Why Flipkart is making huge losses despite of so much growth

Hi,

I regularly see that Flipkart is biggest ecommerce player in India. There are several news about its success, its competition with others and so much advertisement on television. I also see that now a whole lot of people buy online from Flipkart than one can imagine few years back.

But what about news we see daily:

Flipkart Group saw its overall revenues increase by nearly a third in the previous fiscal while losses ballooned on the back of falling valuation. Revenues rose by 29% to Rs 19,854 crore in the financial year ending March 2017, according to the regulatory filings made by the online retailer’s parent company in Singapore

src: economictimes.indiatimes.com/articleshow/62761811.cms


Rs24,000 crore is the accumulated losses of Flipkart as of March 2017, up from Rs10,000 crore a year ago.
src: livemint.com/Companies/Qm0qju1D4ChnsPXYl9NSxI/News-in-Numbers-Flipkart-losses-swell-to-Rs24000-crore-as.html

So what is going on, now Wallmart is looking , see this :

Several key shareholders in India’s largest online retailer Flipkart have reportedly agreed to sell their stakes to Walmart but the biggest of them, Japan’s SoftBank, which holds 20 per cent stake, is seeking a better price. Flipkart founders Sachin Bansal and Binny Bansal may sell part of their stake as well, according to officials privy to the development.

Walmart has reached an agreement on buying the stakes of New York-based investment firm Tiger Global Management, South African media conglomerate Naspers, venture capital firm Accel and China’s Tencent Holdings, several Indian business dailies reported quoting anonymous sources.

These six shareholders collectively hold more than 55 per cent of Flipkart.
src:fibre2fashion.com/news/apparel-news/many-flipkart-shareholders-agree-to-sell-stake-to-walmart-241740-newsdetails.htm

So if Flipkart is loosing then why these big companies wants to invest in it ?