Walmart’s CFO John David Rainey — during an investor conference – has expressed optimism about the growth potential of its Flipkart online marketplace and PhonePe payments business in India, stating that they could become $100 billion ventures.
Although specific sales figures for Flipkart and PhonePe were not disclosed, Walmart executives have identified these two businesses as crucial drivers in their goal to double the gross merchandise volume in foreign markets to $200 billion within five years.
The international chief of Walmart has previously emphasized the significance of India’s population of 1.4 billion as a major opportunity for the retailer.
In the quarter ending on April 30, Walmart has reported double-digit sales growth for Flipkart, attributed to new customers in certain cities and a substantial 50 percent increase in advertising sales. Flipkart, valued at over $40 billion in 2022, is considered one of India’s most valuable startups.
Walmart also applauded PhonePe’s impressive performance, as it achieved an annualized payment value of $1 trillion driven by the widely popular Unified Payments Interface in India, enabling instant real-time transactions.
According to the National Payments Corporation of India, PhonePe captured a 46 percent share of the payments market in December and boasts 400 million registered users. In March, Walmart further bolstered PhonePe’s position by investing an additional $200 million, valuing the business at $12 billion prior to the infusion, solidifying its status as India’s most valuable payments startup.
