Cult.fit posts Rs 1,720 Cr revenue in FY26; turns EBITDA positive

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Fitness tech company Cult.fit, after posting a strong 31% growth in FY25, delivered another solid performance in the fiscal year ended March 2026, with operating revenue rising 41% year-on-year to surpass the Rs 1,700 crore mark ahead of its planned stock market debut. The company also turned EBITDA positive during the period.
Cult.fit reported operating revenue of Rs 1,720 crore in FY26, up 41.4% from Rs 1,216 crore in FY25, according to the consolidated financial statements in its draft red herring prospectus (DRHP).
Fitness subscriptions, which include flagship offerings such as Cultpass, Cult.fit centres and platform services, remained the company's largest revenue source and contributed 64% of operating revenue. Revenue from this segment grew 31% year-on-year to Rs 1,104 crore in FY26.
Revenue from the sale of products, which include sportswear for men and women along with gym and fitness equipment, rose 60% to Rs 523 crore during the fiscal, while other operating income such as advertising income, royalty, center set up income and platform fees added another Rs 93 crore to the revenue.
Cult.fit also earned Rs 81 crore from other income, including interest on current investments and miscellaneous non-operating sources, which pushed its total revenue to Rs 1,802 crore in FY26.
On the expense side, cost of materials remained the company's largest expense, which rose 42% year-on-year to Rs 363 crore in FY26. It was followed by service costs, which primarily include payments to trainers and fitness instructors, increasing 37% to Rs 356 crore.
Meanwhile, employee benefit expenses declined 12% to Rs 305 crore from Rs 347 crore in FY25, largely due to a sharp fall in non-cash ESOP expenses, which dropped to Rs 22 crore from Rs 100 crore a year earlier.
Advertising and promotional expenses rose 15% to Rs 171 crore in FY26. Depreciation and amortisation expenses stood at Rs 227 crore, while legal and professional expenses and utility expenses came in at Rs 151 crore and Rs 156 crore, respectively.
Other overheads, including information technology, travel, and miscellaneous expenses, pushed the company's total expenses up 16% year-on-year to Rs 2,028 crore in FY26.
Backed by a strong 41% year-on-year increase in operating revenue, Cult.fit significantly narrowed its losses in FY26. The company's net loss fell 48% to Rs 252 crore from Rs 481 crore in FY25. More importantly, Cult.fit achieved a key profitability milestone by reporting positive EBITDA of Rs 45 crore.
Temasek-backed company’s EBITDA margin stood at 2.62%, while its ROCE improved to -10.2% in FY26. The company also improved its expense-to-operating revenue ratio to Rs 1.18, down from the previous fiscal. As of March 2026, it reported current assets of Rs 1,260 crore, including cash and bank balances of Rs 373 crore.
Cult.fit has filed its DRHP with the SEBI for its proposed initial public offering (IPO), which comprises a fresh issue of equity shares worth up to Rs 950 crore and an Offer for Sale (OFS) of up to 17.86 crore equity shares by existing shareholders, including Temasek, Tata Digital, Accel, Chiratae Ventures, Kalaari Capital, co-founder Mukesh Bansal, and other investors.

document fetched 2026-07-07 09:40