Hi, I'm Mike Harris, Transitional Head of Investor Relations at InPost. Welcome to InPost Q2 2022 results call. Today, we'll have comments on our accelerating outperformance versus peers in Q2 from CEO Rafał Brzoska. Head of International, Michael Rouse, will run us through our significant outperformance in Western Europe. Adam Aleksandrowicz, our CFO, will as always guide us through the financials. A quick disclaimer, today's call includes forward-looking statements that are subject to risks and uncertainties, and it is possible that actual results will differ materially. This call is being recorded. Rafał, over to you. Thank you, Mike, and thank you all for joining us this morning. It's been another exciting quarter of outperformance for InPost, which I look forward to discussing. First, a reminder of what we are all about. Our mission is nothing short of changing the consumer ease, economic efficiencies, and sustainability of Europe's e-commerce last mile. Lockers are an e-commerce enabler for merchants and, as is known by any of you who have the benefit of a nearby InPost locker and our app, very transformative for consumer control of pickup times. Rarely are the cost efficiencies of automating an industry such a victory for consumers, and our accelerating market share gains you will hear about are a manifestation of the structural advantages we offer to both merchants and consumers. On the next page, you see three clear indications of why lockers are simply the most consumer-centric and sustainable mass market solution for last mile delivery. First is convenience. As mentioned, when lockers are convenient, consumers love the high-quality experience of controlling collection times. Our locker NPS of 75 is in another league versus less differentiated To-door competitors. A satisfied consumer is the holy grail for merchants, and as our NPS indicates, we elevate the consumer e-commerce experience. That's a big win for merchants. Our second differentiator is, of course, the cost efficiency. In this new inflationary world, a merchant focus on limiting cost pressures is super supportive of our market share as our Q2 outperformance reflects. Beyond cost for the merchants, everyone on our planet and in our communities benefits from the reduced need for vehicles versus traditional To-door delivery. This means dramatically fewer vehicles, resources used, and carbon emitted per parcel. Like any business, we are seeking to reduce our own carbon footprint, but where we make the most difference is in how we help retailers achieve their own sustainability objectives. Every merchant order that is delivered via one of our lockers can save the merchants up to 75% on the carbon footprint of a to-door e-commerce sale. From a sustainability perspective, our product offering to merchants is head and shoulders above the competition. On the next page, we show the drivers of our flywheel that reflect our truly unique and transformational last mile solution. Just a quick reminder of the mechanism here. The core of our proposition is convenience for consumers, which gives them control of pickup times that to-door delivery simply cannot match. As we invest in new machines to improve proximity to consumers, this drives not only growth in new users, but increased loyalty and intensity of usage from our existing customers. This leads to more consumer convenience and control, of course, which means many choose us as their preferred option for parcel delivery. Merchant engagement also spirals as we offer retailers access to a consumer base that To-door logistics suppliers or new locker networks would struggle to tap. When our flywheel is humming, we are not just a highly efficient service for merchants, we are literally a gateway to the market. At the same time, the rising intensity of volumes going through our fixed cost base drives courier productivity to relentlessly rise. Simply, we are a specialist that is automating the most antiquated cost base in the retail sector, the extremely manual and high-touch e-commerce last mile. Our courier productivity levels cannot be matched by traditional To-door delivery. In Poland, our couriers deliver as many as eight times more parcels per courier than traditional To-door providers. The result of this productivity is a price to merchants that is highly competitive with operating leverage and robust financial returns. For any competitor to replicate our returns, they will not only need to be a large-scale exceptional operator, they will need to win our consumers. Yet in Poland, we have a highly satisfied existing and rising InPost locker consumer base. Long as we retain that consumer's loyalty, competitors will struggle to match our productivity or margin outcomes. Nothing described above is unique to Poland, where we now account for almost half of all parcels delivered in the country. Yes, it takes time to get the flywheel moving, but with the enormous pre-existing out-of-home consumer base that we have in Mondial Relay's European markets, we have an exceptional starting point. European merchants are increasingly sensitive to the cost, environmental, and societal pressures from the vehicle and energy intensity of traditional to-door logistics. We believe that if we execute well, the stars are aligned for us to ultimately meaningful shares of the last mile in leading Western European markets. Now I'm very pleased to run you through some of our key Q2 highlights, which includes beating quarterly consensus estimates for group volume revenues and of course, adjusted EBITDA. Once again, our flywheel helped contribute to volume outperformance in each of our markets in Q2. Even with the rising uncertainty and inflation pressures on consumer wallets, we grew volumes 20% in Poland, which was nearly three times the estimated sector growth. In France, we grew volume 7% versus a double-digit decline in sector volumes. Our two-year Q2 compound volume growth rate at Mondial Relay is an exceptional 61%. It is worth noting we had already announced the acquisition of Mondial Relay prior to the start of Q2 last year. In the UK, we grew volumes more than 200%, driven by our strong merchant traction with returns. Group volume outperformance has helped to drive margin gains despite inflationary pressures. Polish Q2 EBITDA was up 15% year-over-year. As you will see on the next slide, we had exceptional market share gains in all core markets. In Poland, it comes despite rising competition. Later, I will show you an updated version of an excellent chart that demonstrates the resilience of our lockers with nearby competition. With high levels of consumer satisfaction and regularity of use, the total number of users of our parcel machines in Poland rose 14% to almost 16 million. That's more than 1 user for every household in Poland. While we are being prudent with our balance sheet, we have still increased our number of machines by 12% in Poland year to date to over 18,400 machines. We continue to entrench our competitive mode via enhanced proximity to Polish e-commerce consumers. The result is highly differentiated positioning as an e-commerce enabler with 36% volume growth in our non-Allegro channel in Q2. Our efforts to automate France gained momentum as we surpassed 1,000 APMs there, triple the end of 2021 level. When coupled with our Mondial Relay brand refresh, mobile app launch, and a pending move to the next day delivery, we are extremely excited about the Mondial Relay opportunity ahead of us. In the UK, our APM estate has grown 25% year to date to just shy of 4,000. Michael Rouse, our Head of International, will later run you through our bespoke low-risk UK parcel returns-driven strategy, which is showing a very good traction. On the next page, you can see how we performed in the Q2 versus consensus expectations, which reflects the views of 10 of the brokers that cover InPost. On volumes, we outperformed consensus by almost 7% with an almost 9% beat at Mondial Relay. Our revenue beat was 4.1% with a big uplift from international. With our operating leverage, the beat to adjusted