CHART: Jumia posts $20 million loss in Q2 2024 as currency crisis bites
The company is under pressure from a challenging macroeconomic environment marked by significant currency devaluations in key markets.
- Jumia's Q2 2024 revenue dropped 17% YoY, while Gross merchandise value (GMV) fell 5% YoY.
- Currency devaluations in key markets significantly impacted Jumia's financial results.
- JumiaPay transactions grew 30.8% year-over-year to 1.9 million.
African e-commerce giant Jumia has reported a mixed bag of results for Q2 2024, reflecting the complexities of operating in a dynamic and challenging market.
While the company's topline figures, revenue and gross merchandise value (GMV), declined year-over-year in reported currency, a deeper analysis reveals underlying strength.
Revenue slipped 17% year-over-year to $36.5 million. This was a similar case for its GMV, the total amount customers paid before deductions like fees, discounts, or returns, which dropped 5% YoY from $181 million in Q1 to $170.1 million in Q2.
However, in constant currency terms, revenue surged 15% and GMV climbed 35%, reflecting a company under pressure from a challenging macroeconomic environment marked by significant currency devaluations in key markets.
