Flipkart Ads Drive Walmart’s Advertising Business Growth In Q2
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Global retail giant Walmart said that ecommerce major Flipkart’s ad vertical drove its global advertising business in the second quarter (Q2) of FY27.
In its earnings release, Walmart said that its advertising business grew 20% during the quarter, led by Flipkart Ad. Overall, its global advertising business grew by 38% during the quarter. It did not specify whether the growth was on a sequential or a year-on-year basis.
Walmart International’s net sales stood at $35.2 Bn during the quarter ended July 2026, up 12.8% from $31.2 Bn in the previous year period. On a constant currency basis, sales rose 7.9% to $33.7 Bn.
The company’s operating income saw a growth of 28.8%, driven primarily by China and India.
Walmart International’s ecommerce sales were up 19% in Q2 FY27, led by store-fulfilled pickup and delivery and marketplace.
However, for Q3, Walmart expects growth to encounter a headwind of over 100 bps due to the timing shift of Flipkart’s Big Billion Days between Q3 and Q4.
“For Q3 sales guidance, we expect a headwind of over 100bps to growth related to a timing shift of Flipkart’s Big Billion Days between Q3 and Q4. Our operating income outlook reflects the continued prioritisation of tariff refunds received in Q2 into customer experience and price investments in the second half,” Walmart executive vice president and CFO John David Rainey said.
Meanwhile, Flipkart is focusing on expansion beyond ecommerce and quick commerce. Recently, group CEO Kalyan Krishnamurthy told Moneycontrol that the company will launch its food delivery service in the coming weeks.
On the other hand, its quick commerce segment Flipkart Minutes is set to enter the premium grocery and specialty food products segment under its private label brand Pykd, and is planning to pilot the offering first in Bengaluru.
This comes as Flipkart has halted its IPO plans till at least next year as it focuses on profitability before going public. Its proposed $2-2.5 Bn pre-IPO funding round was put on hold to focus on its margin improvement efforts.
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