EBITDA was a more substantial 18.2%. On the next page, you can see that of a very high Q2 of 2021 base, we showed strong market-beating volume performance across all our geographies. In Poland, we outgrew the market nearly three times, the widest gap in our outperformance of the market in the past year. These accelerated gains came despite the competition trying to build a presence, and importantly, the late 2021 equalization of Allegro Smart! door and locker minimum order values. Our overall market share gains make it clear that the core of the Polish consumer acceptance of lockers is driven by consumer choice, not price. Consumers get the quality and convenience of their most preferred InPost location, and merchants benefit from lower costs and access to the preferred pickup point of what are often more active consumers. Michael will later talk about international markets, but as you see, we dramatically outperformed the French market by 31 percentage points. In the U.K., we again enjoy triple-digit growth despite a declining market. We continue to sign up U.K. fashion merchants to our differentiated returns proposition while we were highly successful deploying larger APMs with our high-traffic supermarket partners. Next page, please. Here, let's jump into the business update. Here you can see some of the most recent advances in our flywheel. It starts with the improved consumer experience. In all our markets, we showed progress. A 14% increase in APM users in Poland, further environmental gains beyond our category killer product sustainability, the elevation of Mondial Relay's consumers accessibility in France, and rising Trustpilot scores in the UK. Consumer traction leads to rising merchant adoption, and Q2 didn't disappoint. We signed strategic agreements with major marketplaces. In France, we added 2,600 merchants, and in the UK, we continued to elevate our returns penetration among fashion retailers. As our flywheel continues to spin in inflationary and deflationary environments alike, we continue to deploy machines with meaningful scale in all our markets. In Poland, we added nearly 2,000 APMs, equating to more than 311,000 lockers, which is 60% more than all competitors combined. As we get closer to consumers, they respond by using our machines more frequently, which works well both for us and our merchants, and the flywheel keeps spinning. On the next page, we have data that demonstrates how impactful we are as an e-commerce enabler. We offer merchants not just lower cost service, but access to a large pool of active APM users. We are effectively democratizing merchant access to e-commerce consumers. Of our overall 20% Polish volume growth, a third was driven by C2C, where we work with leading platforms. Within B2C, our growth of 14% was double the market's growth. While we are very pleased to help Allegro grow at a faster pace than its overall business via our APMs, we are extremely encouraged to have seen 25% volume growth in Poland with other merchants, and 36% when including C2C and fast-growing international. In addition to the growth that comes from more merchant activity, our data indicates the high penetration and satisfaction of our consumers reduces friction that e-commerce merchants face in to-door dominated markets. We believe we are structurally not just more sustainable, but an accelerant for e-commerce penetration. On the next page, you see how we continue to make exceptional progress in improving our proximity to Polish consumers. We now have 58% of the total population within 7 minutes of an APM. This equates to 85% of the urban population within 7 minutes, and 71% of the urban population within a 5-minute walk of one of our machines, and that's an improvement of 8 percentage points in the last 12 months. By contrast, our main competitor's level of penetration is just 14% based on the 7-minute threshold. As you can see on the right chart, in the first half of 2022, we added just under 2,000 APMs in Poland out of 4,800 APMs added in the entire market. It is worth noting that competing lockers remain much smaller than ours, which can have implications for both service quality and, most importantly, productivity. With our larger APMs, we accounted for 60% of locker compartments added in the market in the first half of the year, which leaves us with 90% of all locker compartments across the country. As lockers are fixed rather than variable cost-driven, this means that on a like for like volume basis, the margins we achieve are substantially ahead of our competitors and should remain so for as long as we retain the loyalty of our consumers. On the next page, I will show you one of my favorite chart that demonstrates how minimal the market impact of competing lockers has been on our business to date. This excellent chart demonstrates the reality of our competitive moat. Let me walk you through this. We track the performance of every single one of our machines from the time a competing machine is introduced nearby. Here we are showing the year-to-date performance for all our APMs that have a competitor within 100 meters. Our machines' volume are indexed relative to all our other APMs that don't have a neighboring competitor. You see InPost lockers that are attracting competition are naturally in the highest performing locations, hence the index starts above 100. While gaining share is much more complicated than just deploying lockers, even we are somewhat surprised that the relative performance of our lockers facing competition has actually improved. We believe this reflects two realities. One is that our consumers remain extremely loyal as competing machines struggle to differentiate themselves on price, service quality or proximity. We have over 9 million active app users and almost 16 million total users who are overwhelmingly extremely satisfied with our service. This gives us confidence that if we continue to satisfy them, we will remain their preferred option to pick up parcels. Additionally, we believe that as our machines reduce the friction associated with e-commerce delivery, we tend to have an outperforming client base. Both factors, which affirm our relevance to e-commerce merchant success in Poland, are likely driving the resilience of our machines to competition. On the next page, our overall user base has risen by 14% to almost 16 million in the past year. Of these consumers, our super hard user base, which we define as customers who received at least 40 parcels in the last twelve months, expanded from 2.4 million a year ago to 3 million users by the end of Q2. When including hard users or those that order more than 13 parcels, we now have more than 7 million higher intensity users. This InPost-specific demographic is up almost 7% year to date and 19% in the last twelve months. Again, as convenience and satisfaction enable greater ease of use, we expect the intensity of usage of our user base will continue to be a driver of overall market growth. One of our key points of differentiation is our over 9 million active app users. As a reminder, in Q1 functionality added included quick returns, Google Pay, and launching a Ukrainian version. In Q2, we added labelless end and return via the app, eco-packaging returns, and direct connection with the call center and the chatbot via the app. All these complement key drivers of the app, which include remote opening of lockers and the ability to monitor all your orders from all of our 40,000+ merchants. This last point is a key point of differentiation of a merchant-agnostic platform like ours. This level of functionality and connectivity with our customers is key element of InPost success. On the next page, we are showing how InPost, by dramatically reducing the resource required to deliver a parcel, is solving one of the society's key future challenges. Just one APM in Poland reduces CO2 emissions by 53 kilograms daily. It's an equivalent to planting 3,000 trees. With more than 18,400 InPost APMs now in use in Poland, that is the equivalent of more than 55 million trees. In 2021, 54 million liters