PayTech big hitter Klarna reports ‘landmark’ numbers

Swedish buy now, pay later specialist, Klarna, has hooked over seven million customers in the UK, an increase of 2x compared to last year.

More than 1.6 million Brits have downloaded the venture’s app to date. In the last six months of 2019, an average of 88,000 new UK customers a week chose its pay later services at checkout.

At the same time, however, it reported a loss of $113 million on revenues of $740 million in 2019. This is its first loss since the company was founded 15 years ago. Growth in new markets meant more first time customers who have proved less reliable with repayments.

Klarna, which was valued at $5.5 billion in 2019, currently has more than 5,000 live merchants in the UK, including River Island, Asos, JD Sports, Gymshark, Made.com, Oliver Bonas, Boohoo Group, Missguided, Topshop, Wayfair, Space NK, In the Style and H&M.

This figure also includes over 500 UK brands who launched in-store offerings in 2019, such as Schuh, Thomas Sabo and Halfords. Klarna is now live across 17 markets, having most recently launched in Australia.

Luke Griffiths, General Manager at Klarna UK, says: “These landmark numbers are testament to the enduring growth we have achieved, by offering customers newfound financial flexibility, enabling shoppers to get what they love, as well as remaining dedicated to our merchant partners across the country.”