Flipkart India, the B2B arm of e-commerce major Flipkart, has posted loss of Rs 2,063.8 crore during 2017-18 as compared to Rs 245.04 crore in the previous fiscal as the Walmart-backed company fights a battle against rival Amazon.
Its revenue from operations rose 40.4 percent to Rs 21,438.65 crore in FY2017-18 from Rs 15,264.42 crore in the previous fiscal, as per regulatory documents filed with the corporate affairs ministry.
Flipkart’s e-commerce business Flipkart Internet posted a consolidate loss of Rs 1,160.6 crore for the financial year ended March 2018 against Rs 1,640.2 crore in the previous year. The combined loss of the two Flipkart entities — Flipkart India and Flipkart Internet — was well over Rs 3,200 crore in FY2017-18.
Flipkart’s holding company operates different entities for various functions, and provides e-commerce and support services through Flipkart Internet. The revenue of Flipkart Internet is mainly generated from services like collection, marketplace, storage and logistics, PTI reported.
Amazon committed $5 billion to expand its e-commerce, payment and logistics operations in India.
Earlier in the year, Walmart picked up about 77 percent stake in Flipkart for about $16 billion.
The deal with Flipkart will also have a bearing on Walmart’s financials. Earlier this month, the US retail giant had said its investment in Flipkart will hit its operating income as well as earnings per share.
The e-tailing market in India is poised to touch $200 billion in the next few years.
