Walmart is reportedly advising Flipkart to decelerate its initial public offering (IPO) process, shifting focus toward a more fundamental objective: achieving profitability.
According to reports, Walmart has requested the India-based e-commerce leader to postpone its listing plans and prioritize reaching EBITDA breakeven by the end of the fiscal year 2027. This directive was reportedly discussed during a recent visit to Bengaluru by Walmart's CEO, John Furner, marking his first trip to India since assuming the role earlier this year.
Previously considered one of India's most anticipated potential IPO candidates, Flipkart is now being guided by Walmart to strengthen its financial foundation before testing the waters of the public market. Sources cited in the report indicate that Flipkart has internally set a target to achieve EBITDA breakeven before proceeding with an IPO or even a pre-IPO funding round.
This move also mirrors a shift in global investor sentiment toward growth-oriented companies. In recent years, public markets have increasingly emphasized profitability and cash flow, particularly for large e-commerce and tech firms that have historically prioritized rapid expansion over earnings.
Notably, this represents the second major Indian listing project that Walmart has reportedly slowed, following a similar approach with PhonePe. Walmart holds a stake exceeding 80% in Flipkart and approximately 71.8% in PhonePe, indicating that the retail giant still stands to unlock significant value through future public listings in India.
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