InPost Q2 results: revenue up 23%, across 9 markets

InPost Group has published its Q2 & H1 2024 results, revealing  significant gains in sales, profitability and free cash flow (FCF), as well as continued expansion of its locker network in all key markets.

Executive summary Q2 2024
✓ Group volume increase: The Group’s parcel volume reached 264.4 million, representing a significant YoY increase of 23%. Poland and InPost’s international markets contributed to this growth, recording YoY improvements of 20% and 29%, respectively.
✓ Group revenue growth: The Group delivered another quarter of substantial revenue growth, reaching PLN 2,623.0 million and marking a 22.5% YoY improvement. Particularly robust performances have been observed in Poland and the UK, as well as in the B2C segment in the Mondial Relay markets.
✓ Significant Adjusted EBITDA increase: Group Adjusted EBITDA reached PLN 887.3 million in Q2 2024, representing an increase of 28.6% YoY, primarily driven by Poland. Adjusted EBITDA margin reached 33.8%, a rise of 160bps compared with Q2 2023. This has mainly been attributed to the international part of the business.
✓ Positive FCF and further deleverage: InPost achieved positive FCF of PLN 367.3 million at the Group level in H1 2024. In Poland, FCF amounted to PLN 623.4 million in H1 2024, corresponding to a 44% FCF/Adjusted EBITDA conversion (41% a year ago). This strong performance has allowed for the financing of the Group’s rapid expansion in the rest of Europe. The Group’s net leverage decreased to 1.95x at the end of Q2 2024 from 2.22x at the end of 2023.
✓ Poland’s volume above-market growth at a sequentially strong margin: In Poland, during Q2 2024, the InPost volume was 170.4 million parcels, up by 20% YoY, above the pace of the e-commerce market volume. The Adjusted EBITDA reached PLN 730.2 million (+18% YoY), with margins remaining strong and in line with outlook.
✓ Mondial Relay strong B2C and improved margins: Mondial Relay parcel volume amounted to 64.9 million (+9% YoY), primarily driven by a further dynamic increase in the B2C segment (+21% YoY). Mondial Relay Adjusted EBITDA margin improved to 17.0% (excl. one-offs) from 13.3% a year ago on the back of scale, product mix effect and operational improvements.
✓ More than doubling volumes in the UK and Italy: In the UK and Italy segment, InPost successfully delivered 29.1 million parcels in Q2 2024 (+119% YoY). Both markets recorded another profitable quarter on the Adjusted EBITDA level. For the total segment, Adjusted EBITDA reached PLN 31.8 million in Q2 2024 (10.4% Adjusted EBITDA margin) compared with a loss of PLN 24.0 million a year earlier.
✓ Trading update Q3: So far, in Q3 2024, we see continued volume growth of c. 20% at the Group level, with volume in Poland growing in the mid to high teens and total international volume growing at a similar rate to Q2 2024

Rafał Brzoska, Founder and CEO of InPost Group, commented: “In Q2 2024, we delivered another set of strong operational and financial results. At the Group level, we once again reported strong above-market volumes, revenue and profits. We are accelerating our APM network expansion. Last quarter, we set a new record for locker deployments, with 3,000 new APMs.

In Poland, we focus on quality, and we remain the market leader3 with the best user experience and customer reviews in the sector. In Mondial Relay, we have continued to grow quickly in the B2C space, despite the market challenges, and we have started to deliver on our guided margin improvement. In the UK, our fastest growing market, we have accelerated our growth compared with Q1 2024. We are improving network utilization, and our app was among the top 10 most downloaded lifestyle apps in the UK many times this year.

We remain consistent in executing our strategy for each market and continue to focus on our expansion while maintaining the cost discipline.”