“Buy now, pay later” pioneer, Klarna revealed it enjoyed a huge revenue boost after announcing its decisions to list on the US Stock Exchange.
The company has now revealed that its revenue jumped 24% after the announcement went public; but also, according to The Guardian, that its valuation soared from $5.5bn to $46.5bn in just two years.
The newspaper adds that the company, which is headquartered in Stockholm, reported a profit of $21m, “or 1 cent a share”, in 2024. This is a stark contrast to the loss of $244m, which it reported the year before.
The short-term financing model is highly attractive, especially as the cost of living crisis continues to bite. Klarna charges no late fees or interest and so has proved popular because of this. It also works with some huge names, including Nike, Airbnb and Nike.
According to finder.com, around 380 million people use BNPL services globally last year. This is predicted to increase to 670 million by 2028. The Guardian adds that this market is projected to top $160bn by 2032.
