Jumia Reports Significant Financial Improvements in First Quarter 2024

Jumia Technologies AG has released its financial results for the first quarter ending March 31, 2024, observing a notable growth in revenue and Gross Merchandise Value (GMV) along with a substantial reduction in losses. The company recorded a revenue of $48.9 million, marking a 19% increase year-over-year and an impressive 57% rise in constant currency terms. GMV also rose to $181.5 million, a 5% year-over-year increase and 39% in constant currency.

In the same period, Jumia significantly narrowed its operating loss to $8.3 million, down 71% from $28.4 million in the previous year, and its adjusted EBITDA loss improved dramatically by 82.6% to $4.3 million. These improvements highlight effective cost management and operational adjustments.

Despite the global economic challenges and currency devaluations in key markets like Nigeria and Egypt, Jumia remains focused on enhancing its core business and optimizing cash flow. The company's liquidity decreased by $19.1 million in the quarter, showing better control over cash utilization compared to the past year.

Jumia’s management attributes the positive outcomes to disciplined marketing spending and strategic operational tweaks that have begun to yield sustained customer growth in select markets. The optimistic outlook for 2024 was reiterated, with a focus on further financial improvements and operational efficiency.