Sugar.fit, a Gurugram-based digital health startup focused on diabetes care, reported robust revenue growth in FY25 alongside a modest reduction in losses, reflecting steady expansion in India’s chronic care and health‑tech market. The company’s performance highlights rising demand for tech‑enabled diabetes management across urban and semi‑urban India.
Revenue Surge Driven by Service Offerings
For the year ended March 2025, Sugar.fit posted revenue from operations of ₹66.5 crore, up 77% from ₹37.5 crore in FY24. Including other income of ₹8.5 crore, total income reached about ₹75 crore versus ₹42 crore a year earlier, according to filings reported by Entrackr.
The business generates revenue entirely from service‑based diabetes care programmes that combine digital tracking, personalised nutrition plans, medical supervision and health coaching. Growing awareness of lifestyle diseases and increased acceptance of digital health solutions have underpinned demand for such structured chronic‑care services.
Costs Rise But Unit Economics Improve
Total expenditure increased to ₹117 crore in FY25 from ₹89 crore in FY24, a rise of roughly 31.5%. Employee benefit expenses climbed 18% to ₹33 crore as the company scaled hiring and retention efforts. The cost of materials consumed rose sharply to ₹21 crore from ₹0.6 crore, while advertising and promotional spends remained high at around ₹34 crore, accounting for nearly one‑third of total costs.
Despite higher absolute spending, Sugar.fit improved operational efficiency. The company spent ₹1.76 to generate each rupee of revenue in FY25, down from ₹2.37 in FY24, signalling better cost management and improving unit economics as it scales.
Loss Reduction and Liquidity Position
Net losses narrowed by about 11% to ₹42 crore in FY25 from ₹47 crore in FY24. While the business remains loss‑making and key profitability metrics — including return on capital employed and EBITDA — are still negative, the reduction in losses reflects progress toward tighter financial discipline.
Cash and bank balances fell to ₹1 crore at the end of FY25 from ₹5.6 crore a year earlier, indicating continued investment in growth and operations and underscoring the need for careful liquidity management going forward.
Funding, Market Context and Outlook
To date, Sugar.fit has raised nearly $26 million from investors, which has supported product development, marketing and team expansion. The company operates in a highly competitive digital health ecosystem where customer acquisition cost, pricing sensitivity and long‑term retention are ongoing challenges.
Going forward, Sugar.fit’s ability to scale responsibly while improving margins and controlling customer acquisition costs will determine its path to profitability. With long‑term demand for preventive and chronic care services rising in India, the company is positioned to benefit from structural trends, provided it sustains execution and financial discipline.
