Walmart, the US retail giant, has asked the e-commerce platform Flipkart to pause its IPO plans and focus instead on achieving EBITDA breakeven before the end of FY27, according to a Moneycontrol report.
As reported by Moneycontrol and based on insights from knowledgeable sources, this decision was made during Walmart CEO and President John Furner’s recent visit to Bengaluru—his first trip to India since assuming the role in February. During his visit, Furner reportedly met with senior Flipkart executives to assess the company’s long-term growth and profitability strategy.
Moneycontrol, citing its sources, reported that Flipkart has set an internal objective to reach breakeven within this financial year, effectively delaying its planned IPO and any upcoming pre-fundraising efforts until it achieves profitability targets.
This situation marks the second significant delay in Walmart’s listings in India, following the postponement of PhonePe, in which the US company also holds a controlling interest. Walmart currently possesses over 80% ownership in Flipkart and approximately 71.8% in PhonePe.
The report from Moneycontrol also noted that Walmart is not under any immediate pressure to generate returns from its investments in India through public offerings and is instead focusing on achieving sustainable financial results over expedited market entry plans.
Walmart pushes Flipkart to prioritise profitability amid rising competition
As reported by Moneycontrol, Flipkart’s efforts to achieve profitability have been a topic of interest for over a year. In April 2025, Moneycontrol reported that the Flipkart board instructed Group CEO Kalyan Krishnamurthy to reduce the company’s monthly cash burn from approximately $40 million to around $20 million in preparation for a possible IPO.
The report highlighted that although Flipkart’s financial results for FY26 are not yet available, its marketplace division, Flipkart Internet, successfully reduced its consolidated net loss by about 37% to ₹1,494.2 crore in FY25, down from ₹2,358.7 crore in FY24. However, at the group level, losses remained significantly elevated due to ongoing investments in various businesses such as Myntra, Cleartrip, eKart, super.money, and Shopsy.
Moneycontrol, in its news report, also noted that the drive for profitability arises amid increasing competition in quick commerce and e-commerce. Flipkart is rapidly expanding Minutes, its grocery delivery service promising 10-minute delivery, and is competing with players like Amazon Now, JioMart, Blinkit, Zepto, BigBasket, and Instamart.
The article further indicated that Walmart’s heightened emphasis on profitability might cause Flipkart to focus on certain business segments while cutting back on expenditures in less essential areas.
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