DLocal Limited

Good day and thank you for standing by. Welcome to the dLocal second quarter 2026 results conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you'll need to press star 11 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 11 again. Please be advised that today's conference is being recorded. I will now turn the call over to the company.

Good afternoon and thank you all for joining our earnings call today. If you have not seen the earnings release, as always, a copy is posted in the financial section of the Investor Relations website. On the call today, you have Pedro Arnt, Chief Executive Officer, Guillermo Lopez Perez, Chief Financial Officer, Christopher Strohmeyer, SVP of Corporate Development, and Mirele Aragao, Head of Investor Relations. A slide presentation has been provided to accompany the prepared remarks. This event is being broadcast live via webcast, and both the webcast and presentation may be accessed through D-Local's website at investor.dlocal.com. The recordings will be available shortly after the event has concluded. Before proceeding, let me mention that any forward-looking statements included in the presentation or mentioned in this conference call are based on currently available information and DLocal's current assumptions, expectations and projections about future events. Whilst the company believes that our assumptions, expectations and projections are reasonable given currently available information, you are cautioned not to place undue reliance on those forward-looking statements. Actual results may differ materially from those included in Delocal's presentation or discussed in this conference call for a variety of reasons, including those described in the forward-looking statements and risk factors section of Delocal's filings with the Securities and Exchange Commission, which are available on Delocal's Investor Relations website. Now I will turn the conference over to D-Local. Thank you.

Good afternoon everyone and thank you for joining us today. Our results for the second quarter of 2026 are yet another proof point of our continued traction and execution. There are four main trends I'd like to kick off with that best summarize the current strength of our business. TPV reached $17.7 billion, accelerating to 92% year over year. Thank you for joining us. Our gross profit hit $127 million, up 29% year-on-year. We've now hit an annualized rate of more than $500 million in gross profit. and finally, our operating leverage is improving with operating profit as a percentage of gross profit up six percentage points quarter over quarter to reach 50%. As messaged previously, we expect further operating leverage improvements to kick in during the next two quarters as we benefit from the deployment of automations and AI we have been investing in and spending in key areas that was front-loaded to the first semester of this year softens out. On TPV, the metric that reflects market share, growth was extraordinary this quarter, but even more importantly, has been consistently strong. TPV growth has remained above 50% year over year for seven consecutive quarters, with the last three quarters at above 70%. and furthermore growth has accelerated over the past five quarters reaching its higher year-over-year rate in over four years although the pace and scale of this growth will naturally create more demanding comparisons as we move through the second half of the year and into 2027 We are seeing today reflects the positive returns on investments we have made in our platform and our portfolio of licenses. It serves as a testament to the trust merchants place in us as they build and grow across emerging markets. This trust is a direct result of the execution on our value proposition. Through a single integration, our merchants access the locally relevant payment methods, local card schemes and the financial infrastructure they need to operate and grow across more than 60 emerging markets. Our licenses, local teams and operating expertise help them navigate complexity and improve performance in each country, ultimately increasing substantially their chances of a successful go-to-market deployment in the places that they partner with us. Today, more than 760 leading global merchants trust DeLocal. This includes four of the largest ride-hailing companies operating in emerging markets, five of the ten largest e-commerce platforms, the top five video streaming platforms, and seven of the ten largest remittance companies amongst many other of the world's best businesses. Thank you for watching. This quarter alone, several Tier Zero merchants had significant ramp-ups in some of our largest markets, such as Brazil and Argentina, demonstrating that the opportunity remains substantial even in more established markets. We also continue to see our merchants expand into new geographies at a very rapid pace. Thank you for joining us. Thank you for watching. Thank you for watching. Thank you for joining us. Our focus remains on three areas. First, we continue to broaden our offering and invest in performance through our optimization capabilities. In the end, the performance and breadth of our 1D Local offering is the single most important factor for our continued growth and success. Second, we are embedding AI and automation across the business. This is already increasing our development capacity with meaningfully higher monthly deployments and shorter lead times and we expect the positive impact on our cost structure from our automation efforts to become increasingly visible starting in the second half of the year across different areas of the company. and third, we're expanding the value-added services we offer merchants, creating additional opportunities and revenue streams over time. We will soon launch DMORE, our merchant of record solution, through which DLocal acts as the legal seller on behalf of the merchant, allowing us to offer our clients a more comprehensive go-to-market solution. and our Buy Now Pay Later offering continues to expand and improve and is now live in eight markets. We will continue to invest with discipline behind these priorities and the others we have as we continue to scale out the business. With that, let me turn it over to Guillermo to walk you through our quarterly financial results.