Core Insights - Jumia has partnered with Spiro to introduce a fleet of electric bikes for deliveries in Kampala, Uganda, aligning with its commitment to eco-friendly practices [1] - This initiative is part of Jumia's broader Environmental, Social, and Governance (ESG) strategy aimed at reducing carbon emissions [1] - The move signifies Jumia's focus on promoting sustainable business practices within the e-commerce sector in Africa [1]

Jumia Technologies CEO Francis Dufay said the global trade war is benefiting Africa’s biggest e-commerce company by increasing its access to Chinese goods https://t.co/6ytQ0ZraCB ...

Group 1 - The annual WTO Public Forum is currently taking place, focusing on various trade-related topics, with a particular emphasis on digitalization this year [1] - Africa's e-commerce market is experiencing significant growth, with user numbers expected to exceed 50 million in 2023 and projected revenues reaching $40.49 billion by 2025 [3] - Nigeria has launched a national digital economy policy aimed at transforming its economy into a leading digital economy by 2030, addressing issues such as support for women entrepreneurs and financing for SMEs [3] Group 2 - Challenges in African e-commerce include high logistics costs, which can exceed the value of the products being sold, making cross-border trade difficult [4] - The continent's fragmented payment systems and varying regulatory policies hinder digital payment integration, necessitating cooperation on digital currency agreements to reduce trade barriers [6] - Jumia, a leading e-commerce platform in Africa, has faced significant challenges in building logistics and payment networks from scratch since its entry into Nigeria in 2012, yet sees substantial market opportunities [6][7] Group 3 - There is a growing call for increased intra-African trade cooperation, with stakeholders recognizing the high costs associated with cross-border trade [7] - The focus is not only on retail but also on advancing digital technology innovation and training local talent to develop more tech projects within Africa [7]

Core Viewpoint - Jumia Technologies' shares surged 22.3% following a significant price target increase from RBC analyst Brad Erickson, who raised the target from $6.50 to $15 per share, indicating a strong positive outlook for the company [1][2]. Group 1: Analyst Insights - The near-tripling of the price target suggests a substantial change in the analyst's outlook, driven by expectations of revenue growth and cost reductions in the coming years [2]. - The positive outlook was influenced by a meeting with Jumia's management, who indicated easing currency pressures in their markets across West, East, and North Africa [3]. - Management also highlighted increased leverage over Chinese sellers, which is expected to enhance Jumia's take rate by 0.5 to 1 percentage point annually [3]. Group 2: Financial Performance and Projections - Jumia is currently experiencing an EBITDA loss, but potential improvements could lead to profitability, which may result in a significant stock rerating [4]. - The company has a solid balance sheet, with approximately $96 million in cash and only $13 million in debt, positioning it well for future growth [6]. Group 3: Market Position and Risks - Jumia operates in markets with lower internet access and economic maturity, presenting high-reward opportunities despite being a high-risk investment compared to more established e-commerce companies [6][7]. - Management forecasts profitability by the end of 2026, which could further drive stock performance if achieved [7].

