Malnutrition is a serious issue in the developing countries especially in Pakistan. It may be due to ever growing population, urbanization and industrialization along with decrease in agricultural lands. It ultimately is an alarming situation for food security, thus, there is a need to look for alternate sources for food and nutrition security. Therefore, the objective of this project was to produce single cell protein (SCP), as a non-conventional food source from Saccharomyces cerevisiae, a step toward sustainable production. In this study, effect of various temperature and nitrogen levels were investigated on SCP yield. Results indicated that maximum amount of SCP (9.18 g) was obtained at 30 °C for 6 days on sugar beet bagasse which was supplemented with ammonium sulfate as nitrogen source. It is rich in protein (47.78 ± 2.39%) contents with sufficient amount of fat (2.34 ± 0.11%), fiber (3.42 ± 0.17%) and ash (7.9 ± 0.4%). Furthermore, the ratio of unsaturated fatty acids (42.45% of total fats) to saturated fatty acids was 0.73. Similarly, SCP contained broad spectrum of essential amino acids like leucine (43.5 ± 0.21 g/kg), valine (38.3 ± 0.19 g/kg), lysine (31.4 ± 0.15 g/kg). Besides, SCP was suitable for utilization in food formulations considering the results for functional properties (bulk density, water and oil absorption capacities, foaming and emulsion behaviors). The scavenging activity (36.65%), β-carotene bleaching activity (38.16%) and FRAP (46.93 mmol trolox Eq/g) values exhibited the potential of SCP functional food. In short, SCP is good source of protein and may be in food products and supplements.