Klarna Group Plc · NYSE:KLAR
Klarna — Q3 2025 Earnings Presentation
55 slides from Klarna's earnings presentation, Nov 18, 2025
Slide 1: Klarna
Slide 2: The next-generation digital bank
EVERYDAY 32% Growth 114m Average number of transactions per year per consumer* 11x Active Klarna Consumers Q3 2025 3x Year 1 Year 3 38% Growth 850k Merchants The Q3 2025 EVERYWHERE next-generation Online Mobile 23% Q3 LfL digital bank Offline Global $118b GMV Q3 2025 TTM EVERYTHING 26 Digital Everyda
Slide 3: The network's growth
The network’s growth $118b 114m Active Klarna Consumers Sep 2025 2024 - Today $53b Significant AI efficiencies implemented 10% US population Number of Transactions across the penetration as of Sep 2025 2023 company, onboarded some First bank to of the world’s integrate largest IFRS Net Income positi
Slide 4: Everyone is using Klarna
Everyone is using Klarna Balanced representation of consumers Klarna is much more than just BNPL 85% of the total adult population 58% Female in our most mature market 42% Male are Klarna users 20% Pay later With no Pay in full interest Responsible credit users, with all educational backgrounds With
Slide 5: Our reach is global
Tech (ads) Our reach is global Live Australia Czech Republic Germany Italy Norway Slovakia US Austria Denmark Greece Mexico Poland Spain United Kingdom Belgium Finland Hungary The Netherlands Portugal Sweden Canada France Ireland New Zealand Romania Switzerland 5
Slide 6: Today's headlines
Today’s headlines Growth Record quarter for Fair Half a trillion issued accelerating Financing product over 20 years! QoQ acceleration, expecting >30% Leading in underwriting technology revenue growth for Q4 with continuous lower than industry Fair Financing standards losses GMV grew 139% YoY… Less
Slide 7: What is the future of tech and fin?
2015 we asked ourselves: What is the future of tech and fin?
Slide 8: Fin and tech have been malfunctioning markets…
Fin and tech have been malfunctioning markets… Unprofitable Ends Drastic “Ignorance” stops Customer “Lock-In”: From Moats Drained. being a business model key Strategy to Nostalgia Gates Open. Asymmetry vaporized and search costs gone. Move ALL your data with a single click When software can be genera
Slide 9: Empirical Evidence: it's happening right in front of our eyes
Empirical Evidence: it’s happening right in front of our eyes Pre-AI Tech (2010-2022) Post-ChatGPT (2023+) $10b+ in perks, “Year of efficiency": 80k employees, 30k+ layoffs, 40% margins perks gone Zero customer service, Intense AI product max data extraction shipping urgency Products killed First rea
Slide 10: Klarna is targeting massive profit pools
Klarna is targeting massive profit pools Fin (retail/neo bank) Tech (ads) +$400b Expansion into Potential New Markets +$165b +$100b Growth of $569b into $735b Growth in Existing Markets 0.03% 0.6% $520b $570b Serviceable Addressable Digital Advertising Market Estimated by Mckinsey and Claude. Claude
Slide 11: One person's dead another person's 🥖
Swedish saying: One person's dead another person's 🥖
Slide 12: 100% focus on:
100% focus on: Customer Growth obsession Operational Leading efficiency AI innovator
Slide 13: Customer obsession
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Slide 14: Give back time Give back money Give back control
Give back time Give back money Give back control 14
Slide 15: Klarna is a more sustainable solution
Klarna is a more sustainable solution “15.1% among people earning ir $100k+ per year ditched the months.“ credit cards in the past 12 Credit cards Point of sale financing Average outstanding balance $6,500 $660 $88 Up to $142 (7.99% - 35% APR Up to $143 (0% - 36% APR, Cost of a 100$ purchase compound
Slide 16: We show you WHAT you purchased!
