Walmart is also on track to record $75 billion in global ecommerce sales by the end of this year, the US-based retailer said.
Walmart saw ‘strong sales growth’ in Flipkart (India) as well as Mexico and China in its international markets, the company said.
“We are prioritising the Holiday season. In India, we are prioritising the Big Billion Day, which is the Diwali festival coming up in early November,” McKenna told analysts during its quarterly earnings call.
McKenna’s remarks on the festive season sale event have come at a time when the Supreme Court has
cleared the way for India’s antitrust regulator to probe alleged deep discounting and treatment bias towards select sellers by e-tailers such as its India ecommerce unit Flipkart, and rival Amazon India.
The government is also
proposing a wide range of changes for the sector, including a ban on flash sales. Sales during Diwali typically offer the biggest deals on various goods across ecommerce platforms in India.
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Walmart Inc President and CEO Doug McMillon said Flipkart had seen another good quarter.
“Sales growth was strong, and we continue to see improving trends in monthly active users and customers,” he said.
McKenna added that digital penetration was increasing across the world and that it had invested in India (Flipkart, PhonePe) when the digital reach was relatively lower, but that it has grown since.
Walmart said international net sales were down by 15% to $23 billion during the June quarter, hurt by $8.9 billion related to divestitures. Its total revenue was $141 billion during the quarter, up 2.4%. Its ecommerce sales in the United States grew by 6%.
On Tuesday, ET reported – quoting a report from Bain & Company – that ecommerce
saw a 25% growth in India in FY21 to $38 billion and is expected to grow over 30% in the ongoing financial year.
Last month, Flipkart
raised $3.6 billion in a new funding round, which is expected to give it significant firepower to expand online shopping in India and take on well capitalised rivals like Amazon, Reliance Industries (RIL) and the Tata Group.
Flipkart has been valued at $37.6 billion post-money, up from $24.9 billion a year ago.
The latest financing was led by Canada Pension Plan Investment Board (CPP Investments), the Singapore government’s sovereign wealth fund GIC, Japan’s SoftBank Vision Fund 2 and Flipkart’s largest shareholder Walmart, with participation from existing backers like Qatar Investment Authority.
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