Jumia Technologies AG Q4 2025 Jumia Technologies AG Earnings Call | AllMind AI Earnings | AllMind AI
Q4 2025 Jumia Technologies AG Earnings Call
Operator: Good morning, ladies and gentlemen. Thank you for standing by. Welcome to Jumia's Q4 2025 Results Conference Call. At this time, all participants are in a listen-only mode. After the management's prepared remarks, there will be a question-and-answer session. I would now like to turn the call over to Ignatius Njoku, Head of Investor Relations for Jumia. Please go ahead.
Operator: Good morning, ladies and gentlemen. Thank you for standing by. Welcome to Jumia's Q4 2025 Results Conference Call. At this time, all participants are in a listen-only mode. After the management's prepared remarks, there will be a question-and-answer session. I would now like to turn the call over to Ignatius Njoku, Head of Investor Relations for Jumia. Please go ahead.
Speaker #2: And remarks, there will be a after the management's prepared question-and-answer session. I would now like to turn the call over to Ignatius Njoku, Head of Investor ahead.
Speaker #2: Thank Relations for Jumia, please go you for joining us today for our fourth earnings call. With us today are Francis Dufay, CEO of Jumia, and Antoine you.
Ignatius Njoku: Thank you. Good morning, everyone. Thank you for joining us today for our Q4 2025 earnings call. With us today are Francis Dufay, CEO of Jumia, and Antoine Maillet, Executive Vice President, Finance and Operations. We would like to remind you that our discussions today will include forward-looking statements. Actual results may differ materially from those indicated in the forward-looking statements. Moreover, these forward-looking statements may speak only to our expectations as of today. We undertake no obligation to publicly update or revise these statements. For a discussion of some of the risk factors that could cause actual results to differ from the forward-looking statements expressed today, please see the risk factors section of our annual report on Form 20-F as published on 7 March 2025, as well as our other submissions with the SEC.
Ignatius Njoku: Thank you. Good morning, everyone. Thank you for joining us today for our Q4 2025 earnings call. With us today are Francis Dufay, CEO of Jumia, and Antoine Maillet, Executive Vice President, Finance and Operations. We would like to remind you that our discussions today will include forward-looking statements. Actual results may differ materially from those indicated in the forward-looking statements. Moreover, these forward-looking statements may speak only to our expectations as of today. We undertake no obligation to publicly update or revise these statements. For a discussion of some of the risk factors that could cause actual results to differ from the forward-looking statements expressed today, please see the risk factors section of our annual report on Form 20-F as published on 7 March 2025, as well as our other submissions with the SEC.
Speaker #2: remind you that our discussions today Maillet, Executive Vice President, Finance will include forward-looking statements. Actual results may differ materially from those indicated in the forward-looking statements.
Speaker #2: Moreover, these forward-looking statements may speak only to our expectations as of obligation to publicly update or quarter 2025 and Operations. Good morning, everyone. discussion of some of the risk factors that We would like to Thank from the forward-looking statements could cause actual results to differ today.
Speaker #2: as published on March 7, 2025, as well as our revise these statements. call, we will refer to certain financial We undertake no For SEC.
Speaker #2: other submissions with the measures not reported in accordance In addition, on this with IFRS. You can non-IFRS financial measures to the corresponding IFRS financial measures in our earnings press that, I'll hand over to expressed today, please see the risk our Investor Relations website.
Ignatius Njoku: In addition, on this call, we will refer to certain financial measures not reported in accordance with IFRS. You can find reconciliations of these non-IFRS financial measures to the corresponding IFRS financial measures in our earnings press release, which is available on our investor relations website. With that, I'll hand over to Francis.
Ignatius Njoku: In addition, on this call, we will refer to certain financial measures not reported in accordance with IFRS. You can find reconciliations of these non-IFRS financial measures to the corresponding IFRS financial measures in our earnings press release, which is available on our investor relations website. With that, I'll hand over to Francis.
Speaker #2: find reconciliations of these
Speaker #2: With
Speaker #2: Francis. Good morning, everyone, and thank release.
Francis Dufay: Good morning, everyone, and thank you for joining Jumia's Fourth Quarter and Full Year 2025 Earnings Call. 2025 was the year we demonstrated that we can turn the playbook we began building several years ago into tangible results. Over the past few years, Jumia has been building an e-commerce model designed specifically for Africa, adapted to the unique structural, logistical, and consumer realities of our markets. In 2025, we proved that this model positions us to scale with the right economics. As we shared at our investor day in November, the question was never whether Africa is ready for e-commerce. Demand has always existed, and much of it remains undersolved. The real question was: when e-commerce would be ready for Africa? We believe that Jumia has now answered that question. This foundation drove our strong operating momentum in the fourth quarter.
Francis Dufay: Good morning, everyone, and thank you for joining Jumia's Fourth Quarter and Full Year 2025 Earnings Call. 2025 was the year we demonstrated that we can turn the playbook we began building several years ago into tangible results. Over the past few years, Jumia has been building an e-commerce model designed specifically for Africa, adapted to the unique structural, logistical, and consumer realities of our markets. In 2025, we proved that this model positions us to scale with the right economics. As we shared at our investor day in November, the question was never whether Africa is ready for e-commerce. Demand has always existed, and much of it remains undersolved. The real question was: when e-commerce would be ready for Africa? We believe that Jumia has now answered that question. This foundation drove our strong operating momentum in the fourth quarter.
Speaker #3: you for joining Jumia's fourth quarter and full year '25 earnings
Speaker #3: the year we demonstrated that we can turn the playbook we began building several years ago into tangible results. Over the past few years, Jumia has been building an e-commerce structural logistical and consumer Which is available on 2025, we proved realities of our markets.
Speaker #3: That this model positions us to scale with the right Investor Day in November. The question was never whether Africa is economics. As we shared at our Ready for E-commerce.
Speaker #3: Demand has Africa. always existed, and much of it The real question was, Adapted to the unique when e-commerce would be ready for Africa? We believe that Jumia has now answered that strong operating momentum in the fourth model designed specifically for quarter.
Speaker #3: question. profitability metrics continued to move in the right quarter. The foundation drove our direction. Adjusted EBITDA improved, cash burn was At the same time, meaningfully reduced, and the business absorbed higher volumes with increased efficiency.
Francis Dufay: Physical Goods GMV grew 38% year-over-year, adjusted for perimeter effects. Growth accelerated as the quarter progressed, reflecting strengthening demand and improved execution across our markets, with seasonal events including Black Friday contributing to volume acceleration during Q4. At the same time, profitability metrics continued to move in the right direction. Adjusted EBITDA improved, cash burn was meaningfully reduced, and the business absorbed higher volumes with increased efficiency. Based on the progress we made in 2025 and the momentum exiting the year, we remain focused on achieving our target of adjusted EBITDA break-even and positive cash flow in Q4 of 2026, and delivering full-year profitability and positive cash flow in 2027. Let me now walk you through the key highlights of the quarter. Usage trends remain strong across our platform.
Francis Dufay: Physical Goods GMV grew 38% year-over-year, adjusted for perimeter effects. Growth accelerated as the quarter progressed, reflecting strengthening demand and improved execution across our markets, with seasonal events including Black Friday contributing to volume acceleration during Q4. At the same time, profitability metrics continued to move in the right direction. Adjusted EBITDA improved, cash burn was meaningfully reduced, and the business absorbed higher volumes with increased efficiency. Based on the progress we made in 2025 and the momentum exiting the year, we remain focused on achieving our target of adjusted EBITDA break-even and positive cash flow in Q4 of 2026, and delivering full-year profitability and positive cash flow in 2027. Let me now walk you through the key highlights of the quarter. Usage trends remain strong across our platform.
Speaker #3: 38% year over year, adjusted for perimeter effects. In Physical goods GMV grew Growth accelerated as the quarter progressed, reflecting strengthening remains underserved. demand and improved execution contributing to volume acceleration during across our markets.
Speaker #3: Based on the progress we made in '25 and events, including Black Friday, we remain focused on achieving our target With seasonal of adjusted EBITDA breakeven and positive cash flow, in the the momentum exiting the year, delivering full year profitability and positive cash flow in fourth quarter of '26, and 2027.
Speaker #3: Let me now walk you through the key highlights of the quarter. Usage trends remain strong across our platform. Adjusted for perimeter effects, physical goods orders grew 32% year over year, driven by expanding geographic coverage improved assortment and sustained consumer demand.
Francis Dufay: Adjusted for perimeter effects, physical goods orders grew 32% year-over-year, driven by expanding geographic coverage, improved assortment, and sustained consumer demand. Our focus remains clearly on physical goods, which accounted for nearly all of total orders and GMV this quarter. Digital transactions through the Jumia Pay app now represent a residual share of our orders as we continue to prioritize transactions with stronger economics. Adjusting for perimeter effects, quarterly active customers increased 26% year-over-year, reflecting continued traction in both acquisition and retention. Repeat behavior continued to improve, with 46% of new customers from Q3 2025 making a repeat purchase within 90 days, up from 42% in Q3 2024. Demand was broad-based across electronics, phones, home and living, fashion, and beauty, and consistent across both countries, reflecting a similar quality of execution and inputs across our markets.
Francis Dufay: Adjusted for perimeter effects, physical goods orders grew 32% year-over-year, driven by expanding geographic coverage, improved assortment, and sustained consumer demand. Our focus remains clearly on physical goods, which accounted for nearly all of total orders and GMV this quarter. Digital transactions through the Jumia Pay app now represent a residual share of our orders as we continue to prioritize transactions with stronger economics. Adjusting for perimeter effects, quarterly active customers increased 26% year-over-year, reflecting continued traction in both acquisition and retention. Repeat behavior continued to improve, with 46% of new customers from Q3 2025 making a repeat purchase within 90 days, up from 42% in Q3 2024. Demand was broad-based across electronics, phones, home and living, fashion, and beauty, and consistent across both countries, reflecting a similar quality of execution and inputs across our markets.
Speaker #3: all of total orders and GMV this quarter. Digital now represent a residual share of our orders as we continue to prioritize transactions with stronger economics.
Speaker #3: Adjusting for transactions through the JumiaPay app, quarterly active customers increased 26% year over year, reflecting both acquisition and retention. Repeat behavior continued to improve, with 46% of new customers from Q3 '25 making a repeat purchase within 90 days in Q3 '24. Our focus remains clearly on making a repeat purchase within 90 days.
Speaker #3: Demand was broad-based across electronics, beauty, and consistent across both phones, home and living, fashion and days, up from 42% of execution and inputs effects, physical goods GMV grew countries.
Francis Dufay: Adjusted for perimeter effects, Physical Goods GMV grew 38% year-over-year in reported currency. Average order value for physical goods increased to $37 from $35 in Q4 2024, reflecting a mixed shift towards higher-value categories such as appliances. Revenue totaled $61.4 million, up 34% year-over-year, driven by higher usage and improved monetization. First-Party sales represented 49% of total revenue, supported by continued strength from international partnerships including Starlink in Nigeria and Kenya. Now turning to profitability. The progress made over the past three years continues to translate into measurable operating leverage. Cost improvements across general and administrative, technology, and fulfillment are structural. In addition, we renegotiated third-party logistics contracts and implemented increases in commissions and take rates across both countries in mid-January 2026, reflecting the scale of our platform and improved service levels delivered to vendors. These changes are consistent across markets and reflect stronger marketplace fundamentals.
Francis Dufay: Adjusted for perimeter effects, Physical Goods GMV grew 38% year-over-year in reported currency. Average order value for physical goods increased to $37 from $35 in Q4 2024, reflecting a mixed shift towards higher-value categories such as appliances. Revenue totaled $61.4 million, up 34% year-over-year, driven by higher usage and improved monetization. First-Party sales represented 49% of total revenue, supported by continued strength from international partnerships including Starlink in Nigeria and Kenya. Now turning to profitability. The progress made over the past three years continues to translate into measurable operating leverage. Cost improvements across general and administrative, technology, and fulfillment are structural. In addition, we renegotiated third-party logistics contracts and implemented increases in commissions and take rates across both countries in mid-January 2026, reflecting the scale of our platform and improved service levels delivered to vendors. These changes are consistent across markets and reflect stronger marketplace fundamentals.
Speaker #3: 38% year over year in reported currency. Average order value for physical goods Reflecting a similar quality '24, reflecting a mixed shift towards higher value categories such as across our appliances.
Speaker #3: Revenue million, up 34% year over year, driven by higher usage and improved increased to $37, from monetization. $35 in Q4 of total revenue, supported international partnerships including by continued strength from Starlink in Nigeria and Kenya.
Speaker #3: totaled $61.4 Now turning to profitability. The progress made over the past three years continues to translate into measurable operating leverage. Cost improvements across general and administrative, technology, and fulfillment are structural.
Speaker #3: First-party sales represented 49%. We renegotiated third-party logistics contracts and implemented increases in commissions and take rates across most countries in mid-January ’26. Improved service levels were delivered to fundamentals.
Speaker #3: Headcount declined 7% in '25 to approximately 2,010 employees. This is a vendors. reflecting the scale of our platform and more focused organization, built are consistent across markets and reflect stronger marketplace In addition, we These changes to support significantly higher volumes growth.
Francis Dufay: Headcount declined 7% in 2025 to approximately 2,010 employees. This is a more focused organization, built to support significantly higher volumes without proportional cost growth. Looking ahead, we are targeting a further reduction in headcount in 2026, primarily across technology and G&A, driven by continued efficiency initiatives and organizational streamlining. Fulfillment cost per order improved to $1.97, a 12% year-over-year reduction on a reported basis, reflecting productivity gains and economies of scale in fulfillment operations, increased call center automation, and improved logistics partner rates. Technology and content expenses declined 6% year-over-year, reflecting automation, platform simplification, and the benefit of renegotiated vendor agreements including cloud infrastructure. As a result, Adjusted EBITDA loss narrowed to $7.3 million from $13.3 million in the prior year quarter. Loss before income tax was $9.7 million, a 45% decrease year-over-year, or a 17% decline on a constant currency basis.
Francis Dufay: Headcount declined 7% in 2025 to approximately 2,010 employees. This is a more focused organization, built to support significantly higher volumes without proportional cost growth. Looking ahead, we are targeting a further reduction in headcount in 2026, primarily across technology and G&A, driven by continued efficiency initiatives and organizational streamlining. Fulfillment cost per order improved to $1.97, a 12% year-over-year reduction on a reported basis, reflecting productivity gains and economies of scale in fulfillment operations, increased call center automation, and improved logistics partner rates. Technology and content expenses declined 6% year-over-year, reflecting automation, platform simplification, and the benefit of renegotiated vendor agreements including cloud infrastructure. As a result, Adjusted EBITDA loss narrowed to $7.3 million from $13.3 million in the prior year quarter. Loss before income tax was $9.7 million, a 45% decrease year-over-year, or a 17% decline on a constant currency basis.
Speaker #3: Looking ahead, we are targeting a further reduction in headcount in '26, primarily across Technology and G&A, driven by continued efficiency initiatives and organizational streamlining.
Speaker #3: Fulfillment cost per order improved to $1.97, on a reported basis, reflecting productivity gains and economies of scale in fulfillment operations, increased call center automation, and improved logistics partner rates.
Speaker #3: Technology and content expenses declined 6% year over year, reflecting automation, platform simplification, and the benefit of a 12% year-over-year reduction in renegotiated vendor agreements, including cloud infrastructure.
Speaker #3: As a result, million, from $13.3 million in the prior year adjusted EBITDA loss narrowed to $7.3 quarter. Loss before income tax was $9.7 million, a year, or 17% decline on a constant currency basis.
Speaker #3: Quarterly cash burn 45% decrease year over 15.8 million in Q3 '25, reflecting tighter working capital management and improved operating efficiency. While we may continue to look opportunistically at current trajectory, we continue to financing options, based on our raising additional capital.
