Flipkart Group reduces losses to Rs 17,231 cr in fiscal year 19
New Delhi, November 1 () Flipkart Ltd, the Singapore holding company of India's leading e-commerce company, reduced its losses to Rs 17,231 crore (USD 2.42 billion) for the fiscal year ending in March 2019, while revenues grew 42% over the previous year, according to the Paper.vc financial data platform.
The group managed to achieve a 63 percent reduction in losses of Rs 46,895 million rupees (USD 6.6 billion) in 2018 to Rs 17,231 crore (USD 2.42 billion) for the financial year that ended March 31, 2019, he said.
Flipkart recorded revenues of Rs 42,878 crore from contracts with clients with total revenues that totaled Rs 43,615 crore (USD 6.14 billion), he added.
The group's revenues in 2018-19 were 42 percent higher than the previous year's income of Rs 30,644 million (USD 4.32 billion), Paper.vc said.
Flipkart declined to comment.
In August of last year, the US retail giant Walmart had acquired a 77 percent stake in Flipkart for USD 16 billion. The Flipkart group operates several entities such as the Flipkart e-commerce market, the Myntra and Jabong fashion portals, digital payments through PhonePe, a wholesale unit and EKart (logistics).
The company had recently said it is creating a new food retail unit under 'Flipkart Farmermart'.
The group's general expenses decreased significantly from Rs 46,895 million rupees (USD 6.6 billion) in 2018 to Rs 17,281 crore (USD 2.4 billion), according to the document, attributing the decrease to a sharp reduction in financial costs
Excluding financial costs, the group's overall expense increased 118 percent. Employee benefit expenses shot up 58 percent at Rs 4,254 million rupees (USD 600 million). The Flipkart group spent USD 46.8 million on the acquisition in 2019, including USD 21.4 million on the September 2018 acquisition of Israel-based Upstream Commerce and USD 10.5 million on the acquisition of Liv AI based in Bengaluru, he said. SR SHW SHW