Flipkart vs Rakuten: Revenue, Profit and Business Model
Flipkart had ~$9.6B of annual revenue in FY2025 and a net loss of ~$601.9M. Rakuten had ~$16.7B of annual revenue in FY2025 and a net loss of ~$1.2B.
Latest financial snapshot
Financial summary
Flipkart
Flipkart has grown revenue steadily while still losing money. Flipkart India Pvt Ltd's consolidated revenue from operations rose from ~$6.49 billion (₹55,924 crore) in FY2023 to ~$8.18 billion (₹70,542 crore) in FY2024 and ~$9.6 billion (₹82,787 crore) in FY2025 (+17.3%), but its consolidated loss widened from ~$493 million (₹4,248 crore) to ~$602 million (₹5,189 crore). The marketplace arm, Flipkart Internet, is improving faster: FY2025 revenue reached ~$2.38 billion (₹20,493 crore) and its net loss fell 37% to ~$173 million (₹1,494 crore), with EBITDA loss narrowing to ~$125 million (₹1,078 crore). Walmart paid $16 billion for 77% in 2018; later private valuations were $37.6 billion (2021 round), about $36 billion (2024 round led by Walmart with Google participating) and about $38.2 billion in a July 2026 employee buyback. Reports in September 2026 said Flipkart was targeting an IPO valuation near $50 billion, though the timeline remains uncertain.
Rakuten
Rakuten's results for most of the 2020s were shaped by one decision: building Japan's fourth mobile network from 2018 onward. Net losses reached ~$2.5 billion (¥372.9 billion) in FY2022 and ~$2.27 billion (¥339.5 billion) in FY2023 while revenue kept growing. Losses narrowed to ~$1.09 billion (¥162.4 billion) in FY2024 and about $1.19 billion (¥177.9 billion) in FY2025 on revenue of ~$16.8 billion (¥2.50 trillion). The turn came in Q2 2026: revenue of ~$4.46 billion (¥665.5 billion) (+11.6%), EBITDA of ~$773 million (¥115.3 billion) and net income of ~$182 million (¥27.2 billion), the first quarterly profit since Q2 2020, with management targeting a full-year profit for 2026. Rakuten Group, Inc. is a massive Japanese electronic commerce and online retailing company, operating a highly diverse global ecosystem with a market valuation generally exceeding $10 billion.
Revenue and profit by year
Flipkart
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | ~$9.6B | ~-$601.9M | -6.3% | +17.4% | Source |
| FY2024 | ~$8.2B | ~-$492.8M | -6.0% | +26.1% | Source |
| FY2023 | ~$6.5B | — | — | — | Source |
Rakuten
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | ~$16.7B | ~-$1.2B | -7.1% | +9.5% | Source |
| FY2024 | ~$15.3B | ~-$1.1B | -7.1% | +10.0% | Source |
| FY2023 | ~$13.9B | ~-$2.3B | -16.4% | +7.4% | Source |
| FY2022 | ~$12.9B | ~-$2.5B | -19.3% | +14.6% | Source |
| FY2021 | ~$11.3B | ~-$896.6M | -8.0% | — | Source |
Where the revenue comes from
Flipkart
- Marketplace (Flipkart Internet)
Not formally reported
Commissions, fixed fees, shipping and fulfilment charges from third-party sellers, plus advertising fees for sponsored listings: about $2.38 billion (INR 20,493 crore) in FY2025, up 14%.
- Flipkart India (B2B Goods)
Not formally reported
Consolidated revenue from operations of about $9.6 billion (INR 82,787 crore) in FY2025, mostly from selling goods business-to-business, including supplying sellers and kirana stores.
- Group Businesses
Not formally reported
Myntra (fashion and beauty), Ekart (logistics), Cleartrip (travel commissions) and Shopsy (low-price social commerce).
Rakuten
- Internet Services (Rakuten Ichiba, Travel, Rewards)Segment
Merchant fees and commissions, advertising, travel bookings and affiliate cash-back commissions.