Francis Dufay: Quarterly cash burn declined to $4.7 million in Q4 2025, compared to $15.8 million in Q3 2025, reflecting tighter working capital management and improved operating efficiency. While we may continue to look opportunistically at financing options, based on our current trajectory, we continue to believe our existing liquidity is sufficient to reach profitability without raising additional capital. Turning to operational highlights and execution at the country level. Black Friday was a standout moment in our history. The event delivered strong volumes, higher customer engagement, and improved repeat behavior. Performance during and after the event highlighted a strengthening marketplace flywheel, as improvements in assortment, affordability, and reliability reinforced our value proposition for Africa's value-conscious customers. We also continue to strengthen our international sourcing capabilities, particularly in China.
Francis Dufay: Quarterly cash burn declined to $4.7 million in Q4 2025, compared to $15.8 million in Q3 2025, reflecting tighter working capital management and improved operating efficiency. While we may continue to look opportunistically at financing options, based on our current trajectory, we continue to believe our existing liquidity is sufficient to reach profitability without raising additional capital. Turning to operational highlights and execution at the country level. Black Friday was a standout moment in our history. The event delivered strong volumes, higher customer engagement, and improved repeat behavior. Performance during and after the event highlighted a strengthening marketplace flywheel, as improvements in assortment, affordability, and reliability reinforced our value proposition for Africa's value-conscious customers. We also continue to strengthen our international sourcing capabilities, particularly in China.
Speaker #3: sufficient to reach profitability without Turning to operational highlights and execution at level. Black Friday was a standout moment in delivered strong volumes, higher customer the country engagement, and improved repeat behavior.
Speaker #3: Performance during and after the event highlighted strengthening marketplace flywheel, as improvements in assortment, affordability, and reliability reinforced our value proposition for Africa's value-conscious customers.
Speaker #3: We also continue to strengthen our international sourcing capabilities, particularly in China. To support this priority, we recently opened a new office in Niwu, China, our second in the region and located within one of the world's our history.
Francis Dufay: To support this priority, we recently opened a new office in Yiwu, China, our second in the region and located within one of the world's largest wholesale commodity hubs. This expansion strengthens our direct sourcing capabilities and deepens collaboration with a broader set of international suppliers. This enables us to expand assortment at attractive price points and deliver competitively priced goods to African consumers at scale. In Q4, we saw 6.1 million growth items internationally, up over 80% year-over-year, reflecting the continued scaling of our Chinese vendor base and a more diversified supply pipeline. Operationally, we continue to extend our reach beyond major urban centers. Orders from up-country regions accounted for 61% of total volumes, up from 56% in the prior year quarter. These regions are delivering strong growth while benefiting from a cost structure that we believe scales efficiently with volume.
Francis Dufay: To support this priority, we recently opened a new office in Yiwu, China, our second in the region and located within one of the world's largest wholesale commodity hubs. This expansion strengthens our direct sourcing capabilities and deepens collaboration with a broader set of international suppliers. This enables us to expand assortment at attractive price points and deliver competitively priced goods to African consumers at scale. In Q4, we saw 6.1 million growth items internationally, up over 80% year-over-year, reflecting the continued scaling of our Chinese vendor base and a more diversified supply pipeline. Operationally, we continue to extend our reach beyond major urban centers. Orders from up-country regions accounted for 61% of total volumes, up from 56% in the prior year quarter. These regions are delivering strong growth while benefiting from a cost structure that we believe scales efficiently with volume.
Speaker #3: largest wholesale commodity strengthens our direct sourcing capabilities The event and deepens collaboration with a hubs. suppliers. broader set of international This enables us to expand assortment at This expansion attractive price points and deliver at scale.
Speaker #3: In the fourth quarter, we saw $6.1 million gross items internationally, up over 80% year over year, reflecting the continued scaling of our Chinese vendor base and competitive reprice goods to African consumers the more diversified supply pipeline.
Speaker #3: Operationally, we continued to extend our reach beyond major urban centers. Orders from up-country regions accounted for 61% of total in the prior year quarter.
Speaker #3: These regions are delivering strong growth while benefiting from a cost structure that we believe scales efficiently with clear customer pain points including limited product availability, and elevated prices from local traders.
Francis Dufay: In secondary cities, we are addressing clear customer pain points, including limited product availability and elevated prices from local traders. As a result, our value proposition continues to resonate strongly, driving both adoption and repeat purchase. Now at the country level. Nigeria delivered a standard quarter. Physical Goods GMV increased 50% year-over-year, while physical goods orders grew 33%, marking the fourth consecutive quarter of double-digit growth. Performance was broad-based across key categories and channels, with geographic expansion continuing to deliver results. Initiatives launched in the northern region in Q3 2025 are translating into steady active customer growth, while the south-south and southeast regions sustain strong performance. This momentum was supported by an improving macro environment in 2025, including greater currency stability as well as the positive effects of structural reforms.
Francis Dufay: In secondary cities, we are addressing clear customer pain points, including limited product availability and elevated prices from local traders. As a result, our value proposition continues to resonate strongly, driving both adoption and repeat purchase. Now at the country level. Nigeria delivered a standard quarter. Physical Goods GMV increased 50% year-over-year, while physical goods orders grew 33%, marking the fourth consecutive quarter of double-digit growth. Performance was broad-based across key categories and channels, with geographic expansion continuing to deliver results. Initiatives launched in the northern region in Q3 2025 are translating into steady active customer growth, while the south-south and southeast regions sustain strong performance. This momentum was supported by an improving macro environment in 2025, including greater currency stability as well as the positive effects of structural reforms.
Speaker #3: strongly, driving both adoption and repeat value proposition continues to resonate As a result, our country level. purchase. Nigeria delivered a standard Now, the quarter.
Speaker #3: Physical goods GMV increased volume. In secondary cities, we are addressing quarter of double-digit 50% year over year, while growth. Performance was broad-based, across key categories and channels, with geographic expansion continuing to 33%.
Speaker #3: deliver results. Initiatives launched in the northern translating into steady active customer Marking the fourth consecutive and Southeast regions sustain strong performance. including greater currency stability, macroenvironment in '25, region in the third quarter of '25 are This momentum was supported by an improving structural reforms.
Speaker #3: Kenya performed strongly, with physical goods orders up 50% GMV increasing 48% in reported currency. Performance was driven by strong shopping season with Black Friday delivering a clear deliver the strong performance with physical goods orders up 15% year over year and physical goods GMV increasing uplift.
Francis Dufay: Kenya performed strongly, with physical goods orders up 50% year-over-year and physical goods (GMV) increasing 48% in reported currency. Performance was driven by a strong shopping season, with Black Friday delivering a clear uplift. Ivory Coast delivered a strong performance, with physical goods orders up 15% year-over-year and physical goods (GMV) increasing 31% in reported currency, reflecting higher-value baskets and improved mix. Growth was driven by strong momentum in home and appliances as well as TVs, alongside solid performance in beauty. Ivory Coast remains a significant growth opportunity, and our market-leading position supports a continued focus on profitable growth. Egypt's performance this quarter validated the growth turnaround. Physical goods orders increased 23% year-over-year, while physical goods (GMV) grew 2% year-over-year, reflecting a return to positive growth. Excluding corporate sales, physical goods (GMV) grew 56% year-over-year, confirming a full market recovery.
Francis Dufay: Kenya performed strongly, with physical goods orders up 50% year-over-year and physical goods (GMV) increasing 48% in reported currency. Performance was driven by a strong shopping season, with Black Friday delivering a clear uplift. Ivory Coast delivered a strong performance, with physical goods orders up 15% year-over-year and physical goods (GMV) increasing 31% in reported currency, reflecting higher-value baskets and improved mix. Growth was driven by strong momentum in home and appliances as well as TVs, alongside solid performance in beauty. Ivory Coast remains a significant growth opportunity, and our market-leading position supports a continued focus on profitable growth. Egypt's performance this quarter validated the growth turnaround. Physical goods orders increased 23% year-over-year, while physical goods (GMV) grew 2% year-over-year, reflecting a return to positive growth. Excluding corporate sales, physical goods (GMV) grew 56% year-over-year, confirming a full market recovery.
Speaker #3: currency, reflecting higher value baskets and improved mix. Growth was driven by strong momentum in home and appliances as well as beauty. I have recourse to remain a significant growth TVs, alongside solid performance in supports a continued focus on profitable opportunity and our market-leading position growth.
Speaker #3: Egypt's I have recourse to turnaround. Physical goods orders, physical goods GMV, grew 2% year over year, reflecting a return to positive. Increased 23% year over year, while growth.
Speaker #3: Excluding corporate sales, physical goods GMV grew full market 56% year over year, confirming a recovery. Growth was broad-based across core categories, supported by an optimized mass market assortment and a strong Black Friday campaign that contributed over half of quarterly volume.
Francis Dufay: Growth was broad-based across core categories, supported by an optimized mass market assortment, and a strong Black Friday campaign that contributed over half of quarterly volume. The buy-now-pay-later offering continued to deepen, with record penetration in high-value categories driving stronger conversion and higher ticket sizes. Up-country expansion remained the tailwind, with volumes shifting further towards these areas. Ghana delivered an exceptional quarter, with physical goods orders up 82% year-over-year, and physical goods (GMV) increasing 124% in reported currency. This performance was supported by continued expansion of an increasingly loyal customer base, underscoring improving engagement and highlighting the scalability of our model in Ghana. Our other markets portfolio also performed well, collectively delivering 18% physical goods (GMV) growth, and a 16% increase in physical goods orders. In 26 February, we announced our decision to cease operations in Algeria, which represented approximately 2% of GMV in 2025.
Francis Dufay: Growth was broad-based across core categories, supported by an optimized mass market assortment, and a strong Black Friday campaign that contributed over half of quarterly volume. The buy-now-pay-later offering continued to deepen, with record penetration in high-value categories driving stronger conversion and higher ticket sizes. Up-country expansion remained the tailwind, with volumes shifting further towards these areas. Ghana delivered an exceptional quarter, with physical goods orders up 82% year-over-year, and physical goods (GMV) increasing 124% in reported currency. This performance was supported by continued expansion of an increasingly loyal customer base, underscoring improving engagement and highlighting the scalability of our model in Ghana. Our other markets portfolio also performed well, collectively delivering 18% physical goods (GMV) growth, and a 16% increase in physical goods orders. In 26 February, we announced our decision to cease operations in Algeria, which represented approximately 2% of GMV in 2025.
Speaker #3: The deepen, with record penetration in buy now, pay later offering continued to conversion and higher ticket sizes. Up-country expansion remained a tailwind, with volumes shifting further areas.
Speaker #3: Ghana delivered an exceptional quarter, with towards these physical goods order up 82% year over year and physical goods GMV increasing 124% in reported currency.
Speaker #3: This performance was supported by continued expansion of an increasingly underscoring improving engagement and highlighting the scalability of our model in Ghana. Our order markets portfolio also performed physical goods GMV growth and well, collectively delivering 18% orders.
Speaker #3: In February '26, we announced our loyal customer base, decision to cease operations in Algeria, which represented approximately 2% of GMV, and a 16% increase in physical goods. We expect a short-term impact from employee and lease exit costs, and assets liquidation in 2025.
Speaker #3: In February '26, we announced our loyal customer base, decision to cease operations in a 16% increase in physical goods Algeria, which represented approximately 2% of GMV in expect a short-term impact from employee and lease exit costs and 2025.
Francis Dufay: We expect a short-term impact from employee and lease exit costs and assets liquidation. Over the medium to long term, this decision simplifies our footprint and improves operational focus, allowing us to allocate resources more efficiently towards markets with stronger growth and profitability profiles. The competitive environment remained rational during the quarter, with competitive intensity continuing to normalize across our markets. We are seeing less aggressive behavior from certain global entrants in selected countries, including Nigeria, while our local market share continues to build. At the same time, we are seeing increased regulatory scrutiny on non-resident and cross-border platforms across several countries. Recent examples include the introduction of a new tax on the profits of non-resident e-commerce platforms in the Ivory Coast, as well as Ghana's VAT Amendment Act, which requires non-resident digital and e-commerce platforms supplying services into Ghana to register for VAT and comply with local VAT requirements.
Francis Dufay: We expect a short-term impact from employee and lease exit costs and assets liquidation. Over the medium to long term, this decision simplifies our footprint and improves operational focus, allowing us to allocate resources more efficiently towards markets with stronger growth and profitability profiles. The competitive environment remained rational during the quarter, with competitive intensity continuing to normalize across our markets. We are seeing less aggressive behavior from certain global entrants in selected countries, including Nigeria, while our local market share continues to build. At the same time, we are seeing increased regulatory scrutiny on non-resident and cross-border platforms across several countries. Recent examples include the introduction of a new tax on the profits of non-resident e-commerce platforms in the Ivory Coast, as well as Ghana's VAT Amendment Act, which requires non-resident digital and e-commerce platforms supplying services into Ghana to register for VAT and comply with local VAT requirements.
Speaker #3: decision simplifies our footprint and improves operational focus, allowing us to allocate resources more efficiently toward markets with stronger growth and profitability profiles. The competitive We environment remained rational during the quarter, with competitive intensity continuing to normalize across our markets.
Speaker #3: aggressive behavior from certain global entrants in selected countries, including Nigeria, while our local We are seeing less market share continues to build. At the same time, we are seeing scrutiny on non-resident and cross-border platforms increased regulatory Recent examples include the introduction across several countries.
Speaker #3: of a new tax on the profits of non-resident e-commerce platforms in the Ivory Coast, as well as Ghana's VAT amendment act which requires non-resident digital and e-commerce platforms supplying services into Ghana to register for VAT and comply with local regulatory developments contribute to a more level playing field.
Francis Dufay: These regulatory developments contribute to a more level playing field. As we begin 2026, our focus shifts from rebuilding to scaling. First, we plan to accelerate top-line growth across our existing markets. Up-country regions already represent the majority of our volumes, and we still see significant opportunity to deepen penetration by leveraging the infrastructure and partnerships already in place. Second, we will continue to strengthen our value proposition by expanding and refining our product assortment. Improving availability, affordability, and relevance remain central to driving higher conversion and order frequency. Third, marketing represents a meaningful growth lever in 2026 and an important contributor to operating leverage. After rebuilding and stabilizing our offline channels, we see significant opportunity to scale and optimize online marketing channels that remain under-penetrated, including CRM, paid online marketing, SEO, and affiliate partnerships.
Francis Dufay: These regulatory developments contribute to a more level playing field. As we begin 2026, our focus shifts from rebuilding to scaling. First, we plan to accelerate top-line growth across our existing markets. Up-country regions already represent the majority of our volumes, and we still see significant opportunity to deepen penetration by leveraging the infrastructure and partnerships already in place. Second, we will continue to strengthen our value proposition by expanding and refining our product assortment. Improving availability, affordability, and relevance remain central to driving higher conversion and order frequency. Third, marketing represents a meaningful growth lever in 2026 and an important contributor to operating leverage. After rebuilding and stabilizing our offline channels, we see significant opportunity to scale and optimize online marketing channels that remain under-penetrated, including CRM, paid online marketing, SEO, and affiliate partnerships.
Speaker #3: As we begin '26, our focus shifts VAT requirements. markets. Up-country regions This already represent the majority of our from rebuilding to volumes, and we still see significant opportunity to deepen penetration by in place.
Speaker #3: As we begin '26, our focus shifts VAT requirements. markets. Up-country regions This already represent the majority of our from rebuilding to volumes, and we still see significant opportunity to deepen penetration by accelerate top-line growth across our existing Second, we will continue to strengthen leveraging the infrastructure and partnerships already our value proposition by expanding and refining our product affordability, and relevance remain order frequency.
Speaker #3: Third, marketing scaling. represents a meaningful growth lever for First, we plan to '26 and an important assortment, improving availability, contributor to operating leverage. After rebuilding and stabilizing our offline channels, we see significant opportunity to scale and optimize online marketing channels that remain underpenetrated, marketing, SEO, and affiliate partnerships.
Speaker #3: increase, these channels benefit from improving efficiency and targeting, allowing us to support growth while maintaining including CRM, paid online As volumes attractive returns on investment.
