Lydia Jett’s Post

According to the Registrar of Companies (RoC), Walmart-owned Flipkart recently infused Rs 1,421 crore in its Indian marketplace arm, Flipkart Internet. The amount was infused in two tranches on March 23 and April 6 through Singapore, its parent holding company. 💸📈 Although this is not fresh funding from the parent level, rather it's an internal cash transfer. However, this is considered the second-highest fund infusion received by Flipkart Internet from its Singapore-based entities in 2024. Besides, the Economic Times adds that the company received $111 million on March 4th. 🚀🌟 Additionally, it has been anticipated that the new funding makes the total infusion in the marketplace arm to $281 million. Moreover, the Bengaluru-oriented company has rolled out the same-day delivery process with zero extra cost from February. #Flipkart #SingaporeInvestment #IndianMarketplace #BusinessNews #InvestmentInIndia #MarketExpansion #EconomicGrowth #FlipkartNews #TheEconomicTimes #Magicminds #MagicmindsBlogs

🚀 Exciting News Alert! Flipkart, India's leading consumer internet giant, is in discussions to shift its domicile back from Singapore to India! 🇮🇳 With its current valuation soaring at around $33 billion, this move could potentially yield substantial tax benefits for the Indian government. The decision aligns with Flipkart's long-term strategy, especially in preparation for a potential IPO in the future. Despite the anticipated challenges due to its massive scale and intricate business structure, Flipkart is determined to make the transition. This move follows the footsteps of its subsidiary, PhonePe, which successfully relocated back to India in late 2022. Flipkart's pivot is indicative of the maturing Indian venture ecosystem and the growing attractiveness of domestic markets for large-scale businesses. With a focus on profitability and operational efficiency, Flipkart is poised for further growth and success. Stay tuned as Flipkart embarks on this transformative journey, reinforcing its commitment to its Indian roots and driving innovation in the ecommerce landscape! 🛒📈 to know more:https://lnkd.in/gaqgZxbi #Flipkart #IndianEcommerce #DomicileShift #StartupNews #TechInIndia #Innovation #IPOPreparation

Exciting News from Flipkart! Flipkart Internet, the marketplace arm backed by Walmart, has received a significant cash infusion of INR 1,421 Cr (around $170 Mn) from its Singapore parent through an internal transfer. This marks the second major fund injection into Flipkart Internet this year, totaling around $282 million in 2024 alone. The funding comes amidst Flipkart's plans for expansion, including venturing into the quick-commerce space and introducing bus booking facilities on its app. With partnerships across state transport corporations and private aggregators, Flipkart aims to provide access to 10 Lakh bus connections covering over 25,000 routes across India. Despite recent valuation fluctuations attributed to the demerger of PhonePe, Flipkart remains focused on growth and innovation. Walmart has committed to investing $600 Mn in Flipkart's fresh funding round, likely valuing the company at a premium of 5-10% to its last valuation of $33 Bn. Stay tuned as Flipkart continues to redefine the ecommerce landscape and expand its offerings to better serve customers across India! #Flipkart #Ecommerce #Funding #Expansion #Innovation https://lnkd.in/ggjckQ7t

