Walmart Pushes Flipkart To Delay IPO, Focus On FY27 Profitability Goal

Walmart-owned Flipkart is likely to postpone its initial public offering plans as the e-commerce company shifts focus towards achieving operational profitability before the end of FY27, according to people aware of the discussions.

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The move follows Walmart CEO and President John Furner’s visit to Bengaluru last week, where he met senior Flipkart executives during his first India trip since taking over the role in February. As per reports, Walmart has asked the company to prioritise EBITDA breakeven over raising capital through public or private markets.

Flipkart has internally set a target to achieve EBITDA breakeven by the close of FY27, one of the people cited in the report said. The development effectively delays both the company’s proposed IPO and any pre-IPO fundraising plans until profitability targets are met.

Focus Shifts To Cash Burn Reduction

Walmart’s emphasis on profitability is not new. In April 2025, Flipkart’s board had reportedly asked group CEO Kalyan Krishnamurthy to reduce the company’s monthly cash burn from $40 million to $20 million as preparations for a potential public listing were being evaluated.

In FY25, Flipkart Internet, the marketplace arm of the company, reduced its consolidated net loss by nearly 37% to ₹1,494.2 crore from ₹2,358.7 crore in FY24. But losses incurred by the wider group remained far higher, considering investments made in various business units such as Myntra, Cleartrip, eKart, Shopsy, and super.money.

This renewed emphasis on profit-making comes amid Flipkart’s aggressive expansion into quick commerce using its 10-minute grocery delivery service, Minutes. The segment is witnessing intense competition from players including Amazon Now, Blinkit, Zepto, Instamart, JioMart, and BigBasket.

Walmart’s India Bets Continue

Walmart currently owns more than 80% of Flipkart and 71.8% of PhonePe. The U.S.-based retailer has also delayed public listing plans for PhonePe as it continues to focus on operational performance across its India businesses.

Walmart’s market capitalisation has crossed $1 trillion on the Nasdaq, compared with nearly $300 billion in 2018, the year it acquired Flipkart in a $16 billion deal. The company’s expanding international operations, including growth in India, have contributed to its valuation increase over the years.

As per an ICICI Securities report, Flipkart continues to lead India’s e-commerce market with a gross merchandise value market share of 50-60%. The platform also recorded around 220 million monthly active users, ahead of Meesho’s 200 million and Amazon’s 150 million.

IPO Timeline Remains Uncertain

Flipkart has explored multiple IPO timelines over the past few years. Earlier plans for a U.S. listing did not materialise despite statements from company executives indicating public market ambitions.

The company was also evaluating a potential pre-IPO fundraising round of $2 billion to $2.5 billion earlier this year. However, Walmart is understood to have expressed concerns internally that such a capital raise could divert management attention away from profitability goals.

For now, operational efficiency and margin improvement are expected to remain central to Flipkart’s strategy before any fresh listing plans are considered.