of fuel were saved through the use of lockers versus to-door deliveries. Each parcel sent via locker can reduce emissions by up to 75%, and of course, meaningfully improve traffic and all its ill effects. Even when we have a parcel delivered via electric vehicles powered by renewable energy, the simple fact is, parcels delivered To-door would still need as much as 8 times the number of the vehicles and 8 times the amount of renewable capacity when a green parcel delivered to an APM. From a merchant sustainability perspective, InPost service is head and shoulders above all other scalable solutions. We are a sustainability game changer here, and in addition to InPost service leading to dramatic falls in the resources required for merchants to get their product to consumers, InPost own business continues to make meaningful progress in the sustainability of our own operations. In Q2, new initiatives included testing for reusable packaging for locker deliveries, instant label-less locker returns via the app, and screen-less APMs. This last initiative reduces both the energy consumption required to operate APMs and the raw material and electronic component intensity needed to manufacture them. InPost EkoBox provides consumers with the option to receive their parcel in eco-friendly packaging and return it via InPost lockers to be reused again. Another InPost initiative designed to reduce waste and support environmental goals is eco returns, through which people can pass an unwanted possession, such as small electrical items or clothing, to have a second life. At our core, we are a business focused on sustainability. Beyond our sector transforming product, ESG is increasingly penetrating every aspect of our business. I will now hand over to Michael Rouse, our Head of International, to discuss some of the exceptional progress we are making with Mondial Relay and the UK market. Thank you. Thanks, Rafał. Good morning, everyone. Now let's focus on Mondial Relay France, and the purpose on this page is to remind us of the tremendous opportunity to gain B2C market share with merchants, as highlighted on the left-hand chart. We capture this opportunity by automating the last mile and to drive efficiencies and improve consumer satisfaction through APM deployment, consumer digital engagement, and the speed of delivery, moving the network to D+1 next-day. On the right side, we're making significant progress against all the key pillars of this transformation. Firstly, densifying logistics, which is the backbone to go from an average three-day delivery network to one-day. We've made good progress in the first half of 2022, and we're poised to have the network capacity as we go into 2023. Secondly, merchant wins. As we execute on elevating the service, merchants are responding positively with 2,600 new clients year-over-year. Thirdly, locker deployment. We have now surpassed 1,000 lockers in less than a year on a run rate of deployment now approaching 3,000 annualized. Finally, as we accelerate our focus on the French consumer, we have relaunched the Mondial Relay brand with a new tagline that encapsulates the essence of the transformation to create a smile on every corner. On page 19, I've already touched on some of these elements, but I wanted to share some further details of the three major announcements we took to market in Paris on June 23rd this year. The brand relaunch. As we know, InPost is an exceptional service-led brand at great price. Whereas Mondial traditionally has been a price-driven value brand with low focus on service. Not only do we need to replicate the functional qualities of InPost for Mondial, we need to be one that is seen emotionally as part of the consumer's everyday lifestyle and to engage digitally as well as physically. Building on the digital engagement is the pending launch of the mobile app this month, replicating the same journey we have seen successfully in Poland. The app will be the gateway to elevating consumer satisfaction and creating stickiness with APMs. Finally, the official launch of Mondial Relay Express, the game changer in winning the B2C market share as merchants secure the delivery outcome they need to win the out-of-home consumer. The collective impact of these announcements should prove relevant for Mondial Relay performance in 2023. Finally, my last slide on France, I wanted to share three bridge charts that demonstrate how strong the uptake of our lockers has been. On the left, consumers pick up much sooner from a locker than they do from couriers. That's excellent for our ability to optimize utilization, but more importantly, a clear demonstration of how lockers elevate the consumer e-commerce experience. The middle chart is showing just how quickly an already out-of-home audience can embrace lockers. The 2022 cohort of our locker users in France is on par with our Polish cohort of 2019 and much better than the 2017 cohort as previously shown. Our growth continues to significantly outperform the market, as we've highlighted already, and you can see here more specifically on the right-hand side. Our C2C business continued to grow nicely in a declining market. Even before our brand refresh and next day launch, B2C contributed to this Q2 outperformance as macro headwinds attract merchants to our economic value proposition. Finally, volumes in our new lockers equated for just under half of Mondial Relay's Q2 volume growth. All in all, a very encouraging performance in half one and our transformation of Mondial Relay France is progressing at pace. Now let's move on to the UK. We have continued to expand the network, focusing on density, size, and quality of location while tripling volumes. On the left-hand chart, we've expanded the network with the total number of machines doubling versus Q2 2021 and up 25% year to date. The actual number of compartments is outstripping this and growing at 33% as we install bigger APMs focused on high traffic locations such as supermarkets. Six out of the top 10 now working with us in key transport locations such as train and tube stations. Our objective here is to secure the best locations and take first mover advantage. As you can see on the middle chart, the performance of the most recent cohort is very strong versus historical cohorts, not only further highlighting the quality of location, but evidence of accelerating consumer and merchant engagement towards APMs in the UK market. On the right-hand chart, overall volumes more than tripled year-over-year, with returns being a big driver of growth and the improvement in mix, with as much as 30% share of checkout and returns being reported across our leading merchants. My last point to call out here is that in Q2, we still had no contribution from collection or outbound services. Our focus up to this point has been on drop off services for both returns and send for clients such as eBay and Vinted, as we've prioritized in Q1 migrating logistics towards an in-house controllable model similar to Poland and France. Excitingly last week, we launched our first collection services as part of this new model with Vinted. As we target next day service quality post our logistics transition, we expect next day collection from our lockers will be a key point of differentiation for our merchants and a growing strong consumer base, especially in the face of tougher macroeconomic headwinds. Finally, on our last slide. With our differentiated return service, we've made very good progress adding merchants, up over 2x in the last year, approaching nearly 200 enterprise large merchants live now in the UK. Based on external benchmarking with Similarweb and IRX, we're now working with circa 80% of the addressable market across the top e-commerce fashion brands and have continued to add to the merchant base with wins such as River Island and SHEIN going live in the last week of August. Our focus on returns and C2C today in our first phase of UK development has demonstrated superior customer love for our APMs with our Trustpilot scores consistently exceeding those of other carriers and