Klarna posted $1M in net income for Q1 2026, its first profitable quarter since its $15B New York IPO last September, reversing a $90M loss in the same period last year. Revenue rose 44% YoY to $1B and active customers grew 21% to 119M, sending the stock up more than 20% from the day before the announcement after it had fallen over 70% since the IPO on the company’s previous inability to turn a profit. CEO Sebastian Siemiatkowski said customers who use Klarna for more than just payments generate $107 each, three times higher than the rest of its base, as the company pushes beyond low-margin BNPL into debit cards, bank accounts, and other offerings, with Q2 guidance of $960M to $1B in revenue and adjusted operating income of $30M to $50M.
