Yes, Princess Bubblegum is made of candy, specifically chewing gum.
While she exhibits humanoid features like pink skin, long pink hair reaching her knees, and black eyes, her fundamental composition is that of confectionery. Her attire, including a golden tiara with a blue gem and a magenta dress, serves to enhance her royal presence, but beneath the surface lies a being constructed from candy. Therefore, her physical existence is inextricably linked to her candy-based nature.