Nova Poshta has opened a Nova Post postal and cargo office in London and launched courier delivery in the UK, the company’s press service said on Monday.
“Today we are celebrating the official start of work in the UK market. Along with the opening of branches, we have also launched courier delivery,” said Vyacheslav Klimov, co-owner of NOVA Group.
In its consolidated annual report for 2023, Nova Poshta indicated that in March 2023, UK Novapay LTD (London) was established. The company’s contribution at the time of establishment amounted to UAH 13.7 million, and additional contributions to the authorized capital during 2023 amounted to UAH 26.21 million. According to reports, Nova Poshta’s share in UK Novapay LTD was 75% at the end of last year.
According to Klymov, in the near future, Nova Poshta customers will also be able to send and receive parcels through the network of post offices of the company’s partner InPost.
According to the company’s press release, Nova Post’s post office in London accepts parcels up to 30 kg, while the freight office accepts parcels up to 1,000 kg.
The cost of delivery from Ukraine to the UK is UAH 900 for documents, UAH 950, UAH 1.5 thousand and UAH 2.5 thousand for parcels up to 2 kg, 10 kg and 30 kg, respectively.
In addition, customers can order delivery of parcels up to 100 kg by courier to any address in England, Scotland, Northern Ireland, and Wales. For parcels up to 30 kg, customers will have to pay an additional UAH 100, and for every 100 kg of parcel, UAH 250.
“Nova Poshta currently has more than 35,000 points of service for sending and receiving parcels in Europe, of which 90 are Nova Post’s own branches in 13 countries: Estonia, Poland, Lithuania, Latvia, the Czech Republic, Romania, Germany, Slovakia, Italy, Hungary, Moldova, Spain, and the United Kingdom.
As reported, on April 30, Nova Poshta opened the first Nova Post office in Spain.
In 2023, the consolidated net income of Nova Poshta LLC amounted to UAH 43.65 billion, which is 53.3% more than in 2022 (UAH 28.46 billion), according to the company’s consolidated financial statements.
“The group’s revenue from services includes revenues from express delivery of UAH 36.7 billion (84% of the group’s total revenue) and revenues from money transfers of UAH 6.5 billion (15% of its total revenue)…”, the auditor Baker Tilly Ukraine notes in the report.
According to the report, the consolidated net profit of Nova Poshta reached UAH 4.28 billion last year, which is 31.1% better than in 2022.
As previously reported with reference to unconsolidated financial statements, in 2023, Nova Poshta LLC increased its net profit by 85.7% to UAH 3 billion 967.2 million, and its revenue increased by 54% to UAH 36.47 billion.
It is specified that the group’s consolidated gross profit increased by 64.9% last year to UAH 12.15 billion, and operating profit by 46.4% to UAH 7.44 billion.
It is also noted that net cash flow from operating activities in 2023 increased to UAH 8.27 billion from UAH 6.07 billion a year earlier, while negative cash flow from investing activities increased to UAH 4.96 billion from UAH 2.58 billion, and from financing activities – to UAH 1.73 billion from UAH 1.67 billion.
At the end of 2023, the Group’s cash and cash equivalents amounted to UAH 6.5 billion compared to UAH 4.94 billion a year earlier, and net debt amounted to UAH 5.65 billion compared to UAH 4.07 billion.
The consolidated report states that in 2023, Nova Poshta established 18 subsidiaries abroad, 15 of which are wholly owned by the group, bringing the total number of foreign companies to 20 at the end of 2023.
For example, in March, UK Novapay LTD was established with a contribution of UAH 13.7 million at the time of establishment, but during the year, additional contributions to the authorized capital amounted to UAH 26.2 million.
In 2023, investments in Nova Post Estonia OU and Nova Post Latvia SIA, established in the same March, amounted to UAH 12 million and UAH 16.0 million, respectively, while investments in Nova Post FR SAS and Nova Post IT S.R.L., established in July, amounted to UAH 21.5 million and UAH 14.3 million, respectively.
The largest investments among foreign companies last year were made in Nova Post Poland SP. Z O O – UAH 393 million.
It is specified that many foreign companies have so far shown a loss last year, in particular, the net loss of Nova Post Poland amounted to UAH 157 million.
At the same time, in January 2024, NovaPay distributed dividends for 2023 in the amount of UAH 180 million, of which UAH 175.2 million was paid.
In the report, the group reminded that in July 2022, in order to expand and increase the efficiency of its logistics business and infrastructure, it made capital contributions to KMS LLC, Podol Expo LLC and Nova Place LLC in the amount of UAH 509.1 million, UAH 504 million and UAH 90.4 million, respectively, receiving 85%, 99% and 99% of the shares. “KMS owns logistics terminals in Kyiv, Podol Expo – in Chernihiv and Khmelnytsky, and is also building terminals in Kyiv region.
It is noted that in February 2023, Nova Poshta decided to increase its investment in Podol-Expo by an additional capital contribution of UAH 498.6 million, and in October it increased its investment by an additional capital contribution of UAH 582.8 million.
In addition, in June 2022, the Group contributed UAH 868 million and UAH 1,291 million to the capital of Novobox LLC and Dnipro Development Group LLC, respectively, receiving 99% and 95% stakes. “Novobox operates a network of post offices across Ukraine, while DDG is building logistics terminals in Odesa and Dnipro. In 2023, investments in them, according to the report, amounted to UAH 258.6 million and UAH 172.8 million, respectively.
Finally, in March 2024, Nova Poshta acquired 100% of Nova Development LLC, the successor to Best Logistics Group, which was engaged in the construction and leasing of logistics complexes and was part of the Globus full-cycle development holding, and by May made an advance payment of UAH 151.4 million.
