This paper proposes the optical and physiological parameter extraction of human skin tissue based on the SFDI method.The camera collects the backscattered light of samples or tissues, obtains the optical parameters by diffusion theory, and inverts the physiological parameters by nonlinear least square method and minimum error criterion. In vivo and in vitro experimental results show that the proposed method can be used to measure tissue oxygen saturation. This verifies the accuracy of optical and physiological parameters extracted using the system. It also provides a new suitable method for noninvasive and fast detection of related diseases.