Group 1 - The author has extensive experience in logistics, digitalization, and political-commercial strategy within the food and agricultural sectors, focusing on sustainable development and risk mitigation [1] - The author's expertise includes supplier development, EMS management, and cross-border operations, with a strong emphasis on the intersection of geopolitics and industrial policy [1] - The author writes about how FMCG and food commodities influence economic resilience and development, indicating a significant interest in these areas [1] Group 2 - The article does not provide specific investment recommendations or advice, emphasizing that past performance is not indicative of future results [2] - It is noted that the views expressed may not reflect those of Seeking Alpha as a whole, highlighting the independent nature of the analysis [2] - The authors of the analysis include both professional and individual investors, some of whom may not be licensed or certified [2]

Core Insights - Jumia Technologies is showing signs of potential profitability, with analysts optimistic about reaching breakeven by the end of 2026 [5] Group 1: Analyst Insights - RBC Capital analyst Brad Erickson raised the price target for Jumia stock from $5 to $6.50, maintaining a sector perform rating [2] - The price target increase followed Jumia's second-quarter results, which exceeded expectations [2] Group 2: Financial Performance - Jumia reported a 25% year-over-year increase in total sales, reaching $45.6 million, surpassing the consensus estimate of $43 million [3] - Gross merchandise value (GMV) rose by 6% to over $180 million [3] - Despite the sales growth, the company reported an operating loss of over $20 million, worsening from a $16.5 million loss the previous year [4] Group 3: Future Outlook - Management has raised full-year 2025 guidance for both total orders and GMV, indicating positive growth expectations [3] - The increase in order count is seen as a potential driver for profitability, with analysts speculating that breakeven could be achieved sooner than anticipated [5]

Core Insights - Jumia Technologies (NYSE: JMIA) reported a "clean" quarterly earnings report, indicating strong performance despite previous currency devaluations and one-time effects in the Egyptian market [1] - The company has improved its guidance for 2025, suggesting a positive outlook for future performance [1] Financial Performance - The earnings report reflects the use of consistent core financial metrics to measure success, which is crucial for assessing the company's operational health [1] - The impact of currency fluctuations and market conditions in Egypt has been acknowledged, but the company has managed to navigate these challenges effectively [1]

Financial Data and Key Metrics Changes - Revenue rose by 25% year over year to $45.6 million, demonstrating resilience in the core business [6][26] - Loss before income tax narrowed to $16.3 million, a 28% decrease year over year [6][33] - Cash burn significantly reduced to $12.4 million, driven by higher revenue and disciplined execution [6][15] Business Line Data and Key Metrics Changes - Physical goods orders increased by 18% year over year, with GMV up 10% excluding exits from South Africa and Tunisia [5][6] - Excluding corporate sales, physical goods GMV grew by 24%, indicating strong underlying consumer demand [5][6] - Revenue from first-party sales surged by 47% year over year, driven by strong demand from key international brands [26][28] Market Data and Key Metrics Changes - Nigeria saw physical goods orders rise by 25% year over year, with GMV up 36% [19] - Kenya experienced a 38% increase in physical goods orders, with GMV up 31% [19] - Egypt showed a decline in physical goods orders by 6% year over year, but GMV excluding corporate sales grew by 6% [21] Company Strategy and Development Direction - The company is focused on scaling physical goods e-commerce while reducing emphasis on JumiaPay app transactions [8] - Strategic initiatives include enhancing logistics reliability, expanding into underserved regions, and improving customer acquisition and retention [16][24] - The company aims to achieve profitability by 2027, with a focus on operational efficiency and cost reduction [6][25] Management's Comments on Operating Environment and Future Outlook - Management noted stable macroeconomic conditions and improved customer value propositions as key drivers for growth [43][44] - The company