Francis Dufay: As volumes increase, these channels benefit from improving efficiency and targeting, allowing us to support growth while maintaining attractive returns on investment. Fourth, 2026 is about operating leverage. With our current cost base, we believe the platform can support meaningfully higher volumes. As scale increases, we expect fulfillment, technology, and G&A costs to grow materially slower than revenue, driving margin expansion. We also intend to scale high-margin revenue streams. We believe that advertising remains under-penetrated and offers meaningful upside, while Jumia Delivery improves asset utilization and contributes incremental margin with limited additional costs. Taken together, these priorities reinforce our confidence that Jumia has entered its scaling phase, delivering stronger growth with improving profitability and having what we believe to be a clear path to break even. Let me close with this: Jumia operates in markets that remain significantly under-penetrated for e-commerce.
Francis Dufay: As volumes increase, these channels benefit from improving efficiency and targeting, allowing us to support growth while maintaining attractive returns on investment. Fourth, 2026 is about operating leverage. With our current cost base, we believe the platform can support meaningfully higher volumes. As scale increases, we expect fulfillment, technology, and G&A costs to grow materially slower than revenue, driving margin expansion. We also intend to scale high-margin revenue streams. We believe that advertising remains under-penetrated and offers meaningful upside, while Jumia Delivery improves asset utilization and contributes incremental margin with limited additional costs. Taken together, these priorities reinforce our confidence that Jumia has entered its scaling phase, delivering stronger growth with improving profitability and having what we believe to be a clear path to break even. Let me close with this: Jumia operates in markets that remain significantly under-penetrated for e-commerce.
Speaker #3: Fourth, '26 is about operating leverage. With our current cost base, we believe the platform can support meaningfully higher volumes. As scale increases, we expect fulfillment, technology, and G&A costs to grow materially slower than revenue, driving margin expansion.
Speaker #3: We also intend to scale high-margin revenue streams. We believe that advertising remains underpenetrated and offers meaningful upside, while Jumia Delivery improves asset utilization and contributes incremental margin with limited additional cost.
Speaker #3: Taken together, these priorities reinforce our confidence that Jumia phase. Delivering stronger growth with has entered its scaling improving profitability, and having what we believe to be a clear path to break even.
Speaker #3: Let me close with this: significantly underpenetrated for e-commerce. Through years of underground execution, we have built meaningful barriers to entry, a trusted consumer brand, and a playbook that demonstrably works.
Francis Dufay: Through years of underground execution, we have built meaningful barriers to entry, a trusted consumer brand, and a playbook that demonstrably works. We believe that we are now in the right markets, at the right time, and finally with the right product-market fit. Our Q4 results reinforce that conviction. With that, I will now turn the call over to Antoine to walk you through the financials in more details.
Francis Dufay: Through years of underground execution, we have built meaningful barriers to entry, a trusted consumer brand, and a playbook that demonstrably works. We believe that we are now in the right markets, at the right time, and finally with the right product-market fit. Our Q4 results reinforce that conviction. With that, I will now turn the call over to Antoine to walk you through the financials in more details.
Speaker #3: We believe that we are now in the right markets, at the right time, and finally with the right product market fit. Our four-quarter results reinforce that that, I will now turn the call over to Antoine to walk you through the financials in more conviction.
Speaker #3: We believe that we are now in the right markets, at the right time, and finally with the right product market fit. Our four-quarter results reinforce that that, I will now turn the call over to Antoine to walk you through the financials in more conviction.
Speaker #2: Thank you, Francis, and thank you everyone for joining us today. I will now walk you through our financial performance for the Starting with revenue, fourth
Ignatius Njoku: Thank you, Francis, and thank you everyone for joining us today. I will now walk you through our financial performance for the fourth quarter. Starting with revenue, fourth quarter revenue reached $61.4 million, up 34% year-over-year, or up 24% on a constant currency basis. Results reflect sustained consumer demand and consistent execution across our platform. Marketplace revenue for the fourth quarter totaled $31 million, up 36% year-over-year and up 24% on a constant currency basis. Third-party sales were $26.7 million, up 33% year-over-year or 22% on a constant currency basis. Growth was driven by solid performance in the marketplace, including healthy usage trends and higher effective take rates. Marketing and advertising revenue was $2.9 million, up 42% year-over-year or 33% on a constant currency basis. The improvement was driven by continued growth in sponsored products.
Antoine Maillet-Mezeray: Thank you, Francis, and thank you everyone for joining us today. I will now walk you through our financial performance for the fourth quarter. Starting with revenue, fourth quarter revenue reached $61.4 million, up 34% year-over-year, or up 24% on a constant currency basis. Results reflect sustained consumer demand and consistent execution across our platform. Marketplace revenue for the fourth quarter totaled $31 million, up 36% year-over-year and up 24% on a constant currency basis. Third-party sales were $26.7 million, up 33% year-over-year or 22% on a constant currency basis. Growth was driven by solid performance in the marketplace, including healthy usage trends and higher effective take rates. Marketing and advertising revenue was $2.9 million, up 42% year-over-year or 33% on a constant currency basis. The improvement was driven by continued growth in sponsored products.
Speaker #2: 61.4 million USD, up 34% year over year, or up 24% on a constant basis. Results reflect sustained With execution across our currency fourth quarter totaled detail.
Speaker #2: platform. 31 million USD, up Marketplace revenue for the 36% year over year, and up basis. Third-party sales were 26.7 million USD, up 24% on a constant currency 33% year over year, or 22% on a constant currency consumer demand and consistent basis.
Speaker #2: Driven by solid performance in the trends and higher effective take rates. Growth was $2.9 million, up. Marketing and advertising revenue was up 33% on a constant. Improvement was driven by continued growth in sponsored products.
Speaker #2: With advertising revenue, currently on a currency basis, representing roughly 1% of the GMV, we see meaningful opportunity to scale this channel. Value-added services revenue was $1.4 million, up 79% year over year, or up 64% year over year on a constant currency basis.
Ignatius Njoku: With advertising revenue currently representing roughly 1% of GMV, we see meaningful opportunity to scale this channel. Value-added services revenue was $1.4 million, up 79% year-over-year or up 64% year-over-year on a constant currency basis. Revenue from first-party sales was $29.1 million, up 33% year-over-year or up 23% year-over-year on a constant currency basis, driven by strong momentum with key international brands. Turning to gross profit, fourth quarter gross profit was $34.2 million, up 43% year-over-year or up 31% year-over-year on a constant currency basis. Gross profit margin as a percentage of GMV was 12.2% for the quarter, compared to 11.6% in the fourth quarter of 2024, reflecting continued progress in marketplace monetization.
Antoine Maillet-Mezeray: With advertising revenue currently representing roughly 1% of GMV, we see meaningful opportunity to scale this channel. Value-added services revenue was $1.4 million, up 79% year-over-year or up 64% year-over-year on a constant currency basis. Revenue from first-party sales was $29.1 million, up 33% year-over-year or up 23% year-over-year on a constant currency basis, driven by strong momentum with key international brands. Turning to gross profit, fourth quarter gross profit was $34.2 million, up 43% year-over-year or up 31% year-over-year on a constant currency basis. Gross profit margin as a percentage of GMV was 12.2% for the quarter, compared to 11.6% in the fourth quarter of 2024, reflecting continued progress in marketplace monetization.
Speaker #2: Revenue from first-party sales was $29.1 million, up 33% year over year, or on a constant currency basis, driven by strong momentum with up 23% year over year, key international brands.
Speaker #2: Turning to gross profit, fourth quarter gross profit was 34.2 million USD, up 43% year over year, or up 31% year over year, on a constant currency of GMV was 12.2% for the quarter, compared to 11.6% in the fourth quarter of 2024, reflecting continued progress in marketplace monetization.
Speaker #2: 2026, we As we enter implemented broad-based increases in commissions across most countries, leveraging the scale and improved basis. Gross profit margin as a percentage service levels we have built with vendors.
Ignatius Njoku: As we entered 2026, we implemented broad-based increases in commissions across most countries, leveraging the scale and improved service levels we have built with vendors. These changes are expected to support gross profit growth going forward. Now moving to expenses. We continue to see the benefits of our cost initiatives in Q4, with additional improvements expected to materialize over the coming quarters. Fulfillment expense for Q4 was $14.8 million, up 15% year-over-year and up 5% in constant currency, primarily due to higher volumes. Fulfillment expense per order, excluding JumiaPay app orders, was $1.97, down 12% year-over-year or down 20% year-over-year on a constant currency basis, reflecting productivity gains and economies of scale in fulfillment operations, increased call center automation, and improved logistics partner rates.
Antoine Maillet-Mezeray: As we entered 2026, we implemented broad-based increases in commissions across most countries, leveraging the scale and improved service levels we have built with vendors. These changes are expected to support gross profit growth going forward. Now moving to expenses. We continue to see the benefits of our cost initiatives in Q4, with additional improvements expected to materialize over the coming quarters. Fulfillment expense for Q4 was $14.8 million, up 15% year-over-year and up 5% in constant currency, primarily due to higher volumes. Fulfillment expense per order, excluding JumiaPay app orders, was $1.97, down 12% year-over-year or down 20% year-over-year on a constant currency basis, reflecting productivity gains and economies of scale in fulfillment operations, increased call center automation, and improved logistics partner rates.
Speaker #2: These changes are expected to support gross profit growth going benefits of our cost initiatives in the fourth expenses. We continue to see the expected to materialize over the coming forward.
Speaker #2: Fulfillment expense for the fourth quarter was $14.8 million, up 15% year over year, and up 5% in constant currency, primarily due to higher volumes.
Speaker #2: Fulfillment expense per order excluding Jumia Pay app orders was 1.97 Now moving to dollars, down 12% year over year, or down 20% basis, reflecting productivity gains and economies of scale in fulfillment operations, increased call center logistics partner year over year on a constant currency 2026, we also closed a new cycle renegotiations securing of third-party logistics rates.
Ignatius Njoku: In January 2026, we also closed a new cycle of third-party logistics renegotiations, securing meaningful cost savings that are expected to further support fulfillment efficiency and margin progression in 2026. Sales and advertising expense was $7 million for the fourth quarter, up 47% year-over-year and up 39% in constant currency. The increase reflects targeted investment in customer acquisition, particularly across high ROI online channels, supporting efficient top-line growth. Technology and content expense was $9.4 million for the fourth quarter, representing a decrease of 6% year-over-year or a decrease of 8% on a constant currency basis, driven primarily by continued headcount optimization and ongoing renegotiated vendor contracts. Fourth quarter G&A expense, excluding share-based payment expense, was $13 million, up 1% year-over-year and down 3% on a constant currency basis.
Antoine Maillet-Mezeray: In January 2026, we also closed a new cycle of third-party logistics renegotiations, securing meaningful cost savings that are expected to further support fulfillment efficiency and margin progression in 2026. Sales and advertising expense was $7 million for the fourth quarter, up 47% year-over-year and up 39% in constant currency. The increase reflects targeted investment in customer acquisition, particularly across high ROI online channels, supporting efficient top-line growth. Technology and content expense was $9.4 million for the fourth quarter, representing a decrease of 6% year-over-year or a decrease of 8% on a constant currency basis, driven primarily by continued headcount optimization and ongoing renegotiated vendor contracts. Fourth quarter G&A expense, excluding share-based payment expense, was $13 million, up 1% year-over-year and down 3% on a constant currency basis.
Speaker #2: further support fulfillment efficiency and margin progression in 2026. Sales and advertising expense was 7 million USD for the fourth quarter, up 47% year over year, and up In January 39% in constant investment in customer currency.
Speaker #2: Acquisition, particularly across IROI online channels, supported efficient top-line growth. Technology and content expense was $9.4 million for the fourth quarter. The increase reflects targeted year-over-year growth, or a decrease of 8% on a constant currency basis, driven primarily by continued headcount optimization and ongoing renegotiated vendor contracts.
Speaker #2: Fourth quarter G&A expense, excluding share-based quarter, representing a decrease of 6% payment expense, was 13 million USD, up 1% year over year, and down 3% on a and administrative expense, excluding share-based compensation expense, decreased by 18% constant currency basis.
Ignatius Njoku: Staff costs, within general and administrative expense, excluding share-based compensation expense, decreased by 18% to $8.2 million. The fourth quarter of 2025 included a tax benefit of $4.3 million, compared to $8.4 million tax benefit in the fourth quarter of 2024. Turning to profitability, Adjusted EBITDA for the quarter was -$7.3 million or -$10.2 million on a constant currency basis. Loss before income tax was $9.7 million, a 45% decrease year-over-year or 17% decline on a constant currency basis. Turning to the balance sheet and cash flow, we ended the fourth quarter with a liquidity position of $77.8 million, including $76.7 million in cash and cash equivalents and $1.2 million in term deposit and other financial assets. Our liquidity position decreased by $4.7 million in Q4 2025, compared to a decrease of $13.6 million in Q4 2024.
Antoine Maillet-Mezeray: Staff costs, within general and administrative expense, excluding share-based compensation expense, decreased by 18% to $8.2 million. The fourth quarter of 2025 included a tax benefit of $4.3 million, compared to $8.4 million tax benefit in the fourth quarter of 2024. Turning to profitability, Adjusted EBITDA for the quarter was -$7.3 million or -$10.2 million on a constant currency basis. Loss before income tax was $9.7 million, a 45% decrease year-over-year or 17% decline on a constant currency basis. Turning to the balance sheet and cash flow, we ended the fourth quarter with a liquidity position of $77.8 million, including $76.7 million in cash and cash equivalents and $1.2 million in term deposit and other financial assets. Our liquidity position decreased by $4.7 million in Q4 2025, compared to a decrease of $13.6 million in Q4 2024.
Speaker #2: 2025 included a tax benefit USD. of 4.3 million The fourth quarter of quarter of Turning to profitability, USD, compared to adjusted EBITDA for the quarter was Staff cost, within general negative 7.3 million, or negative 10.2 million 8.4 million tax benefits in the fourth on a constant currency basis.
Speaker #2: Loss before income tax was 9.7 million, a 45% decrease 2024. basis. Turning to the balance sheet and cash 17% decline on a constant currency fourth quarter with a liquidity position USD, including year over year, or flow, we ended the 76.7 million in cash and cash equivalents and 1.2 million in term deposit and other financial assets.
Speaker #2: of 77.8 million Our liquidity position decreased by 4.7 million USD in Q4 25, compared to a decrease of 13.6 million in Q4 24, net cash flow used in operating activities was 1.7 million in the quarter, including a positive working cap impact of 9.6 million.
Ignatius Njoku: Net cash flow used in operating activities was $1.7 million in the quarter, including a positive working cap impact of $9.6 million. The improvement reflects the continued strengthening of our marketplace flywheel, driven by higher volumes, improved payment flows, and stronger bargaining power with large third-party accounts. CapEx in Q4 2025 was $1.7 million, compared to $1.8 million in the fourth quarter of 2024, primarily reflecting investments in supply chain equipment ahead of the end of the year season. In summary, we delivered another quarter of solid execution and strong top-line growth while continuing to improve cost efficiency. Progress on structural cost reductions, automation, and cash discipline reinforces our confidence in meeting our near-term objectives and moving closer to profitability. Looking ahead, we remain focused on operational discipline, margin expansion, and prudent and informed capital allocation, positioning Jumia for sustainable growth and long-term value creation.
Antoine Maillet-Mezeray: Net cash flow used in operating activities was $1.7 million in the quarter, including a positive working cap impact of $9.6 million. The improvement reflects the continued strengthening of our marketplace flywheel, driven by higher volumes, improved payment flows, and stronger bargaining power with large third-party accounts. CapEx in Q4 2025 was $1.7 million, compared to $1.8 million in the fourth quarter of 2024, primarily reflecting investments in supply chain equipment ahead of the end of the year season. In summary, we delivered another quarter of solid execution and strong top-line growth while continuing to improve cost efficiency. Progress on structural cost reductions, automation, and cash discipline reinforces our confidence in meeting our near-term objectives and moving closer to profitability. Looking ahead, we remain focused on operational discipline, margin expansion, and prudent and informed capital allocation, positioning Jumia for sustainable growth and long-term value creation.
