Sugar Cosmetics Shareholders Breakdown & Funding Valuation – 2024

Sugar Cosmetics Shareholders & Funding Valuation
Sugar Cosmetics Shareholders & Funding Valuation

Sugar Cosmetics is a renowned cosmetics company that offers a diverse and exciting range of beauty products. With a strong emphasis on quality, innovation, and individuality, Sugar Cosmetics has gained a loyal following among beauty enthusiasts worldwide. It is a D2C brand founded by Vineeta Singh in 2015. As per the latest reports, its valuation is $500 million (Rs.4,133 crore). Here, we will delve into Sugar Cosmetics shareholders and the funding valuation of 2023.

Shareholders Breakdown

Sugar cosmetics shareholders breakdown

As of May 2023, Sugar Cosmetics has undergone 6 funding rounds. In September 2022, Sugar Cosmetics held its latest funding round worth $87.5 million. The largest shareholders of Sugar Cosmetics include A91 Emerging Fund, India Quotient, Vineeta Singh, Kaushik Mukherjee, etc. Let’s look at the recent shareholding structure of Sugar Cosmetics-

Shareholder’s NamePercentage of Shares Owned
A91 Emerging Fund21.72%
India Quotient19.67%
Vineeta Singh16.55%
Kaushik Mukherjee16.55%
RB Investments16.02%
Ashish Goenka4.19%
Others5.30%
Shareholders breakdown and Percentage of Shares owned

The majority of the stakes are owned by A91 Emerging Fund i.e. 21.72% followed by India Quotient (19.67%) and co-founders (16.55%). But how much funds did they provide? You will get the info in the next section.

Funding so far & Valuation

Sugar Cosmetics was in the limelight because it raised a whopping amount of $50 million from L Catterton. This funding occurred along with the participation of existing investors like A91 Partners, Elevation Capital, and India Quotient. As you have read above, they are one of the significant Sugar Cosmetics shareholders.

Let’s look at the latest funding rounds of Sugar Cosmetics-

Venture Capitalist Funding Amount
L Catterton$50 million (Rs.413.35 crore)
Stride Ventures$2 million (Rs.16.53 crore)
A 91 Partners, Elevation Capital, India Quotient, Stride Ventures$21 million (Rs.173.60 crore)
A 91 Partners, Anicut Capital, India Quotient$12 million (Rs.99.20 crore)
India Quotient, RB Investments Pte. Ltd$2.5 million (Rs.20.66 crore)
Funding and Valuation of Sugar Cosmetics

Thus, currently, the market valuation of Sugar Cosmetics is Rs.4,133 crore.

Is Sugar Cosmetics profitable?

The query on profitability is obvious for a company with a humongous valuation. Don’t you wonder whether it is profitable or not despite being valued at Rs.4,133 crore?

You will get to know it by looking at the data in the following tables-

Sugar Cosmetics’ FinancialsAmount (in crores)
Market ValuationRs.4,133 crore
Revenue EarnedRs.222 crore
ExpensesRs.300 crore
Profit/LossLoss of Rs.76.2 crore
Financials of Sugar Cosmetics

So, here is your answer- “Sugar Cosmetics was not profitable in FY22 because it dipped in the loss of Rs.76.2 crore.” Even though it earned an appreciable amount of revenue from its numerous revenue sources. But the cash outflow in various expenses was high as well. This means the amount spent on expenditures exceeded the amount of revenue earned. Eventually, it continues to face a significant amount of loss.  

Revenue earned

Sugar Cosmetics earned revenue from the following sources-

Revenue SourcesAmount Earned
Sale of Cosmetic and Beauty ProductsRs.221.8 crore
Export IncentivesRs.0.03 crore
Revenue earned by Sugar Cosmetics

Expenses

Now look at the following expenses that led to the losses for the company “Sugar Cosmetics.”

ExpensesAmount
Cost of raw goodsRs.66.35 crore
Marketing & Promotion ExpensesRs.97.4 crore
Outsourced Support Services & Labor ChargesRs.43.61 crore
Freight and Packaging ChargesRs.13.25 crore
Employee Benefit ExpensesRs.35.52 crore
Other Operating and Admin ExpensesRs.43.73 crore
Expenses of Sugar Cosmetics

Final Thoughts

It looks like Sugar Cosmetics has toiled hard in the fiscal year 2022. Well, that’s not the case only with this company. Apart from it, various indigenous D2C brands are witnessing a plateau in their growth. Also, with the rise of inflation and recession, consumers are spending less on non-essential items like cosmetics and apparel. This ultimately affected the financials of Sugar Cosmetics. However, Sugar Cosmetic shareholders have a firm position in the company with little change. The company is looking forward to unlocking international exposure and driving business growth further!

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Published By: Supti Nandi
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Shivangi Kant
Shivangi Kant
11 months ago

I prefer to buy Sugar cosmetics. Because sugar cosmetics products are made with natural ingredients that are ethically sourced. Also, it is 100% vegan. The company also avoids using any synthetic fragrances, parabens, or sulfates in its formulas. If we talk about International expansion, yes the founder Vineeta Singh is aiming to double its revenue and expand its offline presence to more than 60,000 stores over the next 12-15 months.