Jumia, Africa’s eCommerce platform, just shared its Q1 2025 financials, and while the numbers look rough on the surface, there are some promising signs. Revenue dropped by 26% to $36.3 million, mostly because of a slump in corporate sales in Egypt and currency troubles in key markets.
The company’s operating loss widened to $18.7 million, and adjusted EBITDA loss hit $15.7 million, but the good news is that its loss before inc0me tax improved significantly, dropping to $16.5 million from over $39 million the year before. This big jump was mainly due to a sharp reduction in finance costs, thanks to more stable exchange rates in Nigeria and Egypt compared to last year.
Operationally, Jumia is seeing real momentum. Orders for physical goods jumped by 21% — the highest in two years — while active customers rose by 15%. Their move into rural areas is paying off, and Nigeria, one of its biggest markets, saw orders climb by 22%.
JumiaPay is also holding steady. The platform processed 2 million transactions, and digital payments are on the rise, covering 28% of total sales. The company’s logistics are becoming more efficient too, with fulfillment costs per order falling by 14%. Marketing spend was also down by 17% thanks to a smarter strategy focusing on organic channels and CRM.
Even with all this, Jumia’s share price slipped by nearly 5%, settling at $2.40. Investors seem cautious, likely due to Africa’s ongoing economic uncertainties. Still, Jumia has raised its guidance for the rest of 2025, projecting GMV to hit up to $830 million and orders to grow by as much as 25%.