Jumia Technologies (JMIA) Surges 11.42% on Q2 Earnings, Strategic Turnaround Drives Four-Day Rally

Jumia Technologies (JMIA) surged 1.98% on Thursday, marking its fourth consecutive day of gains, with the stock climbing 11.42% over the past four trading sessions. The share price hit an intraday high of $X.XX, its highest level since October 2025, driven by renewed investor confidence in the African e-commerce leader’s strategic turnaround.

The rally follows Q2 2025 earnings that highlighted a 25% year-over-year revenue increase to $45.6 million, fueled by a 6% rise in gross merchandise value (GMV) to $180.2 million. Strengthening first-party sales, which grew 47% to $23.6 million through partnerships with global brands, underscored Jumia’s ability to diversify revenue streams. Operational efficiency also improved, with a 18% reduction in operating losses to $16.5 million and a 17% decline in adjusted EBITDA losses to $13.6 million, reflecting cost discipline and AI-driven productivity gains.

Strategic market expansion into underserved regions contributed to 59% of Q2 orders coming from non-metro areas, up from 52% in Q2 2024. Enhanced customer retention, with repurchase rates rising 466 basis points year-over-year, further signaled resilience in core markets. Jumia also raised full-year 2025 guidance, projecting 25–30% physical goods order growth and 15–20% GMV expansion, while reaffirming breakeven targets by late 2026.

Analyst optimism bolstered the stock, with RBC Capital upgrading its price target to $6.50, citing currency stabilization and improved financial metrics. A $2.8 million foreign exchange gain in Q2 contrasted with a $0.2 million loss in Q2 2024, reflecting hedging strategies and favorable exchange rate movements. However, macroeconomic risks in operating markets and liquidity constraints—$12.4 million cash burn in Q2—remain near-term challenges for the company to manage.