Carbon Footprint — Operations: How does Klarna score?

Klarna reports Scope 1 and 2 emissions following GHG Protocol methodology, with Scope 1+2 totalling less than 350 tCO₂e in 2022. The company achieved a 66% year-on-year reduction in Scope 1 and 2 in 2023, primarily through office consolidation. Emissions are calculated annually alongside financial reporting, with an internal carbon fee of $200/t applied to Scope 1+2. Multi-year tracking since at least 2019 is confirmed in the ESG Report 2023. No third-party verification of emissions data was con

Carbon Footprint — Supply Chain: How does Klarna score?

Klarna reports Scope 3 emissions across material categories per GHG Protocol Corporate Value Chain Standard. Procurement-related emissions (Purchased Goods & Services and Capital Goods) account for over 87% of the total carbon footprint and decreased 26% year-on-year in 2023. The company applies a differentiated internal carbon fee to Scope 3 categories ($100/t for business travel, $10/t for other Scope 3). The ESG Report 2023 provides category-level Scope 3 breakdowns. This demonstrates quantif

Emissions Trajectory: How does Klarna score?

Klarna achieved a 25% absolute reduction in total GHG emissions in 2023 vs 2022, a 66% decrease in Scope 1+2, and a 3.75% absolute reduction in 2022 vs 2021. This demonstrates multi-year absolute reductions. However, the 2030 interim target is carbon-intensity-based (50% intensity reduction from 2019 baseline), not absolute, which is a red flag. DitchCarbon notes Scope 3 increased ~50% since 2019 despite the recent year-on-year decline. The SBTi-validated 2040 net-zero target requires 90% absolu

Energy Source: How does Klarna score?

Klarna achieved 100% renewable electricity at all office locations by end of 2022, two years ahead of its 2025 target. This was confirmed in multiple press releases and ESG reporting. As a fintech company, Klarna's direct energy consumption is limited to offices and cloud infrastructure. No evidence of RE100 membership, PPAs, or on-site generation was found; the renewable claim appears to be based on green electricity tariffs. Without detail on the procurement mechanism (green tariffs vs unbundl

Nature & Biodiversity Impact: How does Klarna score?

Klarna has contributed $16.3M since 2021 to nature and climate projects via the Give One initiative and Nature Transformation Fund with Milkywire, supporting 64 projects in 41 countries. Documented outcomes include planting 4.9 million native saplings in the Andes, restoring 195 hectares of UK grasslands, and protecting the Javan rhino. In 2024, the Nature Transformation Fund was launched to expand this work, aligned with Global Biodiversity Targets. Klarna's ESG report references nature as a pr

Resource Use & Waste: How does Klarna score?

As a digital fintech company, Klarna has a relatively low material footprint. Klarna published a 2024 Circularity Insights Report promoting consumer awareness of repair and second-hand shopping. The company offers a resell feature in the Klarna app and sustainability search filters. These consumer-facing circularity features are notable but relate to Klarna's product offering rather than its own operations. No data was found on Klarna's own office waste management, e-waste policy, hardware lifec

Water Impact: How does Klarna score?

No water consumption data, water footprint, or water policy was found in Klarna's public disclosures. As a fintech company operating primarily through offices and cloud infrastructure, Klarna's direct water impact is inherently low. The company demonstrates awareness of broader environmental issues through its materiality assessment and ESG reporting, but water is not identified as a material topic. Given the genuinely low water impact of a digital financial services company, the absence of form

Targets & Commitments: How does Klarna score?

Klarna's net-zero target for 2040 has been independently validated by the SBTi, committing to a 90% absolute GHG reduction across all scopes from a 2022 baseline. This is a science-based, absolute target covering near-term and long-term pathways. The company uses a beyond-value-chain-mitigation (BVCM) approach rather than purchasing offsets, channelling $8.5M+ through the Climate Transformation Fund into durable carbon removal, nature restoration, and decarbonisation projects. The internal carbo

Transparency & Accountability: How does Klarna score?

Klarna publishes an annual ESG report aligned with GRI reporting standards and TCFD recommendations, with the 2023 report available publicly. The company reports to CDP annually and has begun updating its double materiality assessment to align with CSRD requirements as of Q4 2023. A dedicated Head of Sustainability (Salah Said) oversees ESG strategy, with the CMO holding board-level responsibility. The 2025 Annual Report includes ESG content aligned with CSRD double materiality. However, no evid

Controversies & Red Flags: How does Klarna score?

Starting at 8. No environmental greenwashing claims, lawsuits, or regulatory actions were found specific to Klarna. The company was fined $46M by the Swedish FSA for money laundering failures (2021-2022), which is not environmental but indicates regulatory issues (-1). The BNPL business model is widely criticised for encouraging overconsumption, which has indirect environmental implications through increased consumption and returns; a class action lawsuit alleges the company encourages over-inde

Klarna Sustainability Score: 52/100

Recently scored: Dentsu, Omnicom, Publicis Groupe, WPP

507 companies scored·4 score updates this week

Klarna·Financial Services / Banking·Stockholm, Sweden·Founded 2005·Last verified 25 April 2026

out of 100

Making progressPending Review

Klarna reports GHG emissions across all scopes with SBTi-validated 2040 net-zero target requiring 90% absolute reduction. Recent performance is strong: 25% total emissions reduction in 2023, 100% renewable electricity achieved. Critical weakness: the 2030 interim target is intensity-based, not absolute. The BNPL business model actively drives overconsumption with documented environmental knock-on effects; this systemic issue is unaddressed.

No challenges currently filed

The calculation

Every score shows its working.

Same formula for every company. No curve. No private weighting.

SINK = (0.3 × Base + 0.7 × Performance) × Scale

Industry base impact

Financial Services / Banking sector ceiling.

50 / 100

Performance score

Sum of the 10 rubric questions, scored 0–10 each.

60 / 100

Raw score

Weighted average before scale penalty.

(0.3 × 50) + (0.7 × 60) = 57.0

Scale penalty

Multiplier based on absolute emissions volume — physics-first.

× 0.95

Final score

Rounded. Making progress.

52 / 100

The ten questions

Where Klarna is strong, and where it isn't.

Strongest on Targets & Commitments and Carbon Footprint — Operations (8/10, 7/10). Weakest on Water Impact and Resource Use & Waste (4/10, 4/10).

Where the evidence comes from

Every document used, listed.

16 sources used in this assessment. All publicly available. Each row shows which rubric questions it informed.

[1]Public record

How Klarna Put Internal Price on Carbon

Unknown

Every score shows its working.

Where Klarna is strong, and where it isn't.

Every document used, listed.

Where Klarna sits among financial services / banking peers.

Klarna's score over time.

This score is not currently being contested.

Related companies worth a look.

We'll let you know when the score moves.

Which companies moved this week, and why.