Jumia Technologies said it plans to cut at least 200 full-time jobs over the next two quarters as the African e-commerce company pushes to reduce costs, improve efficiency, and achieve profitability by late 2026, according to its first-quarter financial report released on Thursday.
The Lagos-focused e-commerce firm said the layoffs form part of a broader restructuring programme aimed at improving efficiency through automation and artificial intelligence tools across its operations.
“We are actively working to further reduce headcount, continue process automation and leverage AI tools,” the company said in the report, adding that it expects to reduce at least an additional 200 full-time employees over the next two quarters.
The latest cuts would deepen a multi-year downsizing drive at Jumia. The company said its total workforce has already fallen by eight percent since December 2024 to about 1,980 employees as of March 2026, compared with 4,318 employees at the end of 2022 when current leadership took over.
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The move comes as Jumia posted stronger first-quarter growth and narrowed operating losses, signaling that its cost-cutting measures are beginning to improve financial performance.
Revenue rose 39 percent year-on-year to $50.6 million, while gross merchandise value (GMV) increased 31 percent to $211.2 million. Adjusted EBITDA loss narrowed 32 percent to $10.7 million. Nigeria, its largest market, recorded standout growth with GMV rising 42 percent.
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Francis Dufay, the company’s chief executive said the Jumia operating leverage was starting to translate into better financial results as higher transaction volumes improved the economics of its platform.
Jumia said artificial intelligence is now being used across logistics, customer service, finance, cybersecurity, seller management, and software development to lower costs and improve efficiency. The company said automation helped reduce headcount while improving service quality and operational performance.
The latest restructuring highlights the pressure on African technology firms to shift from rapid expansion to sustainable profitability after years of investor concerns over heavy losses and cash burn.
Jumia reaffirmed its target of reaching adjusted EBITDA breakeven and positive cash flow in the fourth quarter of 2026, with full-year profitability expected in 2027.
Royal Ibeh
Royal Ibeh is a senior journalist with years of experience reporting on Nigeria’s technology and health sectors. She currently covers the Technology and Health beats for BusinessDay newspaper, where she writes in-depth stories on digital innovation, telecom infrastructure, healthcare systems, and public health policies.
