Take the pledge to vote

For a better tommorow#AajSawaroApnaKal
  • I agree to receive emails from News18

  • I promise to vote in this year's elections no matter what the odds are.
  • Please check above checkbox.

    SUBMIT

Thank you for
taking the pledge

Vote responsibly as each vote counts
and makes a diffrence

Disclaimer:

Issued in public interest by HDFC Life. HDFC Life Insurance Company Limited (Formerly HDFC Standard Life Insurance Company Limited) (“HDFC Life”). CIN: L65110MH2000PLC128245, IRDAI Reg. No. 101 . The name/letters "HDFC" in the name/logo of the company belongs to Housing Development Finance Corporation Limited ("HDFC Limited") and is used by HDFC Life under an agreement entered into with HDFC Limited. ARN EU/04/19/13618
LIVE TV DownloadNews18 App
News18 English
News18 » Business
1-min read

Walmart Says $16 Billion Flipkart Deal Will Hit Earnings

Walmart, in May, had picked up 77 percent stake in Flipkart for $16 billion as part of its efforts to ramp up its e-commerce business as it takes head-on global rival Amazon.

PTI

Updated:October 16, 2018, 7:10 PM IST
facebookTwitterskypewhatsapp
Walmart Says $16 Billion Flipkart Deal Will Hit Earnings
(File photo: Reuters)
Loading...

New Delhi: World's largest retailer Walmart on Tuesday said its $16-billion investment in Indian e-tailing giant Flipkart will hit its operating income as well as earnings per share.

The Bentonville, US-based company said its earnings per share (EPS) is now expected to be around $2.65-2.80 as compared to a previous guidance of $2.90-3.05 for the fiscal year ending January 31, 2019.

"FY20 operating income is expected to decline by a low single digit percentage range, but is expected to increase by a low single digit percentage range when excluding Flipkart in both FY19 and FY20," Walmart said in a regulatory filing.

Walmart, in May, had picked up 77 percent stake in Flipkart for $16 billion as part of its efforts to ramp up its e-commerce business as it takes head-on global rival Amazon.

The deal with Flipkart, which was completed in August this year, will not only help Walmart strengthen its play in the Indian market but also cash in on the burgeoning e-tailing market in India that is poised to touch $200 billion in the next few years.

The retail giant's investment in Flipkart also includes $2 billion of new equity funding to help accelerate the Bengaluru-based company's business that is locked in intense competition against Amazon's India unit.

For FY2020, Walmart said it expects its US same-store sales growth to be in the range of 2.5-3 per cent.

Its net sales growth is forecast to be at least 3 per cent in constant currency, "negatively impacted" by deconsolidation of its Brazil business and lower tobacco sales at Sam's Club.

Besides, Walmart expects net sales growth to be about 5 percent internationally in constant currency.

Get the best of News18 delivered to your inbox - subscribe to News18 Daybreak. Follow News18.com on Twitter, Instagram, Facebook, TikTok and on YouTube, and stay in the know with what's happening in the world around you – in real time.

Subscribe to Moneycontrol Pro and gain access to curated markets data, trading recommendations, equity analysis, investment ideas, insights from market gurus and much more. Get Moneycontrol PRO for 1 year at price of 3 months. Use code FREEDOM.

| Edited by: Padmaja Venkataraman
Read full article
Loading...
Next Story
Next Story

Also Watch

facebookTwitterskypewhatsapp
Most Active
Company Price Change %Gain
Yes Bank 59.25 5.24
Indiabulls Hsg 467.85 3.84
Reliance 1,275.85 2.33
HDFC Bank 2,162.70 -0.52
ICICI Bank 395.40 -0.93
Company Price Change %Gain
Yes Bank 59.25 5.24
ICICI Bank 395.75 -0.85
Indiabulls Hsg 467.90 4.00
Bajaj Finance 3,175.35 1.85
Reliance 1,275.95 2.36
Top Gainers
Company Price Change %Gain
Zee Entertain 351.15 6.75
Vedanta 137.40 6.47
UPL 547.25 5.64
Yes Bank 59.25 5.24
BPCL 329.35 5.22
Company Price Change %Gain
Vedanta 137.50 6.55
Yes Bank 59.25 5.24
ONGC 122.30 4.66
M&M 533.10 4.09
Coal India 188.05 4.07
Top Losers
Company Price Change %Gain
IndusInd Bank 1,310.50 -1.88
ITC 236.10 -1.65
ICICI Bank 395.40 -0.93
Eicher Motors 15,383.45 -0.90
HUL 1,860.00 -0.65
Company Price Change %Gain
IndusInd Bank 1,310.35 -1.90
ITC 236.00 -1.71
ICICI Bank 395.75 -0.85
Power Grid Corp 201.40 -0.69
HUL 1,859.35 -0.69

Live TV

Loading...
Countdown To Elections Results
To Assembly Elections 2018 Results