The beauty brand’s operating revenue dropped 20% to ₹404 crore in FY25, while FY26 estimates indicate another decline to ₹300–350 crore.
SUGAR Cosmetics’ financial performance has weakened further, with the beauty brand witnessing a decline in revenue alongside a sharp increase in losses. After reaching ₹505 crore in operating revenue in FY24, the company’s revenue fell 20% to ₹404 crore in FY25, marking a significant reversal after years of growth. FY26 estimates indicate that the decline could continue, with operating revenue projected at ₹300–350 crore.
At ₹300 crore, FY26 revenue would be around 26% lower than FY25 and 41% below the FY24 peak. Even at the upper end of the estimate, revenue would still be about 13% lower year-on-year and 31% below FY24. The revenue slowdown has come alongside mounting losses. SUGAR Cosmetics reported a net loss of ₹134 crore in FY25, nearly doubling from ₹68 crore in FY24. The company has remained loss-making despite its operating revenue increasing from ₹128 crore in FY21 to ₹505 crore in FY24.
The company’s valuation has also seen a significant correction. After rising from ₹300 crore in January 2019 to ₹3,000 crore in May 2022, SUGAR was valued at ₹2,900 crore in November 2024. It is now reportedly valued at around ₹500–600 crore, representing a potential 80–83% decline from its 2022 peak. The figures mark a sharp shift for a brand that had emerged as a prominent player in India’s expanding beauty and cosmetics market, with declining revenue, widening losses and a substantial valuation reset now weighing on its growth trajectory.
