Given the maze of companies that Flipkart counts in its fold, reports on the financial health of the enterprise using the numbers reported by any one company — Flipkart Internet Pvt Ltd, Flipkart India Pvt Ltd, Flipkart Logistics Pvt Ltd or Flipkart Online Services Pvt Ltd — may not present an accurate picture.
So, FactorDaily decided to dig up information on Flipkart Ltd, the apex company registered in Singapore, into which all its businesses fold. And, look what we found.
Flipkart Ltd has grown its revenues nearly three times between FY2013 and FY2015 and improved its operating margins significantly in the same period. Flipkart Ltd reports its financial results for the period April 1 to March 31.
In FY2015, Flipkart Ltd clocked Rs 10,245.8 crore in revenues, up 28.7% or Rs 2,937.7 crore a year ago. Its operating margin improved from -31.26% in FY2014 to -25.21% in FY2015.
The e-commerce company, which has seen multiple organizational changes in the last two years, seems to have held its ground so far, although Amazon, has been gaining market share in the country. Makes us wonder who lost market share?
After a top level churn, a company wide restructuring in 2015, and senior exits, the company seems to be settling down under co-founder Binny Bansal, who took over as the new CEO in January 2016.
The following infographic, put together from public sources and Flipkart Ltd’s company profile lodged at the Accounting and Corporate Regulatory Authority (ACRA), Singapore may not yet be a complete representation of the Flipkart enterprise. But gives us a fair picture of where it is heading. Flipkart’s revenues for FY2016 is not available yet.
Flipkart’s Revenue: Nearly 9x growth from FY13
This is Flipkart’s revenue growth (not GMV) in the last three years.
Flipkart lost Rs 2,583.1 cr in FY15
Losses have also grown with its revenue. But, despite the sharp jump in the operating losses in absolute terms, it is actually good news for the company because… .
Operating margins have improved steadily
Operating margins have improved– meaning it is inching closer towards profitability. For every rupee it made in FY15, it lost about 25 paise — halving losses from two years earlier.
It has 150 investors: including pension funds, VCs and others such as…
Flipkart’s 150 investors together have pumped in nearly $3.4 billion into the company. Much of this comes from the top 15 investors listed above. At its peak, the company was valued at $15 billion but this has been marked down in recent months by marquee investors such as Morgan Stanley.
Flipkart’s Board: The men who call the shots
Flipkart has an eight-member board including founders Sachin Bansal and Binny Bansal as also top investors Lee Fixel and Subrata Mitra.
The Doers: Flipkart’s top management
Flipkart has just brought back people like Sameer Nigam, who had quit the company earlier. So we might see some more changes in the top deck sometime soon.
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Disclosure: FactorDaily is owned by SourceCode Media, which counts Accel Partners, Blume Ventures and Vijay Shekhar Sharma among its investors. Accel Partners is an early investor in Flipkart. Vijay Shekhar Sharma is the founder of Paytm. None of FactorDaily’s investors have any influence on its reporting about India’s technology and startup ecosystem.