[NEWS] Africa Roundup: Jumia’s post-IPO earnings, Gokada’s $5.3M raise, Facebook’s fake-news purge, Joe Montana’s fintech investment – Loganspace

Jumiaheld its first put up-IPO earnings name and weathered a speedy-sell assault in Might per chance perhaps fair, with Wall Avenue showing self belief in Pan-African e-commerce firm.

On the numbers, key takeaways had been that Jumia’s Putrid Merchandise Payment (GMV) — the full quantity of products sold over the interval — grew by 58 p.c to €240 million. Market income grew 102 p.c to €16 million, and unsuitable profits as a proportion of GMV grew by 6.5 p.c in Q1 2019.

Overall, Jumia’s working losses for the interval widened to €forty five.4 million from €34.3 and detrimentalEBITDAelevated to €39.5 million from €30.2.

So the startup’s unexcited losing money — see themountainous lossesreported in the IPO submitting — but is bettering its ability to build.

CEO Sacha Poignonnec also shared an extended-interval of time income device on Jumia’s Q1 earnings name. The startup plans to transform its JumiaPay and Jumia Logistics capabilities to standalone companies and products across Africa.

Basically based in Lagos in 2012, the firm for the time being operates extra than one online verticals in 14 African nations — from B2C user retail to trudge bookings.

For Jumia, going public has been an up and down affair. After changing into the principle tech startup working in Africa to checklist on a chief alternate (the NYSE in April), the firm seen its share upward thrust 70 p.c after itemizing on the NYSE in April at $14.50.

Then in Might per chance perhaps fair, Jumia’s stock tumbled when it came under assault from a speedy-vendor Andrew Left, who accused the firm of fraud. On the earnings name the startup’s CEO spoke back to the speedy-vendor claims announcing, “Jumia stands by our prospectus and audited financials…and must no longer be distracted by those that behold…to profit at our expense.” Poignonnec latertook to mediaand refuted claims as “market rumors fairly than facts.”

Citibank analyst Andrew Howellrevealed his occupy response, grand of it discrediting the Citron Be taught.

Overall, Wall Avenue seemed assured in Jumia’s put up-IPO outcomes and outreach, with Raymond James and Berenberg upgrading their Jumia stock options to purchase-identical rankings. Jumia’s stock has remained real since,closing at $25.81Monday.

When it involves e-commerce in Africa, Jumia would possibly per chance perhaps well additionally fair face stiffer competitors from DHL. The transport massive teamed up with MallforAfrica to enlarge its Africa eShop app to twenty nations in Might per chance perhaps fair.

DHL went live with the digital retail app in April, bringing bigger than 200 U.S. and U.K. sellers — from Neiman Marcus to Carters — online to African buyers.

Africa eShop operates the exercise of startup MallforAfrica.com’s white attach achievement service, Hyperlink Commerce.

There’s a competitive e-commerce scenario brewing between the 2 platforms. DHL Africa eShop touts itself as “Africa’s Finest Online Taking a behold Platform.” Jumia said, “We hold that our platform is in point of fact the most indispensable e-commerce market in Africa,” in its SEC F-1 submitting.

DHL’s companion for the recent app, MallforAfrica, brings journey taking part with a alternative of mountainous-name shops, including Macy’s and Most life like Preserve. MFA’s fee and transport machine serves as a digital dealer and logistics manager for gargantuan-name shops to sell goods in Africa.

As for the arena e-commerce names, Alibabahas talked about Africa growth, but for the 2nd has no longer entered in full.

Amazon affords restricted e-commerce sales on the continent, but extra particularly, has started offering AWS companies and products in Africa.

With Jumia’s dedication to give its logistics and payments capabilities as companies and products, DHL and MallforAfrica will be on a footing to compete Jumia. All three would possibly well also derive themselves either competing (or working with) mountainous e-commerce names coming into Africa.

There’s been so much of market motion in Africa’s motorbike drag-hail stutter over the final One year-plus.Uber  began offering a two-wheel transitoption in East Africa in 2018, spherical the identical time Crawl (previously Taxify) started motorbike taxi service in Kenya.

Uganda-based fully mostly motorbike drag-hail firm SafeBoda moved into Kenya in 2018 and final month raiseda Collection B spherical of an undisclosed quantity on plansto additional enlarge into in East Africa and Nigeria.

