Fittr's Losses Narrow Despite Flat Revenue Growth in FY24

Fitness technology startup Fittr has reported a significant reduction in losses for FY24, even as revenue remained largely stagnant over the past three years. The Rainmatter Capital-backed company saw its losses shrink by 73.5% to Rs 11 crore from Rs 41.5 crore in the previous year.

According to consolidated financial statements filed with the Registrar of Companies, Fittr's operational revenue slightly declined by 3% to Rs 85 crore in FY24 from Rs 87.5 crore in FY23. The company's primary revenue stream from fitness and wellness online services contributed Rs 80 crore, showing a 4.42% decrease from the previous year's Rs 83.7 crore.

The company has diversified its revenue sources. New initiatives, including smart ring sales, generated Rs 80 lakh, while academic fees and other income streams brought in Rs 2.8 crore and Rs 1.4 crore, respectively. Non-operating revenue of Rs 1.3 crore pushed the total revenue to Rs 86.3 crore.

Fittr achieved significant cost reductions across various operational areas, with total expenses declining 26% to Rs 97 crore. Notable cuts included a 36.2% reduction in employee benefits to Rs 20.8 crore and a 65.8% decrease in advertising costs to Rs 8.4 crore. The company's largest expense category - consultants and study material - remained stable at Rs 54.3 crore.

Founded by Jitendra Chouksey, Sonal Singh, Jyoti Dabas, Rohit Chattopadhyay, and Bala Krishna Reddy, the community-based health and online fitness marketplace has raised $17 million to date, including investments from prominent backers such as Rainmatter, Surge, Dream Capital, and Elysian Park.

As of March 2024, the company maintains a strong liquidity position with Rs 46.5 crore in current assets, including Rs 27.8 crore in cash and bank balances. However, financial metrics indicate room for improvement, with ROCE at -38.89% and EBITDA margin at -10.66%.