Flipkart Ltd, the Singapore holding company of the Indian e-commerce major, narrowed its losses to Rs 17,231 crore (US$ 2.42 billion) for the fiscal ended March 2019, while revenues grew by 42 percent over the previous year, according to financial data platform Paper.vc.
According to a PTI report: The group managed to achieve a 63 percent reduction in losses from Rs 46,895 crore (US$ 6.6 billion) in 2018 to Rs 17,231 crore (US$ 2.42 billion) for the financial year ending March 31, 2019, it said.
Flipkart posted Rs 42,878 crore revenue from contracts with customers with total revenue adding up to Rs 43,615 crore (US$ 6.14 billion), it added.
The group’s revenue in 2018-19 was 42 percent higher than the previous year’s revenue of Rs 30,644 crore (US$ 4.32 billion), Paper.vc said.
Flipkart declined to comment to PTI.
In August last year, the US retail giant Walmart had picked up 77 percent stake in Flipkart for US$ 16 billion. Flipkart group operates a number of entities like e-commerce marketplace Flipkart, fashion portals Myntra and Jabong, digital payments through PhonePe, a wholesale unit and EKart (logistics).
The company had recently said it is setting up a new food retail unit under ‘Flipkart Farmermart’.
The group’s overall expenses went down significantly from Rs 46,895 crore (US$ 6.6 billion) in 2018 to Rs 17,281 crore (US$ 2.4 billion), the document said attributing the decline to a steep reduction in finance costs.
Excluding finance costs, overall group expenditure went up by 118 percent. Employee benefit expenses shot up by 58 percent to Rs 4,254 crore (US$ 600 million).
Flipkart group spent US$ 46.8 million on acquisition in 2019, including US$ 21.4 million on the September 2018 acquisition of Israel-based Upstream Commerce and US$ 10.5 million on the acquisition of Bengaluru-based Liv AI, it said.