🛒Flipkart Faces Departure of Four SVPs Amid Profitability Drive. 🔍Summary: - Flipkart, aiming for profitability, witnesses the departure of four senior vice presidents (SVPs), including Cleartrip's Ayyappan R, marketplace leader Amitesh Jha, fintech head Dheeraj A, and growth head Bharath Ram. - Kalyan Krishnamurthy, Flipkart's group CEO, informed employees of the departures, attributing them to career transitions. - Amitesh Jha and Ayyappan R, with tenures since 2010 and 2013 respectively, represent some of the longest-serving executives at Flipkart. - The departures follow Krishnamurthy's recent announcement of Flipkart nearing profitability through cost reduction initiatives. - Previous exits include senior VP Adarsh Menon in May 2023 and supply chain SVP Ravish Sinha in March 2023, among others. - Flipkart is anticipated to trim around 1,000 jobs, representing a 5% reduction in team size, as part of its annual performance review process. - Flipkart India, the B2B arm, reported a widened standalone net loss of over 42% YoY in FY23, while Flipkart Internet saw a 1.5X YoY surge in net loss in FY22. 📉Key Points: - Departures signal organizational changes as Flipkart intensifies efforts towards agility and efficiency. - Krishnamurthy's emphasis on cost reduction aligns with Flipkart's broader goal of achieving profitability. - Previous executive departures include those of Adarsh Menon and Ravish Sinha in 2023. - Flipkart anticipates trimming 5% of its workforce, affecting around 1,000 employees, amidst profitability efforts. - Financial indicators show Flipkart India's widened net loss and Flipkart Internet's increased net loss in recent fiscal years. 🔮Future Outlook: - The departure of SVPs and impending job cuts indicate Flipkart's strategic shifts to enhance operational efficiency and achieve profitability. - Flipkart's profitability drive remains central amid competitive pressures in the e-commerce landscape. #Flipkart #Profitability #Departures #CostReduction #StartUpNews #BusinessNews #MicroShots #NewsUpdates

Quick Commerce Heats Up: Flipkart Minutes Enters the Fray! The quick commerce battle in India is getting hotter! Flipkart's entry with Flipkart Minutes adds a new player to the ring, competing against giants like Blinkit, Zepto, and Swiggy Instamart. 📌 Key Takeaways: ➡ Flipkart's Advantage: Leveraging its existing infrastructure and user base could give Flipkart an edge in smaller cities. ➡ Intense Competition: The market is already crowded, and companies will need to differentiate themselves to win customers. ➡ Customer Benefits: Ultimately, consumers will benefit from more choices, faster delivery, and potentially lower prices. 📌 The Road Ahead: ➡ Rapid Expansion: Flipkart Minutes will need to rapidly scale its operations to compete effectively. ➡ Profitability: Achieving profitability in the highly competitive quick commerce space will be a significant challenge. ➡ Customer Experience: Delivering consistent and reliable service will be crucial for long-term success. #QuickCommerce #Ecommerce #India #news

At the #WalmartGrowthSummit, Kalyan Krishnamurthy, CEO of the Flipkart group, in conversation with Shri Sanjiv Singh, IRS, Joint Secretary, DPIIT, Jason Fremstad, SVP, Walmart and Naina Lal Kidwai, Chairperson, Rothschild & Co India, spoke about the importance of MSMEs to the country’s economy. The next steps in their growth journey is for them to leverage technology, e-commerce and global exports with Flipkart and Walmart. Currently, MSMEs contribute to about 1/3rd of the total GDP, which when enabled can provide the required boost to further scale up the economy. #FlipStart #MSMEs #ecommerce

🚨🚨 Exclusive | Ecommerce major Flipkart, currently pruning its workforce in a push toward profitability, will see at least four senior vice presidents (SVPs) leave, adding to CXO-level exits at the company, sources told ET. Who are the SVPs on their way out? 👉Travel booking website Cleartrip’s head Ayyappan R 👉Amitesh Jha, who leads marketplace and categories 👉Fintech and payments head Dheeraj A 👉Bharath Ram who spearheads growth and retention at the web retailer The churn in the SVP ranks comes even as Flipkart’s group CEO Kalyan Krishnamurthy is pushing employees to shrug off their big-company attitude and become agile. Sources close to the matter said Flipkart worked with a top consulting firm to help rationalise its organisation structure across levels, the results of which are being implemented now. Quote, unquote: “Many are comparing this to the 2016 era when he came back to Flipkart for a second innings. Amazon at the time was snapping at his heels and the company went through its toughest few years then," a source told ET. Read our AM scoop by Samidha Sharma & Digbijay Mishra on ETtech here https://lnkd.in/ges-qmX5

