Jumia Technologies (JMIA) Q2 2024 earnings summary

Executive summary

• Orders grew 6.9% year-over-year and 4.9% sequentially, with GMV up 35% year-over-year in constant currency, despite a 5% decline in USD due to currency devaluations in Nigeria and Egypt.

• Revenue declined 17.2% year-over-year to $36.5 million, but increased 15% in constant currency, reflecting significant FX headwinds.

• Cash burn reduced to $8.7 million in Q2 2024, down 78% year-over-year and 55% quarter-over-quarter, driven by disciplined cost management.

• Loss before income tax decreased to $22.5 million from $30.9 million a year ago and $39.6 million last quarter; adjusted EBITDA loss improved to $16.3 million.

• Active customers improved 6% quarter-over-quarter and were flat year-over-year, with enhanced marketing efficiency and a focus on higher-value customers.

Financial highlights

• GMV was $170.1 million, down 5% year-over-year in USD but up 35% in constant currency.

• Marketplace revenue was $20 million, down 10% year-over-year, but up 27% in constant currency; first-party revenue was $16.1 million, down 24%.

• Gross profit was $21.6 million, down 6% year-over-year, or up 35% in constant currency; gross margin stable at 12.7%-13%.

• Fulfillment expenses were $9.3 million, down 12% year-over-year; fulfillment expense per order decreased 16% to $2.2.

• Sales and advertising expenses were $4.4 million, down 19% year-over-year; S&A per order dropped to $0.9.

Outlook and guidance

• FY 2024 guidance reaffirmed, aiming to further reduce losses and cash utilization compared to 2023.

• Projects increases in both orders and GMV for 2024, excluding FX impacts; guidance subject to political, economic, and supply chain risks.