The following is a summary of the Jumia Technologies AG (JMIA) Q3 2024 Earnings Call Transcript:
Financial Performance:
Jumia reported Q3 2024 revenue of $36.4 million, down 13% year-over-year but up 9% on a constant currency basis.
Gross profit was $22.9 million, up 3% year-over-year or 30% on a constant currency basis.
Adjusted EBITDA loss increased to $17 million in Q3 '24 from a loss of $14.8 million in Q3 '23.Loss before income tax improved to $17.8 million compared to a loss of $21.4 million a year ago.
Business Progress:
Finalized an ATM offering with $94.7 million net proceeds, enhancing liquidity to $164.6 million.
Exiting non-core markets in South Africa and Tunisia to concentrate on more promising markets.
Expanded footprint upcountry in markets such as Nigeria and continuing efforts to boost the supply chain.
Invested in technology for enhancing platform security and efficiency.
Focused on increasing efficiency by consolidating fulfillment centers into centralized warehouses in key markets.
Opportunities:
Focusing on core markets with high demand potential, ending operations in countries with less potential like South Africa and Tunisia.
With new investments and strategic exits, Jumia aims to enhance efficiency and customer value proposition across remaining markets.
Risks:
Anticipate short-term impacts from market exits, including employee termination and lease termination costs.
Operations affected by currency devaluations in Nigeria and Egypt, impacting revenue and financial figures.
Continued operational disruptions anticipated as supply resources temporarily adjust to new fulfillment centers.
Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.
