Sugar.fit posts 77% revenue growth in FY25, narrows losses

Sugar.fit, a digital health and diabetes management startup, reported a sharp growth in its operating revenue in the fiscal year ending March 2025, even as losses narrowed marginally amid rising expenses.

Sugar.fit’s revenue from operations surged 77% to Rs 66.5 crore in FY25 from Rs 37.5 crore in FY24, according to its financial statements sourced from the Registrar of Companies (RoC).

Sugar.fit offers a diabetes care program that combines innovative technology with personalized human interventions. Revenue from services was the sole source of income for the company. Including other income of Rs 8.5 crore, Sugar.fit’s total income stood at Rs 75 crore in FY25 from Rs 42 crore a year earlier.

On the spending side, advertising and employee-related costs remained the largest cost centres for the company. Advertisement expenses stood flat at Rs 34 crore, accounting for 29% of total expenses, while employee benefit expenses rose 18% to Rs 33 crore, forming 28% of overall costs.

Cost of materials consumed jumped sharply to Rs 21 crore in FY25 from Rs 0.6 crore in FY24, contributing nearly 18% of total expenditure. Other overheads, including legal and professional charges and miscellaneous expenses, together added over Rs 24 crore during the year. Overall, total expense rose 31.5% to Rs 117 crore in FY25 from Rs 89 crore in FY24.

Sugar.fit reduced its losses by 11% to Rs 42 crore in FY25 from Rs 47 crore in FY24. Its ROCE and EBITDA margin stood at -53.66% and -68.27% respectively.

On a unit basis, Sugar.fit spent Rs 1.76 to earn a rupee during FY25, an improvement from Rs 2.37 in FY24. Sugar.fit’s cash and bank balances fell sharply to Rs 1 crore as of March 2025 from Rs 5.6 crore in FY24, while current assets stood at Rs 101 crore.

According to TheKredible, Sugar.Fit has raised a total of $26 million of funding till date, Having MassMatual Ventures and Tanglin Venture as its lead investors.

The numbers might look terrible, but there is a reason Sugar.fit is working at it, and that is the sheer size of the market in India. India is diabetes central on Earth, and the data and learnings for Sugar.fit as it keeps expanding its influence is bound to be of value for the firm as well. If it gets lucky.  On a standalone basis, it remains an uphill climb for the firm, as the market has limited paying capacity considering the mind numbing amount of solutions being sold for every pocket. Certainly a firm where investors need to have a longer horizon in mind.