D2C skincare startup Foxtale closed FY25 with sharply higher revenue but a deeper loss, underlining the cost of aggressive scale-up in India’s crowded beauty market.
The Mumbai-based brand reported a net loss of Rs 72.7 crore for the financial year ended March 2025, widening 32.5 percent from Rs 54.8 crore in FY24. The increase in losses came even as Foxtale more than doubled its topline, reflecting heavy spending on marketing, inventory, and team expansion to fuel growth.
Operating revenue surged 138.7 percent year on year to Rs 198.7 crore in FY25, compared to Rs 83.2 crore a year earlier. Including other income of Rs 7.5 crore, the company’s total income rose 2.4 times to Rs 206.2 crore during the year, according to regulatory filings.
Founded in 2021 by Romita Mazumdar, Foxtale operates in the mass-premium skincare segment, offering products such as serums, sunscreens, face washes, masks, and moisturisers. The company claims to have served over 15 lakh customers and currently sells a portfolio of around 20 stock keeping units across its website, online marketplaces, quick commerce platforms, and select offline retail outlets.
Growth came at a cost. Foxtale’s total expenditure climbed 100.2 percent to Rs 278.9 crore in FY25 from Rs 139.3 crore in the previous year. Advertising and sales promotion emerged as the single largest expense head, with spending rising 110.2 percent to Rs 105.8 crore as the brand pushed customer acquisition and visibility. Purchase of traded goods stood at Rs 94.4 crore, accounting for nearly 34 percent of total expenses, up 126.2 percent year on year. Employee benefit costs also increased 56 percent to Rs 30.7 crore as the company expanded its workforce.
Foxtale operates in an intensely competitive space, going up against new-age brands such as Dot and Key, Minimalist, Plum, and mCaffeine, as well as established players including Hindustan Unilever and Lakme. The startup has raised over $66 million to date from investors such as Z47, Panthera Growth Partners, and Kae Capital, including a $30 million Series C round last year.
While FY25 numbers highlight strong demand traction, they also reflect the financial strain of scaling fast in a market where brand-building and distribution come at a steep price.
