Bengaluru-based diagnostics platform Orange Health Labs closed FY26 with operating revenue of Rs 138.6 crore, up sharply from Rs 84 crore a year earlier, even as rising employee, testing and expansion costs pushed its loss before tax to Rs 97 crore.
Orange Health Labs founded by Tarun Bhambra and Dhruv Gupta delivered a strong topline expansion in the financial year ended March 2026, with operating revenue climbing about 65% year-on-year to Rs 138.6 crore.
The growth, however, came with a substantially larger cost base. Total expenses reached Rs 240.3 crore during FY26, compared with Rs 175.9 crore in the previous financial year, an increase of about 36%. The gap between revenue and spending kept the diagnostics company firmly in the red.
Its loss before tax widened 11% to Rs 97 crore from Rs 87.4 crore in FY25. Orange Health also reported an EBITDA loss of Rs 92.4 crore, translating into an EBITDA margin of negative 66.68%.
One number captures the cost of that growth particularly clearly. Orange Health spent Rs 1.73 for every rupee of operating revenue it generated during FY26.
The company is now raising $30 million in fresh funding, with the capital infusion expected to be reflected in its FY27 financials.
Employee costs remain the biggest expense
Employee benefits emerged as Orange Health’s largest cost item during the year, accounting for about 30% of overall expenditure. Employee costs rose more than 43% to Rs 72.2 crore.
The cost of materials used for testing and related operations also increased, rising 40% to Rs 42.9 crore.
Marketing and advertising expenditure, meanwhile, remained relatively steady at Rs 34.4 crore. Rent, research and development, information technology, legal and professional fees and other overheads together contributed another Rs 55 crore to the company’s expenditure.
These rising costs accompanied Orange Health’s efforts to expand its diagnostics network and increase the reach of its services.
The company’s operating revenue continued to come entirely from diagnostic services during FY26. Income from investment gains and other non-operating sources took its total income for the year to about Rs 143 crore.
More than 2,000 clinics on the platform
Orange Health Labs operates a full-stack diagnostics platform centred on on-demand testing and at-home sample collection for routine diagnostics.
The company has also onboarded more than 2,000 clinics on its platform and says it added over 60 company-owned collection centres during the past year.
While the consolidated numbers remain loss-making, Orange Health says its Bengaluru operations have achieved 20% EBITDA profitability. That makes the performance of its established market an important counterpoint to the heavy spending visible at the company level.
Orange Health’s company-wide EBITDA loss stood at Rs 92.4 crore in FY26.
Cash and current assets shrink
Orange Health ended March 2026 with total current assets of Rs 55 crore. Cash and bank balances accounted for Rs 4.5 crore of that amount.
The figures underline why the fresh capital raise could be significant for the company as it continues to build out its operating footprint.
Before the latest $30 million round, Orange Health Labs had raised nearly $50 million in funding. Its previous rounds included a $12 million raise in 2024 led by Amazon Sambhav Venture Fund and a $25 million Series B round in 2022 led by General Catalyst and Bertelsmann India Investments.
Revenue growth now meets the profitability test
Orange Health’s FY26 numbers show a business growing considerably faster on the revenue line than on total expenses. Operating revenue increased about 65%, while expenses grew 36%.
Even so, the absolute expenditure base remains considerably larger than operating revenue, and the loss before tax widened rather than narrowed during the year.
The next phase will therefore be measured not only by how quickly Orange Health can expand revenue, clinics and collection infrastructure, but also by whether the economics demonstrated in Bengaluru can translate to the wider business.
With fresh capital being raised and FY26 operating revenue approaching Rs 140 crore, Orange Health has established meaningful scale. Its Rs 1.73 of spending for every rupee earned, however, makes cost efficiency and the path toward company-wide profitability just as central to the story as growth.
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