data being measured directly with our retailers showing high repeat usage for first-time locker users. All great building blocks as we strive to launch B2C collection services to lockers in the first half of 2023 within the UK market. The last chart on the right just shows how important this consumer experience is not just with merchants and consumers, but our leading landlords. It's not just filling space in front of the store or facilitating sustainability, all important components, but the outcome of a recent study with a major partner has shown 89 NPS and two-thirds repeat users look truly remarkable in my opinion. In the UK, it starts to become a landlord positive footfall traffic driver, which is one of our key points of differentiation we've seen in Poland. Now over to Adam to take you through the financials. Thank you, Michael. Good morning, everyone. Let's start with summary of our financial performance for the quarter. We have grown group revenues by almost 98% on a reported basis and 23% on like-for-like basis. That is excluding impact of Mondial Relay acquisition. In Poland, we reported 17% revenue growth. Mondial Relay grew by 5% in PLN, and International, off a low base, grew an impressive 414%. Q2 adjusted EBITDA was up by 63% at PLN 506 million, driven by Mondial Relay consolidation. We have delivered an EBITDA growth of 15% in Poland, following high single-digit performance in Q1. We did not see a major impact of currency fluctuations on group-reported EBITDA growth this quarter. As in Q1, the consolidation of Mondial Relay negatively impacted margins. While our consolidated adjusted EBITDA margin fell over 1,200 basis points on a reported basis, majority of this drop reflected consolidation of lower margin business of Mondial Relay. On a like-for-like basis, inflationary pressures and deferred price increases on some of the contracted volumes continued to weigh on margins. The Q2 decline in like-for-like adjusted EBITDA margin was 370 basis points. Still, this was an improvement versus the 660 basis point decline in Q1, thanks to both the operating leverage from strong volumes and continued productivity improvements. Hence, Poland's adjusted EBITDA margins were only modestly down at 45.4% versus 46.3% in Q2 of 2021. International's posted higher absolute loss, but business is sequentially improving with loss margin reducing year-on-year very visibly. A combination of revenue growth and the moderation of CapEx in Poland, CapEx as percentage of revenue fell from almost 20% in Q2 of 2021 to 14% on like-for-like basis. With addition of Mondial Relay capital deployment, CapEx intensity for the group stood at 16% of revenues in Q2 2022 versus 20% a year ago. Reported net leverage, which now includes a full twelve-month adjusted EBITDA contribution from Mondial Relay, stood at 3.2x on a reported basis. This compares to 3.3x in Q1. Moving on to page 25, in summary of six months of financial performance. In the six months of 2022, we have grown revenues by 96% on a reported basis, and almost 21% like for like, excluding impact of Mondial Relay acquisition. Adjusted EBITDA stood at PLN 920 million, posting growth rate of 32.5%. Adjusted EBITDA margin contraction of almost 1,400 basis points, again reflected consolidation of Mondial Relay and somewhat weaker margin performance of Mondial Relay business in Q1 2022, both year-on-year and versus Q2 2022. CapEx on a like-for-like basis was at 20% of revenue, same level as in the first half of 2021. With lower CapEx intensity at Mondial Relay, CapEx as a percentage of revenue was lower by 200 basis points at 18% of revenue in six months of 2022 on a reported basis. As mentioned already, despite a deceleration in Polish sector B2C volume growth, InPost reported an acceleration in volume growth from 16% in Q1 to 20% in Q2. Growth in APM and To-door segment were broadly similar in the quarter, being a reflection of outperformance with our non-Allegro merchants that use both of our services. Poland's volume growth was 18% in first half of the year, and the two-year volume CAGR was an impressive 34% for the six months of the year. We're quite satisfied with this outcome when taken in the context of the overall macro and geopolitical situation and the notable deceleration in overall sector growth. Despite implemented price hikes across Q2 for part of our merchants, the pricing lag on the majority of our revenues, the C2C volume mix effect, and also the outcomes of our volume performance-based price discounts kept overall pricing flat year-on-year, both for Q2 and first half of the year. Revenues in both APM and To-door segment grew at the same rate as the volume growth, both in Q2 and for six months of 2022. The revenue growth rate dilution you see here on total revenue was driven by other revenue element comprising of services like fulfillment, eGrocery, and legacy APM service related to revenue outside of Poland. Polish EBITDA margin, after having fallen by 350 basis points in Q1, fell only by 90 basis points to 45.4% in Q2 of 2022. Given circumstances, that was a strong margin performance, which was largely driven by operating leverage from volume growth and continued productivity improvements. For six months of 2022, we have recorded PLN 830 million of EBITDA, posting growth of 12% year-on-year and 41% two-year CAGR. Margin contraction was 220 basis points, again with Q2 very well managed via partial price increases and productivity improvements. Moving on to page 27, Mondial Relay business. As mentioned already, Mondial Relay delivered volume growth of 10% in Q2 versus an estimated 15% decline in sector volumes. This brings Mondial's two-year volume CAGR to 61% for Q2 and 42% for six months of 2022. Mondial's C2C strength and our long-term pan-European contract with Veepee were supportive of growth, albeit dilutive to pricing. Revenue rose by 5% in Q2 versus 3% in Q1. This acceleration in pricing was supported partially by fuel price adjustment embedded in most of our contracts in France. Countering the mix-driven fall in pricing, Mondial has enjoyed some upward revision to like-for-like pricing, thanks to fuel price surcharges. Mondial Relay's EBITDA fell as expected by 24% year on year in Q2, driven by profitability normalization that we already saw in second half of 2021 and Q1 of 2022. EBITDA margin fell from 22% in Q2 of 2021 to 16% in Q2 of this year. As expected, this margin change reflected an ongoing profitability normalization against the COVID-related productivity windfall in first half of 2021 that boosted PUDO capacity utilization and operating efficiencies to extraordinary levels. While Mondial Relay's Q2 margin of 16% was well ahead of the 12.8% reported in Q1, with some notable improvements in the middle and last mile cost, we still expect the margin to further reduce in the second half of the year as we continue to invest into the logistics and APM network, as well as expand the sales and marketing competencies of Mondial Relay. Page 28, international business. We have seen very strong volume growth internationally, with 246% volume growth in the quarter and 414% revenue growth helped by a shift from rental volume to higher volume merchant returns. This revenue growth accelerated meaningfully versus Q1 growth rates. Adjusted EBITDA losses were 32% up year-over-year, but reduced versus Q1 2022. While we have seen EBITDA losses increasing meaningfully year-over-year in both Q2 and the first half of the year, driven by scale of our operations, we continue to deliver improving unit economics. In line with increasing scale of operations, losses per parcel are falling sharply, driven by positive price mix impact from increasing penetration of our product offering, as well as reduced logistics cost and SG&A leverage. Six months losses included costs associated with the transition from an incumbent logistics service supplier. Originally, we expected this transition to be completed by end of Q2 this year, but it took longer than expected, and we expect now this to be finished by end of Q3, with very meaningful positive