Klarna Finally Posts a Profit After IPO — But Its Outlook Gives Wall Street a Reason to Wait
Klarna Group plc finally posted a quarterly profit—the company’s first since debuting on the New York exchange—with revenue topping $1 billion. But investors didn’t get the all-clear, as management’s softer second-quarter guidance kept enthusiasm in check and signaled the post-IPO hangover isn’t over yet. Shoppers kept spending: gross merchandise volume jumped 33%, hitting $33.7 billion. The Swedish buy now, pay later outfit, which lets users split payments, continues to scale. Timing is crucial here. Investors want Klarna to show it can expand in the U.S. market without letting credit expenses or overhead spiral past its growth. According to Reuters, revenue topped analyst expectations at $945 million. But Klarna’s forecast for second-quarter revenue—set between $960 million and $1 billion—came in below the $1.07 billion analysts predicted in the LSEG survey.
