Buy now, pay later firm Klarna reports first month of profit in three years

‘Today’s results clearly rebut the misconceptions around Klarna’s business model,’ its chief executive, Sebastian Siemiatkowski, said. Photograph: Sipa US/Alamy

Klarna, a buy now, pay later firm, has reported a profitable month for the first time in three years.

The Swedish company, which allows shoppers to defer and split the cost of items but has been accused of tipping people into debt, has struggled to make money in recent years amid rising bad debts and weak consumer confidence.