Klarna surpassed third-quarter revenue expectations in its first earnings report since going public, marking a strong start to its journey as a publicly traded company. CEO Sebastian Siemiatkowski highlighted that fair financing options have doubled the number of users over the past year, though they’ve only reached about 20% of the company’s merchant base—creating what he described as “tons of opportunity” for future growth. “We want to be the one that helps you save time, save money, and be in control of your finances,” Siemiatkowski told CNBC. “That’s obviously not necessarily what we’ve been associated with, but that’s the reputation we’re working to build.” The company reported a 38% increase in merchants, growing from 616,000 to 850,000 over the past year. However, average revenue per active customer declined by approximately 10%, reflecting shifting dynamics in user behavior and pricing strategies. Klarna officially began trading on the New York Stock Exchange about two months ago, after postponing its initial public offering in April amid uncertainty caused by former President Donald Trump’s aggressive tariff policies. Since then, broader market concerns have emerged, including fears of a potential AI bubble and weakening consumer spending, which have contributed to a sharp decline in tech stocks. Klarna’s shares have dropped more than one-third from their peak, reflecting investor caution in a volatile environment. Despite this, Siemiatkowski said the company hasn’t yet observed “material differences” in customer repayment patterns or spending habits, though it remains vigilant about macroeconomic shifts. He also acknowledged the growing influence of artificial intelligence, which has become central to Klarna’s operations. In May, Siemiatkowski revealed that AI, combined with natural attrition, helped the company reduce its workforce by 40% over time. He noted that Klarna’s natural attrition rate is as high as 20%, and AI has played a key role in streamlining processes without sacrificing service quality. The company has leveraged AI to cut the average time to resolve customer service issues to under two minutes. Still, Siemiatkowski warned against relying solely on automation. “Companies that only use AI or robots to deal with customers are making a big mistake,” he said. “There’s tremendous value in human connection.” He emphasized that Klarna’s strategy remains rooted in being customer-obsessed—using AI not to replace people, but to empower them. This balance, he believes, is key to building trust and long-term loyalty in an increasingly competitive fintech landscape.