Jumia

In mid-May 2026, pan-African e-commerce company Jumia cut approximately 200 jobs, roughly 10% of its workforce, as part of CEO Francis Dufay's ongoing profitability push. The company framed the cuts around AI-driven productivity gains in back-office and call-center functions, following earlier rounds of cost-cutting and market exits since 2023. The move continued a broader wave of workforce reductions across African tech, but analysts noted the AI framing served to explain a cost-cutting strategy that predated the AI narrative, with Q4 EBITDA results the key test of whether the efficiency claims hold up.

In May 2025, Baillie Gifford, Jumia's largest investor, completely liquidated its entire position after gradually reducing ownership from 10% to 9.2% to 7.4% in 2024. The final block was sold around $2.5 per share, representing an estimated 80-90% capital loss from the original purchase price in the mid-$20s. Q1 2025 revenue dropped 26% with only $110 million left in cash reserves. Jumia faced a $66 million operating loss in 2024.

In 2019, Citron Research alleged massive discrepancies between Jumia's confidential investor presentation (stating 41% of orders were returned, not delivered, or cancelled) and what the company reported to the SEC. Citron stated: 'In 18 years of publishing, Citron has never seen such an obvious fraud as Jumia.' The allegations raised questions about the company's reported metrics and business fundamentals.