Klarna reported $1.0 billion in revenue for the latest 12-month period, marking its strongest annual performance to date. Growth was fuelled by increased adoption of its buy-now-pay-later platform and expansion of merchant payment integrations across key European markets and North America.

Investors initiated a class-action suit accusing Klarna of underplaying consumer credit losses and regulatory exposure in its IPO prospectus. The legal challenge could lead to delays in listing approval and potential financial penalties if courts determine the disclosures were insufficient.