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when the company is profitable and has valuation, the investors can sell their shares. If the investor makes a profit by selling their shares, will it count still count as failure? It is possible that the investor can lose money, even if the company goes public, right?

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I don't understand what you're asking. Can you try again?

Lets say an investor puts 3M for 30% of the company. 1-2 years later, X is profitable and valued at 30M. Now, if the investor sells their 30%, they will make 9M. That is 6M in profits.

Is this considered as success? It is not an IPO or big acquisition. But, the investor can make money by selling their shares.

Is this something the investors consider doing?

In practice it is very difficult to sell shares of a private company.

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