Cheery Littlebottom

I've never read any of the Discworld books, but the more I learn about them, the more fascinated (and confused) I get. For instance, this figure by Pate-keetongu is Sergeant Cheery Littlebottom, a former forensic alchemist and the first openly female dwarf of Ankh-Morpork City. Yes, under the beard and all the armor and leather, that's a female. Apparently all dwarves are traditionally 'male', and bearded,  but there are both male and females of course, or how would they procreate? Another intriguing but baffling facet of this book series and universe.