Klarna Nabs Walmart far from the affirmation and stimulates her introductory perspectives
On the heels of his IPO rankingThe Swedish giant of Fintech Klarna announced on Monday that he provide exclusively Buy now, pay for subsequent loans for Walmart. The partnership with Walmart is the one that Rival Affirm had previously detained.
Klarna will grant loans to Walmart customers via Onepay, a fintech startup in which he holds a majority participation and is also supported by Ribbit Capital. Klarna will take over by granting loans “later this year,” he said in a statement.
Affirm actions based in San Francisco took a hit To the news, down 8% at the start of the afternoon on Monday, negotiating just over $ 46.
The two companies have been rival for years, although Affirm focuses more in the United States. He went public in 2021 and recently announced that he had reached $ 80 million in the net income of PCGRs. Klarna, after suffering A solid blow to its valuationmade a return in a way and declared a net profit of $ 21 million in 2024, a huge swing compared to a defeat in 2023 of $ 244 million.
Last September, CEO and co-founder Max Levchin said Paymentsdive that he wanted to differentiate his business from competitors, including Klarna. One of the ways to do this, he told a technology conference last year, to focus on individual transactions income. Klarna and others have prompted marketing income, he said. However, a spokesperson for Klarna challenged that, saying to the publication that “most of Klarna’s revenues come from transactions, with a smaller game from marketing”.
Levchin continued by saying that Confirm does not monetize transactions by advertising or marketing.
“I am not criticizing-this is not my place to decide that they are bad businesses,” he said. “But I like ours, and ours is built around the idea that, in the end, each transaction must have a financially meaning.”
The scope of Klarna is more worldwide than asserted, but it has made a big push in the United States, telling Techcrunch last April that the United States and Germany represented its greatest markets But that the United States “won all the time and are often the most important on a quarterly basis”.
Starting Walmart as a partner will undoubtedly increase that Klarna’s presence in the United States is the largest in the world in terms of income-indicating $ 441.8 billion in the United States only last year.
Only 5% of the American volume of Walmart would increase 28% the total GMV of Klarna (gross value of goods), said the company in a declaration.