Speaker #2: The improvement reflects the continued strengthening of our marketplace flywheel, driven by higher volumes, improved payment flows, and stronger bargaining power with large third-party accounts.
Speaker #2: CapEx in Q4 25 was 1.7 million USD, compared to 2024, primarily 1.8 million in the fourth quarter of reflecting investments in supply chain equipment ahead of the end of the year season.
Speaker #2: In summary, we delivered another quarter of growth while continuing to improve cost efficiency. Progress on structural cost reductions, automation, and cash discipline, as well as solid execution and strong top-line, reinforces our confidence in meeting our near-term objectives and moving closer to profitability.
Speaker #2: Looking ahead, we remain focused on operational discipline, margin expansion, and prudent, informed capital allocation—positioning Jumia for sustainable growth and long-term value creation.
Speaker #2: I'll now turn the call back over to Francis for a discussion of our updated guidance.
Ignatius Njoku: I'll now turn the call back over to Francis for a discussion of our updated guidance.
Antoine Maillet-Mezeray: I'll now turn the call back over to Francis for a discussion of our updated guidance.
Speaker #1: Thanks, Antoine. Let me now turn to our expectations for '26. As we enter the next phase of scaling, we are refining how we frame profitability.
Francis Dufay: Thanks, Antoine. Let me now turn to our expectations for 2026. As we enter the next phase of scaling, we are refining how we frame profitability. Given our increasing focus on operating leverage and the underlying performance of the business, we believe Adjusted EBITDA is the most appropriate metric to assess progress towards profitability. It provides a clearer view of operating performance and unit economics as non-operating items and non-cash charges become less representative of the business trajectory. Importantly, this does not change our underlying profitability objectives, and we believe we remain on track to achieve Adjusted EBITDA break-even and positive cash flow in the fourth quarter of 2026, and delivering full-year profitability and positive cash flow in 2027. With that context in mind, our focus for 2026 remains on accelerating growth, driving further operating efficiency, and continuing our progress towards profitability.
Francis Dufay: Thanks, Antoine. Let me now turn to our expectations for 2026. As we enter the next phase of scaling, we are refining how we frame profitability. Given our increasing focus on operating leverage and the underlying performance of the business, we believe Adjusted EBITDA is the most appropriate metric to assess progress towards profitability. It provides a clearer view of operating performance and unit economics as non-operating items and non-cash charges become less representative of the business trajectory. Importantly, this does not change our underlying profitability objectives, and we believe we remain on track to achieve Adjusted EBITDA break-even and positive cash flow in the fourth quarter of 2026, and delivering full-year profitability and positive cash flow in 2027. With that context in mind, our focus for 2026 remains on accelerating growth, driving further operating efficiency, and continuing our progress towards profitability.
Speaker #1: our increasing focus on operating leverage, and the underlying performance of the business, we believe Given adjusted EBITDA is the most appropriate metric to assess progress towards profitability.
Speaker #1: It provides a clearer view of operating performance and new economics, as non-operating items and non-cash charges become trajectory. less representative of the business Importantly, this does not change our underlying profitability objectives, and we believe we remain on track to achieve adjusted EBITDA breakeven and positive cash flow in the fourth quarter delivering full year profitability and positive cash flow in of '26, and 2027.
Speaker #1: With that context in mind, our focus for '26 remains on accelerating growth, driving further operating efficiency, and continuing our progress towards profitability. We are seeing encouraging trends early in the year, which give us confidence in establishing our full year 2026 outlook.
Francis Dufay: We are seeing encouraging trends early in the year, which give us confidence in establishing our full-year 2026 outlook. For the full year of 2026, we anticipate GMV to grow between 27% and 32% year-over-year, adjusted for parameter effects. On profitability, we expect adjusted EBITDA to be in the range of negative $25 million to negative $30 million. We confirm our strategic goal to achieve break-even on an adjusted EBITDA basis and positive cash flow in Q4 of 2026, and to deliver full-year profitability and positive cash flow in 2027. Looking specifically at Q1, GMV is projected to grow between 27% and 32% year-over-year, adjusted for parameter effects, and we expect higher cash outflows in Q1, reflecting typical seasonality and the timing of annual contract renewals for technology and insurance.
Francis Dufay: We are seeing encouraging trends early in the year, which give us confidence in establishing our full-year 2026 outlook. For the full year of 2026, we anticipate GMV to grow between 27% and 32% year-over-year, adjusted for parameter effects. On profitability, we expect adjusted EBITDA to be in the range of negative $25 million to negative $30 million. We confirm our strategic goal to achieve break-even on an adjusted EBITDA basis and positive cash flow in Q4 of 2026, and to deliver full-year profitability and positive cash flow in 2027. Looking specifically at Q1, GMV is projected to grow between 27% and 32% year-over-year, adjusted for parameter effects, and we expect higher cash outflows in Q1, reflecting typical seasonality and the timing of annual contract renewals for technology and insurance.
Speaker #1: For the full year of 2026, we anticipate GMV to grow between 27% and 32% year over year, adjusted for parameter effects. On profitability, we expect adjusted EBITDA to be in the range of negative $25 million to negative $30 million.
Speaker #1: We confirm our strategic goal to achieve breakeven on an adjusted EBITDA basis and positive cash in 2026, and to deliver full-year flow in the fourth quarter of profitability and positive cash flow in 2027.
Speaker #1: Looking specifically at the first quarter, GMV is projected to grow between 27% and 32% year over year, adjusted for parameter effects. And we expect higher cash outflows in the first quarter, reflecting typical seasonality and the timing of annual contract renewals for technology and insurance.
Speaker #1: As part of ongoing operational optimization, the company has announced it will exit Algeria in February '26 and expects to incur related one-time costs. Thank you for your attention.
Francis Dufay: As part of ongoing operational optimization, the company has announced it will exit Algeria on 26 February and expects to incur related one-time costs. Thank you for your attention. We'll now be happy to take questions.
Francis Dufay: As part of ongoing operational optimization, the company has announced it will exit Algeria on 26 February and expects to incur related one-time costs. Thank you for your attention. We'll now be happy to take questions.
Speaker #1: We'll now be happy to take questions.
Speaker #3: Certainly. At this time, we will be conducting a question-and-answer session. If you would like to ask a question, please press star 1 on your telephone keypad.
Operator 2: Certainly. At this time, we will be conducting a question-and-answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. One moment, please, while we pull for questions. Your first question for today is from Brad Erickson with RBC Capital Markets.
Operator: Certainly. At this time, we will be conducting a question-and-answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. One moment, please, while we pull for questions. Your first question for today is from Brad Erickson with RBC Capital Markets.
Speaker #3: A confirmation tone will indicate your line is in the question queue. You may press star 2 if you would like to remove your question from the queue.
Speaker #3: For participants using speaker equipment, it may be necessary to moment, please, while we pull for questions. Your first question for today is from Brad Erickson with RBC Capital Markets.
Speaker #4: Hi guys, good morning. I guess just to start, if you had to kind of rank order
Bradley D. Erickson: Hi guys, good morning. I guess just to start, if you had to kind of rank order the accelerants in 2026 you're talking about, I guess you've got improving assortment, you're going to spend more on marketing sounds like, and then there's obviously just kind of the rising tide of under-penetrated e-commerce. Which of those is kind of most impactful to the acceleration you see in 2026 and any other clear drivers you'd call out along those lines?
Bradley Erickson: Hi guys, good morning. I guess just to start, if you had to kind of rank order the accelerants in 2026 you're talking about, I guess you've got improving assortment, you're going to spend more on marketing sounds like, and then there's obviously just kind of the rising tide of under-penetrated e-commerce. Which of those is kind of most impactful to the acceleration you see in 2026 and any other clear drivers you'd call out along those lines?
Speaker #4: the accelerants in 2026, you're talking about, I guess you've pick up your handset before got improving assortment, you're going to spend more on marketing, sounds like, and then there's obviously just kind of the rising tide of underpenetrated e-commerce.
Speaker #4: Which of those is kind of
Speaker #4: most impactful to the acceleration you see in 2026? And any other clear drivers you'd call out along those lines?
Speaker #5: Hi everyone. Yeah, sure. I think pressing the star keys.
Antoine Maillet-Mezeray: Hi, Brad. Yeah, sure. I think we have 3, maybe 4 main drivers. I mean, the, the most important one, structurally speaking, would be assortment and our ability to bring more assortment, more availability at lower price points, for value-driven customers. And that's been an effort, I mean, that's been pushed for the past 3 years, so it's, it's a long-term impact. Second big driver that's quite structural as well is coverage, market coverage. So we've significantly expanded our network back in 2024 and in early 2025 as well, and it will continue in 2026. And as we cover a greater share of the population, well, the, the pool, the, the addressable market, simply increases. And that's been a big push over the past 3 years as well. And then marketing started playing a more important role, I would say, in the second half of the year.
Francis Dufay: Hi, Brad. Yeah, sure. I think we have 3, maybe 4 main drivers. I mean, the, the most important one, structurally speaking, would be assortment and our ability to bring more assortment, more availability at lower price points, for value-driven customers. And that's been an effort, I mean, that's been pushed for the past 3 years, so it's, it's a long-term impact. Second big driver that's quite structural as well is coverage, market coverage. So we've significantly expanded our network back in 2024 and in early 2025 as well, and it will continue in 2026. And as we cover a greater share of the population, well, the, the pool, the, the addressable market, simply increases. And that's been a big push over the past 3 years as well. And then marketing started playing a more important role, I would say, in the second half of the year.
Speaker #5: we have three, maybe four main drivers. I mean, the most important one, structurally One speaking, would be assortment and our ability to bring more assortment, more availability at lower price points for value-driven customers.
Speaker #5: And that's been an effort. I mean, that's been pushed for the past three years. So it's a long-term impact. Second big driver that's quite structural as well is coverage.
Speaker #5: Market coverage. So with significantly expanded our network back in '24 and in early '25 as well, and it will continue in '26. And as we cover a greater share of the population while the addressable market simply increases and that's been a big push over the past few years as well.
Speaker #5: And then marketing started playing a more important role, I would say, in the second half of the year. And you've seen in the numbers that we've ramped up slightly our marketing investments in Q3 and Q4.
Antoine Maillet-Mezeray: You've seen in the numbers that we've ramped up slightly our marketing investments in Q3 and Q4, and we see very strong return investments, particularly on the online channels that we have kind of revived in the process. It's been contributing definitely to the acceleration you see in the second half of the year. Then you have a more diffuse but very important factor, which is the improvement in quality of service and satisfaction. That is really hard to pinpoint in terms of very direct impact, but it's really happening on the ground.
Francis Dufay: You've seen in the numbers that we've ramped up slightly our marketing investments in Q3 and Q4, and we see very strong return investments, particularly on the online channels that we have kind of revived in the process. It's been contributing definitely to the acceleration you see in the second half of the year. Then you have a more diffuse but very important factor, which is the improvement in quality of service and satisfaction. That is really hard to pinpoint in terms of very direct impact, but it's really happening on the ground.
Speaker #5: And we see very strong return investments, particularly on the online channels that we have kind of revived in the process. And it's been contributing definitely to the acceleration you see in the second half of the year.
Speaker #5: And then you have a more diffuse but very important factor, which is the improvement in quality of service and satisfaction. That is really hard to pinpoint in terms of very direct impact, but it's really happening on the
Speaker #5: ground. Got it.
Bradley D. Erickson: Got it. That's helpful. And then to the point on capacity, you've said, I think, many times, including today, that, you know, you have kind of what you need in place to support a lot higher volumes. As we look forward, maybe over the next few years, how should we think about lead times for kind of further investment in capacity expansion?
Bradley Erickson: Got it. That's helpful. And then to the point on capacity, you've said, I think, many times, including today, that, you know, you have kind of what you need in place to support a lot higher volumes. As we look forward, maybe over the next few years, how should we think about lead times for kind of further investment in capacity expansion?
Speaker #4: That's helpful. And then to the point on capacity, you've said, I think, many times, including today, that you have kind of what you need in place to support a lot higher volumes.
Speaker #4: As we look forward, maybe over the next few years, how should we think about lead times for kind of further investment in capacity expansion?
Speaker #5: So you can look at it in different ways. I mean, when we talk capacity, usually I think about fulfillment and supply chains. And then you can discuss, well, I mean, you can talk about the platform as well and our tech backbone.
Antoine Maillet-Mezeray: So you can look at it in different ways. I mean, when we talk capacity, usually I think about fulfillment and supply chains. And then you can discuss, well, I mean, you can talk about the platform as well and our tech backbone. When we look at the fulfillment capacity, which is, well, the usual bottleneck for a growing e-commerce business, we believe we're in the right place in pretty much all countries, until the end of 2020 until the end of 2026 or maybe the end of 2027. So the next two years should be very manageable with the capacity we have. I'm mostly talking warehouse space and equipment. We know already that some countries will need to scale and get to simply to move to bigger fulfillment centers, such as Ghana, for example, in 2027.
Francis Dufay: So you can look at it in different ways. I mean, when we talk capacity, usually I think about fulfillment and supply chains. And then you can discuss, well, I mean, you can talk about the platform as well and our tech backbone. When we look at the fulfillment capacity, which is, well, the usual bottleneck for a growing e-commerce business, we believe we're in the right place in pretty much all countries, until the end of 2020 until the end of 2026 or maybe the end of 2027. So the next two years should be very manageable with the capacity we have. I'm mostly talking warehouse space and equipment. We know already that some countries will need to scale and get to simply to move to bigger fulfillment centers, such as Ghana, for example, in 2027.
Speaker #5: When we look at the fulfillment capacity, which is, well, the usual bottleneck for growing e-commerce business, we believe we're in the right place in pretty much all countries.
Speaker #5: Until the end of '26 or maybe the end of '27. So the next two years should be very manageable with the capacity we have.
Speaker #5: I'm mostly talking warehouse space and equipment. We know already that some countries will need to scale and get to simply move to bigger fulfillment centers, such as Ghana, for example, in '27.
Speaker #5: But most of the countries should be fine. We don't expect major CapEx on that front because we've done a pretty big work on this topic already in '24 and early '25.
Antoine Maillet-Mezeray: But most of the countries should be fine. We don't expect major Capex on that front because we've done a pretty big work on this topic, already in 2024 and early 2025, moving to new, bigger fulfillment centers in most countries. And then when you look at the tech platform, the tech stack, we believe we have the right tech stack to manage two or three times the volumes we've been running in 2025. So it would not take any major investment, additional major investment, compared to the amounts you see today in our fixed costs to be able to sustain two or three times the volumes.
Francis Dufay: But most of the countries should be fine. We don't expect major Capex on that front because we've done a pretty big work on this topic, already in 2024 and early 2025, moving to new, bigger fulfillment centers in most countries. And then when you look at the tech platform, the tech stack, we believe we have the right tech stack to manage two or three times the volumes we've been running in 2025. So it would not take any major investment, additional major investment, compared to the amounts you see today in our fixed costs to be able to sustain two or three times the volumes.
Speaker #5: Moving to new, bigger fulfillment centers in most countries. And then when we look at the tech platform, we have the right tech the tech stack, we believe stack to manage two or three times the volumes.
Speaker #5: '25. So it would not We've been running in take any major investment, additional major investment compared to the amounts you see today in our fixed costs to be able to sustain two or three times the volumes.
Speaker #4: Got it. That's great. And then, yeah, following up kind of on the tech stack, and you mentioned the take rate expansion. Some of the drivers there.
Bradley D. Erickson: Got it. That's, that's great. And then, yeah, following up kind of on the tech stack, and you mentioned the take rate expansion and some of the drivers there. Would you say that was kind of like a step up to what we might consider now a market rate, or is that more like an ongoing, say, annual thing? How, how should we think about that?
Bradley Erickson: Got it. That's, that's great. And then, yeah, following up kind of on the tech stack, and you mentioned the take rate expansion and some of the drivers there. Would you say that was kind of like a step up to what we might consider now a market rate, or is that more like an ongoing, say, annual thing? How, how should we think about that?