According to the group’s report, payments to 22 key management personnel in 2023 amounted to UAH 533.5 million, which is 2.4 times more than in 2022, when there were 21 representatives.
Nova Poshta has opened its first Nova Post office in Spain – in Barcelona – and plans to expand its network to Valencia, Alicante, Murcia, Malaga, Estepona and Madrid in the near future, the group’s press service said on Tuesday.
“The opening of the first branch in Spain is just the beginning. We strive to be as close to our customers as possible, so in the near future we will open another branch in Barcelona, and during the year we will actively develop a network of parcel delivery service points together with our partners,” the release quotes Nova Post CEO in Spain Alexander Pavlovsky as saying.
According to the company’s press release, Nova Post’s Barcelona branch, which operates daily, allows customers to receive and send documents, parcels and cargo up to 100 kg to Ukraine. The declared delivery time is 8 days or more.
The cost of delivery from Ukraine to Spain is: UAH 1 thousand for documents, as well as UAH 1.05 thousand, UAH 1.7 thousand, and UAH 3 thousand for parcels up to 2 kg, 10 kg, and 30 kg, respectively. When sending a parcel from 30 to 100 kg, UAH 120 is paid for each kilogram.
It is noted that in May, Nova Poshta will launch targeted services in Spain, which will allow sending and delivering cargo up to 1 thousand kg to any address in the country. Delivery by courier will cost an additional UAH 100 for shipments up to 30 kg or UAH 120 for every 100 kg.
It is specified that Nova Poshta currently has more than 35 thousand points of service for sending and receiving parcels in Europe, of which 90 are Nova Post’s own branches in 11 countries: Estonia, Poland, Lithuania, Latvia, Czech Republic, Romania, Germany, Slovakia, Italy, Hungary and Moldova.
Nova Poshta LLC, the largest logistics operator in Ukraine and a member of the NOVA group, is issuing interest-bearing unsecured corporate bonds of series E and F.
According to the National Securities and Stock Market Commission of Ukraine (NSSMC), it registered both issues on April 26 this year.
At the same time, information on the parameters of these issues, including the volume, maturity and yield, is not yet available on the regulator’s website or on the issuer’s website.
Last year, Nova Poshta made two bond issues – “C” and “D” – each with a nominal amount of UAH 800 million. The C series bonds were issued for a 12-month term with a 24% p.a. rate, while the D series bonds were issued for a 20-month term with a 23% p.a. rate.
Earlier in February 2023, Nova Poshta redeemed the UAH 700 million of Series B bonds issued in March 2020.
According to the clarity-project, in 2023 the company increased its net profit by 85.7% to UAH 3 billion 967.2 million, and its revenue increased by 54% to UAH 36 billion 468.9 million.
Nova Poshta LLC, Ukraine’s largest logistics operator from the NOVA group, intends to acquire Nova Development LLC (Sokilnyky village, Lviv district, Lviv region), whose main activity is the lease and operation of its own or leased real estate.
According to the Antimonopoly Committee of Ukraine (AMCU), it granted Nova Poshta permission on Thursday to acquire a stake that ensures exceeding 50% of the votes in Nova Development.
The state register states that Nova Development, registered at the end of May 2023, is the legal successor of Best Logistics Group, which was engaged in the construction and leasing of logistics complexes and was part of the Globus full-cycle development holding.
“Best Logistics Group has already cooperated with Nova Poshta during the construction of a sorting terminal in Lviv in 2019, with investments of almost EUR 10 million, with Nova Poshta’s investment of about EUR 4 million. According to Vyacheslav Klimov, co-founder of NOVA Group, Nova Poshta was responsible for the equipment, while Best Logistics Group was responsible for the construction of the building.
The Globus website states that its portfolio includes more than 10 projects at various stages of implementation with a total area of 220 thousand square meters, which are being developed together with partners. These include premium and comfort class residential buildings, logistics terminals, business centers, hotels, and mixed-use complexes, while the area of already implemented projects is 96 thousand square meters. It is also noted that the group is a strategic partner of Nova Poshta and has its own production base in the form of two concrete plants.
The authorized capital of Nova Development, according to the state register, is UAH 186.4 million, while that of Best Logistics Group was UAH 1 million. Volodymyr Fenik is listed as the beneficiary through the corporate venture investment fund Magistrate Invest.
In 2022, Best Logistics Group’s revenue amounted to UAH 46.87 million, up from UAH 36.62 million a year earlier, and its net loss increased to UAH 12.33 million from UAH 3.58 million.
“Nova Poshta, a part of the Nova group of companies, delivered 30% more parcels in 2023 than a year earlier – 412 million, the company’s press service reports.
At the same time, last year the company doubled the volume of international parcel deliveries to 10.2 million. The report specifies that the number of orders from international online stores through the NP Shopping service in 2023 increased by 55% compared to 2022.
The average weight of an international parcel increased from 1.3 kg in 2022 to 11 kg in 2023.
The most popular countries for orders from outside Ukraine remain China, the United States, Poland, Germany, and the United Kingdom. Most often, Ukrainians order goods from Aliexpress, Amazon, and iHerb marketplaces.
According to the company, customers send mostly clothes, shoes, household goods, appliances and electronics, health and beauty products, and tools in domestic traffic, the company said.
“Nova Poshta has international offices in Moldova, Poland, Lithuania, Germany, the Czech Republic, Estonia, Latvia, Slovakia, Romania, Hungary, and Italy.
In Ukraine, the company’s network consists of 11.46 thousand branches and 15.59 thousand post offices. Currently, Nova Poshta’s branches and post offices operate in more than 10 thousand settlements across Ukraine.
