Klarna Group plc's stock soared 19.80% during intraday trading on Thursday, following the release of the company's first-quarter 2026 financial results.
The Swedish fintech company reported revenue of $1 billion, a 44% year-over-year increase that beat analyst estimates of $945.1 million. More significantly, Klarna swung to a net profit of $1 million from a loss of $99 million in the prior-year period, with its per-share loss narrowing dramatically to just 1 cent versus expectations for an 18-cent loss.
The strong results were driven by a 33% increase in gross merchandise volume to $33.7 billion, which also exceeded expectations. Analysts noted the company's strategic shift toward more profitable big-ticket lending products and its renewed focus on bottom-line growth after prioritizing expansion in previous quarters.
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