Speaker #4: up to what we'd might consider Would you say that was kind of like a step now a market rate? Or is that more like an ongoing annual thing?
Speaker #4: How should we think about that?
Speaker #5: So take rate expansion, well, I mean, we're a marketplace. So as you scale, you should be able to take more, right? That's the name of the game for all the big players.
Antoine Maillet-Mezeray: So take rate expansion, well, I mean, we're, we're a marketplace, so, as you scale, you should be able to take more, right? That's, that's the name of the game for all the big players. We see that happening with our customers and vendors as well. So, for example, early this year, we've already renegotiated the rates. I mean, we've enforced new rates with all of our marketplace in all countries. We need to look at it as a gradual effect. We, I mean, we see it as a byproduct of scale, obviously. And the gradual effect comes from improving commissions, which we do on a yearly basis, then improving retail margins, re margins, sorry, re margins, sorry, reducing waste, and very importantly, improving advertise, advertising monetization, so, retail advertising, which we believe is still pretty low in our case. We're still around 1% of GMV.
Francis Dufay: So take rate expansion, well, I mean, we're, we're a marketplace, so, as you scale, you should be able to take more, right? That's, that's the name of the game for all the big players. We see that happening with our customers and vendors as well. So, for example, early this year, we've already renegotiated the rates. I mean, we've enforced new rates with all of our marketplace in all countries. We need to look at it as a gradual effect. We, I mean, we see it as a byproduct of scale, obviously. And the gradual effect comes from improving commissions, which we do on a yearly basis, then improving retail margins, re margins, sorry, re margins, sorry, reducing waste, and very importantly, improving advertise, advertising monetization, so, retail advertising, which we believe is still pretty low in our case. We're still around 1% of GMV.
Speaker #5: customers and vendors as well. So for We see that happening with our example, early this year, we've already renegotiated the rates I mean, we've enforced new rates with all of our marketplace in all countries.
Speaker #5: We need to look at it as a gradual effect. I mean, we see it as a byproduct of scale, obviously. And the gradual effect comes from improving commissions, which we do on a yearly basis.
Speaker #5: Then improving retail margins reducing waste and, very importantly, improving advertising monetization. So retail advertising. Which we believe is still pretty low in our case.
Speaker #5: We're still around 1% of GMV. We believe we should be closer to 2. We did not deliver as much as we wanted in '25, but I believe that we've taken the right steps, the right I mean, we put in place the right structural enablers to be able to scale our retail advertising.
Antoine Maillet-Mezeray: We believe we should be closer to 2%. We did not deliver as much as we wanted in 2025, but I believe that we've taken the right steps. I mean, we put in place the right structural enablers to be able to scale our retail advertising. We've launched a new platform for sponsored products. We've reorganized the team, and we've really scaled volume with key accounts so we can also sell more campaigns to brands. So we're looking for, definitely, an acceleration here in 2026.
Francis Dufay: We believe we should be closer to 2%. We did not deliver as much as we wanted in 2025, but I believe that we've taken the right steps. I mean, we put in place the right structural enablers to be able to scale our retail advertising. We've launched a new platform for sponsored products. We've reorganized the team, and we've really scaled volume with key accounts so we can also sell more campaigns to brands. So we're looking for, definitely, an acceleration here in 2026.
Speaker #5: for sponsored products. We've We've launched a new platform reorganized the team and we've really scaled volume with key accounts so we can also sell more campaigns to brands.
Speaker #5: So we're looking for definitely, we're looking for an acceleration here in '26.
Speaker #4: Got it. And then just in terms of the guidance for the year, can you just, I guess, a couple of things on what you're sort of embedding?
Bradley D. Erickson: Got it. And then just in terms of the guidance for the year, can you just, I guess, a couple of things on what you're sort of embedding. First, just around first-party, third-party, corporate mix. And then second, just, are there any FX changes in there, or is it just assuming kind of FX stays the core?
Bradley Erickson: Got it. And then just in terms of the guidance for the year, can you just, I guess, a couple of things on what you're sort of embedding. First, just around first-party, third-party, corporate mix. And then second, just, are there any FX changes in there, or is it just assuming kind of FX stays the core?
Speaker #4: First, just around first-party, third-party corporate mix. And then, second, just, are there any FX changes in there? Or is it just assuming kind of FX stays the same?
Speaker #4: course?
Antoine Maillet-Mezeray: I'll take the mix, and I will let Antoine elaborate on the FX. I think high-level in the guidance this year, we're not, I mean, we're not betting on any significant volume in corporate sales. As you know, we've deprioritized that line of business. And then we expect the mix of marketplace versus retail to be pretty much stable. I would say if we do well, we should slightly grow the share of marketplace, but we're assuming the mix pretty much stays. Antoine, you want to take the FX?
Speaker #5: I think the mix and I will
Francis Dufay: I'll take the mix, and I will let Antoine elaborate on the FX. I think high-level in the guidance this year, we're not, I mean, we're not betting on any significant volume in corporate sales. As you know, we've deprioritized that line of business. And then we expect the mix of marketplace versus retail to be pretty much stable. I would say if we do well, we should slightly grow the share of marketplace, but we're assuming the mix pretty much stays. Antoine, you want to take the FX?
Speaker #5: let Antoine elaborate on the FX. I think high level in the guidance this year, we're not I mean, we're not betting on any significant volume in corporate sales, as you know, we've deprioritized that line of business.
Speaker #5: And then we expect the mix of marketplace versus retail to be pretty much stable. I would say if we do well, we should slightly grow the share of marketplace, but we're assuming the mix pretty much stable.
Speaker #5: Antoine, you want to take the FX?
Speaker #3: Yes. It's a bit of the same. On the FX side, we do not factor any potential improvement in our guidance. And typically, if you look at the recent evolution of the NERA, this is not taken into account into the way we forecast.
[Company Representative] (Jumia Technologies AG): Yes. It's a bit of the same. On the FX side, we do not factor any potential improvement in our guidance. And typically, if you look at the recent evolution of the naira, this is not taken into account into the way we forecast. So very cautious approach.
Antoine Maillet-Mezeray: Yes. It's a bit of the same. On the FX side, we do not factor any potential improvement in our guidance. And typically, if you look at the recent evolution of the naira, this is not taken into account into the way we forecast. So very cautious approach.
Speaker #3: So very cautious
Speaker #3: approach. Got it.
Bradley D. Erickson: Got it. That's helpful. Then just on the exit of Algeria, I wonder, are there other countries that could be exit opportunities? And conversely, I guess, are there any countries you'd consider entering?
Bradley Erickson: Got it. That's helpful. Then just on the exit of Algeria, I wonder, are there other countries that could be exit opportunities? And conversely, I guess, are there any countries you'd consider entering?
Speaker #4: That's helpful. And then just on the exit of Algeria, I wonder are there other countries that could be exit opportunities and conversely, I guess, are there any countries you'd consider entering?
Speaker #3: So I'll start with the second half of your question. We're not considering entering any new country until we fully hit our break-even. So we don't want to get distracted.
Antoine Maillet-Mezeray: So I'll start with the second half of your question. We're not considering entering any new country until we hit full-year break-even. So we don't want to get distracted. And we don't want to delay the target for break-even because we know that any new country we would open would be loss-making for at least two years. So that's not part of the plan until we hit full-year break-even. And then other countries to exit. At this stage, we believe we have the right footprint with eight core markets that all have pretty big scale and profitability potential. I think the message we gave to the teams as well in all countries is that all countries, all business units are expected to deliver scale and profitability in a very reasonable time frame. That's the message within the whole company.
Francis Dufay: So I'll start with the second half of your question. We're not considering entering any new country until we hit full-year break-even. So we don't want to get distracted. And we don't want to delay the target for break-even because we know that any new country we would open would be loss-making for at least two years. So that's not part of the plan until we hit full-year break-even. And then other countries to exit. At this stage, we believe we have the right footprint with eight core markets that all have pretty big scale and profitability potential. I think the message we gave to the teams as well in all countries is that all countries, all business units are expected to deliver scale and profitability in a very reasonable time frame. That's the message within the whole company.
Speaker #3: And we don't want to delay the target for break-even because we know that any new country we would open would be loss-making for at least two years.
Speaker #3: So that's not part of the plan until we hit fully our break-even. And then other countries to exit, at this stage, we believe we have the right footprint with eight core markets that all have pretty big scale and profitability potential.
Speaker #3: I think the message we gave to the teams as well in all countries is that all countries, all business units are expected to deliver scale and profitability in a very reasonable time frame.
Speaker #3: That's the message within the whole company, and we're not shy about taking the tough decisions, even though the company is doing a lot better at group level.
Antoine Maillet-Mezeray: We're not shy of taking the tough decisions. Even though the company's doing a lot better at group level, we'll still be able to reassess the portfolio and take tough decisions if needed. But no other country where we're completing an exit at this stage. Definitely not.
Francis Dufay: We're not shy of taking the tough decisions. Even though the company's doing a lot better at group level, we'll still be able to reassess the portfolio and take tough decisions if needed. But no other country where we're completing an exit at this stage. Definitely not.
Speaker #3: We'll still be able to reassess the portfolio and take tough decisions if needed. But no other country stage, definitely not.
Speaker #4: That's great. And then one last one for me. Thanks for putting up with me here. You mentioned the balance sheet not needing to raise capital.
Bradley D. Erickson: That's great. And then one last one for me. Thanks for putting up with, with me here. You mentioned the balance sheet, not needing to raise capital. Obviously, you've been through this kind of period the last couple of years of being just incredibly judicious with your liquidity here. Is there any other, you know, reason or areas where you, you maybe think about playing a little bit more offense at some point where a capital injection, injection might make sense?
Bradley Erickson: That's great. And then one last one for me. Thanks for putting up with, with me here. You mentioned the balance sheet, not needing to raise capital. Obviously, you've been through this kind of period the last couple of years of being just incredibly judicious with your liquidity here. Is there any other, you know, reason or areas where you, you maybe think about playing a little bit more offense at some point where a capital injection, injection might make sense?
Speaker #4: Obviously, you’ve been through this kind of period the last couple of years of being just incredibly judicious with your liquidity here. Is there any other reason or areas where you maybe think about playing a little bit more offense at some point, where a capital injection might make sense?
Speaker #5: So yeah, so it's very important for us not to need to raise capital. We don't want to have to do it. We want to keep control of our future, definitely.
Antoine Maillet-Mezeray: So, yeah, so it's very important for us not to need to raise capital. We don't want to have to do it. We want to be, we want to keep control of our future, definitely. If we had more liquidity, and that's a big if, of course, there would be opportunities for us. So we could push a bit harder on working capital to secure more assortment and better prices, like we did last year after the ATM. We could be able to invest a bit more in marketing, especially now that we're seeing pretty good return on investment on, on key online channels. And there would be topic in tech, in tech, in product where we could be able to invest a bit, to get more efficiencies, for example, and, and get to profitability a little faster. But that's purely hypothetical.
Francis Dufay: So, yeah, so it's very important for us not to need to raise capital. We don't want to have to do it. We want to be, we want to keep control of our future, definitely. If we had more liquidity, and that's a big if, of course, there would be opportunities for us. So we could push a bit harder on working capital to secure more assortment and better prices, like we did last year after the ATM. We could be able to invest a bit more in marketing, especially now that we're seeing pretty good return on investment on, on key online channels. And there would be topic in tech, in tech, in product where we could be able to invest a bit, to get more efficiencies, for example, and, and get to profitability a little faster. But that's purely hypothetical.
Speaker #5: If we had more liquidity, and that's a big if, of course, there would be opportunities for us. And so we could push a bit harder on working capital to secure more assortment and better prices.
Speaker #5: Like we did last year after the ATM. We could be able to invest a bit more in marketing, especially now that we're seeing pretty good return on investment on key online channels.
Speaker #5: And there would be topic in tech and product. Where we could be able to invest a bit to get more efficiencies, for example, and get to profitability a little faster.
Speaker #5: But that's purely hypothetical. And we believe, I mean, as I was saying, we believe we have what we need to take it to profitability without having to raise further cash.
Antoine Maillet-Mezeray: We believe, I mean, as I was saying, we believe we, we have what we need to take it to profitability without having to raise further cash.
Francis Dufay: We believe, I mean, as I was saying, we believe we, we have what we need to take it to profitability without having to raise further cash.
Speaker #4: Understood. Thanks for taking all the questions. Appreciate it.
Bradley D. Erickson: Understood. Thanks for taking all the questions. Appreciate it.
Bradley Erickson: Understood. Thanks for taking all the questions. Appreciate it.
Speaker #5: Pleasure. Brad. Thanks,
Antoine Maillet-Mezeray: Pleasure. Thanks, Brad.
Francis Dufay: Pleasure. Thanks, Brad.
Operator 3: Your next question is from Fawn Jiang with Benchmark.
Operator: Your next question is from Fawn Jiang with Benchmark.
Speaker #6: From Fawn Jang: Your next question is with Benchmark.
Speaker #7: Hey, Francis. Antoine, thanks for taking my questions. First of all, I just want to focus a bit more on your underlying core markets. Tremendous growth momentum across the board.
Fawne Jiang: Hey, Francis, Antoine. Thanks for taking my questions. First of all, just want to focus a bit more on your underlying core markets. Tremendous growth momentum across the board. Just wonder, how should we look at the overall macro and consumption dynamic for 2026? Related to that, Egypt is clearly on the recovery trajectory. Do you expect Egypt to catch up in terms of the overall growth rate in 2026 or longer term, or is the market somewhat structurally disadvantaged, making, you know, it grow at a slower pace? Just want to get a sense on the potential of that market.
Fawne Jiang: Hey, Francis, Antoine. Thanks for taking my questions. First of all, just want to focus a bit more on your underlying core markets. Tremendous growth momentum across the board. Just wonder, how should we look at the overall macro and consumption dynamic for 2026? Related to that, Egypt is clearly on the recovery trajectory. Do you expect Egypt to catch up in terms of the overall growth rate in 2026 or longer term, or is the market somewhat structurally disadvantaged, making, you know, it grow at a slower pace? Just want to get a sense on the potential of that market.
Speaker #7: Just wonder, how should we look at them overall macro and consumption dynamic for 2026? Related to that, Egypt is clearly on the recovery. Trajectory.
Speaker #7: expecting Egypt to Are you catch up in terms of the overall growth rate in 2026 or longer term? Or is the market somewhat structurally disadvantaged in the growing at a slower pace?
Speaker #7: Just want to get a sense on the potential of that
Speaker #7: market. Okay, sure.
Antoine Maillet-Mezeray: Okay. Sure. Thanks, Fawn. So on the macro side, I think we're now turning cautiously optimistic. Without sarcasm, I think Africa is starting to look like a very stable place related to the rest of the world. But, more seriously, what we see, what we've seen over the past year and a half across the continent is that the macro is stabilizing. The most, I mean, the best KPI for that is currencies. Well, the FX rates have been stable or slightly improving. For example, the Nigerian naira is slowly appreciating against the dollar, has been appreciating over more than a year. The Egyptian pound is stable. Most of the other currencies have been stable or appreciating. And that's really changing, that's changing the whole context for us.
Francis Dufay: Okay. Sure. Thanks, Fawn. So on the macro side, I think we're now turning cautiously optimistic. Without sarcasm, I think Africa is starting to look like a very stable place related to the rest of the world. But, more seriously, what we see, what we've seen over the past year and a half across the continent is that the macro is stabilizing. The most, I mean, the best KPI for that is currencies. Well, the FX rates have been stable or slightly improving. For example, the Nigerian naira is slowly appreciating against the dollar, has been appreciating over more than a year. The Egyptian pound is stable. Most of the other currencies have been stable or appreciating. And that's really changing, that's changing the whole context for us.
Speaker #5: Thanks, Fawn. So on the macro side, I think we're now turning cautiously optimistic. Without sarcasm, I think Africa is starting to look like a very stable place related to the rest of the world.
Speaker #5: But more seriously, what we've seen over the past year and a half across the continent is that the macro is stabilizing. Most, I mean, the best KPI for that is currencies.
