Is Sugar Cosmetics Profitable? Uncovering YOY Business Results

Is Sugar Cosmetics Profitable? Uncovering YOY business results

The beauty industry has always been a lucrative space, with new brands constantly entering the market. One such brand that has captured the attention of consumers and investors is Sugar Cosmetics. As makeup enthusiasts and industry observers alike eagerly await the latest trends and innovations, one burning question remains: Is Sugar Cosmetics truly profitable?

Is Sugar Cosmetics Profitable? Uncovering YOY business results

In this article, we embark on a journey to uncover the year-on-year (YOY) business results of Sugar cosmetics, peeling back the layers of financial performance to reveal the sweet success story that lies beneath the surface. 

Let’s shed some light on the numbers, trends, and strategies that have propelled Sugar Cosmetics into the spotlight, seeking the answer to the question – is this brand really profitable? 

Sugar Cosmetics Company Profile 

Sugar is a cosmetic beauty brand company. Founded in 2015 by Vineeta Singh and Kaushik Mukherjee. Sugar cosmetics specializes in makeup and beauty products. Sugar cosmetics takes pride in being a cruelty-free and largely vegan brand. This means that their products are not tested on animals, and many of them do not contain animal-derived ingredients, aligning with the growing demand for ethical and sustainable beauty products. 

Name of the companySugar Cosmetics
Founders Vineeta Singh & Kaushik Mukherjee
Founded in 2015
Headquarter Mumbai, Maharashtra 
CEOVineeta Singh 
Industry Cosmetics, Beauty, E-commerce
Model Direct-to-Consumers (D2C)
Operated by Vellvette Lifestyle Pvt. Ltd.
Revenue (FY22)$26.8 million
Valuation (FY21)$100 million
Provide services in Cosmetics, including lipsticks, eyeliners, mascara, foundation, skincare, and more. 
Some insights of Sugar cosmetics

Sugar cosmetics has gained recognition for its innovative approach to product development. They often stay ahead of beauty trends, offering products that cater to the changing preferences of consumers. 

For example, they have introduced eco-friendly packaging and products catering to diverse skin tones. 

Let’s embark on a journey to uncover the year-on-year (YOY) business results and find out if this brand’s success is as sweet as its name suggests.

Uncovering Sugar Cosmetics YOY business results 

  • While it gained attention and popularity relatively quickly. 
  • It took some years for the brand to establish a significant presence and start to dominate segments of the market. 
  • The company is expected to set above 45000+ retail stores, across 550+ cities.
  • Also are planning to double their revenue by FY24.
  • Sugar products are receiving a good response in the global market. 
  • Sugar’s makeup products are receiving a lot of recognition in the Dubai market. Its eye products like mascara, liner are being sold a lot in the Russian market

Uncovering Sugar's YOY business results

  • Around 10% of sugar business comes from international markets like the Middle East, US.
  • Companies 60-70% business comes from the markets outside Tier I cities in India.
  • The company is set to become an IPO in the next two-three years. 
  • The company reportedly has increased its profitability in FY23 by 15%. 
  • Sugar operates at a 75% margin on all products. 

Note: We have already covered the   Sugar valuation and funding.   For more information check it once!

Aspects of Growth:

  • The company reportedly has decided to spend less on its advertising, promotion, and branding by 20%-30% this year as compared to FY21 & FY22.
  • For the company’s growth in the market, Sugar has set up around 100 stores across India in the last 12 months.
  • The latest and exclusive company store was set up in Bengaluru, in May 2023. 

Revenue Generation 

  • Sugar cosmetics losses jumped to Rs. 75 crores in FY22 as compared to FY21 of Rs. 21.1 crores. 
  • Despite being at a loss of Rs. 75 crores, the company from the sale of its products reported a revenue of Rs. 221.1 crore in FY22 as compared to Rs. 126.4 crore in FY21.
  • Also earns revenue by selling its products on other e-commerce platforms like – Amazon, Flipkart, etc. 
  • The company collected a revenue of around Rs. 10.02 crore from the international market in FY22. while it collected a revenue of Rs. 210.9 crore from the Indian market.
  • Making an increase of above 16% year-on-year results.  


While the company has made an increase of above 16% yearly in FY22, the expenses have doubled.

Year  Expense 
FY21Rs. 148.9 crore
FY22Rs. 298.1 crore
A look at the expense of Sugar cosmetics

Some of the factors leading to Sugar’s Profitability

Expanding Global Presence – One of the key indicators of is Sugar cosmetics profitable is its global expansion. In recent years, the brand has ventured into international markets, tapping into the beauty needs of a broader audience. This strategic move has resulted in a substantial YOY increase in revenue.

Digital Dominance – In an era where e-commerce reigns supreme, Sugar cosmetics has mastered the art of digital marketing and online sales. With a robust online presence and effective social media strategies, the brand has capitalized on the beauty boom, further boosting its YOY growth. 

Innovation in Product Range – The cosmetics industry thrives on innovation. Sugar cosmetics has maintained its edge by continuously launching new and exciting products. Limited-edition collections and collaborations with influencers, celebrities have not only kept the brand relevant but also led to higher YOY sales.

Sugar cosmetics product range


In our quest to uncover the profitability of Sugar Cosmetics, the YOY business results speak volumes. With a strategic global expansion, a digital-first approach, a dedicated customer base, and a penchant for innovation, Sugar Cosmetics has not only weathered the storms of the cosmetics industry but thrived in them. 

With its vibrant packaging, bold color palettes, and a commitment to cruelty-free products, Sugar Cosmetics has carved a niche for itself in the fiercely competitive cosmetics industry.

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Published By: Aashita Singh
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