Klarna IPO: Revenue, Users, Valuation & How to Invest

What is Klarna and how does it work?

Klarna is one of the world’s leading fintech companies in digital payments and Buy Now, Pay Later (BNPL). Founded in Sweden in 2005 as a PayPal alternative, it really took off after introducing BNPL services in 2016. Today, Klarna has approximately 111 million active users across 26 countries and partners with nearly 790,000 merchants, including prominent names such as Walmart, eBay, and Stripe.

Its appeal lies in payment flexibility. Depending on where you live, you can either delay payment or split purchases into instalments. In the UK, Klarna lets you pay in three interest-free instalments or settle the full amount within 30 days. In the US and markets like Australia, purchases are usually divided into four interest-free instalments over six weeks, with longer financing options also available.

Although it isn’t a credit card, Klarna is a form of consumer credit. Signing up and making a purchase often involves a credit check, so it’s important to use it responsibly.

Financially, Klarna continues to grow. In Q2 2025, it reported $823 million in revenue and processed $31.2 billion in transactions, up 25% year-on-year. However, it also posted a net loss of $52 million due to higher costs and restructuring.

Regulation is also tightening. From July 2026, BNPL providers in the UK will be subject to the Financial Conduct Authority (FCA), which will require affordability checks, clearer terms, and enhanced consumer protections.

Klarna had been preparing for a US IPO, but those plans were put on hold in April 2025 because of market uncertainty.

Klarna Key Company Facts

Klarna Company Statistics

Below is a breakdown of some key figures, including Klarna’s revenue, estimated value, and end-user/merchant numbers.

Revenue estimates for Klarna

Source: Company Data

Klarna profit/loss

Source: Company Data

Klarna’s gross merchandise volume (GMV)

Source: Company Data

Number of Klarna users

Source: Company Data

Number of Klarna merchants

Source: Company Data

Estimated Klarna valuation

Source: Techcrunch.com

Klarna’s competitors

Only a few fintech companies are successfully operating within the BNPL (buy now, pay later) space. Here are some of the most notable competitors to Klarna:

• Afterpay – one of the biggest global players, now owned by Block (formerly Square).
• Affirm – Klarna’s strongest U.S. rival, with around 22 million users and 358,000 merchant partners.
• PayPal (Pay Later / Pay in 4) – very strong in the U.S., used by over two-thirds of BNPL consumers there.
• Zip, Sezzle, Splitit, GoCardless – still active and relevant, though on a smaller scale compared to the top players.:
• Apple Pay Later – Apple entered the BNPL space in the U.S., becoming a big name quickly.
• Zilch – a UK-based BNPL company, FCA-regulated, growing fast with millions of users.
• ViaBill, Perpay, OpenPay – other providers gaining traction in specific markets.
• Laybuy – previously a competitor, but has since been acquired by Klarna.

Who are the biggest investors in Klarna?

Klarna has the backing of some big investors, banks, and venture capitalists (VCs), such as:

• Sequoia
• Softbank
• BlackRock
• Dragoneer
• Silver Lake
• Bestseller
• Commonwealth Bank of Australia
• Permira
• Chrysalis Investments
• GIC
• Canada Pension Plan Investment Board
• Mubadala Investment Company

When is the Klarna IPO?

Back in 2021, Klarna’s chief executive, Sebastian Siemiatkowski, said that an initial public offering (IPO) “could happen this year, maybe it would be next year, but it’s obviously going to happen fairly soon.” At the time, it was considered “in the works,” although no formal process had begun.

Several years later, Klarna has still not gone public. The company did prepare for a U.S. IPO, but in April 2025, it suspended those plans due to market instability and uncertainty caused by new trade tariffs.

In the meantime, Klarna’s valuation has seen dramatic swings. After peaking at over $45 billion in 2021, the company’s value plummeted to approximately $6.7 billion in mid-2022 following a challenging funding round. Since then, it has stabilized in the $7–8 billion range through 2023–2025. That’s still a long way off its former highs, but it suggests the business has reached a more sustainable footing.

For now, there is no clear IPO date on the horizon. Klarna appears to be waiting for more favourable market conditions before reviving its listing plans. Whether its valuation ever returns to the highs of 2021 remains uncertain.

How to invest and buy shares after the Klarna IPO

After the Klarna IPO date, you can freely buy the newly listed stock. Interactive Brokers and eToro are two top-rated brokers where you can access Klarna shares and buy the stock with low fees after the IPO. Take a look at both these brokerage options below:

Founded in 1978, the IBKR platform lets you access over 150 market destinations in 33 countries and trade any asset you may be looking for: Stocks, Bonds, ETFs, Forex, Funds, Commodities, Options, Futures, CFDs, Cryptos Futures, and even tiny small companies (a.k.a micro caps).

If you want to buy Klarna stock after the IPO, here’s how you can buy shares using Interactive Brokers:

1. Open a trading account with Interactive Brokers.
2. Deposit funds into your account.
3. Once it’s available, search for the Klarna stock, there is no confirmed ticker symbol right now.
4. Place the type of order you wish to use (e.g. market, limit, stop etc.).
5. Once you’ve bought your desired number of Klarna shares, continue to monitor performance.

If you’d like to learn more about the IBKR platform, check out our full-length Interactive Brokers review.

Founded in 2006 in Israel, eToro now has over 35 million customers worldwide. The platform is widely known for its social and copy trading features. It allows users to trade stocks, forex, commodities, cryptocurrencies, CFDs, and ETFs.

If you’re planning to buy Klarna stock after the IPO, here’s how you can buy shares using eToro:

1. Open an account with eToro.
2. Head to the ‘Markets’ page, and select ‘Stocks’.
3. Search for the Klarna stock and select ‘Trade’.
4. Next, hit ‘BUY’.
5. Choose how much you want to invest in Klarna or the number of shares you want to buy.
6. Select your leverage (or ensure that leverage is set to X1).
7. Decide on a take-profit parameter if you want to automate a future sale of your Klarna stock.
8. Finally, hit ‘Open Trade’.

If you’d like to learn more about eToro, check out our in-depth eToro review.

Bottom line on investing in the Klarna IPO

The Klarna IPO was once expected to be a landmark moment in fintech. At its peak in 2021, Klarna was valued at over $45 billion, making it the second most valuable fintech company in the world. But that momentum quickly faded. By mid-2022, its valuation had collapsed to just $6.7 billion as investor sentiment shifted away from loss-making tech and fintech firms.

Since then, Klarna has worked hard to stabilise. The company has returned to profitability in 2024 and continues to grow revenue and transaction volumes, supported by major partnerships with Walmart, eBay, and Stripe. Its current valuation sits around $7–8 billion — far below its peak, but on a firmer foundation.

For now, Klarna has shelved its U.S. IPO plans (suspended in April 2025), waiting for more favourable market conditions. With inflation, high interest rates, and trade tensions still weighing on markets, it’s unlikely the company will rush back to list anytime soon.

Even so, Klarna remains one of the strongest names in the BNPL sector. Its scale, brand recognition, and network of hundreds of thousands of merchants give it a solid base. But competition from Affirm, Afterpay, PayPal, and new entrants like Apple Pay Later means the road ahead won’t be easy.

If Klarna can sustain its profitability and solidify its position as the go-to BNPL platform worldwide, a future IPO could still attract strong investor interest. For now, though, the IPO date remains uncertain — and global investors will need to keep watching and waiting.