Speaker #5: Well, the FX rates have been stable or slightly improving. For example, the Nigerian NERA is slowly appreciating against the dollar, has been appreciating over more than a year.
Speaker #5: The Egyptian pound is stable. Most of the other currencies have been stable or appreciating. And that's really changing the whole context for us. Having stable currencies gives trust to our customers.
Antoine Maillet-Mezeray: Having stable currencies gives trust to our customers, and it enables massive improvement on the supply side because basically, importers can start importing again. They know their currency will be fairly stable. They know what to expect. Chinese international sellers can ship again to Africa. They have more confidence that they will be paid the right amount six months later. So the whole stabilization on the currency front and the macro front is really helping the business. Across our footprint of eight countries now, there should be no major disturbance in 2026, no major election that should disturb the business. We're becoming fairly optimistic now about the stability of the macro and possibly slight improvement in many countries. I think the best example is Nigeria. I mean, Nigeria has been through hell for 3, 4 years. They've come back.
Francis Dufay: Having stable currencies gives trust to our customers, and it enables massive improvement on the supply side because basically, importers can start importing again. They know their currency will be fairly stable. They know what to expect. Chinese international sellers can ship again to Africa. They have more confidence that they will be paid the right amount six months later. So the whole stabilization on the currency front and the macro front is really helping the business. Across our footprint of eight countries now, there should be no major disturbance in 2026, no major election that should disturb the business. We're becoming fairly optimistic now about the stability of the macro and possibly slight improvement in many countries. I think the best example is Nigeria. I mean, Nigeria has been through hell for 3, 4 years. They've come back.
Speaker #5: And it enables massive improvement on the supply side because basically importers can start importing again. They know their currency will be fairly stable. They know what to expect.
Speaker #5: Chinese international sellers can ship again to Africa. They have more confidence that they will be paid. The right amount, six months later. So the whole stabilization on the currency front and the macro front is really helping the business.
Speaker #5: And across our footprint of eight countries now, there should be no major disturbance in 2026. No major election that should disturb the business. Where we're becoming fairly optimistic now about the stability of the macro and possibly slight improvement in many countries.
Speaker #5: I think the best example is Nigeria. I mean, Nigeria has been through hell for three, four years. They've come back. They've taken—I mean, they've taken very tough measures.
Antoine Maillet-Mezeray: They've started, they've taken, I mean, they've taken very tough measures. The political reforms that have been implemented were tough and almost unexpected, but it seems to be working. The whole economy is starting to get better. Jumia will be well positioned to take advantage of that. And then when we look at Egypt, yes, we do expect, I mean, we do expect Egypt to catch up, right? There's no reason for Egypt to be a slow-growth country among Jumia's portfolio. We believe in Egypt; we are relatively, we're still a very relatively small business in a big market. And there's definitely a lot of room for expansion. It's obviously a competitive market, so there's more competition in the big cities, main metropolitan areas.
Francis Dufay: They've started, they've taken, I mean, they've taken very tough measures. The political reforms that have been implemented were tough and almost unexpected, but it seems to be working. The whole economy is starting to get better. Jumia will be well positioned to take advantage of that. And then when we look at Egypt, yes, we do expect, I mean, we do expect Egypt to catch up, right? There's no reason for Egypt to be a slow-growth country among Jumia's portfolio. We believe in Egypt; we are relatively, we're still a very relatively small business in a big market. And there's definitely a lot of room for expansion. It's obviously a competitive market, so there's more competition in the big cities, main metropolitan areas.
Speaker #5: The political reforms that have been implemented were tough and almost unexpected, but it seems to be working. And the whole economy is starting to get better.
Speaker #5: And Jumia will be well-positioned to take advantage of that. And then, when we look at Egypt, yes, we do expect—I mean, we do expect Egypt to catch up, right?
Speaker #5: There's no reason for Egypt to be a slow growth country among Jumia's portfolio. We believe in Egypt, we are relatively we're still a relatively small business in a big market.
Speaker #5: And there's definitely a lot of room for expansion. It's obviously a competitive market, so there's more competition in the big cities, main metropolitan areas.
Speaker #5: But we still have opportunities in those areas. And there's a great opportunity to expand, add country like we've done successfully in the other countries.
Antoine Maillet-Mezeray: But we still have opportunities in those areas, and there's a great opportunity to expand in a country like we've done successfully in the other countries. So, yeah, we have big, big expectations for Egypt.
Francis Dufay: But we still have opportunities in those areas, and there's a great opportunity to expand in a country like we've done successfully in the other countries. So, yeah, we have big, big expectations for Egypt.
Speaker #5: So yeah, we have big expectations for Egypt.
Speaker #7: Understood. That's helpful. My second question is actually on the operating leverage. You guys estimate the substantial headways across fulfillment, GNA, R&D. One item, like sales marketing, you guys seem to be still fairly aggressive in 2025.
Fawne Jiang: Understood. That's helpful. My second question is actually on the operating leverage. You guys have made substantial headways across fulfillment, G&A, R&D. One item, like sales marketing, you guys seem to be still fairly aggressive in 2025. I guess the question here is, for 2026, how do you balance your user acquisition and retention, which, you know, a important driver for your overall growth versus your marketing efficiency? Are we expecting, like operating leverage for sales marketing line for 2026? Any color on that, especially, you know, your cohort user behavior, repeated purchase, and, yeah, any granularity. That'll be helpful.
Fawne Jiang: Understood. That's helpful. My second question is actually on the operating leverage. You guys have made substantial headways across fulfillment, G&A, R&D. One item, like sales marketing, you guys seem to be still fairly aggressive in 2025. I guess the question here is, for 2026, how do you balance your user acquisition and retention, which, you know, a important driver for your overall growth versus your marketing efficiency? Are we expecting, like operating leverage for sales marketing line for 2026? Any color on that, especially, you know, your cohort user behavior, repeated purchase, and, yeah, any granularity. That'll be helpful.
Speaker #7: I guess the question here is, for 2026, how do you balance your user acquisition and retention? Which important driver for your overall growth versus your marketing efficiency?
Speaker #7: Are we expecting operating leverage for sales marketing line for 2026? Any color on that, especially your cohort user behavior, repeated purchase, and yeah, any granularity that'll be helpful.
Antoine Maillet-Mezeray: Yeah. So just to explain first, so we, we've indeed scaled our marketing spend in, in H2 this year, but we believe for the right reasons. When you look at the presentation on page 19, you have the breakdown of the whole operating leverage. It does make sense for us to, to, to push a bit harder on volumes because, well, all, all unit economics are a lot better. So now, with 36% growth, we're able to get +100% on gross profit after fulfillment and after marketing. So the leverage is working, and a slight acceleration in marketing, we believe, does make sense. However, our North Star is to become profitable at the end of this year and on full-year 2027. Most important, that's the most important thing to us. We need to hit a bit the break-even.
Francis Dufay: Yeah. So just to explain first, so we, we've indeed scaled our marketing spend in, in H2 this year, but we believe for the right reasons. When you look at the presentation on page 19, you have the breakdown of the whole operating leverage. It does make sense for us to, to, to push a bit harder on volumes because, well, all, all unit economics are a lot better. So now, with 36% growth, we're able to get +100% on gross profit after fulfillment and after marketing. So the leverage is working, and a slight acceleration in marketing, we believe, does make sense. However, our North Star is to become profitable at the end of this year and on full-year 2027. Most important, that's the most important thing to us. We need to hit a bit the break-even.
Speaker #5: So just to explain first, so we've indeed scaled our marketing spend in H2 this year. But we believe for the right reasons. When you look at the presentation on page 19, you have the breakdown of the whole operating leverage.
Speaker #5: It does make sense for us to push a bit harder on volumes because, well, all unit economics are a lot better. So now with 36% growth, we're able to get plus 100% on gross profit after fulfillment and after marketing.
Speaker #5: So the leverage is working. And a slight acceleration in marketing, we believe does make sense. However, our North Star is to become profitable at the end of this year and then full year '27.
Speaker #5: Most important, that's the most important thing to us. We need to hit EBITDA breakeven. So we'll remain extremely reasonable in the way we spend our marketing money.
Antoine Maillet-Mezeray: So we'll remain extremely reasonable in the way we spend our marketing money. So I think ballpark, H2 this year gives you an idea of what aggressive means for us in terms of marketing spend.
Francis Dufay: So we'll remain extremely reasonable in the way we spend our marketing money. So I think ballpark, H2 this year gives you an idea of what aggressive means for us in terms of marketing spend.
Speaker #5: So I think ballpark H2 this year gives you an idea of what 'aggressive' means for us in terms of marketing spend.
Speaker #7: Understood. Francis, another question I have is actually on your sourcing of supply. You mentioned that you opened new center in Yiwu. How could that impact your potential, I don't know, assortment?
Fawne Jiang: Understood. Francis, another question I have, especially on your sourcing of supply. You mentioned that you opened a new center in Yiwu. How could that impact your potential, I don't know, assortment? Would that change your category exposure? How would that shape up your, I guess, you know, AOV for 2026 and potential margin impact? Any color on, yeah, incremental, I think, assortment availability?
Fawne Jiang: Understood. Francis, another question I have, especially on your sourcing of supply. You mentioned that you opened a new center in Yiwu. How could that impact your potential, I don't know, assortment? Would that change your category exposure? How would that shape up your, I guess, you know, AOV for 2026 and potential margin impact? Any color on, yeah, incremental, I think, assortment availability?
Speaker #7: Would that change your category exposure? How would that shape up your, I guess, AOV for 2026 and potential margin impact? Any color on, yeah, incremental, I think, assortment availability?
Antoine Maillet-Mezeray: Yeah. So that's exactly what you say. It's, it's going to help us improve our category exposure because, until recently in China, we, we had an office only in Shenzhen, which was the right place to start with. But Shenzhen, the Shenzhen area is mostly famous for electronics, 3C. So we, we have plenty of suppliers to, to, to support us on, well, electronic accessories, devices, and so on. But expanding to Yiwu gives us access to a supplier base, more diversified with more fashion, more home products, home improvements. And that will really help us diversify the product mix we're getting from, from our international vendors. Of course, that push should help sales of relatively lower-value items compared to what we're selling today, but with higher nominal, higher margins in percentage.
Francis Dufay: Yeah. So that's exactly what you say. It's, it's going to help us improve our category exposure because, until recently in China, we, we had an office only in Shenzhen, which was the right place to start with. But Shenzhen, the Shenzhen area is mostly famous for electronics, 3C. So we, we have plenty of suppliers to, to, to support us on, well, electronic accessories, devices, and so on. But expanding to Yiwu gives us access to a supplier base, more diversified with more fashion, more home products, home improvements. And that will really help us diversify the product mix we're getting from, from our international vendors. Of course, that push should help sales of relatively lower-value items compared to what we're selling today, but with higher nominal, higher margins in percentage.
Speaker #5: So that's exactly what you say. It's going to help us improve our category exposure because until recently in China, we had an office only in Shenzhen.
Speaker #5: Which was the right place to start with. But Shenzhen, the Shenzhen area is mostly famous for electronics, 3C. So we had plenty of suppliers to support us on, well, electronic accessories, devices, and so on.
Speaker #5: But expanding to Yiwu gives us access to a supplier base more diversified with more fashion, more home products, home improvements. And that will really help us diversify the product mix we're getting from our international vendors.
Speaker #5: Of course, that push should help sales of relatively lower-value items compared to what we're selling today, but with higher margins in percentage. So, it's hard to—I mean, it's hard to anticipate the impact on the whole AOV, or the whole average item value, at Jumia.
Antoine Maillet-Mezeray: So it's hard to—I mean, it's hard to anticipate the impact on the whole AOV or the whole average item value at Jumia. But indeed, expanding in China and expanding specifically in this region should help to drive more volumes from Chinese vendors in categories where we know that the average selling point will be lower, but with very strong profitability.
Francis Dufay: So it's hard to—I mean, it's hard to anticipate the impact on the whole AOV or the whole average item value at Jumia. But indeed, expanding in China and expanding specifically in this region should help to drive more volumes from Chinese vendors in categories where we know that the average selling point will be lower, but with very strong profitability.
Speaker #5: But indeed, expanding in China and expanding specifically in this region should help to drive more volumes from Chinese vendors in categories where we know that the average selling point will be lower.
Speaker #5: But with very strong profitability.
Speaker #7: Understood. Last one from my side. You mentioned, if I heard you correctly, you mentioned that the buy now, pay later has been an important driver for your EBITDA market.
Fawne Jiang: Understood. Last one from on my side. You mentioned, if I heard you correctly, you mentioned that the Buy Now, Pay Later has been an important driver for your Egypt market. I just wonder, can you remind us, do you offer that product across your markets? And if not, how do you see the potential of that product services as a, I guess, driver for future growth?
Fawne Jiang: Understood. Last one from on my side. You mentioned, if I heard you correctly, you mentioned that the Buy Now, Pay Later has been an important driver for your Egypt market. I just wonder, can you remind us, do you offer that product across your markets? And if not, how do you see the potential of that product services as a, I guess, driver for future growth?
Speaker #7: I just wonder, can you remind us, do you offer that product across your market? And if not, how do you see the potential of that product services as, I guess, a driver for future growth?
Speaker #5: Sure. So what's specific about Africa when you mention fintech and as part of fintech consumer finance is that it's heavily fragmented. The regulation is very different market by market.
Antoine Maillet-Mezeray: Sure. So what's specific about Africa when you mentioned fintech and, as part of fintech, consumer finance is that it's heavily fragmented. The regulation is very different, market by market, and you end up with very, very different local ecosystems. Typically, in Egypt, the ecosystem is very well-structured. Banking regulation is very strong. Enforcement is strong. And there has been a very strong ecosystem for buy now, pay later with strong local providers who are willing to integrate with e-commerce platforms. So we've done a big push, and I think we've been the leaders in onboarding as many of those players as possible. We've done a big push in onboarding for consumer finance providers, fully online.
Francis Dufay: Sure. So what's specific about Africa when you mentioned fintech and, as part of fintech, consumer finance is that it's heavily fragmented. The regulation is very different, market by market, and you end up with very, very different local ecosystems. Typically, in Egypt, the ecosystem is very well-structured. Banking regulation is very strong. Enforcement is strong. And there has been a very strong ecosystem for buy now, pay later with strong local providers who are willing to integrate with e-commerce platforms. So we've done a big push, and I think we've been the leaders in onboarding as many of those players as possible. We've done a big push in onboarding for consumer finance providers, fully online.
Speaker #5: And you end up with very, very different local ecosystems. Typically in Egypt, the ecosystem is very well structured. Banking regulation is very strong. Enforcement is strong.
Speaker #5: And there has been a very strong ecosystem for Buy Now, Pay Later, with strong local providers who are willing to integrate with e-commerce platforms.
Speaker #5: So we've done a big push. And I think we've been the leaders in onboarding as many of those players as possible. We've done a big push in onboarding.
Speaker #5: So consumer finance providers fully online. And now it's a significant share of our sales in Egypt, particularly for high-value items like appliances, TV devices, and so on.
Antoine Maillet-Mezeray: And now it's a significant share of our sales in Egypt, particularly for high-value items like appliances, TV devices, and so on. But that's also quite specific to Egypt. What we see in the other markets is that we don't find the same kind of ecosystem. There are much fewer players, in some countries, like in Eastern Africa. It's only asset-backed, sorry, BNPL. So based on phones that can be disabled. And in most of the other countries where we operate, sorry, the ecosystem is just not ready at this stage. So it's on a country-by-country basis. And I cannot comment about when we would be able to expand that across more countries.
Francis Dufay: And now it's a significant share of our sales in Egypt, particularly for high-value items like appliances, TV devices, and so on. But that's also quite specific to Egypt. What we see in the other markets is that we don't find the same kind of ecosystem. There are much fewer players, in some countries, like in Eastern Africa. It's only asset-backed, sorry, BNPL. So based on phones that can be disabled. And in most of the other countries where we operate, sorry, the ecosystem is just not ready at this stage. So it's on a country-by-country basis. And I cannot comment about when we would be able to expand that across more countries.