is optimistic about accelerating GMV growth in the second half of the year, supported by improved marketing strategies [12][39] - Management expressed confidence in achieving revised financial guidance for 2025, driven by strong operational execution [37][39] Other Important Information - The company has reduced overall headcount by 5% since the beginning of the year, reinforcing cost management efforts [13] - Jumia's anniversary campaign contributed significantly to order growth, with over 38,500 sellers participating [16] - The logistics platform, Jumia Delivery, is now operational in multiple countries, targeting social commerce vendors and individuals [22][63] Q&A Session Summary Question: What is driving the July acceleration in growth? - Management indicated that the acceleration is primarily driven by improvements in customer value propositions and a renewed focus on online marketing channels [42][43] Question: How is the company planning for inventory and cash use during the holiday season? - The company plans to build inventory starting in early October, with expectations of manageable working capital volatility [48] Question: What is the potential for growth in underserved areas? - Management believes there is significant untapped potential in secondary cities, with ongoing plans for expansion [50][52] Question: How is the company addressing supply from international suppliers? - The company anticipates increased attention from Chinese manufacturers due to tariff changes, which should enhance supply security [54][56] Question: What are the margins like for the Jumia Delivery service? - The delivery service is expected to be profitable from the outset, with competitive pricing strategies in place [61][67] Question: What is the outlook for Ivory Coast's growth? - Management noted that growth in Ivory Coast is slower due to market maturity and a deliberate focus on profitability over rapid growth [96][98]

Financial Performance - Q2 2025 revenue increased by 25% year-over-year to $45.6 million[9, 30] - Net loss before income tax improved by 28% year-over-year to $16.3 million in Q2 2025[7, 9] - Quarterly cash burn declined to $12.4 million in Q2 2025, compared to $23.2 million in Q1 2025[7] - Adjusted EBITDA loss improved to $13.6 million in Q2 2025, compared to $16.3 million in Q2 2024[9, 64] Usage Metrics - Physical goods Orders grew by 18% year-over-year[7, 19] - Physical goods Quarterly Active Customers grew by 13% year-over-year[7, 17] - Physical goods GMV grew 10% year-over-year[7] - GMV increased 9% year-over-year to $180.2 million[9, 22] Regional Performance - Nigeria momentum accelerated with physical goods Orders up 25% and Physical goods GMV up 39% year-over-year[7] Guidance - The company raised FY2025 guidance, anticipating physical goods Orders to grow between 25% and 30% year-over-year[56] - GMV is now projected to grow between 15% and 20% year-over-year[56]

[Executive Summary & Highlights](index=1&type=section&id=Executive%20Summary%20%26%20Highlights) [Financial Highlights (Q2 2025)](index=1&type=section&id=Financial%20highlights%20for%20the%20second%20quarter%202025) Jumia achieved significant financial improvements in Q2 2025, including a 25% year-over-year revenue increase and substantial reductions in operating loss, Adjusted EBITDA loss, and loss before income tax, demonstrating progress towards profitability Financial Highlights Table | Metric | Q2 2024 (USD million) | Q2 2025 (USD million) | YoY Change | Constant Currency YoY Change | | :-------------------------- | :-------------------- | :-------------------- | :--------- | :--------------------------- | | Revenue | 36.5 | 45.6 | 25% | 22% | | GMV | 170.1 | 180.2 | 6% | 5% | | Operating loss | (20.2) | (16.5) | (18)% | (21)% | | Adjusted EBITDA loss | (16.3) | (13.6) | (17)% | (19)% | | Loss before Income tax | (22.5) | (16.3) | (28)% | (17)% | | Liquidity position | N/A | 98.3 | N/A | N/A | | Net cash flow used in operating activities | (8.4) | (12.7) | 51% | N/A | [Business Highlights (Q2 2025)](index=1&type=section&id=Business%20highlights%20for%20the%20second%20quarter%202025) Jumia's Q2 2025 operational performance showed strong growth in orders and active customers, significant GMV increase for physical goods, accelerated momentum in Nigeria, and reduced cash burn - Orders grew **18% year-over-year**, driven by strong execution and improved product assortment across key categories[5](index=5&type=chunk) - Quarterly Active Customers