Walmart CFO believes Flipkart and PhonePe are heading toward profitability

Speaking on Tuesday at an investor conference in London, Rainey said that Flipkart's losses in the e-commerce sector have been decreasing.

Walmart, which owns both of the Indian startups, says that Flipkart and PhonePe are "on their path to profitability," according to CFO John David Rainey. This is according to an Economic Times story. 

Speaking on Tuesday at an investor conference in London, Rainey said that Flipkart's losses in the e-commerce sector have been decreasing. He also said that Walmart is more optimistic about the company's long-term financial prospects as a result of this accomplishment. 

Rainey said a few weeks ago that Flipkart's profitability trajectory might affect the company's IPO. "We want to continue moving on this path to profitability with each of these entities," he allegedly said at a conference. Investors, in my opinion, should be able to determine when an IPO is appropriate, where the economy is headed, and when you are approaching profitability. Therefore, I believe that the timing of it will have a significant impact on the IPO's schedule. 

Rainey said that Flipkart saw double-digit growth for the quarter that concluded on April 30 at the most recent quarterly analyst call, which took place in May. Additionally, Walmart's International President and CEO Kathryn McLay said that the business is considering the best moment to announce Flipkart's initial public offering (IPO). "And we are searching and evaluating when will be the ideal time to IPO that business (Flipkart)," said McLay. 

Flipkart has been concentrating on growing quickly. According to reports, the e-commerce site just finished a $1 billion fundraising round. Three hundred fifty million of them went into Google's Alpha. According to the economic times, the corporation was valued at $33 billion last year; in the most recent investment round, its worth increased to $35–36 billion. 

According to Rainey, PhonePe, a platform for digital payments and banking services, processes over $1.5 trillion worth of payments annually. According to reports, Rainey went on, "In the payments industry, total payment volume is the equivalent of GMV (gross merchandise value). That must rank among the biggest payment companies globally, at least outside of China. Therefore, you aim to be the biggest payment provider in the biggest market in the world.