Warby Parker Reaffirms 2026 Outlook Before Eyewear Launch
Net revenue was $235.5 million in the second quarter as the company booked an $11.8 million IEEPA tariff-refund benefit and kept full-year guidance at $959 million to $976 million.
Warby Parker Inc. (WRBY) reported second-quarter net revenue of $235.5 million, up 9.8% from a year earlier, as the direct-to-consumer eyewear brand booked an $11.8 million International Emergency Economic Powers Act tariff-refund benefit and prepared to unveil its first Intelligent Eyewear collection.
The company will unveil the collection “in just a few weeks,” pairing frames with Google Gemini and working with Google and Samsung. Co-Founders and Co-CEOs Dave Gilboa and Neil Blumenthal described the launch as a new chapter that integrates technology into the frames customers already wear.
Growth had been 8.3% in the first quarter. Trailing 12-month Active Customers rose 4.1% to 2.71 million, slower than the 4.8% increase to 2.69 million reported three months earlier. Average Revenue per Customer was $336, up 6.6% year over year.
Gross profit was $136.5 million, or 57.9% of revenue, compared with $113.6 million, or 53.0%, a year earlier. The margin expansion was primarily related to the $11.8 million, or 500 basis points, tariff-refund benefit on inventory sold through June 30, 2026, and a 110-basis-point benefit from one-time inventory write-downs in the second quarter of 2025 tied to the sunset of the Home Try-On program. Those items were partially offset by deleverage in fixed expenses related to doctor headcount and occupancy as the company opened 15 net new stores. Adjusted Gross Profit was $136.9 million, or 58.1% of revenue.
Selling, general, and administrative expenses were $133.3 million. As a percentage of revenue, SG&A increased 150 basis points, primarily driven by retail compensation and technology costs as the company prepares for Intelligent Eyewear, partially offset by customer-experience efficiencies. Adjusted SG&A was $119.3 million, or 50.6% of revenue.
Net income was $4.6 million, or $0.04 a share, inclusive of the tariff-refund benefit, versus a $1.8 million loss a year earlier. Adjusted EBITDA was $32.9 million, and Adjusted EBITDA margin expanded 230 basis points to 14.0%, also inclusive of the refund.
The company opened 15 net new stores in the quarter, ending with 352 locations, after 14 net new stores in the first quarter. Operating cash flow was $29.6 million and Free Cash Flow was $6.8 million, including $3.4 million of tariff refunds and associated interest. Cash and cash equivalents were $292.7 million at June 30.
For full-year 2026, Warby Parker is reaffirming net revenue of $959 million to $976 million, representing approximately 10% to 12% growth versus 2025, and Adjusted EBITDA of $117 million to $119 million, which equates to a 12.2% margin and 130 basis points of year-over-year expansion. The company also reiterated a plan for 50 new store openings.
Guidance includes a full-year $14.4 million tariff-refund benefit that was and will be used to offset strategic investments in the second quarter and the rest of the year as the company prepares to launch Intelligent Eyewear. The outlook does not include any revenue contribution or halo benefit from Intelligent Eyewear, but does include known expenses related to the upcoming launch.
Chief Financial Officer Adrian Mitchell said the company is making targeted investments to be ready for the launch and to build capabilities to scale the new category over the longer term, while maintaining a prudent outlook that excludes Intelligent Eyewear revenue contributions expected later this year.
Gilboa said the company has helped millions of people see more clearly over 16 years and is now integrating technology into everyday frames. Blumenthal said the team paired design with Google Gemini to help consumers explore, remember, navigate, and connect while keeping their eyes on the world.
The company remains focused on vision for all, with designer-quality prescription glasses starting at $95, contacts, eye exams, and vision tests available online and in its 352 retail stores across the U.S. and Canada. Through Buy a Pair, Give a Pair, it has distributed more than 25 million glasses to people in need.
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