impact on unit logistic cost in Q4 of this year. As we stated previously in Q1, the optimization of the courier network should allow us to start generating meaningful and sustainable economies of scale on the back of growing parcel volumes. With the continued fall in per parcel cost and the reduction in one-off costs associated with our logistics transition, we remain confident that the trajectory of EBITDA will be more favorable in subsequent quarters. Page 29. Here you see bridge from adjusted EBITDA to net profit for the six months of 2022. A few points to call out here. Operating EBITDA was up by 59% year-on-year to 909 million PLN, with a 28% EBITDA margin. Similar to Q1 dynamics, D&A was up by 83%, driven by the scale of asset rollout, both on PPE as well as IFRS 16 lease amortization. Mondial Relay acquisition had significant impact on the increase of intangible asset amortization as partial effect of purchase price allocation accounting. Our group EBIT increased by 41% to PLN 465 million. The year-on-year decline in margin was driven mostly by consolidation of Mondial Relay operations, while underlying EBIT margin was improving, with lease cost declining as percentage of revenue from 9% to 7% of revenue in six months of 2022, and PPE depreciation being broadly stable as percentage of revenue. Net interest expense rose by 188% from PLN 42 million to PLN 122 million. Of this, around half of the increase was driven by the increased debt quantum arising from Mondial Relay acquisition financing. Excluding that effect, the interest cost would have doubled during the first half of the year. The remainder of the nominal increase in interest expenses was driven by the interest rate increase associated with floating rate PLN-denominated debt. The foreign exchange gains of around EUR 52 million have a very technical accounting nature and were associated with translation of PLN-denominated debt into functional currency of InPost S.A., which is euro. Moving on to page 30, cash flow bridge. Here we include our bridge from adjusted EBITDA to free cash flow. Our EBITDA conversion in the quarter was 46% pre-CapEx and 44% post-maintenance CapEx. While growth CapEx resulted in negative EUR 158 million free cash outflow in the first half of 2022, it is important to note that negative free cash flow is entirely driven by UK investment and both operating losses and CapEx deployed in the UK. When looking at Poland, Mondial Relay and Italy combined, the overall business generated positive free cash flow even after growth CapEx. As I have mentioned during our Q1 results call, our CapEx this year, especially for Poland, is front-loaded towards the first half of the year as we schedule the production to build inventory and address continued squeeze of the supply chain on the critical production components. We expect to turn free cash flow positive in Q4 due to both CapEx moderation, volume seasonality, and the repricing of services later in the year. Moving on to page 31. As we have long been articulating, we remain cautious about the outlook for the Polish and also European consumer due to many of the factors that are causing problems globally, with the added complications associated with the war in neighboring Ukraine and Polish interest rate sensitivity. The economic outlook and the revised forecast for inflation and GDP have deteriorated since we have given our previous guidance back in March. The negative trend in consumer confidence, illustrated here on the left-hand chart, is a clear reflection of current volatility and negative outlook for the purchasing power. As in many markets, the rising inflation in Poland is problematic, especially that it is among highest in Europe, all the more so due to the fact that majority of mortgages in Poland are floating rate and increased energy cost and their impact on house heating bills are yet to be felt. This, of course, is putting significant pressure on household disposable income in Poland, but also, albeit to a different extent, in the whole of Europe. Moving to page 32, taking into account this tough and much more negative macro outlook, despite the fact we continue to see strong trading and are meaningfully outperforming the sector, we remain cautious and think it is likely that our volumes might decelerate in the later part of the year. This volume uncertainty has also implications for margin from both an operating leverage perspective and by raising the complexity around optimizing our resource allocation in the peak season. In this context, we are reiterating our previous full year guidance. We continue to expect Polish GMV growth of high teens to mid-twenties, implying high single-digit to low double-digit sector volume growth with downside risk in second half of the year, driven by weaker macro. We expect French and UK sector volumes will decline for the year, although we expect to continue outperforming in all of our markets. On margins, our previous communication was that most, if not all, of adjusted EBITDA margin gains in Poland for 2021 will be reversed in 2022. We retain this guidance, noting, however, that for all gains to be reversed, the deceleration in the second half of 2022 sector volumes would have to be very, very significant. At the same time, as you'll see on the page in the appendix, our midterm outlook also remains unchanged. That is all. Thank you very much, and we are open for questions now. Thank you, sir. If you would like to ask a question, please signal by pressing star one on your telephone keypad. If you're using a speakerphone, please make sure your mute function is turned off to allow your signal to reach our equipment. Again, press star one to ask a question. We will now take our first question from Lisa Yang from Goldman Sachs. Please go ahead. Good morning, and congratulations on the results. A couple of questions from me, please. Firstly, obviously we're already in early September now. Could you please give us a bit more color on the trends since so far in Q3, July, August, and also early indications for September in terms of both market volumes and also your outperformance across your main markets? I think your guidance implies quite a big slowdown. I'm wondering if you're seeing that already or is that just being a bit conservative? That's the first question. Secondly, on the margin, I appreciate you mentioned there's some operating leverage and productivity efficiency gains. Compared to Q1, that's still a massive improvement, down only 90 basis points, when I think your revenue per parcel was flat. So is any of sort of one-off in that number? Or, based on basically your volume expectations for the market of high single digit, low double digit, is it fair to assume based on this market growth, market volume growth, you could sustain that level of 45% margin in H2? That's the second question. And thirdly, could you maybe comment on your thoughts around taking price for the rest of the year, and next year? And obviously, conscious you have this repricing element as part of your contract with Allegro today. Also if you can comment on any discussions you're having with Allegro, and what are the sort of puts and takes in those sort of discussions. Should we expect any outcome to impact in other way, in one way or the other your full year guidance? Thank you. Thank you, Lisa. Let me take those questions. In terms of current trading and implications for the full year, volume performance, I think July and August trading has been reasonably strong, i.e. we've seen continuation of the Q2 trends. Now, having said that, obviously, as we said, we remain very cautious around the Q4 shape of the market and consumer sentiment. I think when looking at macro indices all across the board every macro index that we look at is actually looking worse and actually more pessimistic than what we initially expected. That's why the visibility is poor. We think the outlook for the remainder of the year should be very cautious. That's why we think it's quite likely that the market growth might decelerate towards the end of the