Welcome to Top Store

Best Products at Best Prices


No products in the cart.

Flipkart group FY19 revenue crosses $6 billion, losses reduce over 60%, Retail News, ET Retail

Flipkart group FY19 revenue crosses $6 billion, losses reduce over 60% Flipkart Limited, Singapore domiciled parent entity of the online retailer, has reported consolidated revenue of $6.14 billion for the financial year ending March 31, 2018, up 42% compared to the corresponding period last year.

For the financial year in consideration, the group’s losses reduced 63% to $2.42 billion, according to regulatory filings made in Singapore which were sourced from Paper.vc, a business intelligence platform.

Flipkart group houses its e-commerce sites Flipkart, Myntra and Jabong as well as PhonePe, a digital payments firm, and EKart, the logistics vertical.

Overall expenses went down to $2.4 billion, from $6.6 billion last year, due to a steep decline in finance costs. Excluding finance costs, overall group expenditure went up by 118%. Employee benefit expenses shot up by 58% to $600 million for the year.

The revenue growth is however slower than last year. Last year, Flipkart Group saw its total revenues increase by 50% to $4.32 billion.

The last two months of the previous financial year were likely impacted by the revisions Indian government made to its foreign direct investment (FDI) norms for online retail through Press Note 2. In December last year, the government barred online marketplaces and their group companies from owning sellers and prohibited them from controlling the inventory sold on their platforms. The revised regulations were implemented in February this year.

Separately, filings reveal that the group spent $46.8 million on acquisitions during the year, including $21.4 million for Israel-based Upstream Commerce and $10.5 million for Liv.ai. Revenue from contracts with customers stood at $6 billion.

Flipkart runs at least eight registered businesses in India under its parent Flipkart Ltd, including Flipkart India, Flipkart Online Services and Flipkart Digital. In October, the company registered its latest entity, Flipkart Farmermart, marking its entry into food retail, the only segment in which etailers are allowed to sell directly to consumers.

Source link