We show you WHAT you purchased! An alternative to Opportunity Solution Customers crave a single, comprehensive snapshot A data-rich and user-friendly view of your purchases, of their purchase to ensure clarity and maintain including in-depth order details and payment plans. control over their shoppi
Slide 17: Putting Customer Obsession into daily action
Putting Customer Obsession into daily action Stay close to customers... …delivers actionable insight …ship continuous value Insight Actionable Insight Done 200 consumer interviews as a week Every week we identify on average 75 Currently shipping ~20 improvements actionable insights, expected to a we
Slide 18: Numbers don't lie
Global Brand Awareness 73 Numbers 54% Global net promoter score don’t lie Global Brand Trust 41% Global Brand Awareness Note: Brand awareness and trust are weighted averages September 2024 to November 2024 across all active markets, based on population size. 18 NPS is the average of weighted monthly
Slide 19: We don't just have customers, we have fans
We don’t just have customers, we have fans 19
Slide 20: Growth
Growth
Slide 21: Objective 1: Klarna available everywhere VISA is!
Objective 1: Klarna available everywhere VISA is! Our default global distribution partner play. A record Live and ramping New signed 235K merchants added YoY! +$1.4t +$300b +38% Instore and Europe Expansion +13% New live this quarter Signed and integrating GPay and Autofill +$900b +200k merchants +$2
Slide 22: Objective 1: Klarna available everywhere VISA is!
Objective 1: Klarna available everywhere VISA is! While also expanding with the world’s best brands Renewed or expanding New partnerships New markets New products Instore launch Renewal Cashback launch New payment methods All payment methods 22
Slide 23: Objective 2: All payment methods in all markets
Objective 2: All payment methods in all markets Making sure all merchants offer all 3 in all markets Merchants offering Fair Financing Merchants offering Pay in Full Driving +139% Fair Financing GMV growth Up ~50k year-over-year +95k +49k Merchant Merchant penetration 10% 13% 18% penetration 60% 52%
Slide 24: Objective 3: From payments to full Neobank!
Objective 3: From payments to full Neobank! The ultimate customer acquisition channel 1. Choose Klarna at 2. Download the Klarna App 3. Use the app for 4. Start using Klarna 5. Start using Klarnas millions of checkouts to manage purchases shopping and cashback everywhere with the card bank offer 114
Slide 25: Objective 3: From payments to full Neobank!
NEWS Objective 3: From payments to full Neobank! First: A card that gives you control of debit or credit! Then: A debit card with credit card perks 25 Note: Some features may not be available in certain markets.
Slide 26: Almost 1000 people signed up to get their card cut by the CEO
Do you have tin snips for Revolut Metal? If you personally cut my Amex, I’m there. Almost 1000 people signed up to get their card cut by the CEO I don’t have any memes, but I’ve been a customer with AMEX for several years! Would love to switch 🤓
Slide 27: Objective 3: From payments to full Neobank!
Objective 3: From payments to full Neobank! Klarna is the fastest growing card issuer in BNPL with Massive opportunity to opportunity to address +110m who don’t yet have the card accelerate Card volumes further 3.2m Klarna US: active card users $b Klarna: active card users YoY 2.8m Competitor US: ac
Slide 28: Revenue growth is outpacing the market
Revenue growth is outpacing the market Accelerating revenue growth With increasing take rates 51% Competitor Q3’25 YoY Klarna US 34% Q3’25 YoY Klarna Group 28% Q3’25 YoY Note: Competitor revenue based on public filings. Take rates are calculated by dividing our GMV by revenue. 29
Slide 29: Operational efficiency
Operational efficiency
Slide 30: Industry leading underwriting technology
Industry leading underwriting technology Klarna GMV growth coupled with reducing credit losses $118b Underwriting continuously improves with additional data 0.5tn Underwritten since $83b $92b $105b $80b inception Global GMV ($b) $53b $35b 0.7% Realized losses over 20 years at leading low industry st
Slide 31: We continue to transform Klarna's productivity
