Walmart-owned Flipkart Private Limited, which includes the eponymous e-commerce platform, payments app PhonePe, fashion platform Myntra and logistics and wholesale business, has recorded revenues of over $6 billion in FY19.

This is a 42 percent increase in the group’s revenue from the previous year’s revenue of Rs 30,644 crore or $4.32 billion, according to business intelligence platform paper.vc.

Flipkart Private Limited, registered in Singapore, saw a 63 percent reduction in losses to Rs 17,231 crore from Rs 46,895 crore in the fiscal.

The fall in expenses mainly came from the fall in finance costs from the FY18 fiscal, according to the filings, which showed that the finance costs fell to Rs 4,282 crore from Rs 40,937 crore in FY18.

"The main change seems to be from changing of convertible securities from the Series B to Series I rounds into equity post the acquisition. The redemption option on these shares was considered as a liability in FY18," said Vivek Durai, cofounder of paper.vc.

Flipkart did not respond to CNBC-TV18's queries.

“The massive decline in expenditure is attributable to a steep decline in finance costs rather than any overall optimisation in operating expenses. Finance cost comprised a large part of FY’18 expenditure, largely attributed to the accounting treatment of convertible securities. If one were to exclude finance costs, overall group expenditure actually went up by 118 percent,” Vivek Durai, co-founder of paper.vc.

Employee benefits expenses shot up to Rs 4,282 crore from Rs 2,683 crore, while expenses from depreciation, amortisation and impairment also saw a big jump to Rs 3,502 crore in FY19 from Rs 692 crore.

Flipkart Group also was active in acquisitions in the year, making five such investments, for which the company said goodwill of Rs 249 crore has been recognised on the fair value of net assets acquired of Rs 71 crore.

The company spent Rs 332 crore on acquisitions, including $21.4 million on the September 2018 acquisition of Israel-based Upstream Commerce and $10.5 million on the acquisition of Bangalore-based Liv AI.

These acquired businesses contributed revenue of Rs 18 crore and losses of Rs 21 crore form the periods of their acquisitions up to March 2019. Flipkart was acquired by Walmart in August 2018.

Flipkart's e-commerce business Flipkart Internet Private Limited, saw its revenues for the financial year 2018-19 at Rs 4,800 crores, a 57 percent jump since the last financial year, as per filings from Tofler. The company further reported a net loss of Rs 1624 crores during the same fiscal. This is a 40 percent increase from the last financial year.

Flipkart India Pvt Ltd, the B2B wholesale arm of Flipkart, seems to have felt the hit from the FDI norms, with losses growing by 85 percent in FY19.

PhonePe Private Limited reported its revenues for the financial year 2018-19 as Rs 246 crore, a 400 percent jump since the last financial year. The company further reported a net loss of Rs 1,905 crore during the same fiscal. This is a 141 percent increase from the last financial year.

First Published:Nov 1, 2019 3:13 PM IST