ordering physical goods grew by **13% year-over-year**, demonstrating sustained engagement and customer retention[5](index=5&type=chunk) - GMV increased **10% year-over-year** (excluding corporate sales in Egypt and perimeter effects), driven by robust consumer demand[5](index=5&type=chunk) - Nigeria's momentum accelerated, with Orders growth up **25%** and total GMV up **36% year-over-year**[5](index=5&type=chunk) - Cash burn was **$12.4 million** in Q2 2025, a sequential decline from **$23.2 million** in Q1 2025, reflecting disciplined cost management and operational efficiencies[5](index=5&type=chunk) - Gross items sold from international sellers grew **36% year-over-year** in Q2 2025, reflecting strong cross-border merchant engagement and rising consumer demand[5](index=5&type=chunk) [Company Commentary](index=2&type=section&id=Company%20Commentary) CEO Francis Dufay highlighted continued momentum in the core consumer business, robust usage growth, and strong engagement, reinforcing confidence in achieving breakeven by Q4 2026 and full-year profitability in 2027, with raised guidance for 2025 - Second quarter results demonstrate continued momentum in the core consumer business, with robust usage growth and strong engagement across markets[6](index=6&type=chunk) - Meaningful improvement in cash burn quarter-over-quarter, driven by growth and a positive impact from working capital[6](index=6&type=chunk) - Confidence in reaching the strategic goal to breakeven on a Loss before Income tax basis in Q4 2026 and achieving full-year profitability in 2027[7](index=7&type=chunk) - Full-year 2025 guidance and long-term profitability targets have been raised based on current trends[7](index=7&type=chunk) [Selected Financial Information](index=3&type=section&id=SELECTED%20FINANCIAL%20INFORMATION) [Overview of Financial Results](index=3&type=section&id=Financial%20Results%20for%20the%20second%20quarter%20ended%20June%2030%2C%202025) Jumia's Q2 2025 financial results show strong year-over-year improvements in key profitability metrics, with revenue increasing by 25% and operating loss decreasing by 18% Financial Results Table | In USD million | June 30, 2024 | June 30, 2025 | YoY Change | June 30, 2025 (Constant Currency) | Constant Currency YoY Change | | :-------------------------- | :------------ | :------------ | :--------- | :-------------------------------- | :--------------------------- | | Revenue | 36.5 | 45.6 | 25 % | 44.4 | 22 % |\n| Gross Profit | 21.6 | 23.9 | 11 % | 22.7 | 5 % |\n| Fulfillment expense | (9.3) | (10.8) | 16 % | (10.1) | 9 % |\n| Sales and Advertising expense | (4.4) | (4.2) | (6)% | (4.1) | (7)% |\n| Technology and Content expense | (8.7) | (9.2) | 6 % | (9.0) | 3 % |\n| G&A expense, excluding SBC | (17.6) | (16.0) | (9)% | (15.2) | (14)% |\n| Adjusted EBITDA | (16.3) | (13.6) | (17)% | (13.1) | (19)% |\n| Operating Income/ (Loss) | (20.2) | (16.5) | (18)% | (16.0) | (21)% |\n| Loss before Income tax | (22.5) | (16.3) | (28)% | (18.5) | (17)% | [Revenue Analysis](index=3&type=section&id=Revenue) Total revenue grew **25% YoY** to **$45.6 million**, primarily driven by a **47% increase** in first-party sales, while marketplace revenue also saw an **8% increase** - Total Revenue: **$45.6 million**, up **25% year-over-year** (**22%** on a constant currency basis)[10](index=10&type=chunk) - Marketplace revenue: **$21.6 million**, up **8% year-over-year** (**2%** on a constant currency basis), driven by strong usage growth and increases in take rate, partially offset by lower commissions from third-party corporate sales in Egypt[12](index=12&type=chunk) - First-party sales revenue: **$23.6 million**, up **47% year-over-year** (both reported and constant currency basis), driven by strong momentum with key international brands such as Starlink or Adidas[12](index=12&type=chunk) [Gross Profit Analysis](index=3&type=section&id=Gross%20Profit) Gross profit increased by **11% YoY** to **$23.9 million**, with gross profit as a percentage of GMV improving to **13.3%** due to stronger marketplace margins and strategic enhancements - Gross profit: **$23.9 million**, up **11% year-over-year** (**5%** on a constant currency basis)[12](index=12&type=chunk) - Gross profit as a percentage of GMV: **13.3%** in Q2 2025, compared to **12.7%** in Q2 2024, driven by stronger marketplace margins[12](index=12&type=chunk) - Launch of an advanced seller advertising platform in June 2025 to significantly expand monetization