$DLocal (DLO.US)$🎯 On 2023.3.24, the current price is 15.3,...

New data: Q4 2023, revenue increased by 58.8%, operating profit grew by 25.5% affected by significant cost increases. Although net income was significantly impacted by the increase in interest expenses, other income reached 0.073 billion, resulting in a substantial 47.1% increase in net income.

In 2023, revenue increased by 55.2%, operating profit increased by 32.3%, and net income grew by 37.2%.

Since its listing in 2021, the gross margin has been continuously declining, dropping from 53.4% to 42.6%, and falling to 37.1% in Q4 2023, which is very unusual. Generally speaking, software companies have strong economies of scale, and the gross margin should increase with the growth of revenue.

The asset-liability ratio increased from 51.6% to 58%, with receivables and payables increasing rapidly, close to the growth rate of revenue. This seems to be a characteristic of this industry. There is no interest-bearing debt, but the financial expenses are very high, amounting to 0.12 billion.

In 2023, the operating net cash flow is significantly higher than the investment net cash flow, with a high proportion of shareholder earnings.

Currently, the P/E ratio is 31.22. Despite the need to closely monitor the issue of declining gross margin, the valuation and growth rate still have a significant discount, so no adjustments are made for now.