year. In terms of margin performance, there's not been any one-off in the Q2 performance. Now, I think one thing that's very volatile is energy prices, fuel prices are very volatile. They're very much dependent on the development of the obviously geopolitical situation and Russia-Ukraine war. Therefore, whereas you know and also the currency fluctuations are not helpful here. When we look at the zloty performance versus dollar especially, has a huge impact on the fuel prices. We expect some continued margin pressure in Q3 and Q4. Therefore, whereas volume and operating leverage is super helpful actually to drive continued productivity gains and help us restore the margin and regain some of the margin losses that we've seen in Q1 of this year. Again, we expect continued cost inflation pressures in Q3 and Q4. On the pricing, maybe I'll leave that question to Rafał. Rafał, if you may address the pricing element. Thank you. Yes, of course. Thank you, Adam. In terms of pricing, we are not expecting any additional repricing for the broader market this year. But of course, 2023, as already mentioned by several logistics players, that definitely the current macro environment and the labor cost and CPI inflationary environment will impact the pricing for 2023. Here we want to reprice the market as well. We'll see how the trend is going on. Looking back to the Allegro topic, I think there is no change. I mean, we have pending contract and from that contract, the repricing, as we several times mentioned, will happen beginning of November. No changes on that field. Thank you. Can I just follow up? Based on what you said, is it fair to assume that the margin in Poland in Q3 should be more or less in line with Q2 as well? And actually, on the Polish margin question, just wondering, I noticed the other revenue was down a lot, and I think that has to do with your external lockers. Could you maybe give us any hint in terms of what margin that sort of is associated with those other revenues? I suspect it's pretty low, and maybe that has helped your overall margin in Poland. Thank you. No. I think the impact of the other revenue on the overall profit and profitability margin is relatively negligible, I'd say, given the share. The answer would be, I would not base the margin outlook on the other revenue element. It's not that. As you have noticed in Q2, that element has shrunk quite a bit year-on-year, and it did not impact our margins meaningfully. Again, not maybe guiding specifically for Q3 and Q4 outlook. As we said, for the full year we would expect to be somewhere in the region of 2022 or maybe slightly above that. Not too different to what we've been guiding, towards at the beginning of the year. Right. Thank you. We will now take our next question from Sathish Sivakumar from Citi. Please go ahead. Hi. Thank you. I got three questions here. Firstly on the pricing, just to follow up on the earlier question. Are you still talking about 10% increase to Allegro in November? Or as the inflation picks up into the year, you could actually see even more upside to that pricing? Just related to pricing again, in Q2, if you see that you got actually strong volume growth, which was partly offset by weaker pricing, I believe that you also had a price revision in Q2 for non-Allegro customer. Can you clarify actually that to stimulate volume through some competitive pricing? The second question is actually on the slide 15, where you actually highlighted that in-house lockers are outperforming competition. Can you comment what is driving this outperformance? Is it the customer mix or the product mix? Like, say, late cut-off, which because of your first and middle mile capability? Also, can you clarify if we are comparing lockers with similar life cycle point? Finally, in the U.K., if you could share some color on the traction with the third-party logistics providers as you moved away from Yodel, that'll be helpful. Thank you. Maybe I will answer the first part of the question regarding repricing. Once again we have a predefined formula in the contract with Allegro. Yes, that's right. At the beginning of the year, we all thought that the repricing impact would be rather around low double digit because the CPI was forecasted at such a level end of the year. Today, we see clearly that already the August CPI announced two days ago in Poland was 16.1%, which for me means that in September it will go up again. Now we are in the high double-digit area in terms of the upside for the repricing with our largest client. The second part of the question regarding repricing in Q2, yes, indeed we did the repricing in Q2, which was, I would say, expected as well by the other players. The other players went up as well, especially the door-to-door providers are heavily impacted by the very high cost of fuel. They were literally waiting for our repricing. We are the trendsetter on the market. That's clear, and the others are observing us. The meaningful shift in the volume is more complex. It's not only about the cost. We already several times, and here I'm linking to the cohorts and the performance of the locations that even with the competitive machines nearby are performing much better. Simply, we are gaining market share across the market, irrespective of the price difference, irrespective of the competitive presence and the same states. We are creating the most competitive and the most loyal consumers. Already almost 16 million end users in Poland, which means more than one person per household using our solution. We have created extremely sticky and loyal consumers that do prefer use our lockers. Because those lockers where the competition is deploying or trying to deploy their machines, mostly in the most popular locations, the transportation hubs or supermarket chains, literally these are like very well populated by the potential consumers as well. That's why those machines are not only not losing any consumers, literally, it's accelerating. Because I may assume that even if some of them try to use the other competitive networks, they see InPost locker nearby, and they quickly simply switch to the new machine that we deployed in such a very popular location. That's at least you know our hypothesis for that. Maybe shifting to Michael to give some feedback about the life cycle of our logistics transition in the UK. Yeah. Thank you, Rafał. Good morning, Sathish, and good morning, everyone. We've been in a very much a staged transition of our logistics operation. The ambition was to have completed it by Q2. We've actually extended that transition to end of Q3, which we've just pretty much completed the transition. The actual stage transition was to ensure we maintained existing customer service while actually building capacity for the increase in volumes that we're seeing in the UK. Very much now as we exit Q3 at the end of this month and go into Q4, we will be on our new logistics partner solutions as we continue to expand and accelerate the product offering going into 2023. We're pretty much through the transition period now. Okay, on the U.K., probably going into the peak season, because that's kind of a risk also, right? Because you go into the peak season with a new set of logistics providers. Do you think there's any downside risk to that? No, that's also why we have taken a very staged approach and made sure through the transition we were building capacity with the third-party providers as we were seeing the demand from a product and network development point of view. Feel like we've managed that risk very effectively with the extension of the transition period. Great product. Yeah. Thanks. Thanks, Adam. Thanks, Rafał. Thanks, Michael. We will now take our next question from Sam Bland from JP Morgan. Please go ahead. Thanks. Thanks for taking the question. I have two, please. First one is, it says on slide 14 that I think InPost covers about 58% of the Polish population, and I think you said in the remarks that you have maybe a 50% share of the B2C market. I'm just wondering, I mean, given that, like how attractive