The existing study is purposeful on the intracellular pigment extraction from actinomycetes isolated from Kovalam Beach regions of Chennai, Tamil Nadu, India. Only one actinobacterial isolate showed pigmented growth out of total 4 isolates. Ethyl acetate as the solvent was used in cell disruption technique for the extraction of intracellular pigments. UV-Visible spectrophotometry, FT-IR spectroscopy, HPLC and GC-MS were used for the partial characterization of the pigment. The extracted pigment was applied for the preparation of lip balm and assessing its textile dyeing property. In addition, the extracted pigment was analysed for antioxidant, antibacterial activity, MTT assay and haemolytic activity. On optimization, dextrose and maltose were the best carbon sources. The finest nitrogen sources were found to be casein and peptone. The optimum temperature range was 35°C-40°C and optimal pH was found to be between 6.0 and 8.0. The obtained results showed potent antioxidant activity and found to be non-toxic to human erythrocytes. © Published under licence by IOP Publishing Ltd.