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DLocal Gross Margin %

: 49.80% (As of Mar. 2022)
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Gross Margin % is calculated as gross profit divided by its revenue. DLocal's Gross Profit for the three months ended in Mar. 2022 was $43.6 Mil. DLocal's Revenue for the three months ended in Mar. 2022 was $87.5 Mil. Therefore, DLocal's Gross Margin % for the quarter that ended in Mar. 2022 was 49.80%.


The historical rank and industry rank for DLocal's Gross Margin % or its related term are showing as below:

DLO' s Gross Margin % Range Over the Past 10 Years
Min: 51.74   Med: 57.69   Max: 64.89
Current: 51.74


During the past 3 years, the highest Gross Margin % of DLocal was 64.89%. The lowest was 51.74%. And the median was 57.69%.

DLO's Gross Margin % is ranked better than
56.47% of 2488 companies
in the Software industry
Industry Median: 45.54 vs DLO: 51.74

DLocal had a gross margin of 49.80% for the quarter that ended in Mar. 2022 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for DLocal was 0.00% per year.


DLocal Gross Margin % Historical Data

The historical data trend for DLocal's Gross Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

DLocal Annual Data
Trend Dec19 Dec20 Dec21
Gross Margin %
64.89 57.69 53.43

DLocal Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22
Gross Margin % Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 57.80 57.31 50.18 51.07 49.80

Competitive Comparison

For the Software - Infrastructure subindustry, DLocal's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

DLocal Gross Margin % Distribution

For the Software industry and Technology sector, DLocal's Gross Margin % distribution charts can be found below:

* The bar in red indicates where DLocal's Gross Margin % falls into.



DLocal Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

DLocal's Gross Margin for the fiscal year that ended in Dec. 2021 is calculated as

Gross Margin % (A: Dec. 2021 )=Gross Profit (A: Dec. 2021 ) / Revenue (A: Dec. 2021 )
=130.4 / 244.12
=(Revenue - Cost of Goods Sold) / Revenue
=(244.12 - 113.677) / 244.12
=53.43 %

DLocal's Gross Margin for the quarter that ended in Mar. 2022 is calculated as


Gross Margin % (Q: Mar. 2022 )=Gross Profit (Q: Mar. 2022 ) / Revenue (Q: Mar. 2022 )
=43.6 / 87.453
=(Revenue - Cost of Goods Sold) / Revenue
=(87.453 - 43.899) / 87.453
=49.80 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.


DLocal  (NAS:DLO) Gross Margin % Explanation

Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.

Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %

1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key

DLocal had a gross margin of 49.80% for the quarter that ended in Mar. 2022 => Durable competitive advantage


Be Aware

If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.


DLocal Gross Margin % Related Terms

Thank you for viewing the detailed overview of DLocal's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


DLocal Business Description

DLocal logo
Traded in Other Exchanges
N/A
Address
Drive Luis Bonavita 1294, Montevideo, URY, 11300
DLocal Ltd is focused on making the complex simple, redefining the online payments experience in emerging markets. Through its technology platform One dLocal, the company enables global enterprise merchants to get paid (pay-in) and to make payments (pay-out) online in a safe and efficient manner. The company earns revenue from fees charged to merchants in connection with payment processing services for cross-border and local payment transactions.

DLocal Headlines

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