 per diluted share, below the $0.36 per share forecast by analysts surveyed by Bloomberg. The shortfall was attributed to higher sales and marketing spending and increased technology investments aimed at expanding market share in key regions.

DLocal’s chief executive officer, Pedro Arnt, highlighted the company’s revenue growth trajectory during the earnings call, noting strong adoption of its cross-border payment solutions in Brazil and Mexico. He added that the firm remains focused on scaling operations while managing cost pressures.

Shares of DLocal fell 3.5% in after-hours trading following the results, extending losses from the prior session. The stock has declined 12% over the past month amid broader weakness in Latin American tech equities.

Analysts at JPMorgan maintained their overweight rating on DLocal, citing long-term growth potential in digital payments despite near-term margin challenges. The firm’s price target remains unchanged at $42.

The company reaffirmed its full-year 2026 guidance, projecting revenue growth of 15-17% and adjusted EBITDA margin expansion to 42-44%.

DLocal’s results underscore the tension between growth investments and profitability in the competitive Latin American fintech sector.