Jumia Technologies AG (JMIA) Q4 2024 Earnings Call Highlights: Navigating Challenges with …
-
Revenue: $45.7 million, down 23% year over year in USD, and down 2% in constant currency.
-
Gross Profit: $23.9 million, down 36% year over year, or 18% on a constant currency basis.
-
Adjusted EBITDA: Negative $13.7 million compared to negative $6 million in Q4 2023.
-
Loss Before Income Tax: $17.6 million, a 3% increase year over year or 19% decline on a constant currency basis.
-
Cash Burn: $30.6 million compared to $26.8 million in Q4 2023.
-
Quarterly Active Customers: Increased by 8% year over year.
-
Physical Goods Orders: Grew by 18% year over year.
-
Marketing Spend: Reduced from $6.2 million in Q4 2023 to $4.8 million in Q4 2024.
-
Net Promoter Score: Increased to 63, a 17-point year over year increase.
-
90 Days Repurchase Rate: Increased by 375 basis points year over year.
-
Liquidity Position: $133.9 million, including $55.4 million in cash and cash equivalents.
Release Date: February 20, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
-
Jumia Technologies AG (NYSE:JMIA) achieved an 18% year-over-year growth in physical goods orders in Q4 2024, indicating increased demand on their platform.
-
Quarterly active customers increased by 8%, showcasing the strength and value of Jumia’s platform.
-
The company successfully reduced marketing spend from $6.2 million in Q4 2023 to $4.8 million in Q4 2024, demonstrating cost-efficient marketing strategies.
-
Jumia’s Black Friday sales event was a key growth driver, with strong performance in priority categories such as electronics and phones.
-
The company improved its net promoter score to 63, a 17-point increase year-over-year, reflecting stronger customer loyalty and satisfaction.
-
Jumia Technologies AG (NYSE:JMIA) experienced a 12% decline in GMV in USD terms, although it grew 13% year-over-year in constant currency, affected by currency devaluations and reduced corporate sales.
-
Revenue for Q4 2024 was $45.7 million, down 23% year-over-year in USD, driven by lower corporate sales in Egypt.
-
Adjusted EBITDA was negative $13.7 million, compared to negative $6 million in Q4 2023, indicating increased operational losses.
-
Cash burn for the quarter was $30.6 million, up from $26.8 million in Q4 2023, partly due to one-time termination costs and increased working capital.
-
The average order value for physical goods orders decreased from $45.5 in Q4 2023 to $35.5 in Q4 2024, driven by currency variations and lower corporate sales.
Q: Can you provide more color on the trends you’re observing in Q1 2025? A: Francis Dufay, CEO of Jumia Technologies AG, noted that they are seeing continued progress in growth and usage, which supports their guidance of 15% to 20% year-over-year growth. They are also observing strong execution and discipline on the cost side, which gives them confidence in their net loss guidance based on improved efficiency and cost management.
