Jumia Technologies ( (JMIA) ) has released its Q4 earnings. Here is a breakdown of the information Jumia Technologies presented to its investors.
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Jumia Technologies AG, an e-commerce company operating in the African market, reported its financial results for the fourth quarter of 2024, highlighting strategic initiatives aimed at driving growth and operational efficiency.
Despite facing revenue challenges, Jumia’s fourth-quarter report showed a revenue of $45.7 million, a 23% decrease year-over-year. However, in constant currency terms, the revenue drop was limited to 2%. Gross Merchandise Volume (GMV) amounted to $206.1 million, declining by 12% year-over-year but indicating a 13% increase in constant currency. The company’s liquidity position was $133.9 million, despite a decrease of $30.6 million during the quarter.
Jumia’s strategic focus on operational efficiency and targeted marketing led to an 18% increase in physical goods orders year-over-year, excluding South Africa and Tunisia. The company successfully executed its Black Friday campaign, contributing to improved customer metrics, including a rise in the Net Promoter Score. The exit from non-strategic markets like South Africa and Tunisia allowed Jumia to streamline operations further.
Looking forward, Jumia’s management is optimistic about 2025, aiming to build on its current momentum. The company plans to focus on expanding beyond main urban centers, broadening its product assortment, and strengthening ties with international sellers. Efforts to enhance cost discipline and marketing efficiency are expected to improve profitability prospects in the coming year.
