Direct-to-consumer sneaker brand Comet delivered strong topline growth in its first full year of operations, with revenue rising more than fourfold in FY ’25, although widening losses underscored the cost of rapid scaling in a competitive market.
The company reported operating revenue of Rs. 29.1 crore (US $ 3.20 million) in FY ’25, compared with Rs. 7.3 crore (US $ 0.80 million) in FY ’24. Launched in July 2023, FY ’25 marked Comet’s first complete financial year, reflecting growing consumer acceptance and an expanding market footprint. Excluding other income, revenue increased by more than 303% year on year, driven largely by rising demand for the brand’s premium sneaker range.
In addition to operating income, Comet generated Rs. 2.7 crore (US $ 0.33 million) in other income during the year, including proceeds from bank interest and tax refunds, further supporting its overall financial performance.
Despite the sharp rise in revenue, losses widened significantly. The company posted a net loss of Rs. 4.4 crore (US $ 0.48 million) in FY ’25, up 120.6% from a loss of Rs. 2 crore (US $ 0.22 million) in the previous fiscal year. The figures indicate that operating and expansion costs continue to outpace revenues as the brand invests aggressively to build scale, a common pattern among early-stage consumer startups.
Comet is backed by institutional investors and raised $5 million in funding last year from Elevation Capital and Nexus Venture Partners. It operates in a crowded footwear market, competing with established global and domestic brands such as Puma, Redtape, Yoho and Bacca Bucci.
Expenditure rose sharply in line with the company’s growth strategy. Total expenses surged 266.2% to Rs. 36.1 crore (US $ 3.97 million) in FY ’25, from Rs. 9.9 crore (US $ 1.09 million) a year earlier. Employee benefit expenses increased to Rs. 5.1 crore (US $ 0.56 million), while product procurement emerged as the largest cost item, with Rs. 18.5 crore (US $ 2.04 million) spent on stock-in-trade.
Marketing outlays also expanded significantly, with advertising and promotional spending rising to Rs. 9.3 crore (US $ 1.02 million), highlighting Comet’s focus on aggressive customer acquisition and brand-building as it seeks to strengthen its position in India’s fast-growing sneaker segment.
