Absolutely worth monitoring, but it's also important to note that take rates themselves have remained stable, but DLO's average take rate decreases as the percentage of TPV from Tier 0 merchants increases (since Tier 0 merchants typically have lower take rates). That's what happened in Q4 — larger merchants grew faster than smaller ones. Thanks for your great contribution!
2 months to 2 year on boarding - That is so huge, shouldnt it be plug and play? even if not, then 1 week should be enough?
How would it partner with remittance firms? you think WISE and Remitely can be thier partners and how beneficial it can be to DLO and vice versa? Does DLO convert convery and send money across the border through traditional banking routes?
too much profitable cant have share buyback, hence dividend only solution. I have to pay 15% taxes on it whcih i hate, any reason that company can do something else with so much future cash?
i found no notes in company 10K for specific FX Risk managment except saying derivates and other fluffy words. Any thing you noticed as i believe its very important risk to measure and analyze.
Maybe I wasn’t very clear, but with DLocal the onboarding process is actually much faster than that typical period, which is one of its advantages.
Regarding working with remittance firms, yes, DLocal has several partnerships in the space, and that sector has actually been one of the fastest-growing ones for the company in recent quarters.
Check out my Q1 Earnings Review for details on buybacks/dividends.
FX risk is definitely very real, but there’s not much they can do beyond using financial instruments to mitigate it — and that’s exactly what they do.
Re: Take-rates stabilizing - that was true in Q3 but they again trended downwards in Q4. More than offset by the growth in TPV but worth monitoring.
Absolutely worth monitoring, but it's also important to note that take rates themselves have remained stable, but DLO's average take rate decreases as the percentage of TPV from Tier 0 merchants increases (since Tier 0 merchants typically have lower take rates). That's what happened in Q4 — larger merchants grew faster than smaller ones. Thanks for your great contribution!
2 months to 2 year on boarding - That is so huge, shouldnt it be plug and play? even if not, then 1 week should be enough?
How would it partner with remittance firms? you think WISE and Remitely can be thier partners and how beneficial it can be to DLO and vice versa? Does DLO convert convery and send money across the border through traditional banking routes?
too much profitable cant have share buyback, hence dividend only solution. I have to pay 15% taxes on it whcih i hate, any reason that company can do something else with so much future cash?
i found no notes in company 10K for specific FX Risk managment except saying derivates and other fluffy words. Any thing you noticed as i believe its very important risk to measure and analyze.
Thanks for your comment!
Maybe I wasn’t very clear, but with DLocal the onboarding process is actually much faster than that typical period, which is one of its advantages.
Regarding working with remittance firms, yes, DLocal has several partnerships in the space, and that sector has actually been one of the fastest-growing ones for the company in recent quarters.
Check out my Q1 Earnings Review for details on buybacks/dividends.
FX risk is definitely very real, but there’s not much they can do beyond using financial instruments to mitigate it — and that’s exactly what they do.