Cult.fit has officially submitted its draft red herring prospectus (DRHP) to the Securities and Exchange Board of India (SEBI), marking a significant milestone in its evolution from a fitness startup to a publicly traded consumer entity. The proposed initial public offering (IPO) features a fresh issue of equity shares valued at Rs 950 crore, complemented by an offer-for-sale (OFS) of approximately 17.86 crore shares by existing institutional investors and founders. This capital injection is earmarked for strengthening the firm’s market position, with dedicated allocations to expand its network of Cult Elite and Cult Neo fitness centers and to bolster its active-lifestyle retail brand, Cultsport.
Operational resilience and market integration
The company’s decision to tap the capital markets follows a robust FY26, during which it reported operating revenue of Rs 1,720.6 crore, representing a 41.6 per cent increase over the previous year. Crucially, Cult.fit has demonstrated a shift toward operational efficiency, improving its adjusted EBITDA margin to 8.41 per cent from a negative 2.76 per cent in FY25. The transition to a positive adjusted EBITDA margin signals that our integrated business model - combining physical fitness services with proprietary product sales - is scaling sustainably, noted a senior market strategist. As of March 2026, the company maintained a subscriber base of nearly 9.87 lakh paid members across 708 centers, positioning itself as India’s largest fitness and active-lifestyle platform. By focusing on both service-led memberships and high-growth retail segments, the firm is effectively hedging against the traditional volatility of gym-only business models.
A technology-led fitness and health platform
Cult.fit is a technology-led fitness and health platform established in 2016. Its portfolio includes gym memberships, group workouts, digital fitness, and activewear under the Cultsport brand. The company operates across major Indian cities and aims to scale its physical and retail footprint to capture the growing national health-consciousness.