- FinTech (Rakuten Card, Bank, Securities, Payment)
Segment (~$1.98B (¥295.4B) revenue in Q2 2026)
Card interchange and revolving interest, deposit spreads, brokerage commissions and payment fees.
- Mobile (Rakuten Mobile, Rakuten Symphony)Segment
Monthly mobile subscriptions and Open RAN telecom software and services sold to other operators.
Business model and strategy
Flipkart
How it makes money
Flipkart makes money from several linked businesses. 1. Marketplace (Flipkart Internet Pvt Ltd): third-party sellers list products on Flipkart and pay commissions, fixed fees, shipping and fulfilment charges, plus advertising fees for sponsored listings. Indian FDI rules bar foreign-owned marketplaces from holding inventory for sale to consumers, so the marketplace earns service income rather than product revenue;
Growth strategy
Flipkart's growth plan rests on three bets. First, value commerce: Shopsy targets price-sensitive shoppers in Tier-2 and Tier-3 towns against Meesho. Second, quick commerce: Flipkart Minutes, launched in August 2024, is expanding its dark-store network to compete with Blinkit, Swiggy Instamart, Zepto and Amazon Now.
Competitive advantage
Flipkart's edge comes from its own logistics network (Ekart), close knowledge of Indian shoppers, and leadership in smartphones and fashion. It built delivery in-house when third-party couriers were unreliable, owns Myntra in fashion, and uses exclusive phone launches and bank-backed no-cost EMIs to drive high-value electronics sales. Walmart's ownership gives it deep funding and global sourcing.
Rakuten
How it makes money
Rakuten makes money from three segments tied together by one Rakuten ID and Rakuten Points. Internet Services (Rakuten Ichiba, Rakuten Travel, Rakuten Rewards, Kobo) earns merchant fees, commissions and advertising, since Ichiba is a marketplace where independent shops run their own storefronts rather than a first-party retailer.
Growth strategy
Rakuten's growth strategy rests on three moves: push Rakuten Mobile toward sustained profitability by adding subscribers who also use other Rakuten services; deepen FinTech by consolidating card, bank and securities under Rakuten Bank to cut funding costs and cross-sell deposits in a rising-rate Japan; and apply AI across Ichiba search, recommendations and merchant tools to lift gross merchandise sales.
Competitive advantage
Rakuten's main edge is cross-use. A single Rakuten ID links shopping, card, bank, brokerage and mobile accounts, and the SPU program raises point rewards for customers who use several services. That base is large: Rakuten Bank had 18.46 million accounts and Rakuten Securities 14.39 million accounts in Q2 2026, and Rakuten Card shopping volume reached ~$186 billion (¥27.7 trillion) over the trailing twelve months.
Questions about Flipkart vs Rakuten
Which company has higher revenue — Flipkart or Rakuten?
Flipkart had ~$9.6B (FY2025), while Rakuten had ~$16.7B (FY2025). By latest annual revenue, Rakuten is the larger business, with Flipkart showing a smaller revenue base.
What is the market cap of Flipkart vs Rakuten?
Rakuten has a market capitalisation of $9.8B. A public market cap figure for Flipkart was not available (it may be privately held).
How does revenue per employee compare for Flipkart and Rakuten?
Flipkart has $213k / employee in revenue per employee, while Rakuten has $507k / employee. Headcounts may use different dates, so the ratio alone does not establish which business operates more efficiently.
How do Flipkart and Rakuten make money?
Flipkart and Rakuten generate revenue in fundamentally different ways. Flipkart: Flipkart makes money from several linked businesses. Rakuten: Rakuten makes money from three segments tied together by one Rakuten ID and Rakuten Points.
Is Flipkart bigger than Rakuten?
By last reported revenue, Rakuten (~$16.7B (FY2025)) is the larger company compared to Flipkart (~$9.6B (FY2025)). Revenue scale is one dimension of size — market capitalisation, employee count, and geographic reach are also relevant depending on the context.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the Flipkart vs Rakuten overview