TLDR
- Klarna Q1 revenue rose 44% to $1 billion, beating analyst estimates of $944–945 million.
- The company posted a loss of just 1 cent per share, well ahead of the 18-cent loss analysts expected.
- Gross merchandise volume (GMV) came in at $33.7 billion, above the forecast of $32.7 billion.
- KLAR stock jumped 5.5% to $14.44 in premarket trading — but it still trades sharply below its IPO price of around $45.82.
- Q2 revenue guidance of $960 million–$1 billion missed expectations of $1.67 billion.
Klarna delivered a strong first quarter, but investors are left weighing a solid beat against a weak outlook.
$KLAR Q1’26 EARNINGS HIGHLIGHTS
🔹 Revenue: $1.00B (Est $944.43M) 🟢; +44% YoY
🔹 EPS: $(0.01) (Est $(0.20)) 🟢
🔹 GMV: $33.7B; +33% YoY
🔹 Transaction Margin Dollars: $389M; +44% YoY
🔹 Adjusted Operating Profit: $68M vs $3M last yearQ2'26 Guide:
🔹 Revenue: $960M-$1.00B (Est… pic.twitter.com/nzCEsq8QIK— Wall St Engine (@wallstengine) May 14, 2026
KLAR stock was up 5.5% to $14.44 in premarket trading Thursday, following the Q1 results. That’s still well below the roughly $45.82 it hit at the end of its first trading day after its 2025 IPO.
Quarterly revenue hit $1 billion, a 44% jump year over year, topping analyst estimates of around $944–945 million. It’s a number that shows real momentum in the business.
The bottom-line performance was also better than feared. Klarna reported a loss of just 1 cent per share, compared to the consensus estimate of an 18-cent loss.
Operating income came in at $17 million, flipping from a loss of $90 million in the same quarter last year. That beat the $9 million expectation. Adjusted operating profit rose to $68 million, up from just $3 million a year ago.
GMV, which tracks the total value of transactions through Klarna’s network, rose 33% to $33.7 billion. That came in above the $32.7 billion estimate.
A Deliberate Pivot to Profit
The results reflect a conscious choice by Klarna’s leadership. After prioritizing growth in Q4 — a move that wiped roughly a quarter off its market value — the company shifted its focus back to profitability.
“It obviously became clear to us that it was important to all the shareholders that they were supportive about the growth, but they also wanted to see the bottom line growing well,” CEO Sebastian Siemiatkowski told Reuters.
US market growth helped drive the quarter, with Klarna continuing to expand its footprint in North America.
The Outlook Is the Problem
The strong Q1 report was paired with a Q2 revenue forecast of $960 million to $1 billion. Analysts were expecting $1.67 billion. That’s a notable shortfall and a likely reason the premarket reaction wasn’t more enthusiastic.
Q2 GMV guidance came in at $35.5 billion to $36.5 billion, also below the $38.1 billion consensus.
Klarna’s IPO in 2025 was one of the year’s largest. But the stock has struggled since that debut, and with a market cap hovering around $9.97 billion at Wednesday’s close, it remains a fraction of what investors once valued it at.
The adjusted operating profit of $68 million, up from $3 million a year ago, shows the company is making real progress on the financial side.
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