Klarna wants its next CFO in New York. That’s a signal to Wall Street

Good morning.

Niclas Neglén helped take Klarna public in September 2025.

Now, after six years as CFO, he’s leaving—alongside David Sandström, the company’s chief marketing officer of nearly a decade—in a leadership transition.

The changes were announced the same day Klarna tempered its full-year guidance and watched its stock fall about 22%.

Both executives will transition out of their roles by early 2027.

Klarna, a Sweden-based buy-now-pay-later company, is a digital bank and payments provider with nearly 120 million global active users.

Companies such as Apple, Nike, and Sephora offer Klarna as a payment option for their shoppers.

It trades on the New York Stock Exchange under the ticker KLAR.

Klarna is backed by Sequoia Capital, which has invested in the company since 2010 and remains its largest institutional shareholder.

On Tuesday, the company reported second-quarter diluted earnings per share of $0.01, beating Wall Street’s expectations, while revenue increased 27% year over year to approximately $1.04 billion.

Klarna also reported a surprise $9 million net profit.

However, Klarna tempered expectations for full-year revenue and volume growth, cutting its full-year revenue outlook to $4.08 billion–$4.16 billion, citing weakness in German retail spending, its largest market in Europe.

Shares fell an additional 2.19% on Wednesday, closing the regular trading session at $14.73 per share.

“Transaction margin dollar guidance was raised for the full year but still fell short of our expectations,” Niklas Kammer, senior equity analyst at Morningstar, wrote in an analyst note on Wednesday.