Flipkart Internet gets Rs 3,249 crore from its Singapore parent company

Flipkart Internet, the marketplace arm of Walmart-owned Flipkart, has raised Rs 3,248.9 crore in internal funding from its Singapore-based parent company, ET reported, citing filings with the Registrar of Companies (RoC). 

The funding was raised through a rights issue, with the company's board allotting 470,772 equity shares at Rs 69,013.70 apiece to Flipkart Marketplace Private Limited, its Singapore entity.

This latest infusion follows a series of capital raises from the parent firm over the past year. In early 2023, Flipkart Internet received a total of Rs 1,421 crore in two separate tranches, while a related Singapore-based entity invested another Rs 924 crore in January 2024.

Revenue grows, losses narrow in FY24

Flipkart Internet reported a revenue of Rs 17,907.3 crore in FY24, marking a year-on-year growth of nearly 21%. The company also reported improved profitability metrics, with its losses narrowing by 41% to Rs 2,358 crore from the previous year.

Marketplace fee income — primarily derived from commissions on third-party seller sales — rose marginally to Rs 3,734.2 crore, compared to Rs 3,713.2 crore in FY23. Income from collection services also saw an uptick, reaching Rs 1,225.8 crore from Rs 1,114.3 crore the previous year.

Flipkart operates its India business through multiple entities. Flipkart Internet serves as the key driver of marketplace operations, earning revenue through seller commissions, advertising, and allied services.

IPO on the horizon

The internal funding comes at a time when Flipkart is reportedly preparing for an initial public offering (IPO) in India, expected within the next 12 to 15 months. As per a December 2024 report by The Economic Times, the company is actively exploring listing opportunities as it strengthens its capital base and operational footprint.

In May 2023, the Amazon rival closed a $1 billion funding round, which included a $350 million investment from Alphabet’s Google. The deal pegged the company’s valuation at approximately $35–36 billion.

Focused on quick commerce

Alongside bolstering its balance sheet, Flipkart has been expanding into the quick commerce segment through its "Minutes" service — a strategic response to the rising demand for hyperlocal delivery.

The service aims to offer rapid deliveries of groceries, electronics, and household essentials, placing it in direct competition with Blinkit, Zepto, and Swiggy Instamart, all of which have intensified their efforts in promising 10-to 20-minute delivery windows.

Earlier this year, it was reported that Flipkart onboarded Kabeer Biswas, co-founder of Bengaluru-based instant delivery service Dunzo, to head its quick commerce business.