6 bn in 2016 2017 and $27 bn in 2017 2018

What’s the true value of Flipkart

Canada Goose online For example, a consumer may compare equivalent Hyundai and Maruti models before buying a car. A Lynch follower would like to buy shares in the company from which s/he bought the car. Canada Goose online

Canada Goose Coats On Sale But you can’t buy an unlisted company or even compare financials with peers, given the lack of information. That also makes it hard to understand sector dynamics if unlisted entities hold large market canada goose clearance sale share. Canada Goose Coats On Sale

A very large segment of retail is unlisted, or plain unorganised.

cheap canada goose uk canada goose clearance Listed brick mortar retail players are smaller than unlisted e commerce cheap Canada Goose players like Walmart Flipkart and Amazon. cheap canada goose canada goose uk

canada goose black friday sale The e commerce segment makes losses and buy canada goose jacket cheap it’s growing fast. But the lack of data makes it hard to figure how fast it’s really growing. canada goose black friday sale

There are big discrepancies in projections and estimates. The Economic Survey 2018 says e commerce, including ticketing for travel, movies and events, hit $33 billion in 2016 2017.

Forrester Research estimates online retail revenues (less tickets) were at $19.6 bn in 2016 2017 and $27 bn in 2017 2018. That’s about 35 per cent growth.

Forrester projects canada goose canada goose outlet coats on sale 26 per cent CAGR for the next five years. That will depend on fast smartphone and Internet penetration, a good per capita income growth and Canada Goose online robust fintech solutions.

Forrester estimates Flipkart’s standalone market share (without Myntra Jabong) was 31.9 per cent in 2017 2018, while Amazon India held 31.1 per cent. But Flipkart claims it holds 60 per cent market share.

The Economist estimates Flipkart logs just under 50 per cent of online revenues (less ticketing). That’s way more canada goose coats market share than in Forrester’s estimates. But The Economist reckons e commerce is just a $15 bn market, much smaller than the Forrester estimate.

Canada Goose Jackets So Flipkart’s Gross Merchandise Value (GMV) ranges from a little over $7 billion (if you believe The Economist) to $8.6 bn (Forrester). Canada Goose Jackets

buy canada goose jacket Flipkart does not report GMV and we don’t have Flipkart’s 2017 2018 numbers. But Flipkart’s standalone filings (excluding Myntra Jabong) said revenues Canada Goose Outlet (which would be a percentage of GMV) rose 18 per cent to Rs 155.7 bn in FY2016 2017 from Rs 131.8 canada goose deals bn in 2015 2016. buy canada goose canadian goose jacket jacket

canada goose factory sale Losses dropped to Rs 2.4 bn from Rs 5.5 bn. That’s about $2.4 bn in 2016 2017 revenues. canada Canada Goose Jackets goose factory sale

canada goose uk shop Growth canada goose black friday sale estimates also vary wildly for 2017 2018. Flipkart claims it grew at over 43 per cent between April September 2017. Amazon says it grew at over 80 per cent (off a smaller base) for the same period. canada goose uk shop

canada goose store How can two companies controlling joint 63 per cent market share (Forrester), or over 90 per cent market share (Flipkart estimate) grow that much faster than Canada Goose sale the overall sector (35 per cent Forrester)? canada goose store

canada goose Assuming Forrester’s estimate of 35 per cent growth is reasonably accurate, Flipkart’s 2017 2018 revenues should have hit about $3.2 bn. Does that gel with $7 bn to $8.6 bn as GMV? Hard to tell. (Myntra Jabong may have logged $1.2 bn GMV in 2017 2018). canada goose

The Walmart deal ($16 bn for 77 per cent) values Flipkart canada goose store at $21 bn plus. Keeping generous error margins given the discrepancies, that is three times The Economist estimate for GMV and maybe, seven times, the 2017 2018 revenues.

canada goose uk black friday We have no clear idea what the future burn rate will be. Note that Walmart has paid off shareholders to buy the company. It must now invest to sustain and grow operations. canada goose buy canada goose jacket uk black friday

canada goose clearance sale Policy changes to remove barriers to multi brand retail and clarification of tax status, etc, will also have to be ‘managed’. canada goose clearance sale

Given the discrepancies in estimates, it would be laughable to consider investment decision based on the public information.

canadian goose jacket Walmart is rumoured to be looking to listing Flipkart in a few years. At that stage, we’ll get a better sense of what’s going on in retail. But Amazon India’s financials will still be opaque, which means we don’t have a sense of the apex competitor. canadian goose jacket

Canada Goose Parka Similar issues arise with investments in the automobiles sector, where Hyundai is only one of many unlisted http://www.mycanadagoosejacket.org subsidiaries of global automobile companies. Their presence makes it hard to value the listed auto manufacturers. Canada Goose Parka

uk canada goose In analogy, Patanjali has a lot of market share in the fast moving consumer goods sector and again, its opaque unlisted financials makes it hard to assess the listed firms uk canada goose.