Jumia records losses in Q2 of 2020 but shares rise by 183 percent

Jumia records losses in Q2 of 2020 but shares rise by 183 percent

- Reports have revealed that Jumia recorded losses in Q2 of the year 2020

- The company's sales fell by 13% from €263 million in Q2 2019 to €228 million in the same period in 2020

- Jumia, however, recorded a 183% increase in the value of its shares in July 2020

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YEN.com.gh has learned that Africa’s largest eCommerce operator, Jumia, recorded losses in the second quarter of the year 2020.

Per its financial report for the period in question, it recorded a fall in the value of sales and reduced losses for the second quarter in a row.

However, investor confidence in the company went up as shares increased by 183% in July.

Jumia records losses in Q2 of 2020 but shares rise by 183 percent
A photo of Jumia's employees Source: qz.com
Source: UGC

READ ALSO: 2020 Q1: Report shows 44% drop in cargo following outbreak of COVID-19

YEN.com.gh understands that the company also recorded increased food orders as more sellers requested to use Jumia’s platform to distribute their products and services.

Per a report by Business Insider, Jumia recorded a gross profit of €6 million in the second quarter after its fulfillment expense.

In the second quarter of 2019 and the first quarter of 2020, it recorded a loss of €0.7 million and profit of €2.5 million respectively.

In the second quarter of 2020, the total value of its sales was €228 million, which was 13% lower than €263 million Q2 2019.

In other news, ARB Apex Bank recorded a profit before tax of GHc1 million for the 2019 operational year.

This represents a 10% increase in the results it posted in the preceding year, which was GHc0.91 million profit before tax.

The Bank’s total operating income increased by 17% from GHc55.5 million in 2018 to GHc64.96 million in 2019 despite the falling interest rates that affected its profitability.

READ ALSO: Report shows cedi's depreciation to dollar could be less than 5%

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Source: Yen

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