00:00It's Benzinga, bringing Wall Street to Main Street
00:02Months after its 2025 IPO, Klarna reported its first $1 billion revenue quarter,
00:08but investors focused on the company's losses, according to Benzinga.
00:12Revenue rose 38% year-over-year to $1.08 billion and beat expectations,
00:18but Klarna posted a $26 million quarterly loss and issued weaker-than-expected guidance,
00:23sending shares lower. The earnings report came as Klarna faces a February 20 deadline for
00:29investors to seek lead plaintiff status in a securities class-action lawsuit tied to its
00:34IPO disclosures. The main concern is credit quality, as Klarna's loan loss provisions and
00:39credit costs rose sharply while it expanded lending and installment financing products.
00:44Klarna went public in September 2025 at $40 per share and now trades around $14.
00:50Klarna projected first-quarter revenue below analyst expectations. Shares fell as much as 25%
00:56after the earnings release. For all things money, visit Benzinga.com.
Comments