Can Cult.fit Clear The Profitability Bar With Its Retail Push?

by · Inc42

SUMMARY

  • Cult.fit is expanding its products business, which now contributes about 30% of its revenue as it looks to build multiple growth engines
  • The startup is scaling its exclusive brand outlets and affordable gym format, Cult Neo, to tap new customer segments and deepen its presence beyond major metros
  • Cult.fit says improving unit economics, higher revenue per gym and growing product sales are helping it move closer to profitability, even as key expenses such as rent and employee costs continue to rise
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For years, Cult.fit’s playbook revolved around one thing: gym memberships. The fitness startup, founded in 2016 by former Flipkart executives Mukesh Bansal and Ankit Nagori, is expanding the game beyond the workout floor. It now wants to become the Decathlon of India, selling everything from apparel, footwear, and athleisure to gym equipment and even bicycles, as its push towards profitability intensifies. 

The shift is visible. According to CEO Naresh Krishnaswamy, products now contribute around 30% of Cult.fit’s overall revenue. Revenue from product sales grew from ₹64.2 Cr in FY22 to ₹326.4 Cr in FY25. During the same period, the company’s operating revenue rose from ₹215.7 Cr to ₹1,215.5 Cr.

As part of its broader effort to diversify revenue streams while improving profitability, Cult.fit has also expanded its offline retail presence, launched an affordable gym format called Cult Neo and entered niche segments such as Pilates. 

However, this does not mean that Cult.fit is moving away from its roots. Gym memberships continue to remain the backbone of the business. It is the product business that is emerging as the startup’s next growth engine. 

So, where is Cult.fit actually headed from here? Let’s find out…