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Klarna hits 20m American users

Klarna hits 20m American users

Swedish BNPL giant Klarna is conquering America, doubling its US customer base in the last 14 months to 20 million.

The Klarna app now maintains four million monthly active US users as daily downloads surpass the closest competitor by 20%, according to App Annie.

Klarna's early attempts to crack the US market were partway responsible for a $93 million loss in 2019 (from a $10 million profit the year before) as the scale of its ambitions hit the bottom line.

The firm's latest set of results for H1 2021 show losses widening to $163 million, as credit defaults in new markets dent its performance.

David Sykes, head, North America, Klarna, says: "In the year ahead, we will continue to expand our US merchant base, offering greater opportunities for customer acquisition and engagement."

Klarna has seen its popularity balloon in the last year as it rides the BNPL wave. In June it raised $639 million at a $45.6 billion valuation, making it the world's second most valuable privately-held fintech.

That could soon change, with the firm last week revealing that it may go public next year.

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