Google has invested a massive $350 million in Flipkart as part of a funding round led by Walmart. This investment has raised Flipkart's valuation to over $35 billion. Google's investment is part of a larger $1 billion funding round, which also saw Walmart invest $600 million in December 2023. But here is the real question: What's in it for India? First things first, this deal depicts Google's interest in tapping into India's rapidly growing and competitive e-commerce market and its millions of online shoppers. The market could see increased competition among different players, leading to a wider variety of products and services for Indian consumers. Additionally, a more competitive market often translates to better pricing and improved shopping experiences for customers. Indian consumers could potentially benefit from attractive discounts, offers, and an enhanced overall shopping journey as e-commerce companies strive to outdo each other. Flipkart's potential collaboration with Google Cloud services is another aspect that could indirectly benefit Indian consumers. By leveraging Google's cloud infrastructure, Flipkart may be able to enhance its operations, logistics, and delivery capabilities, resulting in faster and more efficient service for customers across the country. Although the immediate impact of this investment may be felt by Flipkart through strengthening its market standing and improving its infrastructure, the long-term consequences could be much broader Indian consumers. #google #flipkart #investments #walmart #ecommerceindia

The US markets rallied yesterday by #GoingBigOnIndia (partly)! Walmart's earnings report yesterday started this rally with Flipkart the poster child for the growth in the business. In fact, Walmart is a fantastic case study of how #GoingBigOnIndia helps companies do well financially. 1. Walmart has been sourcing in India since 2002 with a commitment to source $10B per annum from India-sourced goods till 2027 2. Walmart acquired Flipkart Group in 2018 which included Myntra and what is now PhonePe - no need to talk about how amazing this has turned out for them 3. Walmart Global Tech India has leveraged Indian talent to deliver tech solutions to their customers And the results? Their stock price has outpaced the broader Dow and S&P500 indices, especially this year. Not all of this is due to India and their Indian subsidiaries of course, but India's contribution is evident. In their earnings call yesterday, their executive team highlighted the "double-digit topline growth" in #Flipkart, with more legs to run in the upcoming festive season as a sign that Walmart's business will continue to do well in the coming quarters. They also pointed to PhonePe as another driver of "amazing growth in total payment volume". If Going Big On India can help the biggest global retail store deliver great results, it can help anyone! What's your India strategy? PS: Walmart Foundation is also giving back to India by strengthening small farmer communities in India and empowering women. They're active in their commitment to India and the overall development here.

Why does Flipkart exist? I was an early sceptic of FK and was demolished by its funding success and exit to Walmart. Now, years later, its existence remains a puzzle for me. Why? In an insightful ET article, these points are shouted out loud. (Link to article in comments) 1) Never-ending, MASSIVE losses "FK has been losing over a billion dollars annually across businesses." 2) FK's heavy dependence on a couple of categories: "Flipkart’s GMV mix remains heavily skewed towards mobile phones and apparel, which account for 80% of its sales. The Company’s inability to meaningfully broaden its GMV mix remains a "concern." 3) Zero/Slow growth: These categories have razor-thin margins and don't seem to be growing "Smartphone shipments grew only 1% in calendar year 2023 (the Offline channel overtook online sales after a long gap!!). Flipkart’s second largest category, too, saw tepid growth in FY24. The overall slowdown in the segment was evident through Myntra’s low GMV growth of 12%" in FY23." 4) Stale / Ineffective leadership? "The CEO's mandate was to take over the company’s finances, which are not in shape for an IPO. Walmart is pushing for profitability. Every year, they spend USD1 billion to cover "the burns.” Back to The Puzzle: Why does FK exist? My reasons: a) Walmart gets an E-Com Pole Position in the ultimate market in the world- "India". OK, it costs 1$ Billion US a year. For Walmart, it's like some of us owning a home in a city you rarely visit but which you need to own (for ego/comfort/one day). b) Hope that hype and brand will blind reality - Indian IPO suckers will get fooled by the FK brand name and forget to look at Profits and Growth? (Unlikely in 2025. Check how badly performing Indian Internet stocks are getting punished in the great bull run of 24). c) It's tempting to compare FK to others, but that's a fallacy. Amazon is a cloud company. Some are click-brick (Ajio). Others are specialists (Meesho, Nykaa). What is FK? Your insights? #dhanhekibaat - seeking the truth in the fogs of confusion