is it to serve the other 42% of the Polish population? Or is there something different makes rolling out lockers difficult to the rest of the population? Maybe it's lower population density. And the second question is, I noticed at the back of the presentation, the slide 37, the number of PUDO locations has increased quite a bit quarter-on-quarter. Could you just sort of explain what's going on there? I'd thought in Mondial Relay that number of PUDO points would be kept roughly stable. Thanks. Happy to answer the first part of the question. There are two different numbers. The coverage, which is the 58% of the population, this is the potential already within the seven minutes walking distance. Lo oking at the adoption, I think the better metrics is the number of mobile app users and that's like increasing, and also the number of registered users, which is close to 16 million. There are two different estimates, how many potential consumers we may target, based on the Gemius report, and between 22-24 online shoppers we identify today. We may say that still there is a lot of growth opportunity for Poland, for new users. Let's bear in mind that also the current users are extremely quickly like you know adopting to buy more and more. That's why you know the evolution of soft users to hard users or from hard users to super hard users is accelerating continuously yeah. Every single quarter we have more hard users and more super hard users. That's the stickiness what I described earlier on. I think you know still the continuous deployment covering wide spaces especially in the remote areas smaller towns and villages what we do that's activating new users new part of the population. We see that on the trajectory of the mobile app users and registered users base. In terms of PUDO points, maybe a broad comment on my end, and then I will hand over to Michael regarding Mondial. We want to continue our strategy in a very balanced way. We are deploying lockers, but we also are deploying PUDO points, for instance, in Italy, but also in Poland. That's the kind of helping hand, especially for the peak season, to help the most utilized lockers survive the peak without affecting the consumer's experience. Also this is a kind of cheaper way to literally put a flag on the white space ground. This is definitely if you ask me about the long-term strategy, nothing may compare with lockers. Michael explicitly explained that in terms of a dwell time, for instance, and the level of consumer satisfaction. In the meantime, we want to balance our CapEx expenditures and growing market opportunity that we want to literally accommodate with the usage of PUDO points, simply. I don't know, Michael, if you want to add something on top of this? No. I mean, Rafał, you covered it, I think very well. Specific to the slide, the actual number is not just a France number in terms of expansion of PUDOs, it's all the geographies that we operate within, so including Spain, Portugal, Benelux and Italy. To complement Rafał's point in those markets, it's not a locker strategy right now as we balance our CapEx deployment and focus that on the markets like France, where we use PUDO to expand and cover the white space and keep a low CapEx approach to ensure we have the coverage for the consumer as we invest in the other markets for a locker point of view at this stage. Yeah, understood. Thank you very much. Thank you. We will now take our next question from Henk Slotboom from The IDEA!. Please go ahead. Good morning, and thanks for taking my questions. I've got a couple of questions. Once again, back to pricing, and I'm looking at slide 6 here of the presentation deck. In the middle it says, APM deliveries are more efficient. It saves a lot of fuel, it saves a lot of labor. These are the two main constituents, the two main components that have been causing the inflation on the cost inflation on the last mile. Is it fair to assume that the cost price difference between APM delivery and to-door delivery will increase? Now, in the past I remember that you said that APM delivery is roughly 30% cheaper than to-door delivery. Is it fair to assume that gap will increase? Having said that, does it enable you to raise your tariffs a little bit less than the rest or, basically, use part of it to increase your margins? How should I look at that? That's my first question. The second question is with regard to AliExpress, we've seen a couple of interviews with people from AliExpress that they've been tightening the relationship with a number of companies with out-of-home delivery infrastructure in place, and obviously, InPost Poland and Mondial Relay in France were mentioned quite specifically in the communication by AliExpress. How should I interpret that? Is it fair to assume that they've given up, for example, the expansion idea in own locker facilities in Poland, do they opt for using your infrastructure instead, and likewise in France? A final question is on Mondial Relay Express. Just as a clarification on slide 19, I see Mondial Relay Express, and I get the impression that it is to-door delivery. Is it fair to assume that that is to-door delivery or is it locker delivery and is the picture I see on my screen just a little bit deceiving? Happy to answer first part again. It's true that the 30% APM delivery difference to to-door is demonstrated in the context of typical difference in the basket. When you look at the websites of key retailers, you see those that are like very willing to drive the share of checkout of our lockers, they typically put the pricing 25% to even 40% cheaper than door-to-door. When you look at our margin expansion productivity, just bear in mind that 1 hour driver, 1 hour van replaces 8 drivers and 8 vans of traditional to-door player. The answer is yes, we consume less energy per every parcel, and by the way, we save 75% CO2 emission in the meantime. Which means that the higher the price of the fuel is, the more expensive the energy is associated with every single delivery of door-to-door parcel, the higher delta we may achieve on our productivity. That's why as well our repricing at the beginning of the year was much less than the CPI. We gave back partially our productivity to the merchants, which of course drove the commitment for the volume. This is where the volume comes from as well. Why we have 36% in non-Allegro channel growth. Because we are not only the best in terms of quality and convenience, we are as well the cheapest for them. They are highly motivated to kill door-to-door and shift that to InPost without the risk of losing quality, risk of losing loyalty of their clients, because people love us. This is the beauty of InPost solution and the repricing power that we've got and we want to use in the future as well. Coming back to AliExpress, we've got long-lasting relationship with that client. Yes, it's true we collaborate in Poland. Yes, we hope to have the kind of Pan-European agreement to other markets like we did with other international clients. We are highly supportive to every player that want to use our local network, irrespective of their own plans. We do understand that some of the marketplaces, some of the players, they are testing, piloting, sometimes rolling out, we don't comment it. As we are fully focused on executing our most successful strategy in out-of-home. Because the success behind InPost is not about the locker. It's about creating end consumer-centric ecosystem fueled by lockers, logistics, technology, sustainability, and high stickiness of the end users. That's the magic mix that allows us to outperform any other player that ever tried to do the same. Mondial Relay Express, handing over to Michael just to explain and make some clarification here. Yeah, sure. Firstly, I think the picture, just for purposes, is actually a picture of a door on a van, just not a door on a house. To clarify, our focus for Mondial Relay Express is next-day delivery for out-of-home, both for pickup points and lockers. Okay. That's very clear. Thank you very much. We will now take our next