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Why Jumia Hits $20.1m Loss In Q3 2024 -

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News

Why Jumia Hits $20.1m Loss In Q3 2024

Why Jumia hits $20.1m Loss in Q3 2024

E-commerce giant Jumia reported $20.1 million in operating losses in the third quarter of 2024 as weak macroeconomic conditions in key markets continued to pressure revenues.

THECONSCIENCENG reports that its operating losses rose by 10% compared to the previous year.

Jumia’s stock ($JMIA) is trading at $4.16 at the time of this report. Its market cap has taken a hit to $501.49 million, down from the $1.32 billion it reached in July 2024 off the back of renewed investor confidence.

 

The company’s Q3 2024 revenue fell to $36.4 million, compared to $45 million in the previous year. Its gross merchandise value (GMV), which accounts for total sales, was slightly down to $162.9 million.

Jumia said it made “major operational steps” including improving its logistics network and opening a new warehouse in Lagos, Nigeria in June 2024.

“While these changes negatively impacted operations and expenses in the third quarter, we believe that these efforts position us well to scale and drive profitable growth,” CEO Francis Dufay said.

Jam theconscienceng

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