Company: DLO
Filing Date: 2025-09-03
Form Type: 424B3
Source: 0000950103-25-011193
Chunk: 7

Company: dLocal Ltd
Filing Date: 2025-09-03
Form: 424B3
Chunk 7
---
 and may not be directly comparable to similarly-titled
measures adopted by other companies. Potential investors should not rely on information not recognized under IFRS accounting
standards as a substitute for the IFRS accounting standards measures of earnings or liquidity in making an investment decision.

Adjusted Operating Profit and Adjusted Operating Profit to Gross Profit

We calculate “Adjusted Operating Profit”
for purposes of this prospectus supplement as operating profit for the period, plus the depreciation and amortization. We calculate “Adjusted
Operating Profit to Gross Profit” for a period by dividing Adjusted Operating Profit for the corresponding period by gross profit.

Management uses Adjusted Operating Profit and
Adjusted Operating Profit to Gross Profit as supplemental measures that we believe are useful to investors to compare our operating results
to the operations of other companies in our industry. We measure our operating segment’s financial performance by our Revenues,
Adjusted EBITDA and Adjusted EBITDA Margin, and we use these metrics to make decisions about allocating resources, as disclosed in our
2Q25 Financial Statements and 2024 Form 20-F. Adjusted Operating Profit and Adjusted Operating Profit to Gross Profit are not financial
measures recognized under IFRS accounting standards and do not purport to be an alternative to profit or total comprehensive income for
the period as a measure of operating performance or to cash flows from operating activities as a measure of liquidity. Additionally, Adjusted
Operating Profit is not intended to be a measure of free cash flow available for management’s discretionary use, as it does not
consider certain cash requirements such as interest payments, future requirements for capital expenditures, tax payments and debt service
requirements or other contractual commitments. Our presentation of Adjusted Operating Profit and Adjusted Operating Profit to Gross Profit
has limitations as an analytical tool, and you should not consider it in isolation or as a substitute for analysis of our results as reported
under IFRS accounting standards. See below for a reconciliation of our Adjusted Operating Profit and Adjusted Operating Profit to Gross
Profit to the nearest IFRS measure.

Adjusted Free Cash Flow

We calculate “ Adjusted Free Cash Flow” for
purposes of this prospectus supplement as net cash (used in) / generated from cash flows from operating activities, less (i) changes in
working capital (merchant), and (ii) capital expenditures. The working capital (merchant) is defined as (i) changes in Trade receivables
net (disclosed in note 17 to our 2Q25 Financial Statements and