Speaker #5: But that's also quite specific to Egypt. What we see in the other markets is that we don't find the same kind of ecosystem. There are much fewer players in some countries like in Eastern Africa.
Speaker #5: It's only asset-backed BNPL. So based on phones that can be disabled. And in most of the other countries where we operate, sorry, the ecosystem is just not ready at this stage.
Speaker #5: So it's on a country-by-country basis. And I cannot comment about when we could be, we would be able to expand that across more countries.
Fawne Jiang: Yeah. Understood. I appreciate your, your feedback.
Fawne Jiang: Yeah. Understood. I appreciate your, your feedback.
Speaker #7: Understood. Appreciate your feedback.
Speaker #5: Thanks,
Antoine Maillet-Mezeray: Thanks, Fawn.
Francis Dufay: Thanks, Fawn.
Speaker #5: sir. Your next question for
Operator 3: Your next question for today is from Ryan Sigdahl with Craig-Hallum Capital Group.
Operator: Your next question for today is from Ryan Sigdahl with Craig-Hallum Capital Group.
Speaker #1: today is from Ryan Sigdahl with Craig Hallam Capital Group.
Speaker #8: Good day, Francis, Antoine. Thanks for taking our
Ryan Sigdahl: Good day, Francis, Antoine. Thanks for taking our questions.
Ryan Sigdahl: Good day, Francis, Antoine. Thanks for taking our questions.
Speaker #8: questions. Hi, Ma'am, a lot has been asked
Ryan Sigdahl: Man, a lot has been asked here. I'm going to ask one and then just one follow-up here. I guess to be clear, I mean, very, very strong operational performance, nice acceleration fundamental, a lot of things going very well. Curious if anything negatively surprised you in Q4. I know we don't want to focus necessarily, but just looking at Q4 results relative to your guidance, anything to call out there?
Ryan Sigdahl: Man, a lot has been asked here. I'm going to ask one and then just one follow-up here. I guess to be clear, I mean, very, very strong operational performance, nice acceleration fundamental, a lot of things going very well. Curious if anything negatively surprised you in Q4. I know we don't want to focus necessarily, but just looking at Q4 results relative to your guidance, anything to call out there?
Speaker #8: Here, I'm going to ask one— and then just one follow-up here. I guess to be clear, I mean very, very strong operational performance, nice acceleration, fundamentals, a lot of things going very well.
Speaker #8: Curious if anything negatively surprised you in Q4, and I know we don't want to focus necessarily, but just looking at Q4 results relative to your guidance, anything to call out there?
Speaker #9: Yeah. I mean, of course, not everything went well. I will not give you the whole list. But I think I'll give you one point, for example.
[Company Representative] (Jumia Technologies AG): Yeah. I mean, of course, not everything went well. I will not give you the whole list, but I think I'll give you one point, for example, the advertising, so, well, basically, monetization on the advertising side, as I was mentioning earlier, is still lower than our expectations, in Q4 included across the whole year, actually, and that's a reason for deviation on the bottom line on our end, unfortunately. But yeah, we did expect more in 2024 in 2025 and definitely at the end of the year from monetization, advertising, sorry. What matters here is that we believe we have taken the right steps. So we've made a lot of changes on sponsored products or retail advertising earlier in the year, and we see that revenues are really improving literally on a weekly basis.
Francis Dufay: Yeah. I mean, of course, not everything went well. I will not give you the whole list, but I think I'll give you one point, for example, the advertising, so, well, basically, monetization on the advertising side, as I was mentioning earlier, is still lower than our expectations, in Q4 included across the whole year, actually, and that's a reason for deviation on the bottom line on our end, unfortunately. But yeah, we did expect more in 2024 in 2025 and definitely at the end of the year from monetization, advertising, sorry. What matters here is that we believe we have taken the right steps. So we've made a lot of changes on sponsored products or retail advertising earlier in the year, and we see that revenues are really improving literally on a weekly basis.
Speaker #9: The advertising—so basically monetization and the advertising side, as I was mentioning earlier—is still lower than our expectations in Q4, included, across the whole year, actually. And that’s the reason for the deviation on the bottom line on our end, unfortunately.
Speaker #9: But yeah, we did expect more in '25 and basically at the end of the year from monetization. Advertising, sorry. What matters here is that we believe we have taken the right steps.
Speaker #9: So we've made a lot of changes on sponsored products for retail advertising earlier in the year. And we see that revenues are really improving literally on a weekly basis.
Speaker #9: And we've been rebuilding the team. And rebuilding the processes so we can now go ahead and also monetize brands. With bigger campaigns and we're looking forward to seeing the results in '26.
[Company Representative] (Jumia Technologies AG): We've been rebuilding the team and rebuilding the processes so we can now go ahead and also monetize brands with, well, with bigger campaigns. And we, we're looking forward to seeing the results in 2026 on the back also of much bigger volumes that definitely help when you want to sell advertising.
Francis Dufay: We've been rebuilding the team and rebuilding the processes so we can now go ahead and also monetize brands with, well, with bigger campaigns. And we, we're looking forward to seeing the results in 2026 on the back also of much bigger volumes that definitely help when you want to sell advertising.
Speaker #9: On the back also of much bigger volumes that definitely help when you want to sell
Speaker #9: advertising. Good
Speaker #8: Segue, Francis. My next question is just on the ads. I think it was mentioned 1% of GMB. Where do you think that can go in '26, or what's implied?
Ryan Sigdahl: Good segue, Francis. That'll be my next question. It's just on the ads. You, I think it was mentioned 1% of GMV. Where do you think that can go in 2026, or what's implied? Where can that go longer term? And then what are you specifically doing today that you're going to improve, brand advertising campaigns, etc.? But is this sponsored listings? Is this advertising around the outside of the website? But help explain, I guess, really what you guys are doing and what you're going to do incrementally. Thank you.
Ryan Sigdahl: Good segue, Francis. That'll be my next question. It's just on the ads. You, I think it was mentioned 1% of GMV. Where do you think that can go in 2026, or what's implied? Where can that go longer term? And then what are you specifically doing today that you're going to improve, brand advertising campaigns, etc.? But is this sponsored listings? Is this advertising around the outside of the website? But help explain, I guess, really what you guys are doing and what you're going to do incrementally. Thank you.
Speaker #8: Where can that go longer term? And then what are you specifically doing today that you're going to improve brand advertising campaigns, etc.? But is this sponsored listings?
Speaker #8: Is this advertising around the outside of the website? But help explain, I guess, really what you guys are doing and what you're going to do incrementally.
Speaker #8: Thank you.
Speaker #9: Sure. So in Q4, our advertising revenue was about 1% of GMB. We believe that over the medium term, we should get closer to 2.
Antoine Maillet-Mezeray: Sure. So in Q4, our advertising revenue was about 1% of GMV. We believe that over the medium term, we should get closer to 2%, and that's the right benchmark for our e-commerce players in emerging markets. It will not happen in 2026, right? It will take a few years to get to 2%, but that's the right target for us with gradual improvements. What we've done in 2025 to start getting there so we have two different segments here. We have sponsored products, so retail advertising that we mostly sell to mid- and medium-sized and smaller marketplace vendors, sorry. And then we have marketing campaigns that we sell to official distributors and brands.
Francis Dufay: Sure. So in Q4, our advertising revenue was about 1% of GMV. We believe that over the medium term, we should get closer to 2%, and that's the right benchmark for our e-commerce players in emerging markets. It will not happen in 2026, right? It will take a few years to get to 2%, but that's the right target for us with gradual improvements. What we've done in 2025 to start getting there so we have two different segments here. We have sponsored products, so retail advertising that we mostly sell to mid- and medium-sized and smaller marketplace vendors, sorry. And then we have marketing campaigns that we sell to official distributors and brands.
Speaker #9: And that's the right benchmark for e-commerce players in emerging markets. It will not happen in '26, right? It will take a few years to get to 2%.
Speaker #9: But that's the right target for us with gradual improvement. What we've done in '25 to start getting there, so we have two different segments here.
Speaker #9: We have sponsored products, so retail advertising that we mostly sell to mid-medium size and smaller market size vendors—marketplace vendors, sorry. And then we have marketing campaigns that we sell to official distributors and brands.
Speaker #9: On the first topic, so retail advertising, we've rolled out a new tool from a company called Miracle. That was implemented in the first half of the year.
Antoine Maillet-Mezeray: On the first topic, so, retail advertising, we've rolled out a new tool from a company called Mirakl that was implemented in the first half of the year to cut off. I mean, took some time. It was quite well executed, I must say, from, from their end, but it took some time, and it kind of disrupted our operations, of course, due to the transition. But we're now back on track. The teams really like the tool. The, the vendors give us really good feedback. It's reliable. It's stable. And we see good profitability on the ads. So we are really seeing renewed momentum on that, on that revenue line. And we're clearly going to beat last year's numbers in, in '26 by, by a margin. And then the second stream of revenue here is campaigns, mostly sold to big distributors and brands.
Francis Dufay: On the first topic, so, retail advertising, we've rolled out a new tool from a company called Mirakl that was implemented in the first half of the year to cut off. I mean, took some time. It was quite well executed, I must say, from, from their end, but it took some time, and it kind of disrupted our operations, of course, due to the transition. But we're now back on track. The teams really like the tool. The, the vendors give us really good feedback. It's reliable. It's stable. And we see good profitability on the ads. So we are really seeing renewed momentum on that, on that revenue line. And we're clearly going to beat last year's numbers in, in '26 by, by a margin. And then the second stream of revenue here is campaigns, mostly sold to big distributors and brands.
Speaker #9: It took some time. It was quite well executed, I must say, from their end. But it took some time, and it kind of disrupted our operations, of course, due to the transition.
Speaker #9: But we're now back on track. The team's really liked the tool. The vendors give us really good feedback. It's reliable. It's stable. And they see good profitability on the ads.
Speaker #9: So we're really seeing renewed momentum on that revenue line. And we're clearly going to beat last year's numbers in '26 by a margin. And then the second stream of revenue here is campaigns, mostly sold to big distributors and brands.
Speaker #9: '25 has been disappointing. That's for sure. Mostly as we I mean, one of the big drivers has been the reduction of revenues we get from FMCG brands.
Antoine Maillet-Mezeray: 2025 has been disappointing, that's for sure. Mostly as we for I mean, one of the big drivers has been the reduction of in-kind revenues we get from FFMCG brands because we deprioritized FMCG back in 2023, 2024. And of course, the marketing dollars reduced as well in the process. What we've done this year is that we've rebuilt the team. We organized the teams and the processes, set new targets and the right incentives. We're rolling out a few specific tools and features that will be relevant for brands, such as sponsored brands, for example. So you can bid for sponsored brands on the platform now. It's been released only a few weeks back.
Francis Dufay: 2025 has been disappointing, that's for sure. Mostly as we for I mean, one of the big drivers has been the reduction of in-kind revenues we get from FFMCG brands because we deprioritized FMCG back in 2023, 2024. And of course, the marketing dollars reduced as well in the process. What we've done this year is that we've rebuilt the team. We organized the teams and the processes, set new targets and the right incentives. We're rolling out a few specific tools and features that will be relevant for brands, such as sponsored brands, for example. So you can bid for sponsored brands on the platform now. It's been released only a few weeks back.
Speaker #9: Because we deprioritize FMCG back in '23, '24. And of course, the marketing dollars reduced as well in the process. What we've done this year is that we've rebuilt the team.
Speaker #9: We organized the teams and the processes, set new targets, and the right incentives. We're rolling out a few specific tools and features that will be relevant for brands, such as Sponsored Brands, for example.
Speaker #9: So you can bid for sponsored brands on the platform now. It's been released only a few weeks back. And now we have a much more focused and better organized team.
Antoine Maillet-Mezeray: Now we have a much more focused and better organized team on the back of bigger volumes for our brands on the platform thanks to growth in most of our markets. So we believe it should put us in a much better place for 2026.
Francis Dufay: Now we have a much more focused and better organized team on the back of bigger volumes for our brands on the platform thanks to growth in most of our markets. So we believe it should put us in a much better place for 2026.
Speaker #9: On the back of bigger volumes, from our brands on the platform thanks to growth in most of our markets. And so we believe it should put us in a much better place for '26.
Speaker #8: Very helpful. Thanks, Francis. Good luck, guys.
Ryan Sigdahl: Very helpful. Thanks, Francis. Good luck, guys.
Ryan Sigdahl: Very helpful. Thanks, Francis. Good luck, guys.
Speaker #9: Thanks,
Speaker #9: Ryan, your next question is from...
Antoine Maillet-Mezeray: Thanks, Ryan.
Francis Dufay: Thanks, Ryan.
Operator 3: Your next question is from Deepak Mathivanan with Cantor Fitzgerald.
Operator: Your next question is from Deepak Mathivanan with Cantor Fitzgerald.
Speaker #1: Deepak Mathvenan with Cancer
Speaker #1: Fitzgerald. Hey, guys.
Speaker #10: Thanks for taking the question. This is Jack on for Deepak. I'll start with just a little bit on competition. I know you said things are relatively rational from a competitive standpoint.
[Company Representative] (Jumia Technologies AG): Hey, guys. Thanks for taking the question. This is Jack on for Deepak. I'll start with just a little bit on competition. I know you said things are relatively rational from a competitive standpoint. But are you kind of seeing any outside competitive pressure more from the local or international side? Could you just, like, talk to that a little bit more about the dynamics you're seeing there?
[Analyst] (Cantor Fitzgerald): Hey, guys. Thanks for taking the question. This is Jack on for Deepak. I'll start with just a little bit on competition. I know you said things are relatively rational from a competitive standpoint. But are you kind of seeing any outside competitive pressure more from the local or international side? Could you just, like, talk to that a little bit more about the dynamics you're seeing there?
Speaker #10: But are you kind of seeing any outside competitive pressure more from the local or international side? If you could just talk to that a little bit more about the dynamics you're seeing there.
Speaker #9: Hi, Jack. So to be honest, we haven't seen much change in the fourth quarter. I mean, I would say we've seen some softening from international competitors.
Antoine Maillet-Mezeray: Hi, Jack. So, to be honest, we haven't seen much change in the fourth quarter. Maybe, I mean, I would say we've seen some softening from international competitors, and not much change from local platforms. I mean, there are a few countries where we're competing against local platforms, who are by far the market leaders in those countries. That would be Kenya, Nigeria, or Morocco, for example. No, really no change. I mean, as usual, as I like to repeat, we believe that we have an edge against those local platforms because, I mean, thanks to our scale, thanks to the learnings we can get across Africa, thanks to our sourcing infrastructure in China and with international brands, that's harder for them to reach.
Francis Dufay: Hi, Jack. So, to be honest, we haven't seen much change in the fourth quarter. Maybe, I mean, I would say we've seen some softening from international competitors, and not much change from local platforms. I mean, there are a few countries where we're competing against local platforms, who are by far the market leaders in those countries. That would be Kenya, Nigeria, or Morocco, for example. No, really no change. I mean, as usual, as I like to repeat, we believe that we have an edge against those local platforms because, I mean, thanks to our scale, thanks to the learnings we can get across Africa, thanks to our sourcing infrastructure in China and with international brands, that's harder for them to reach.
Speaker #9: And not much change from local platforms. I mean, there are a few countries where we're competing against local platforms. We're by far the market leaders in those countries.
Speaker #9: That would be Kenya. Nigeria or Morocco, for example. No, really no change. I mean, as usual, as I like to repeat, we believe that we have an edge against those local platforms because of I mean, thanks to our scale.
Speaker #9: Thanks to the learnings we can get across Africa. Thanks to our sourcing infrastructure. In China. And with international brands. That's harder for them to reach.
Speaker #9: And thanks to our tech infrastructure that is, that requires significant investment. That's not sustainable for one single market. And then, regarding international platforms, I think no meaningful change.