opportunities, with advertising revenue at **1% of GMV**[12](index=12&type=chunk) [Expense Analysis](index=3&type=section&id=Expenses) Jumia demonstrated disciplined cost management, with Sales and Advertising expenses decreasing by **6% YoY** and General and Administrative expenses declining by **12% YoY**, while leveraging AI for efficiency - Fulfillment expense: **$10.8 million**, up **16% year-over-year** (**9%** on a constant currency basis). Fulfillment expense per Order (excluding JumiaPay app Orders) was **$2.19**, up **1% year-over-year** (down **5%** on a constant currency basis)[12](index=12&type=chunk) - Sales and Advertising expense: **$4.2 million**, down **6% year-over-year** (**7%** on a constant currency basis), reflecting continued cost discipline and effective targeted marketing[12](index=12&type=chunk) - Technology and Content expense: **$9.2 million**, up **6% year-over-year** (**3%** on a constant currency basis), primarily due to currency translation effects. Anticipated decreases from workforce optimization and renegotiated contracts[12](index=12&type=chunk) - General and Administrative expense: **$17.0 million**, down **12% year-over-year** (**16%** on a constant currency basis). Headcount declined by **5%** since December 31, 2024, to just over **2,050 employees**[12](index=12&type=chunk)[15](index=15&type=chunk) - Leveraging AI across key functions (customer service, marketing, technology operations) to enhance productivity and reduce operating expenses, contributing to ongoing reductions in total operating expenses[15](index=15&type=chunk) [Profitability Metrics (Operating Loss, Adjusted EBITDA, Loss before Income Tax)](index=4&type=section&id=Loss%20before%20Income%20tax) Operating loss improved by **18% YoY** to **$16.5 million**, Adjusted EBITDA loss declined by **17% YoY** to **$13.6 million**, and Loss before Income tax significantly improved by **28% YoY** to **$16.3 million**, driven by higher revenue and reduced expenses - Operating loss: **$16.5 million** in Q2 2025, compared to **$20.2 million** in Q2 2024 (**18% YoY improvement**)[15](index=15&type=chunk) - Adjusted EBITDA loss: **$13.6 million** in Q2 2025, compared to **$16.3 million** in Q2 2024 (**17% YoY decline**), consistent with improved operating performance[15](index=15&type=chunk) - Loss before Income tax: **$16.3 million** in Q2 2025, compared to **$22.5 million** in Q2 2024 (**28% YoY improvement**)[15](index=15&type=chunk) - Improvement in Loss before Income tax was primarily driven by a **$2.3 million** positive impact on gross profit, a **$1.3 million** decrease in operating expenses, and a **$2.5 million** improvement in net finance result[15](index=15&type=chunk) [Cash Position](index=4&type=section&id=Cash%20Position) Jumia's liquidity position stood at **$98.3 million** as of June 30, 2025, with net cash used in operating activities at **$12.7 million**, including a positive working capital contribution of **$4.1 million** - Liquidity position as of June 30, 2025: **$98.3 million**, comprised of **$95.6 million** in cash and cash equivalents and **$2.7 million** in term deposits and other financial assets[15](index=15&type=chunk) - Liquidity position decreased by **$12.4 million** in Q2 2025, compared to a decrease of **$23.2 million** in Q1 2025[15](index=15&type=chunk) - Net cash used in operating activities: **$12.7 million** in Q2 2025, including a positive working capital contribution of **$4.1 million**[15](index=15&type=chunk) - Capital expenditures: **$0.7 million** in Q2 2025, consistent with Q2 2024, primarily reflecting investments in infrastructure and facility enhancements[15](index=15&type=chunk) [Selected Operational KPIs](index=5&type=section&id=SELECTED%20OPERATIONAL%20KPIs) [Marketplace KPIs Overview](index=5&type=section&id=Marketplace%20KPIs) Key marketplace metrics for Q2 2025 show growth in active customers, orders, and GMV, especially when adjusted for perimeter effects (exit from Tunisia and South Africa). TPV also increased, maintaining its percentage of GMV Marketplace KPIs Table | Metric | June 30, 2024 | June 30, 2025 | YoY Change | June 30, 2025 (Constant Currency) | Constant Currency YoY Change | | :-------------------------------------- | :------------ | :------------ | :--------- | :-------------------------------- | :--------------------------- | | Quarterly Active Customers (million) | 2.0 | 2.2 | 7 % | n.a. | n.a. |\n| Quarterly Active Customers (million) adjusted for perimeter