DLocal (US:DLO)2024-03-19 12:10Financial Performance - Total Payment Volume (TPV) reached $17.7 billion in FY23, representing a 67% year-over-year growth[9]. - Revenue for FY23 was $650 million, up 55% year-over-year, with a quarterly revenue of $188 million in Q4 2023, reflecting a 59% year-over-year increase[9][35]. - Gross profit increased by 37% year-over-year to $277 million, with a gross profit margin impacted by higher expatriation costs[9][41]. - Adjusted EBITDA for FY23 was $202 million, showing a 55% year-over-year growth, while Q4 2023 Adjusted EBITDA was $70 million, a 27% year-over-year increase[9][44]. - Total Payment Volume (TPV) for Q4 2023 is projected to be between $5.1B and $5.2B, with a total TPV of $17.7B for the year 2023[65]. - Gross profit for Q4 2023 is estimated to be between $131.5M and $188.0M, with a total gross profit of $650.4M for the year 2023[68]. - Adjusted EBITDA for Q4 2023 is expected to be between $240M and $260M, with a margin over gross profit of approximately 70%[21]. - The total revenue for Q4 2023 is expected to reach $188.0M, reflecting a year-over-year growth of 61%[68]. Growth Metrics - Net revenue retention rate (NRR) for FY23 was 150%, indicating strong performance from existing clients[13]. - The company experienced a 114% year-over-year revenue growth in Africa & Asia, contributing to 24% of total revenue[30][28]. - Net Revenue Retention (NRR) rate for Q4 2023 is reported at 149%, indicating strong retention and growth among existing merchants[72]. Operational Expansion - Employee growth was 24% year-over-year, with a total of 901 full-time equivalents (FTEs) as of Q4 2023[10]. - The company added over 10 new licenses and registrations in 2023, enhancing its operational capabilities in emerging markets[23]. - The company has integrated over 900 local payment methods across more than 40 countries, enhancing its market presence in emerging markets[62]. Future Guidance - The company plans for a TPV guidance of $25-27 billion and Adjusted EBITDA guidance of $220-260 million for FY24[58]. - The company anticipates a gross profit CAGR of 25-35% and an Adjusted EBITDA margin of over 75% in the mid-term[61]. Payment Volume Insights - Non-credit card volume accounted for 75% of total TPV in 2023, maximizing reach by accepting key local payment methods[18]. - Cross-border TPV accounted for 44% of total TPV in Q4 2023, while Local to Local transactions made up 56%[66]. Investment in Technology - The company is investing in technology and product headcount to support long-term growth, with a temporary increase in operating expenses[21].