dLocal's upward trajectory persists as it broadens its presence in additional markets
dLocal, the global payment solution provider, has announced impressive financial results for the year 2021, showing a significant increase in revenue, expansion, and total payment volume. Despite the ongoing Russia-Ukraine conflict and changes related to the Covid-19 pandemic, dLocal does not anticipate being impacted negatively by these IRS issues. The company has managed to maintain its growth trajectory, thanks to its robust business model and global presence. In 2021, dLocal's revenue for the full year reached $244 million, marking a 134% increase year-on-year. This growth was driven by a strong performance in Q4 2021, where the company recorded revenue of $76 million, a 120% increase. The total payment volume for the year 2021 was $2.1 billion, a staggering 193% increase. For Q4 2021 alone, the total payment volume was $757 million, a 145% increase. One of the key factors contributing to dLocal's success is its expansion. The company expanded its presence to 35 countries in 2021, up from 20 in 2020, allowing it to connect to over 700 payment methods, providing merchants with a wide range of options for accepting payments. In terms of new business, 22% of dLocal's revenue for the year 2021 came from new merchants. The company continues to focus on global expansion in 2022, aiming to further increase its footprint and reach. dLocal's financial performance was not the only highlight of the year. The company also reported a strong increase in headcount, with an increase of 73% to 535 in 2021. The company's financial metrics also improved. dLocal's adjusted EBITDA margin for FY 2021 rose to 41%, compared to 40% in 2020. The company expects its EBITDA margin to be 'north of 35%' in 2022. However, the take rate for dLocal was around 20% lower in 2021 compared to 2020 levels. Despite this, dLocal plans to maintain a net customer retention rate of 150%+ in 2022, demonstrating the company's ability to retain its existing customers and attract new ones. In conclusion, dLocal has had a successful 2021, demonstrating its resilience and adaptability in the face of challenges. The company is well-positioned for continued growth in 2022 and beyond, with a focus on global expansion and maintaining strong financial metrics.
