Harry Bartlett

Harry Bartlett inquired about Klarna's GMV guidance, which implies a minor deceleration, despite management's comments about U.S. performance, fair financing, and Klarna Card exceeding expectations. He asked if this implied an offset from other products or regions.

Answer

CFO Niclas Neglén clarified that GMV growth for 2026 is expected to be at the same pace as 2025, off a significant volume base, with good growth across all markets. CEO Sebastian Siemiatkowski reiterated Klarna's strong trajectory towards becoming a global retail bank, highlighting the rapid growth in active users, banking customers, and new revenue lines like subscriptions, the Klarna Card, and financing. He expressed excitement about the potential for Klarna to become one of the world's major card issuers based on current growth rates.

Harry Bartlett inquired about the GMV guidance implying a minor deceleration, despite comments on U.S. fair financing and Klarna Card exceeding expectations, asking if there were offsets in other products or regions.

Answer

CFO Niclas Neglén clarified that Klarna is growing at the same pace in 2026 as in 2025, off a significant volume base, with good growth across all markets. CEO Sebastian Siemiatkowski added that Klarna is on a fantastic trajectory to become a major global retail bank, citing 180 million global users (28% growth), 15 million banking users (100%+ growth), and healthy growth in new revenue lines like subscriptions, cards, and financing. He noted that current card growth rates suggest Klarna could soon be one of the biggest card issuers globally.

Harry Bartlett inquired about the economics of PSP partnerships compared to direct merchant integrations and how PSPs might accelerate international expansion.

Answer

Max Levchin explained that PSP economics are typically bespoke and vary. He highlighted Shopify as a significant distribution partner for accessing smaller merchants efficiently, which is a key part of international expansion, offering similar benefits to other PSP partnerships.

Harry Bartlett inquired about the economics of PSP partnerships compared to direct merchant integrations, and how PSPs might accelerate Affirm's international expansion.

Answer

Max Levchin, Founder and CEO, stated that PSP economics involve bespoke negotiations, making them more different than similar. Rob O'Hare, CFO, highlighted Shopify as a key distribution partner for efficient access to smaller merchants, which is a vital part of their international expansion strategy.

Harry Bartlett from Rothschild & Co Redburn asked about the pace of international expansion beyond the UK and whether the go-to-market strategy would differ in new regions with lower brand awareness.

Answer

Founder & CEO Max Levchin explained that while the tech platform is reusable, local regulations and licensing require dedicated effort for each new market. He stated the strategy is to expand with existing multinational merchant partners and co-market with them, rather than making large direct investments in brand awareness.