Klarna reported a first‑quarter profit of $1 million, a sharp turnaround from the $99 million loss it posted a year earlier. The company’s revenue climbed 44% to $1.01 billion, driven by continued market‑share gains and the expansion of its merchant and consumer networks.

The buy‑now, pay‑later (BNPL) model remains a key growth engine, with Klarna attracting more retailers and customers through its seamless payment options. The firm’s ability to scale its infrastructure while keeping costs in check helped it convert a sizeable quarterly loss into a modest profit.

Klarna’s performance underscores the resilience of BNPL services amid shifting consumer financing preferences. While the profit margin remains slim, the company’s trajectory suggests that strategic partnerships and network growth can offset the high customer acquisition costs typical of the sector.

Investors will be watching next quarter’s earnings to see whether Klarna can sustain its revenue momentum and further improve profitability.