Although Walmart does not provide particular sales data for PhonePe and Flipkart, company leaders have recently emphasized the importance of these two businesses.
According to the retailer’s Chief Financial Officer, John David Rainey, Walmart’s Flipkart marketplace and PhonePe payments operation in India have the potential to grow into $100 billion businesses. Speaking at an investor conference, Rainey emphasized the important roles Flipkart and PhonePe played in helping Walmart reach its five-year target of tripling its gross merchandise volume in international markets to $200 billion.
Although Walmart does not provide particular sales data for PhonePe and Flipkart, company leaders have recently emphasized the importance of these two companies. India’s enormous population of 1.4 billion people has previously been described as a “significant” possibility for the retail behemoth by Walmart’s global head.
For its Flipkart company, Walmart recorded double-digit sales growth in the most recent quarter, which concluded on April 30. A significant 50% increase in advertising sales and the addition of new customers in various cities were the main drivers of this expansion. Flipkart will be one of India’s most valuable firms in 2022, with a valuation of over $40 billion.
Walmart also praised PhonePe for its outstanding performance. The Unified Payments Interface, a very well-liked real-time payment system in India, had a significant role in the payments business reaching an annualized payment value of $1 trillion. According to the National Payments Corporation of India, PhonePe had a commanding 46% share of the payments business as of December.
A staggering 400 million registered users round out PhonePe’s user base. Walmart invested an additional $200 million in PhonePe in March, valuing the company at $12 billion and cementing its status as India’s most valuable payments firm.
It is not impossible to see both of these companies growing to be $100 billion firms, according to Rainey.
