Flipkart, PhonePe record strong growth in August quarter
Flipkart, Indian e-commerce unit of Walmart and its payment app PhonePe have recorded strong quarterly growth with ‘Big Billion Day’ sales, monthly active users (MAU) are on an all-time high for the Indian e-tailer.
Walmart’s net sales in August-October quarter increased 1.3 per cent to $29.6 billion from the year-ago quarter on account of strong growth registered by Flipkart in India, as well as from its operations in Canada and Mexico.
While it’s net sales continue to be impacted with ongoing global health crisis, total revenue increased by 5.2 per cent to $134.7 billion from the corresponding period last year. In July, Flipkart raised close to $1.2 billion from majority owner Walmart, along with a group of existing shareholders, to bolster its e-commerce operations. The investment valued the Flipkart Group at $24.9 billion in post-money valuation.
Post this round, Flipkart has been heavily doubling down on categories including fashion as well as grocery, picking up minority stakes in offline retailers including - Arvind Youth Brands for ₹260 crore, and a 7.8% stake in Aditya Birla Fashion and Retail Ltd for ₹1,500 crore.
Next year, Flipkart plans to go public as early as next year, on the back of rapid digital transformation in the country.
The e-tailer would look at an overseas listing, either in the US, where Walmart is headquartered or another country, and could be valued at $40-45 billion.
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