We continue to transform Klarna’s productivity Average revenue per employee at Lower staff costs, higher Employee count period end compensation per employee Compensation per employee 3.2x $1,104k 5,527 47% Total staff costs Q3’25 vs 2022 $203k Less employees $126k $696m $591m 2,907 $344k 2022 2023 2
Slide 32: Demonstrable value from Klarna's AI assistant
Demonstrable value from Klarna’s AI assistant 28m annual conversations, AI does the equivalent work of solving 81% of customer service chats 3m Human chat sessions AI chat sessions 853 full time agents 2m Delivering $58m 1m of annual cost savings Customer satisfaction is on-par with a human agents 0
Slide 33: Sustained Revenue Growth with Disciplined Cost Control
Sustained Revenue Growth with Disciplined Cost Control Total revenue Adjusted operating expenses $903m 108% Revenue growth Q3’22 - Q3’25 $443m $288m 2% Adj. opex growth $295m Q3’22 - Q3’25 Note: Adjusted operating expenses are non-IFRS measures. Please refer to “Non-IFRS Measures and Reconciliations
Slide 34: Financial update
Financial update November 2025
Slide 35: Q3'25: Faster growth sets the stage for accelerated profitability uplift
Q3’25: Faster growth sets the stage for accelerated profitability uplift GMV Revenue Transaction margin dollars Powered by US growth Accelerating revenue from Planned profitability lag driven Fair Financing by US Fair Financing investment 28-31% 36%-38% 23-26% Q4’25 YoY Q4’25 YoY Q4’25 YoY Outlook Ou
Slide 36: Effective strategy to accelerate network effects
Effective strategy to accelerate network effects Accelerating GMV growth across all regions Growth building blocks Active: Signed: US GMV LfL growth Growing the Klarna network GMV LfL growth through strategic partnerships JP Morgan Payments Scaling with the largest global merchants A Klarna Card 51%
Slide 37: Accelerating Fair Financing ahead of expectations
Accelerating Fair Financing ahead of expectations Accelerated Fair Financing GMV Q3’25 commentary Fair Financing GMV • Fair Financing growth powered Fair Financing GMV YoY growth by the US +244% • 151k merchants enabling Fair Financing, an increase of 3x • Forward flow agreement in-place to enable a
Slide 38: Revenue growth is outpacing the market
Revenue growth is outpacing the market Accelerating revenue growth With increasing take-rates 51% Competitor Q3’25 YoY Klarna US 34% Q3’25 YoY Klarna Group 28% Q3’25 YoY Note: Competitor revenue based on public filings. Take rates are calculated by dividing our GMV by revenue. 39
Slide 39: As planned - accelerating growth led by US Fair Financing creates a profitability lag
As planned - accelerating growth led by US Fair Financing creates a profitability lag P&L based on realised losses $400m - $390m Q3'24 25% TMD Amounts in USD million Q3'25 growth based on (Excl. sold KCO) realized losses Volume 25,343 32,664 29% GMV YoY ex. KCO $371m Driven by provisions for growth o
Slide 40: How Fair Financing growth impacts our P&L over time
How Fair Financing growth impacts our P&L over time Illustrative example Dynamics of Fair Financing Cumulative Revenue Per accounting rules Klarna books provisions for credit losses upfront while Provision for credit losses revenues are booked over the life of the Month loan.* 1 2 3 4 5 6 Therefore,
Slide 41: Upfront provisions rise with Fair Financing growth, realized losses lower YoY
As expected, upfront provisions rise with fair financing growth, with realized losses lower YoY Provisions for credit losses (% of GMV) Q3’25 commentary Upfront provisions Due to the successful scaling of Fair Realized losses Financing (139% YoY GMV growth), like all lenders, we’re required to set as
Slide 42: Fair Financing delinquencies fall 5% YoY while GMV grows 139% YoY
Fair Financing delinquencies fall 5% YoY while GMV grows 139% YoY Fair Financing +60 days past due at 6 months delinquency rates 60-day past due figures include delinquencies across all processed volume, regardless of whether the exposure is held on Klarna’s balance sheet. Delinquency data for Fair
Slide 43: US charge-offs remain stable within healthy expected ranges
