Instacart Hits Revenue Record as IPO Looms, Report Says

Instacart posted record revenue during its second quarter as it eyes an initial public offering before year’s end, the Wall Street Journal reported this week, citing investors in the online grocery delivery company.

Revenue for the three-month period that ended in June climbed to $621 million, up 39% from the prior year, setting a quarterly revenue record for Instacart, the WSJ said. That’s a significant jump from the first quarter, when revenue increased 15% from the year before, the newspaper reported.

San Francisco-based Instacart confidentially filed documents with the Securities and Exchange Commission in May for a potential IPO.

On Tuesday, an Instacart spokeswoman declined to comment on the WSJ report, saying the company was unable to share any financial information because of the pending IPO.

Instacart also saw an increase in the number of shoppers using its app during the second quarter, up 25% to more than 60 million, the WSJ said, citing sources familiar with the matter. Instacart’s order volume also grew 21% in the period, to $7.1 billion.

Instacart’s second-quarter numbers are all the more impressive given that the digital grocery business has cooled a bit since the early days of the pandemic, when shoppers largely avoided stores.

In March, the grocery delivery company cut its valuation by about 38%, to $24 billion. A year before, the company had been valued at $39 billion.

As its presumed IPO nears, Instacart has undergone a number of executive changes. Fidji Simo, who became the company’s CEO a year ago, was announced as chair of its board of directors in July. That move becomes official as soon as founder Apoorva Mehta leaves the board once Instacart goes public, the company said.

Instacart celebrated its 10th year in business in May.

“As much as the grocery industry has changed over the last decade, we believe the next decade will be even bigger—with changes driven mostly by technology,” Simo said in a blog post at the time.