DBT Bureau
Bengaluru, 9 June
Global retail giant, Walmart will take another couple of years to list its Indian ecommerce subsidiary Flipkart and digital payments platform PhonePe in the Indian markets, a Reuters report said quoting a senior Walmart executive.
In a report, Reuters said quoting Walmart’s executive vice president for corporate affairs, Dan Bartlett that there is a lot of processes that the company has to follow before these companies’ Initial Public Offerings (IPOs). “This is something we’re looking at over the next couple of years,” Bartlett said on the sidelines of the company’s shareholder meeting near its Bentonville, Arkansas, headquarters according to the Reuters report.
The report also said that Walmart may put IPO plans for PhonePe first, following which Flipkart can be listed.
Flipkart is one of the leading players in the Indian ecommerce market, which is growing at a faster pace as India remains one of the fastest-growing major economies of the world. In the 2023 financial year, Flipkart reported a total revenue of Rs 56,013 crore, which was a rise of 9% over the past year as per business intelligence platform Tofler.
However, the report also revealed a notable increase in net losses for Flipkart as it posted a net loss of Rs 4,834 crore, marking a substantial 42% increase over the same period of last year. The total expenses for Flipkart in FY23 increased to Rs 60,858 crore, an increase of 11.5% over the past year.
PhonePe has also said that its consolidated revenue for the financial year 2023 surged 77%, as more users do transactions through its app in India’s booming digital payments market. With more than 490 million registered users, PhonePe held around 51% share of the value of transactions on India’s UPI by the end of March 2023.
Walmart is investing heavily in India as more users migrate to digital platforms for doing payments apart from buying goods. The company is hopeful of getting sound returns from its investments in the coming years.