US charge-offs remain stable within healthy expected ranges US Fair Financing (Cumulative net charge-off rate) 60-day past due figures include delinquencies across all processed volume, regardless of whether the exposure is held on Klarna’s balance sheet. Delinquency data for Fair Financing is avail
Slide 44: Q3'25: Faster growth sets the stage for accelerated bottom line uplift
Q3’25: Faster growth sets the stage for accelerated bottom line uplift GMV Revenue Transaction margin dollars Powered by US growth Accelerating revenue from Planned bottom line lag driven Fair Financing by US Fair Financing investment 28-31% 36%-38% 23-26% Q4’25 YoY Q4’25 YoY Q4’25 YoY Outlook Outlo
Slide 45: Appendices
Klarna Appendices November 2025
Slide 46: Massive opportunity to disrupt an industry while lowering cost to society
Massive $315b of interest paid by consumers annually opportunity to Average merchant and consumer fees disrupt an Avg. cost to merchant Avg. cost to consumer industry while lowering cost to society USA Western Europe Note: Q1’25 TTM Klarna consumer fee excl. service & feature fee revenue for compara
Slide 47: Reducing the burden of revenue from consumers
Reducing the burden of revenue from consumers Consumer revenue Merchant revenue Advertising revenue Capital One Affirm American Express PayPal More diversified and sustainable revenue model 50 Note: All figures are based on 2023. Estimates for comparable companies are from publicly available data. Kl
Slide 48: Klarna has consistently taken share of eCommerce in core geographies
Klarna has consistently taken share of eCommerce in core geographies Sweden Germany United Kingdom United States 2018 Q3’25 2018 Q3’25 2018 Q3’25 2018 Q3’25 eCommerce penetration % 22% 38% 8% 14% ~0% 4% ~0% 1% Population penetration % 80% 85% 24% 35% 4% 23% ~0% 11% GMV CAGR 85% Market Klarna GMV 54%
Slide 49: Category expansion is key to network strength
Category expansion is key to network strength Expanding purchase frequency Category expansion Typical US credit card 2024 Q3’25 Q3’25 Q3’25 Klarna Card ~257 % of purchases by vertical Annual purchases per active consumer 125 Apparel & accessories 69% 57% 25% 17% Health & beauty 3% 3% 8% 18% 32 Home
Slide 50: Driving ARPAC by becoming consumers' everyday spending partner
Driving ARPAC by becoming consumers’ everyday spending partner Purchase frequency by consumer cohort Cohorts 22x (2019) 18x (2020) 15x (2021) 13x (2022) 12x (2023) 8x (2024) 3x (2025) 53
Slide 51: Cost-effective: Stable funding through cycles
Cost-effective: Stable funding through cycles Trusted consumer savings platform Duration gap drives stability Low and stable cost of funding since 2013 319 Funding mix days 72% Deposits are fixed term 2.7% xIBOR 2.4% Klarna Cost of funding* ~40 days 0% $14b Deposits (91% share) Avg loan Avg fixed te
Slide 52: IFRS to Non-IFRS Operating Expenses
IFRS to Non-IFRS Operating Expenses Depreciation Adjusted Operating Restructuring Share-based and operating Q3'24 expenses and other payments amortization expenses Technology and product development (107) - (9) (20) (78) Sales and marketing costs (70) - (4) - (65) Customer service and operations (44
Slide 53: Operating profit (loss) to Transaction margin dollars
Operating profit (loss) to Transaction margin dollars Adjusted for KCO As reported KCO impact divestment Amounts in USD millions Q3'25 Q3'24 Q3'25 Q3'24 Q3'25 Q3'24 Operating profit (loss) (83) 13 0 (17) (83) (4) Technology and product development 123 107 123 107 Sales and marketing costs 102 70 102 7
Slide 54: Operating profit (loss) to Transaction margin dollars
Operating profit (loss) to Transaction margin dollars Adjusted for KCO KCO impact divestment Adjusted for KCO divestment Amounts in USD millions Q3'25 Q3'24 Q3'25 Q3'24 Q3'25 Q3'24 Q3'25 Q3'24 Transaction and service revenue 634 532 (20) 634 512 634 512 Interest income 269 174 269 174 269 174 Total r
Slide 55: Forward-Looking Statements
Forward-Looking Statements. This presentation contains forward-looking statements. All statements contained in this presentation other than statements of historical fact, including statements regarding our future operating results and financial position, our business strategy and plans, market growt