STOCKHOLM, Feb 19 - Klarna, the Swedish provider of buy-now-pay-later services and an online bank, said on Thursday that fourth-quarter sales climbed 38% from a year earlier, narrowly exceeding market expectations as its banking operations expanded and U.S. activity picked up pace.
The company reported quarterly revenue of $1.08 billion, marking the first time its top-line surpassed the billion-dollar threshold. Analysts polled by LSEG had an average forecast of $1.07 billion.
Klarna also disclosed that the number of users of its banking services doubled to 15.8 million during the period. CEO Sebastian Siemiatkowski commented on the development, saying, "It’s showing that we can really do what we set out to do, which was (to) first create a global payments network, and then create a true banking relationship."
The group pointed to early adoption of artificial intelligence across operations as a contributor to improved efficiency. Management said AI implementation allowed Klarna to reduce headcount even while the business expanded rapidly, and that a portion of the resulting cost savings has been used to increase employee wages. Siemiatkowski noted that the average employee compensation at the company has risen 60% since 2022.
On staffing, Siemiatkowski added that many future roles at Klarna will focus on interpersonal work: "More and more of the jobs at Klarna that will exist even in an AI-powered world will be about human relationships, whether it’s a relationship with our merchants or relationship with our consumers," and he said a growing share of staff will be dedicated to supporting customers.
Klarna’s gross merchandise volume - a commonly used e-commerce sales metric - increased 32% to $38.7 billion in the quarter. In the United States, which the company describes as its largest market, GMV was up 43% while revenue in that market rose 58%.
The fintech group is scheduled to release its full fourth-quarter earnings report on February 26. In the prior quarter, the company reported a net loss of $95 million.
What this means
- Klarna’s milestone quarterly revenue and double-digit growth in GMV reflect accelerating demand for its payments and banking offerings, particularly in the U.S.
- Operational changes tied to AI have supported both cost reductions and higher average pay, while prompting a strategic shift toward more customer-facing roles.
- Despite top-line gains, the company has reported recent net losses and will provide additional detail when it publishes its full results on February 26.