effects | 1.9 | 2.2 | 12 % | n.a. | n.a. |\n| Orders (million) | 4.8 | 5.0 | 4 % | n.a. | n.a. |\n| Orders (million) adjusted for perimeter effects | 4.7 | 5.0 | 7 % | n.a. | n.a. |\n| GMV (USD million) | 170.1 | 180.2 | 6 % | 179.3 | 5 % |\n| GMV (USD million) adjusted for perimeter effects | 164.7 | 180.2 | 9 % | 179.3 | 9 % |\n| TPV (USD million) | 45.9 | 49.0 | 7 % | 49.3 | 7 % |\n| JumiaPay Transactions (million) | 1.9 | 1.4 | (23)% | n.a. | n.a. | [GMV and Orders Analysis](index=5&type=section&id=GMV%20and%20Orders%20Analysis) GMV increased by **6% year-over-year** to **$180.2 million**, and Orders grew by **4% year-over-year** to **5 million**, with adjusted physical goods GMV and Orders growing by **10%** and **18%** respectively - GMV increased by **6% year-over-year** to **$180.2 million** and Orders increased by **4% year-over-year** to **5 million**[17](index=17&type=chunk) - Adjusted for perimeter effects (exit from Tunisia and South Africa), physical goods GMV and Orders grew by **10%** and **18% year-over-year**, respectively[17](index=17&type=chunk) - Order growth reflects continued improvement in product assortment and a stronger customer value proposition in physical goods[17](index=17&type=chunk) - Orders from upcountry regions (adjusted for perimeter effects) represented **59%** of total Orders in Q2 2025, up from **52%** in the prior-year period[17](index=17&type=chunk) [Total Payment Volume (TPV) and Customer Engagement](index=6&type=section&id=Total%20Payment%20Volume%20%28TPV%29%20and%20Customer%20Engagement) TPV improved to **$49.0 million**, maintaining **27% of GMV**, with repurchase rates improving by **466 basis points year-over-year** due to disciplined marketing and a focus on efficient channels - TPV improved to **$49.0 million** in Q2 2025 compared to **$45.9 million** in Q2 2024 (**7% YoY**). TPV as a percentage of GMV remained stable year-over-year at **27%**[18](index=18&type=chunk) - Repurchase rates improved by **466 basis points year-over-year**, indicating a stickier and higher quality customer base[17](index=17&type=chunk) - **42%** of new customers who placed their first order in Q1 2025 made a second purchase within 90 days, compared to **37%** of new customers in Q1 2024[17](index=17&type=chunk) - Disciplined marketing approach prioritizing efficient channels such as targeted paid online marketing, CRM, SEO, and relevant offline local channels[17](index=17&type=chunk) [Guidance and Strategic Outlook](index=7&type=section&id=GUIDANCE) [Full-Year 2025 Guidance](index=7&type=section&id=Full-Year%202025%20Guidance) Jumia revised its full-year 2025 guidance upwards, anticipating stronger growth in physical goods orders and GMV, and a further reduction in Loss before Income tax, reflecting improved operational outlook - Physical goods Orders: Anticipated to grow between **25%** and **30% year-over-year** (revised up from the previous range of **20%** to **25%**)[20](index=20&type=chunk) - GMV: Now projected to grow between **15%** and **20% year-over-year** (revised upward from previous range of **10%** to **15%**)[20](index=20&type=chunk) - Loss before Income tax: Forecasted to be in the range of negative **$45 million** to negative **$50 million** (an improvement from the previous range of negative **$50 million** to negative **$55 million**)[20](index=20&type=chunk) [Long-Term Strategic Targets (2026-2027)](index=7&type=section&id=Strategic%20targets%20for%20full-year%202026) The company targets a Loss before Income tax in the range of negative **$25-$30 million** for full-year 2026 and aims to achieve breakeven on a Loss before Income tax basis in Q4 2026, leading to full-year profitability in 2027 - Target Loss before Income tax for full-year 2026: Negative **$25 million** to negative **$30 million**[20](index=20&type=chunk) - Strategic goal: Achieve breakeven on a Loss before Income tax basis in the fourth quarter of 2026[20](index=20&type=chunk) - Strategic goal: Deliver full-year profitability in 2027[20](index=20&type=chunk) [Consolidated Financial Statements (Unaudited)](index=9&type=section&id=Consolidated%20Financial%20Statements%20%28Unaudited%29) [Consolidated Statement of Comprehensive Income](index=9&type=section&id=Consolidated%20statement%20of%20comprehensive%20income%20as%20of%20June%2030%2C%202024%20and%202025) The consolidated statement of comprehensive income shows a significant reduction in loss for the period, from **$(22.0) million** in Q2 2024 to **$(16.6) million** in