Jumia has cut 7% of its workforce even as it reported stronger revenue in its latest financial update. The eCommerce company announced that it earned $45.6 million in Q3 2025, a rise of 25 percent from $36.4 million in the same quarter last year.
Revenue grew on the back of increased customer demand and higher activity across its strategic markets. Nigeria was still the biggest driver of performance, expanding orders 30% and Gross Merchandise Value 43%. The company, however, still posted an operating loss of $17.4 million, although this reflects an improvement from the $20.1 million loss recorded in 2024.
“These results are indicative that we are now approaching a major turning point,” said Francis Dufay, the chief executive officer of Jumia, in a statement. “We continue to strengthen our cost structure and sharpen operational discipline, reinforcing our path toward profitability. We are on track to reach breakeven on a Loss before Income tax basis in Q4 2026 and achieve full-year profitability in 2027.“
AI’s Role in Changing Jumia Workforce
The workforce at Jumia declined to 2,010 employees by the end of Q3, a decline linked to the company’s use of artificial intelligence in various departments. According to the filing, AI is now embedded in customer service, marketing, and technology operations for the business to automate regular tasks and scale with fewer personnel.
The company said these efforts are improving efficiency while reducing operating costs, in line with a wider global shift as businesses explore ways of trimming overheads through AI-powered workflows.
Meanwhile, the company also saw general and administrative expenses decline 7% to $17.6 million. While higher staff costs and professional fees were recorded, much of that was due to currency translation impacts. On the other hand, advertising spending rose 18% to $5.2 million as it continued to invest in acquiring customers.
A Push Toward Profitability
Despite the cutbacks, Jumia says it remains focused on capturing more customers and strengthening its position in Africa’s online retail market. The company expects its drive for greater operational discipline to support its profitability targets, while it also expects a continued decline in administrative expenses given its AI-led strategy expansion.
Jumia believes these measures will help it build a leaner and more scalable business, setting the stage for long-term growth.
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[…] with both good and bad news: it increased revenues, at the cost of a decreased number of employees. The eCommerce firm has projected a 25 percent increase in Q3 2025 revenue to 45.6 million dollars, with its increased momentum of customers and high […]