African e-commerce company Jumia reduced its losses in 2025 after pulling out of underperforming markets and cutting back significantly on cash spending.
The New York-listed firm, which owns Jumia Kenya, reported a pre-tax loss of $60.1 million (about Ksh.
7.75 billion), a 38 percent improvement compared to the previous year. The narrower loss came as both revenue and transaction volumes picked up strongly toward the end of the year.
Total revenue for the year rose 13 percent to $188.9 million (Ksh.24.37 billion), while gross merchandise value (GMV), the total value of goods sold on its platform, increased 14 percent to $818.6 million (Ksh.105.60 billion).
The growth reflects stronger activity across the company’s remaining markets after it streamlined operations. The group exited South Africa and Tunisia in late 2024 and later shut down its Algeria business in February 2026.
Performance accelerated in the fourth quarter. During the final three months of the year, GMV surged 36 percent to $279.5 million (Sh36.06 billion), while revenue climbed 34 percent to $61.4 million (Ksh.7.92 billion).
As sales volumes increased, losses reduced significantly. Operating losses in the fourth quarter fell 39 percent to $10.6 million (Sh1.37 billion), and adjusted EBITDA losses dropped 47 percent to $7.3 million (Ksh.0.94 billion). The improvement was driven by stronger marketplace activity, improved logistics efficiency and tighter cost controls.
Cash flow also showed marked progress, where net cash used in operating activities fell sharply to $1.7 million (Ksh.0.22 billion) in the fourth quarter, compared to $26.5 million (Ksh.3.42 billion) a year earlier.
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For the full year, operating cash outflows improved to $47.9 million (Ksh.6.18 billion), down from $57.2 million (Sh7.38 billion) in 2024. The company ended 2025 with $77.8 million (Ksh.10.04 billion) in liquidity, lower than the previous year when it had raised additional funds through an equity issue.
Orders for physical goods rose 32 percent in the fourth quarter, while the number of active customers increased 26 percent, indicating stronger user retention and activity.
Nigeria remained the company’s largest growth driver, with orders up 33 percent and GMV jumping 50 percent.
Kenya on the other hand, has continued to operate within Jumia’s East Africa cluster, although the company no longer publishes country-specific financial results.
The decision to exit certain markets was to focus on stronger-performing countries.
Algeria accounted for about 2 percent of total GMV in 2025, or roughly $16.4 million (Ksh.2.12 billion). Management said reducing its geographic footprint would improve efficiency and allow more focus on high-growth markets.
Cost discipline remained evident throughout the year. Fulfillment costs per order declined 12 percent to $1.97 (Ksh.254), reflecting better logistics rates and improved productivity. Technology and content expenses also fell, while staff numbers dropped 7 percent to just over 2,010 employees as operations were streamlined.
The company projects an adjusted EBITDA loss of between $25 million and $30 million (Ksh.3.23 billion to Ksh.3.87 billion) next year.
It aims to break even at the adjusted EBITDA level and generate positive cash flow by the fourth quarter of 2026, with full-year profitability targeted for 2027 as its leaner structure and improving efficiency continue to take effect.