Q2 2025, driven by increased revenue and improved operating efficiency Consolidated Statement of Comprehensive Income Table | In thousands of USD | June 30, 2024 (3 months) | June 30, 2025 (3 months) | June 30, 2024 (6 months) | June 30, 2025 (6 months) | | :---------------------------------------------------------------- | :----------------------- | :----------------------- | :----------------------- | :----------------------- | | Revenue | 36,474 | 45,642 | 85,367 | 81,903 |\n| Cost of revenue | (14,895) | (21,704) | (32,604) | (38,063) |\n| Gross profit | 21,579 | 23,938 | 52,763 | 43,840 |\n| Operating loss | (20,230) | (16,524) | (28,563) | (35,179) |\n| Loss before Income tax | (22,488) | (16,270) | (62,123) | (32,756) |\n| Loss for the period | (22,012) | (16,591) | (62,669) | (33,298) |\n| Total comprehensive loss for the period | (19,039) | (16,066) | (47,226) | (35,165) | [Consolidated Statement of Financial Position](index=10&type=section&id=Consolidated%20statement%20of%20financial%20position%20as%20of%20December%2031%2C%202024%20and%20June%2030%2C%202025) The consolidated statement of financial position indicates a decrease in total assets from **$192.1 million** at December 31, 2024, to **$160.7 million** at June 30, 2025, primarily due to a reduction in current assets, while total liabilities saw a slight increase Consolidated Statement of Financial Position Table | In thousands of USD | December 31, 2024 | June 30, 2025 | | :------------------------------------ | :---------------- | :------------ | | **Assets** | | |\n| Total Non-current assets | 22,741 | 25,511 |\n| Total Current assets | 169,331 | 135,225 |\n| **Total Assets** | **192,072** | **160,736** |\n| **Equity and Liabilities** | | |\n| Total Equity | 86,286 | 53,012 |\n| Total Non-current liabilities | 10,070 | 9,869 |\n| Total Current liabilities | 95,716 | 97,855 |\n| **Total Liabilities** | **105,786** | **107,724** |\n| **Total Equity and Liabilities** | **192,072** | **160,736** | [Consolidated Statement of Cash Flows](index=11&type=section&id=Consolidated%20statement%20of%20cash%20flows%20as%20of%20June%2030%2C%202024%20and%202025) The consolidated statement of cash flows shows net cash used in operating activities increased to **$(12.7) million** in Q2 2025 from **$(8.4) million** in Q2 2024, while net cash flows from investing activities significantly increased to **$46.4 million** Consolidated Statement of Cash Flows Table | In thousands of USD | June 30, 2024 (3 months) | June 30, 2025 (3 months) | June 30, 2024 (6 months) | June 30, 2025 (6 months) | | :------------------------------------------ | :----------------------- | :----------------------- | :----------------------- | :----------------------- | | Net cash flows (used in) / from operating activities | (8,392) | (12,683) | (3,910) | (33,858) |\n| Net cash flows (used in) / from investing activities | 25,243 | 46,379 | 20,772 | 76,133 |\n| Net cash flows (used in) / from financing activities | (1,831) | (1,772) | (2,817) | (2,875) |\n| Net (decrease)/increase in cash and cash equivalents | 15,020 | 31,924 | 14,045 | 39,400 |\n| Cash and cash equivalents at the end of the period | 45,057 | 95,553 | 45,057 | 95,553 | [Non-IFRS Financial and Operating Metrics](index=13&type=section&id=Non-IFRS%20Financial%20and%20Operating%20Metrics) [Definitions of Key Metrics](index=13&type=section&id=Definitions%20of%20Key%20Metrics) Jumia defines several non-IFRS metrics to provide a clearer picture of its operational and financial performance, including Annual/Quarterly Active Customers, Orders, GMV, TPV, JumiaPay Transactions, and Adjusted EBITDA - Annual Active Customers: Unique customers who placed an order for a product or service on the platform within the 12-month period preceding the relevant date[29](index=29&type=chunk) - Quarterly Active Customers: Unique customers who placed an order for a product or service on the platform within the 3-month period preceding the relevant date[30](index=30&type=chunk) - Gross Merchandise Value ("GMV"): Total value of orders for products and services, including shipping fees, value added tax, and before deductions of any discounts or vouchers[32](index=32&type=chunk) - Total Payment Volume ("TPV"): Total value of orders for products and services for which JumiaPay was used, including shipping fees, value-added tax, and before deductions of any discounts or vouchers[33](index=33&type=chunk) - Adjusted EBITDA: Loss for the period, adjusted