Jumia Technologies AG has raised $50 million in fresh funding as its second-quarter 2026 revenue rose by 14 per cent year-on-year to $52 million.
The funding round was led by the International Finance Corporation (IFC), which invested $25 million. Axian, one of Jumia’s major shareholders, also took part in the round.
Investors agreed to buy 9.1 million American Depositary Shares (ADS) at $5.52 each. Jumia expects the transaction to close in the second half of August 2026.
Jumia recorded $52 million in revenue in the second quarter. This represents a 14 per cent increase from the same period last year.
The company also reported a 15 per cent rise on a constant-currency basis. It linked the growth to higher transaction volumes across its markets.
However, a larger share of third-party sales affected the revenue mix. These sales generate commission income instead of the full value of goods sold.
Jumia’s gross profit rose by 28 per cent during the quarter. Its adjusted EBITDA loss also fell by 36 per cent to $8.7 million.
The company said it remained focused on improving margins and unit economics.
Jumia’s marketplace business recorded strong growth during the quarter.
Marketplace revenue rose 34 per cent year-on-year to $28.8 million.
Third-party sales revenue increased by 26 per cent to $23.5 million. Marketing and advertising revenue also jumped by 88 per cent to $3.5 million.
Value-added services revenue rose by 61 per cent to $1.9 million. The company attributed the increase mainly to higher warehousing fees.
Jumia plans to use the new funding to support growth and improve efficiency across its African markets.
The company also plans to strengthen its marketplace and logistics operations.
Jumia CEO Francis Dufay said the company remains on track to reach adjusted EBITDA break-even and positive cash flow in the fourth quarter of 2026.
The company is also targeting full-year adjusted EBITDA profitability and positive cash flow in 2027.
Despite the improved results, Jumia continues to face several challenges.
Supply disruptions have affected phones and electronics. Higher fuel costs have also increased pressure on the business.
The company also faces weaker consumer demand in some of its markets.
Still, the latest results show progress in Jumia’s efforts to improve revenue, reduce losses and move towards profitability.