Antoine Maillet-Mezeray: And thanks to our tech, our tech infrastructure that is, well, that requires significant investment, that's not sustainable for one single market. And then, regarding international platforms, I think no meaningful change. We've seen Temu, still active in Nigeria, still active in Ghana, active in, in Morocco. But we, we, we've seen the pressure slightly decreasing, actually, over the past two, three quarters. We've seen big pushes and then a slowdown, through the year of 2025. What we're seeing now that's interesting is that local regulators are looking into the issue of international platforms, non-resident platforms. It took a bit of time, like everywhere in the world. But, basically, local regulators are starting to, to address the fact that, well, international non-resident platforms are not really are not contributing at all to the local economy.
Francis Dufay: And thanks to our tech, our tech infrastructure that is, well, that requires significant investment, that's not sustainable for one single market. And then, regarding international platforms, I think no meaningful change. We've seen Temu, still active in Nigeria, still active in Ghana, active in, in Morocco. But we, we, we've seen the pressure slightly decreasing, actually, over the past two, three quarters. We've seen big pushes and then a slowdown, through the year of 2025. What we're seeing now that's interesting is that local regulators are looking into the issue of international platforms, non-resident platforms. It took a bit of time, like everywhere in the world. But, basically, local regulators are starting to, to address the fact that, well, international non-resident platforms are not really are not contributing at all to the local economy.
Speaker #9: We've seen Temu still active in Nigeria. Still active in Ghana. Active in Morocco. But we've seen the pressures slightly decreasing, actually, over the past two, three quarters.
Speaker #9: pushes and then a slowdown We've seen big through the year of '25. What we're seeing now that's interesting is that local regulators are looking into the issue of international platforms.
Speaker #9: Non-resident platforms. It took a bit of time, like everywhere in the world. But basically, local regulators are starting to address the fact that international non-resident platforms are not really not So we've seen new regulation in the Ivory Coast, contributing at all to the local economy.
Antoine Maillet-Mezeray: So we've seen new regulation in the agriculture in Ghana to make sure that VAT is implemented on their sales, that there's a tax on their profits. And it all, I mean, it's good news for us, right, because it contributes to a more level playing field for e-commerce players. And some of the slightly unfair advantage that these guys used to have will be removed because they'll have to compete and pay, well, also paying their taxes like everyone else.
Francis Dufay: So we've seen new regulation in the agriculture in Ghana to make sure that VAT is implemented on their sales, that there's a tax on their profits. And it all, I mean, it's good news for us, right, because it contributes to a more level playing field for e-commerce players. And some of the slightly unfair advantage that these guys used to have will be removed because they'll have to compete and pay, well, also paying their taxes like everyone else.
Speaker #9: in Ghana. To make sure that VAT is implemented on their sales. That there's a tax on their profits. And it all I mean, it's good news for us, right?
Speaker #9: level playing field for e-commerce Because it contributes to a more players. And some of the slightly unfair advantage that these guys used to have will be removed because they'll have to compete while also paying their taxes like everyone else.
Speaker #10: Great. No, that makes a lot of sense. And then just my second question, sort of around fulfillment. Obviously, down again your ear, excluding the digital.
[Company Representative] (Jumia Technologies AG): Great. No, that, that makes a lot of sense. And then just my second question sort of around fulfillment. Obviously, down again year-over-year, excluding the digital, how much runway is there for kind of more structural improvements through efficiency gains and whatnot versus, like, do you guys expect to get leverage just from pure, like, order volumes going forward?
[Analyst] (Cantor Fitzgerald): Great. No, that, that makes a lot of sense. And then just my second question sort of around fulfillment. Obviously, down again year-over-year, excluding the digital, how much runway is there for kind of more structural improvements through efficiency gains and whatnot versus, like, do you guys expect to get leverage just from pure, like, order volumes going forward?
Speaker #10: How much runway is there for kind of more structural improvements through efficiency gains and whatnot? Versus do you guys expect to get leverage just from pure order volumes going
Speaker #10: forward? Yeah.
Speaker #9: So, on that front, we have two things at play. We have productivity improvement—like pure productivity improvement—and then we have benefiting from the scale effect.
Antoine Maillet-Mezeray: Yeah. So on that front, we, we have two, two things at play. We have productivity improvement, like pure productivity improvement. And then we have, well, benefiting from scale effect, and doing some work on it. So on pure productivity improvement, we still have some room to go. So, we, we can still push more automation to our call centers, so we can manage more volumes with fewer people. We are looking to rebuild some of our feature some of our, warehouse management system features this year to have faster picking, faster packing, faster inbound, and so on. So, so still, still a lot we can do on pure productivity topics. And we've massively improved tracking as well on those matters. And then we benefit from scale in many ways. Of course, in the fulfillment operations, there's a dimension of fixed costs. And scale definitely helps.
Francis Dufay: Yeah. So on that front, we, we have two, two things at play. We have productivity improvement, like pure productivity improvement. And then we have, well, benefiting from scale effect, and doing some work on it. So on pure productivity improvement, we still have some room to go. So, we, we can still push more automation to our call centers, so we can manage more volumes with fewer people. We are looking to rebuild some of our feature some of our, warehouse management system features this year to have faster picking, faster packing, faster inbound, and so on. So, so still, still a lot we can do on pure productivity topics. And we've massively improved tracking as well on those matters. And then we benefit from scale in many ways. Of course, in the fulfillment operations, there's a dimension of fixed costs. And scale definitely helps.
Speaker #9: And doing some work on it. So on pure productivity improvement, we still have some room to go. So we can still push more automation to our call centers.
Speaker #9: So we can manage more volumes with fewer people. We are looking to rebuild some of our warehouse management system features this year to have faster picking, faster packing, faster inbound, and so on.
Speaker #9: So still a lot we can do on pure productivity topics. And we've massively improved tracking as well on those matters. And then we benefit from scale in many ways.
Speaker #9: Of course, in the fulfillment operations, there's a dimension of fixed costs. And scale definitely helps. But also in the logistics, so distribution operations, we are actually able to get much better prices from our 3PLs thanks to volumes.
Antoine Maillet-Mezeray: but also in the logistics or distribution operations, we are actually able to get much better prices from our 3PLs thanks to volumes. A lot of our third-party logistics are running pickup stations. So they're running mostly fixed costs in those pickup stations. So when we increase volumes for them, we're actually able to discuss a new profit sharing kind of and reduce their fees for each package. We're also able to optimize our moves for middle miles, so the truck moves. And we can renegotiate better fees, better costs for all that, for all that part of logistics. So this is actually what we've been doing through the month of January and the early February as well.
Francis Dufay: but also in the logistics or distribution operations, we are actually able to get much better prices from our 3PLs thanks to volumes. A lot of our third-party logistics are running pickup stations. So they're running mostly fixed costs in those pickup stations. So when we increase volumes for them, we're actually able to discuss a new profit sharing kind of and reduce their fees for each package. We're also able to optimize our moves for middle miles, so the truck moves. And we can renegotiate better fees, better costs for all that, for all that part of logistics. So this is actually what we've been doing through the month of January and the early February as well.
Speaker #9: A lot of our third-party logistics are running pickup stations, so they're running mostly fixed costs in those pickup stations. So, when we increase volumes for them, we're actually able to discuss a new profit-sharing kind of.
Speaker #9: And reduce their fees for each package. We're also able to optimize our moves for middle miles. So the truck moves. And we can renegotiate better fees, better costs for all that for all that part of logistics.
Speaker #9: So this is actually what we've been doing through the month of January. And early February as well. So we've renegotiated lower fees with most of our 3PLs in all countries.
Antoine Maillet-Mezeray: So we've renegotiated lower fees with most of our 3PLs in all countries, both for last mile, for door delivery, and pickup stations, but also for middle mile, for the truck moves. That's definitely a byproduct of scale, again, and that will keep on improving over time as we're able to sustain this, this growth rate. And, and ballpark.
Francis Dufay: So we've renegotiated lower fees with most of our 3PLs in all countries, both for last mile, for door delivery, and pickup stations, but also for middle mile, for the truck moves. That's definitely a byproduct of scale, again, and that will keep on improving over time as we're able to sustain this, this growth rate. And, and ballpark.
Speaker #9: Both for last mile—so, door delivery and pickup stations—but also for middle mile, so the truck moves. And that's definitely a byproduct of scale again.
Speaker #9: And that will keep on improving over time as we're able to sustain this growth rate. And ballpark. Sorry,
[Company Representative] (Jumia Technologies AG): For Cantor Fitzgerald, we're looking. Oh, yeah.
Francis Dufay: For Cantor Fitzgerald, we're looking. Oh, yeah.
Speaker #10: Oh, yeah.
Antoine Maillet-Mezeray: Ballpark, sorry, Jack. Ballpark, we're looking for about 10% year-over-year improvements in unit cost per package delivered.
Antoine Maillet-Mezeray: Ballpark, sorry, Jack. Ballpark, we're looking for about 10% year-over-year improvements in unit cost per package delivered.
Speaker #9: Jack. Ballpark, we're looking for about 10% year-over-year improvement in unit cost per package delivered.
Operator 3: Your next question is from Tracy Kinyanjui with SBG Securities.
Operator: Your next question is from Tracy Kinyanjui with SBG Securities.
Speaker #11: Tracy Kivanyu with SBG Securities.
Speaker #12: Thank you very much for your presentation. One question from me on GMV guidance for next year. I appreciate the feedback you've given on the question of whether you're looking at constant currency performance or not.
Tracy Kivunyu: Thank you very much for your presentation. One question from me on GMV guidance for next year. Considering I appreciate the feedback you've given on the question on whether you're looking at constant currency performance or not. But even on a constant currency basis, the guidance looks quite light considering there's the low base effects of corporate sales in Q1 2025 that should help, you know, to boost that year-on-year comparison. So I was just wondering if there are any risks to that guidance in the markets that you're factoring in, or are you just taking a more conservative approach than you were possibly when you were releasing your Q3 results? Thanks.
Tracy Kivunyu: Thank you very much for your presentation. One question from me on GMV guidance for next year. Considering I appreciate the feedback you've given on the question on whether you're looking at constant currency performance or not. But even on a constant currency basis, the guidance looks quite light considering there's the low base effects of corporate sales in Q1 2025 that should help, you know, to boost that year-on-year comparison. So I was just wondering if there are any risks to that guidance in the markets that you're factoring in, or are you just taking a more conservative approach than you were possibly when you were releasing your Q3 results? Thanks.
Speaker #12: But even on a constant currency basis, the guidance looks quite light considering there's the low base effect of corporate sales in the first quarter of 2025 that should help to boost that year-on-year comparison.
Speaker #12: So I was just wondering if there are any risks to that guidance in the markets that you're factoring in. Or are you just picking a more conservative approach than you were possibly when you were releasing your third quarter results?
Speaker #9: So Thanks. we're not factoring any specific risk at market level. I think as I was mentioning, we're fairly confident with the macro environment. There are no specific events in the countries where we operate that will take place this year.
Antoine Maillet-Mezeray: So we're not factoring any specific risk at market level. I think, as I was mentioning, we're fairly confident with the macro environment. There are no specific events in the countries where we operate that will take place this year that might disrupt the markets, as far as we know. So I would say we've been I mean, we're providing a guidance that's realistic and related I mean, hopefully, a bit conservative.
Francis Dufay: So we're not factoring any specific risk at market level. I think, as I was mentioning, we're fairly confident with the macro environment. There are no specific events in the countries where we operate that will take place this year that might disrupt the markets, as far as we know. So I would say we've been I mean, we're providing a guidance that's realistic and related I mean, hopefully, a bit conservative.
Speaker #9: That might disrupt the market as far as we know. So I would say we've been I mean, we're providing a guidance that's realistic. And I mean, hopefully, a bit conservative.
Speaker #12: All right. Thank you.
Tracy Kivunyu: Right. Thank you.
Tracy Kivunyu: Right. Thank you.
Speaker #10: And sorry, and Tracy, I would add to that as well. I mean, we're providing this guidance, and to your question, maybe it looks a bit shy compared to the growth rate we're delivering in Q4.
Antoine Maillet-Mezeray: Sorry, and Tracy, I would add to that as well. I mean, we're providing this guidance, and, to your question, maybe it looks a bit shy compared to the growth rate we're delivering in Q4. But it's also a guidance that we want to deliver while improving the take rate. So we're increasing commissions. We're increasing fees. We'll be tighter on some dimensions of spend. So we'll be looking for better marketing ratios and so on. So we're adding additional constraints on that growth. So we believe it's the right balance here.
Francis Dufay: Sorry, and Tracy, I would add to that as well. I mean, we're providing this guidance, and, to your question, maybe it looks a bit shy compared to the growth rate we're delivering in Q4. But it's also a guidance that we want to deliver while improving the take rate. So we're increasing commissions. We're increasing fees. We'll be tighter on some dimensions of spend. So we'll be looking for better marketing ratios and so on. So we're adding additional constraints on that growth. So we believe it's the right balance here.
Speaker #10: But it's also a guidance that we want to deliver while improving the take rate. So we're increasing commissions. We're increasing fees. We'll be tighter on some dimensions of spend.
Speaker #10: So, we'll look for—we'll be looking for better marketing ratios, and so on. So, we're adding additional constraints on that growth. We believe it's the right balance.
Speaker #10: here. Okay.
Tracy Kivunyu: Okay. Okay. That's all. So thank you so much.
Tracy Kivunyu: Okay. Okay. That's all. So thank you so much.
Speaker #10: a little corporate sales, GMV was not extremely high in 2025. So less than 20 million USD. Which is not very material.
Tracy Kivunyu: Sorry, please.
Tracy Kivunyu: Sorry, please.
[Company Representative] (Jumia Technologies AG): Maybe also, corporate sale GMV was not extremely high in 2025, so less than $20 million, which is not very material.
Antoine Maillet-Mezeray: Maybe also, corporate sale GMV was not extremely high in 2025, so less than $20 million, which is not very material.
Speaker #12: Okay. Thanks. And what is the scope of the commission increase in percentage time? In percentage times, if you could share that you've implemented in this year.
Tracy Kivunyu: What is the scope of the commission increase in percentage time in percentage terms, if you could share, that you've implemented, in this year so far?
Tracy Kivunyu: What is the scope of the commission increase in percentage time in percentage terms, if you could share, that you've implemented, in this year so far?
Speaker #10: So, we have not disclosed. But actually, it's public information in each country because we communicate those numbers to vendors. So, it depends on countries.
Antoine Maillet-Mezeray: So we have not disclosed. But I actually, it's public information in each country because we communicate those numbers to vendors. So it depends on countries. In some countries, we've increased by a few decimals. In some other countries, we've increased by almost 2 points. We've had a more aggressive increase on our international vendors because we believe that we're providing now a much better service with much better volumes for them. So we want to, we need to monetize that a little bit as well and make sure, but make sure it remains profitable for them. So, all in all, at group level, I mean, we should be between half a point and a full point over GMV, ballpark.
Francis Dufay: So we have not disclosed. But I actually, it's public information in each country because we communicate those numbers to vendors. So it depends on countries. In some countries, we've increased by a few decimals. In some other countries, we've increased by almost 2 points. We've had a more aggressive increase on our international vendors because we believe that we're providing now a much better service with much better volumes for them. So we want to, we need to monetize that a little bit as well and make sure, but make sure it remains profitable for them. So, all in all, at group level, I mean, we should be between half a point and a full point over GMV, ballpark.
Speaker #10: In some countries, we've increased by a few decimals. In some other countries, we've increased by almost two points. We've had a more aggressive increase on our international vendors because we believe that we're providing now a much better service with much better volumes for them.
Speaker #10: So we want to, we need to monetize that a little bit as well and make sure it remains profitable for them. So all in all, at group level, I mean, we should be between half a point and a full point over GMV.
Speaker #10: Ballpark.
Speaker #12: Thank you. Thank you.
Tracy Kivunyu: Yeah. Thank you.
Tracy Kivunyu: Yeah. Thank you.
Speaker #11: This concludes today's conference. And you may disconnect your lines at this time. Thank you for
Operator 3: This concludes today's conference. You may disconnect your lines at this time. Thank you for your participation.
Operator: This concludes today's conference. You may disconnect your lines at this time. Thank you for your participation.