for income tax expense (benefit), finance income, finance costs, depreciation and amortization, and further adjusted for share-based compensation expense[37](index=37&type=chunk) [Adjusted EBITDA Reconciliation](index=13&type=section&id=Adjusted%20EBITDA) Adjusted EBITDA is presented as a supplemental non-IFRS measure to assess operating performance, excluding income tax, finance income/costs, depreciation, amortization, and share-based compensation, used by management for performance comparison and strategic evaluation - Adjusted EBITDA is a supplemental non-IFRS measure of operating performance, not a measurement of financial performance under IFRS[38](index=38&type=chunk) - Management uses Adjusted EBITDA for comparing operating performance, planning, evaluating strategic initiatives, and assessing business expansion capacity[39](index=39&type=chunk) Adjusted EBITDA Reconciliation Table | (USD million) | June 30, 2024 (3 months) | June 30, 2025 (3 months) | June 30, 2024 (6 months) | June 30, 2025 (6 months) | | :-------------------------- | :----------------------- | :----------------------- | :----------------------- | :----------------------- | | Loss for the period | (22.0) | (16.6) | (62.7) | (33.3) |\n| Income tax benefit / (expense) | (0.5) | 0.3 | 0.5 | 0.5 |\n| Net Finance costs / (income) | 2.3 | (0.3) | 33.6 | (2.4) |\n| Depreciation and amortization | 2.3 | 2.0 | 4.2 | 4.0 |\n| Share-based compensation expense | 1.7 | 0.9 | 3.8 | 2.0 |\n| **Adjusted EBITDA** | **(16.3)** | **(13.6)** | **(20.6)** | **(29.2)** | [Constant Currency Data](index=14&type=section&id=Constant%20currency%20data) Constant currency metrics are used to understand underlying business dynamics by excluding currency effects, calculated by applying prior year's average exchange rates to current year results, providing a stable comparison - Constant currency information is used to provide a picture of underlying business dynamics, excluding currency effects[41](index=41&type=chunk) - Calculated using average foreign exchange rates for each month during 2024 and applying them to corresponding months in 2025, excluding local currency inflation or price adjustments[42](index=42&type=chunk) Constant Currency Data Table | In USD million, except percentages | June 30, 2024 | June 30, 2025 | YoY Change | June 30, 2025 (Constant Currency) | Constant Currency YoY Change | | :--------------------------------- | :------------ | :------------ | :--------- | :-------------------------------- | :--------------------------- | | Revenue | 36.5 | 45.6 | 25 % | 44.4 | 22 % |\n| Marketplace revenue | 20.0 | 21.6 | 8 % | 20.4 | 2 % |\n| First-party sales | 16.1 | 23.6 | 47 % | 23.6 | 47 % |\n| Gross Profit | 21.6 | 23.9 | 11 % | 22.7 | 5 % |\n| Adjusted EBITDA | (16.3) | (13.6) | (17)% | (13.1) | (19)% |\n| GMV | 170.1 | 180.2 | 6 % | 179.3 | 5 % |\n| TPV | 45.9 | 49.0 | 7 % | 49.3 | 7 % | [Forward-Looking Statements & Disclaimers](index=12&type=section&id=Forward%20Looking%20Statements) This release includes forward-looking statements based on current expectations and projections about future events and financial trends, which involve known and unknown risks and uncertainties that may cause actual results to differ materially - This release includes forward-looking statements based on current expectations and projections about future events and financial trends[26](index=26&type=chunk) - These statements involve known and unknown risks, uncertainties, and changes in circumstances that may cause actual results to differ materially[26](index=26&type=chunk) - Readers are cautioned against relying on these forward-looking statements, and the company undertakes no obligation to update them except as required by law[27](index=27&type=chunk) [Conference Call and Webcast Information](index=8&type=section&id=CONFERENCE%20CALL%20AND%20WEBCAST%20INFORMATION) Jumia hosted a conference call to discuss its Q2 2025 results at 8:30 AM ET on August 7, 2025, with access details and a live webcast available on its Investor Relations Website - Jumia hosted a conference call to discuss its Q2 2025 results at 8:30 AM ET on August 7, 2025[21](index=21&type=chunk) - Access details for the conference call, including US, International, and UK dial-in numbers and an entry code, were provided[21](index=21&type=chunk) - A live webcast was available on Jumia's Investor Relations Website, and a replay was accessible until August 21, 2025[21](index=21&type=chunk)[22](index=22&type=chunk)