InPost: Volume Up 32% and Revenue at 3.9 Billion PLN, but Margin Declines by 850 bps
InPost kicked off 2026 on a high note, with a parcel volume of 359 million (+32% year-over-year) and revenue up 31% to 3.9 billion zlotys. This growth, driven by successful consolidation in the UK (Yodel) and sustained momentum in the Eurozone (+28%), however, masks a significant setback: Adjusted EBITDA fell by 4% to 902 million zlotys, while the margin contracted by 850 basis points, from 31.9% to 23.4%. This contrast highlights the heavy price of the group's transformation, particularly in the British Isles.
Robust Volumes, but Profitability Challenged
The quarter follows a three-speed growth trajectory. The UK reported a spectacular volume increase of 220% (77 million parcels), driven by the consolidation of Yodel and a strong ramp-up in the B2C segment, which now accounts for 61% of UK volumes. Poland, the group's historical core, grew more modestly at +8% (188 million parcels), while the Eurozone accelerated by +28% (94 million), spurred by a 34% rise in B2C demand and a 48% jump in locker adoption. Revenue dynamics were positive: 3.9 billion zlotys (+31% year-over-year), propelled by a 121% increase in the UK (+120.9% for the consolidated segment) and a 27.5% rise in the Eurozone. Only Poland slowed down to +9.2%, impacted by a less favorable mix composition despite positive pricing discipline on lockers. However, this growth comes with eroding margins. Adjusted EBITDA fell by 4% to 902 million zlotys, its margin contracting by 850 basis points. The UK is a drain: Adjusted EBITDA plummeted to -49 million zlotys (-5.2% margin), compared to a positive profitability of 62 million last year. In Poland, the margin contracted by 80 basis points to 47.1%, hampered by logistics costs and investments in new services. Only the Eurozone maintained its margin at 13.5%, stable year-over-year.
UK Transformation and Cash Flow Under Pressure
The acquisition and overhaul of Yodel represent the major operational challenge this quarter. The group restarted the transformation in January 2026, focusing on optimizing cost per parcel, consolidating the logistics network, and enhancing middle-mile efficiency. Early quality signals are positive: a Trustpilot rating of 4.7, over 70% of B2C parcels delivered in D+1, and more than 90% in D+2. However, this transformation comes at a high cost. The UK locker network expanded by 45% year-over-year to 14,623 units, with about 70 new lockers deployed each week. This growth pace, combined with operational streamlining, explains the EBITDA loss for the quarter. On the cash flow front, the picture worsens. The group's free cash flow plummeted to -410 million zlotys (compared to +63 million last year), dug deeper by negative international segment flows (-638 million) and an increased leverage ratio to 2.4x (from 1.9x). InPost anticipates this pattern to persist in 2026, with negative free cash flow expected at year-end and a slightly higher net debt/EBITDA ratio year-over-year.
Record Investments and Unchanged 2026 Guidance
The group maintains its massive investment program intact. The quarter's Capex stood at 360 million zlotys (+6% year-over-year), representing 9.3% of revenues, with the majority allocated to the production and deployment of lockers. For the fiscal year 2026, InPost plans a Capex of approximately 2.4 billion zlotys, with 60% dedicated to lockers (APMs). This effort will result in the addition of about 20,000 lockers throughout the year: 3,000 in Poland, 12,000 in the Eurozone, and 5,000 in the UK. Regarding guidance, the group remains unchanged. Group revenue is expected to grow in the mid-teens, net operating income (Adjusted EBITDA) to remain stable year-over-year with a margin established in the mid-20s, and the network to achieve increased density in pickup points, particularly through the ramp-up of lockers, including in the Eurozone where the margin is expected to improve slightly. For the second quarter, InPost anticipates growth in the mid- to high-teens year-over-year.