question from Piotr Łopaciuk from Bank Pekao S.A. Please go ahead. Hello. Just a few details left for me to ask. First, could you you gave already some color on July and August dynamics, for you and for the market, I guess. Could you just add one remark whether there was some visible difference between August and July, or were there a similar manner, or some slowdown was the question already visible in August? That is the first one. The second one, I would ask for some clarification concerning the Allegro deal because I'm a bit confused right now. Does the price formula means that you will take the inflation rate from October, or is it some form of the average of last, I don't know, of the last 12 rates of inflation? Because the first one would... You would probably land at around, I don't know, 17%, whatever it will be in October. That's something similar, I guess, to today's levels. In the second case, if it will be like average rate of the last 12 rates, it will be like more like 11%. Which one is it? The first question is about APMs, international APMs other than UK. I noticed that for the last two quarters, you started to add some significant volumes. I guess it's Italy because it's not UK, it's not France. It's over 200 APMs. Is it Italy or what? Because earlier, these others, APMs, apart from France, UK, were roughly flat. Does it mean some, I guess, slight change of strategy? Do you believe again in Italy or what is it? That's it. Thanks. Adam, would you comment the first? Yeah. sure. Let me take the first two, and then I'll leave the APM. First of all, in terms of July, August trading, a simple answer would be there's no meaningful difference between the two. Relatively stable months, despite the fact, obviously it's a holiday season. Typically, they tend to be a bit weaker seasonally, weaker months, but no meaningful difference between the two. In terms of Allegro indexation clause, it is the rate of the average 12 months preceding the period in which the indexation kicks off. Effectively, we would take the average of 12 months before or 12 monthly, actually, CPI reads before. Now, the contractual clause is a little bit more complex than this because it actually prescribes for two indices and takes the lower of the two. It's either the headline CPI or it's a combination of CPI and labor inflation. Depending on which of those two comes down lower the lower one will apply. effectively historically, as for the last couple of years, labor inflation was always exceeding the CPI inflation. Now, this year, we've seen the reversal of the trend. Because of the CPI rate, the labor inflation tends to be lower in the last couple of months. Therefore, if we think about how it's going to impact the index, you probably should assume that our indexation will be a bit lower than the average 12-month CPI preceding the first of November. Good. Let me take the APM question, Adam. I think just to stress the majority, if not greater than 90% of our APM deployment in the international markets is concentrated on France and the UK. We have some small deployments going on in other markets as we test our way into those markets in a very highly concentrated way in core cities. The real core strategy for deployment, for locations in markets like Italy, and you look at the absolute locations for InPost, is very much biased towards PUDO at this point. As we continue to accelerate getting the flag in the ground linked to the white space deployment, and we'll continue to do that, as I mentioned earlier. The strategy for Italy and other markets is really to connect to the network, as we see across all of Europe, but the concentration will continue to be in France and U.K. for the APM and CapEx investment. Thank you very much. We will now take our next question from Marco Limite from Barclays. Please go ahead. Hi, good morning. Thanks for taking my question. My first question is about same-day deliveries. Allegro has clearly announced they will run same-day deliveries in 10 cities in Poland. Just wondering, what's your strategy about the same-day deliveries given that as you said, quality of service an important driver for customers' adoption. And the second question is a bit more technical. Just wondering, as slide 26, you are mentioning that price increases were largely offset by mix. If you can just clarify specifically what does that mean, and also what drove the lower performance in other areas in Poland. Thank you. Thank you, Marco. Happy to answer. Same-day delivery we've been providing same-day delivery in parts of Poland for almost a year, by now. It's not a new product. It's not something that is basically transformational for us. Now, having said that, I mean, first of all, we've not seen a big penetration of this product. Both in Allegro and non-Allegro channel, it continues to account for relatively a low share of total volumes. I think the adoption of both consumer and merchant is relatively low. I think the reasonable expectation would be with the price premium that it entails, probably given the higher and increasing price sensitivity of the consumer, I don't think we would expect that same day will pick up very visibly over the next couple of quarters given the overall consumer sentiment. As I said it is part of our product offering in Poland for quite a while already. In terms of pricing just to be very clear again. If you look at the APM pricing and to-door pricing, the two kind of parcel segments, let's say, of the business in Poland, both have been flat in terms of pricing, both in Q2 and for the first six months of the year. When you look at the revenue growth and volume growth for the two channels, it's exactly the same pricing. Pricing impact is neutral, and it's really a combination of two things. I mean, first one is partial price increase that we've applied in April and May on part of our volumes. As you remember, part of our volumes, which are long-term contracted volumes, have some pricing lock. This has been offset, as you mentioned, Marco, by the mix. What we mean by the mix, we continue to see the bigger merchants and the C2C channel performing stronger than the smaller merchants. Therefore, again, as we've seen this in the past quarters, basically lower priced big customers taking a bigger share of volume, and that's the mix effect. The second effect is really an outcome of our strategy for the market, which is with some of the merchants or with quite a big pool of our merchants, we actually have volume commitment deals, whereby if the volume commitments are delivered certain price discounts apply, or the price increases are reduced, or in certain cases are basically waived. It's really a combination of our strategy to grow and outperform the market as much as it is an outcome of the customer mix. Thank you. There appears to be no further questions at this time. I'm going to turn this over for web questions. Thank you. Thanks, operator. One question we have is, InPost has previously cited a midterm target of 20,000-25,000 APMs in Poland. Given that the lower end of that range could be achieved by year-end, what is the latest thinking? Adam, could you handle that one? I don't think there is a change to the midterm ambition. As we've always been saying we've estimated the market potential to be somewhere in the region of 35,000 lockers for the whole of the Polish market, give or take. We've always been saying there's going to be some space for the competition, as we expected competition to emerge. I don't think our midterm ambition has changed a lot. Of course we'll continue to react to the changing market conditions and to the demand. We'll tweak our penetration targets accordingly. At this point in time, I'd say no change to this target. Thanks, Adam. Most of the other questions have already been answered in some form. If you have an additional question, please feel free to send it to me after the call at mharris@inpost.eu or to our IR address that you could find. I think with that, we'll conclude the call. I'd like to thank everyone for joining, and have a very good day.