Cult.fit improves financial performance ahead of IPO

Indian fitness startup Cult.fit has reported significant improvements in its financial performance ahead of its planned initial public offering (IPO). For fiscal year 2026, the company's operating revenue grew by 41.6% to ₹1,720.6 crore, while its consolidated net loss narrowed by 48% to ₹251.9 crore compared to the previous fiscal year.

These improvements suggest a shift in focus towards profitability following years of prioritizing expansion. The company also saw its EBITDA losses shrink and cash generated from operations improve sharply, indicating that its growth is beginning to translate into healthier unit economics. This timing is crucial as investors are currently favoring IPOs that demonstrate operating leverage and a clear path to profitability.

A key contributor to Cult.fit's improving financials is its Cultsport business. This segment, which sells sports equipment, apparel, and fitness devices, offers a different economic profile than traditional gym memberships, generating incremental revenue without comparable investment in physical infrastructure. The company is also expanding its brick-and-mortar Cultsport stores, with plans to reach 50 locations this year.

Cult.fit's stronger financial results position it well for its public market debut. Investors will likely scrutinize the company's ability to sustain these gains and its strategy for continued expansion and profitability. The organized fitness market in India is projected for substantial growth, presenting a significant opportunity for the company.