This study intended to compare the effects of the sugar-Omija extract tea (SO) and LuoHanGuo-Omija extract tea (LO) to blood glucose levels and metabolism among streptozotocin (STZ)-induced diabetic mice and to prove the positive effects of LuoHanGuo extract as a sugar substitute. According to the results, the rate of blood glucose increase and the blood glucose level was reduced, and the weight was increased. Aspartate aminotransferase (AST), alanine aminotransferase (ALT), triglyceride, low density lipoprotein cholesterol, and total cholesterol was decreased, and albumin, total protein, and high density lipoprotein cholesterol (HDL-C) was increased in the STZ/LO group as compared to the STZ group. Compared to the STZ/SO group, the rate of blood glucose increase and glucose tolerance was decreased. AST, ALT, and total cholesterol was decreased, and HDL-C level was high. In conclusion, the LO displayed hypoglycemic effect, prevented weight loss caused by diabetes, recovered liver function, and improved lipid metabolism. In addition, such positive effects were obviously shown during comparison with the experimental group treated with the SO. Therefore, the LO were considered as favorable food supplements that can be safely taken by persons with diabetes, obesity, hypertension, and heart disease; they have to control their sugar intake as well as their diet.