Flipkart losses rise in FY20 even as Walmart plans IPO

Updated : December 15, 2020 09:48 PM IST

Flipkart Internet Private Limited witnessed revenue growth of 32 percent in FY19-20 at Rs 6,318 crore.

Flipkart's ecommerce arm - Flipkart Internet Private Limited, saw a significant year-on-year growth in total revenue of 32 percent in FY19-20 at Rs 6,318 crore. The company's losses, however, continued to mount, with a 19 percent year-on-year jump to reach net loss of Rs 1,937 crore, as per a regulatory filing sourced from Tofler.

However, the rise in losses was more tempered compared to the 40 percent YoY rise in losses it incurred in FY19. The jump in revenue was modest compared to the 57 percent spike seen in FY19.

Losses for Flipkart come even as parent company Walmart is planning a public listing of the Indian ecommerce giant at a valuation of between $35 billion and $40 billion, CNBC-TV18 had earlier reported.

Flipkart's operating revenues for FY20 came in at Rs 5,916 crore, while Rs 400 crore was cited as "other income".

Operating revenues came from marketplaces services, which entails transaction fees paid by third-party sellers, which rose to Rs 2,297 crore, up from Rs 1,983 crore, the previous year. Logistics services, which entails shipping services offered by the company to vendors, saw revenues of Rs 1,618 crore, up from Rs 996 crore. Flipkart's advertisement services saw the biggest spike to Rs 1,008 crore from Rs 575 crore. The company's advertisement services are based on the impressions or clicks generated to an advertiser's website through the platform.

Flipkart India, the wholesale arm of the Flipkart Group also recently reported financials for FY20, with revenues coming in at Rs 34,610 crore, a 12 percent YoY jump, while losses decreased 18 percent to Rs 3,150 crore.

Financials of the entire Flipkart Group for FY20 are still awaited.

Flipkart Pvt Ltd, which includes the ecommerce platform, payments app PhonePe, fashion platform Myntra and logistics and wholesale business Flipkart India, had recorded revenues of over $6 billion in FY19, a 42 percent YoY jump.

Published : December 15, 2020 09:41 PM IST

Flipkart losses rise in FY20 even as Walmart plans IPO

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