Portuguese 
Spanish 
Swedish Fintech Doubles Losses In One Year, Steps Back On Total Bet On Artificial Intelligence And Faces Increase In Customer Defaults
Klarna, the Swedish “buy now, pay later” fintech, is facing a difficult moment. The company recorded a net loss of US$ 99 million in the first quarter of this year.
This amount more than doubled compared to the same period in 2024, according to CNBC.
The scenario marks a strong contrast to the optimism previously demonstrated by its CEO, Sebastian Siemiatkowski.
-
Two Brothers Leave City Life to Build Mud House in the Himalayas with Help from Over 100 Volunteers from 18 Countries, Including Brazil
-
At 9, Hailey Builds Mini Shelters for the Homeless Using Recycled Materials in Her Backyard
-
Seven-Year-Old Nicknamed Hulk Wins Gold in Brazilian Jiu-Jitsu After Defeating South American Competitors
-
Once Burdened by $90,000 in Debt and a Divorce, Now Leads a Beauty Group Targeting $150 Million by 2026
Just a few months ago, he claimed that the company’s automated AI systems had replaced the work of 700 human agents.
Questioned Strategy
During a recent interview with Bloomberg, Siemiatkowski acknowledged that the full bet on artificial intelligence did not work as expected. “There will always be a human, if you want one”, he said, referring to customer service.
Despite a more cautious tone, the executive has not completely abandoned the technology.
Recently, he reiterated his support for the use of AI, highlighting that it allowed the company to cut 40% of its workforce. Still, he admitted that it is necessary to maintain some human presence in the process.
Avatar In Command
In its latest earnings presentation, Klarna surprised by placing an AI-generated avatar in place of Siemiatkowski to lead the teleconference.
The gesture reinforces that the fintech is still betting on automation, even amid growing criticism.
Cases like Duolingo’s, which is facing strong backlash from users after announcing that AI will replace service providers, show that popular support for the technology is also declining.
Defaulting Customers
Klarna’s poor performance is not limited to its digital strategy.
The company is also suffering from the rise in defaults among its customers in the United States. Defaults on “buy now, pay later” loans increased by 17% in one year, totaling US$ 136 million in credit losses.
The rise in defaults is attributed to the unstable economic environment and the loss of consumer confidence, factors that directly affect the company’s business model.
In a statement, Klarna said it is “closely monitoring changes in the macroeconomic environment” and that it “remains well-positioned to adapt quickly, if necessary.”
