Benzinga | May 11, 2021 10:57AM EDT

Pandemic And Political Uncertainty Hit Jumia Technologies Q1 Results, Affects Financial Guidance

* Jumia Technologies AG (NYSE: JMIA) reported a first-quarter FY21 revenue decline of 6.4% year-on-year to (euro)27.4 million.

* GMV declined 13% Y/Y to (euro)165 million, TPV rose 20.9% Y/Y (euro)42.9 million, and Marketplace revenue rose 5.9% Y/Y to (euro)20.2 million.

* Under Platform revenue, Commissions revenue rose 8.8% Y/Y to (euro)7.6 million, Fulfillment rose 10.6% Y/Y to (euro)7.1 million, Marketing & Advertising rose 35.6% Y/Y to (euro)1.6 million, Value Added Services declined 12.8% Y/Y to (euro)3.9 million. First, Party revenue fell 34.7% Y/Y to (euro)6.5 million.

* Non-Platform revenue rose 157.4% Y/Y to (euro)0.7 million.

* Adjusted EBITDA loss declined 24.2% Y/Y to (euro)27 million, and the operating loss narrowed 23% Y/Y to (euro)33.7 million.

* Jumia held (euro)485.6 million in cash and equivalents and used (euro)29.5 million in operating cash flow.

* Q1 of 2021 was the sixth consecutive quarter of positive gross profit after fulfillment expense, which reached (euro)6.2 million, more than doubling Y/Y, while Adjusted EBITDA loss contracted by 24% Y/Y, reaching (euro)27 million, Co-CEOs Jeremy Hodara and Sacha Poignonnec said.

* Jumia made further inroads in payment and fintech, with 37% of Orders in Q1 of 2021 completed using JumiaPay. The company has raised over $570 million over the past six months, Hodara and Poignonnec said.

* Guidance: The pandemic-induced uncertainty continues to cast doubt regarding the company's financial outlook, further intensified by social protests or political disruption in Nigeria in late 2020 and early 2021.

* Read: Exclusive: Why Citron Research's Andrew Left Says Jumia Could Be Buyout Target

* Price action: JMIA shares traded lower by 7.6% at $21.66 on the last check Tuesday.