In Lagos, there’s already motorbike drag-hail firm Gokada, which raised a $5.3 million Collection A spherical in Might per chance perhaps fair.

Gokada has professional and on-boarded bigger than 1,000 bikes and their pilots on its app that connects commuters to moto-taxis andDOT– approved helmets.

The startup has performed almost 1 million rides because it became as soon as co-based in 2018 by Fahim Saleh — a Bangladeshi entrepreneur. Gokada will exercise the financing to amplify its snappily and drag quantity, while rising a community to give goods and companies and products to its drivers, Saleh educatedTechCrunch on this extraordinary.

Gokada differs from other drag-hail ventures in that it doesn’t cleave up fare income with drivers. Gokada prices drivers a flat-fee of 3,000 Nigerian Naira a day (spherical $8) to work on their platform. The firm looks to generate the next share of its income from constructing a industrial community spherical its driver neighborhood.

Extra American sports celebrities are getting desirous about African tech. Serena Williams invested in Andela, NBA massive nameAndre Iguodalajoined Jumia’s board, and in Might per chance perhaps fair, NFL hall-of-famer Joe Montana invested in African fintech startupChipper Money.

The Africa centered no-fee, defective-border fee startup raised a $2.4 million seed spherical led byDeciens Capital.

The payments firm also persuaded 500 Startups and Liquid 2 Ventures — co-based by Joe Montana — to be half of the spherical.

Chipper Money’s Ugandan chief govt, Ham Serunjogi, pitched the U.S. soccer fable straight.

Basically based in San Francisco — with areas of work in Ghana and Nairobi — Chipper Money has processed 250,000 defective-border, P2P transactions for bigger than 70,000 crammed with life users, in preserving with Serunjogi.

In conjunction with the seed spherical, Chipper Money is launching Chipper Checkout: a service provider-centered, C2B cell payments product.

This aspect of the startup’s offerings isn’t free, and Chipper Money will exercise revenues from Chipper Checkout  to pork up its no-fee, Africa cell money industry.

Chipper Money will enlarge beyond its present operations in Ghana,Kenya, Rwanda, Tanzania and Uganda internal the next One year.

In a roundabout contrivance, in Might per chance perhaps fair Facebook week purged a community of hundreds of pages, teams and Instagram accounts it labeled as producing “coordinated inauthentic conduct” toward Africa.

The task originated in Israel and became as soon as largely centered toward Nigeria, Senegal, Togo, Angola, Niger, and Tunisia.

It became as soon as mostly political in nature and basically paid for by Archemedes Community, a world political consulting agency, Facebook said.

The affair highlighted a pattern of erroneous data on social media platforms rearing its head in Africa. Cambridge Analytica, backed byU.S. mountainous-files billionaire Robert Mercer, became as soon as chanced on to had been involved in elections in Kenya and Nigeria earlier than its controversial position directing expert-Brexit and expert-Trump online task in 2016. Facebook later banned Cambridge Analytica from its platform.

Social media pushed erroneous data — totally on Facebook and WhatsApp — become such an argument in Kenya’s 2017 elections the nation’s parliament handed a bill in 2018, with utter punitive measures, to strive in opposition to it.

Facebook has prioritized enhance in Africa and grown Africa users toover 200 million and Facebook owned chat-instrument, WhatsApp, is in point of fact the most downloaded messenger appon the continent.

But Facebook’s present Africa memoir purge displays when Facebook travels, so too does its checklist of consultants and cons, including the flexibility of world actors to exercise it for execrable uses in native settings.

Extra Africa Connected Tales @TechCrunch

• Zipline’s recent $190 million funding contrivance it’s essentially the latest billion greenback contender in the game of drones
• WorldCover raises $6M spherical for rising markets’ native weather insurance
• These startups are finding in SF and Africa torep in world fintech
• Diving deep into Africa’s blossoming tech scene

African Tech Around The Safe

• MTN lists on Nigeria Stock Trade, becomes 2nd most helpful firm
• Microsoft to use $100 million on Kenya, Nigeria tech pattern hub
• Uganda’s SafeBoda secures Collection B funding spherical

 

 

 

For the 2nd, DHL’s Africa eShop growth creates additional alternative on overlapping product courses with Jumia, while offering African buyers extra label war in the working nations it shares with Jumia. These for the time being stand at 10: South Africa, Kenya, Nigeria, Tanzania, Cameroon, Uganda, Ivory Flee, Rwanda, Senegal and Ghana.