The following is a summary of the Jumia Technologies AG (JMIA) Q2 2024 Earnings Call Transcript:

Financial Performance:

• Jumia reported a revenue of $36.5 million in Q2 2024, a decrease of 17.2% year-over-year but an increase of 15% on a constant currency basis.

• Gross profit was $21.6 million, down 5.7% year-over-year, yet up 34.5% on a constant currency basis. Gross profit margin as a percentage of GMV was stable at 12.7%.

• Adjusted EBITDA loss improved to $16.3 million, showing a better performance compared to previous losses. Loss before income tax was reduced by 27.1% year-over-year to $22.5 million, evidence of cost reduction initiatives taking effect.

Business Progress:

• Jumia expanded market reach in countries like Ghana, where GMV grew by 116.4% year-over-year in constant currency and 72.1% in USD.

• Continued efforts to enhance customer acquisition with improvements in marketing efficiency led to a 262 basis point improvement in 90-day repurchase rates for new customers in Q1 '24.

• Despite currency devaluations in Nigeria and Egypt, the company demonstrated resilience and capability to grow GMV in constant currencies by 35% year-over-year.

Opportunities:

• Jumia's asset-light logistics network expansion, with new warehouses opened in Nigeria and Morocco and planned in Egypt and Cote d'Ivoire, positions the company well for efficiency gains and growth at scale.

• JumiaPay's expansion, especially with new BNPL partnerships, positions the company to capitalize on increasing digital payment trends and e-commerce growth in Africa.

Risks:

• The currency devaluation in Nigeria and Egypt impacted top-line revenue, indicating susceptibility to economic fluctuations in key markets.

• Lower corporate sales in Egypt impacted revenue and GMV, suggesting reliance on a few large accounts which could pose risks if these relationships fluctuate.

More details: Jumia Technologies IR

Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.