Meet Kalyan Krishnamurthy, man who is burning Rs 1700000000 cash, he works for…, the company is challenging…

Flipkart board asked CEO Kalyan Krishnamurthy to reduce spending as monthly cash burn hits $40 million.

Flipkart is under pressure to reduce its financial expenditures as it moves closer to a potential IPO. It is also considering shifting its holding entity from Singapore to India.

During a recent board meeting, CEO Kalyan Krishnamurthy was asked to reduce the company’s monthly cash burn by half from $40 million (approximately ₹340 crore) to $20 million (around ₹170 crore) in the upcoming quarters. The directive is to maintain the company’s financial health before preparing for an initial public offering (IPO).

Cash burn in startups and unprofitable businesses shows how quickly companies utilize their capital reserves to fund operations. Lowering the cash burn is necessary for sustainability and developing investor confidence prior to listing on the stock market.

Krishnamurthy has to face the dual challenge of making the company stronger while building Flipkart Minutes, its quick-commerce arm. As it will compete with Zomato’s Blinkit, Swiggy Instamart, Zepto, and Tata BigBasket.

The company had planned to open 500 new dark stores over the next eight months to strengthen its quick-commerce capabilities, an expansion that will require major capital investment.

Who Is Kalyan Krishnamurthy?

An e-commerce veteran, Kalyan was the Managing Director at Tiger Global Management, used to manage the fund’s India portfolio companies. Before that, he was Director, Finance – Portfolio Companies at Tiger Global Management.

Kalyan has worked as the Director of Financial Planning & Analysis for eBay Asia Pacific, and as the Country Finance Director (Hong Kong) at eBay South Asia. He was also a part of Procter and Gamble in its Supply Chain Finance business.

Kalyan has done an MBA from the Asian Institute of Management, Philippines. He likes reading and practicing yoga.