REG - Tekcapital plc - Innovative Eyewear Q3 Unaudited Financial Results

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RNS Number : 3290H  Tekcapital plc  13 November 2025

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constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as imported into the laws of England and Wales by virtue of
the European Union (Withdrawal) Act 2018 (as amended) and certain other
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considered to be in the public domain.

 

    13 November 2025

Tekcapital Plc

("Tekcapital", the "Company" or the "Group")

Innovative Eyewear Inc. Reports Q3 2025 Unaudited Financial Results

Year over Year, third quarter revenue grew by 163% & gross profit margins
increased by 14%

 

Tekcapital Plc (AIM: TEK), the UK intellectual property investment group notes
that Innovative Eyewear, Inc. ("Innovative Eyewear") (NASDAQ: LUCY; LUCYW),
the manufacturer of smart eyewear under the Lucyd(®), Lucyd Armor(TM),
Reebok(®), Eddie Bauer(®) and Nautica(®) brands, has announced its
unaudited financial results for the three and nine months ended September 30,
2025.

Net revenue for the quarter ended September 30, 2025 was $668,128, an increase
of 163% from the quarter ended September 30, 2024. On a year-to-date basis,
net revenue for the nine months ended September 30, 2025 was $1,701,859, an
increase of 80% from the comparable period in 2024. For both the quarter and
year-to-date periods, this top-line revenue growth was primarily driven by
volume increases from sales of the Company's highly successful Lucyd Armor®
smart safety glasses (launched in October 2024), which represented
approximately half of the Innovative Eyewear 's total smartglass units sold in
both the current quarter and year-to-date periods. The cobranded Reebok®
Powered by Lucyd collection, which launched in April 2025, also contributed to
the year-over-year volume increases.

Lucyd Armor® smart safety eyewear

 Image courtesy Innovative Eyewear, Inc.

 

Gross profit margin for the third quarter of 2025 was 37%, compared to 23% for
the same period in the prior year. The gross profit margin for the nine months
ended September 30, 2025 was 27%, compared to 13% for the same period in the
prior year. These significant increases were primarily attributable to lower
product sourcing costs for both frames and prescription lenses as Innovative
Eyewear continues to scale and develop its business. The Innovative Eyewear
management team anticipate further cost improvements in future quarters as
Innovative Eyewear continues to grow its volume and realize greater economies
of scale. Although higher custom duties, tariffs and importation costs weighed
heavily on gross profit margins in the second quarter, and therefore had a
significant negative impact on Innovative Eyewear's current year-to-date
margins, the various actions taken by Innovative Eyewear's management to help
mitigate the impact of tariffs have been largely successful thus far, and
restored third quarter 2025 gross profit margins to a level mostly consistent
with Innovative Eyewear's pre-tariff business plan. Innovative Eyewear
Management continues to monitor trade policy and build contingency sourcing
options in Southeast Asia, should the U.S.‑China tariff conditions
materially change.

Other operating expenses increased by 19% in the third quarter of 2025 as
compared to the prior year, and increased by 10% for the nine months ended,
primarily driven by increased sales and marketing expenses. As consumer
awareness and market penetration of smart eyewear increases, and the category
moves from the early adopter stage to mass market maturity, Innovative Eyewear
management expects that the company's customer acquisition costs will decline
over time as prospective customers will need less exposure to understand the
benefits of smart eyewear.

During the third quarter of 2025, Innovative Eyewear announced several
important milestones which management believes are positive for Innovative
Eyewear's future international expansion plans, including:

·          Successful participation at Vision Expo West 2025, the
premier optical industry trade show in the U.S., which resulted in securing
approximately 40 new optical industry accounts, developing new partnerships to
expand distribution in the U.K., and meetings with new national distribution
partners for Canada and Latin America. The accounts range in size from
independent optical stores to major regional operators with hundreds of
stores. One new partnership of note is with the Optical Resources Group, a
chain of half a dozen eyewear stores in the Midwest, and supplier of safety
eyewear to industrial companies. Another company is Ocusafe.com a supplier of
safety glasses that is launching the Lucyd Armor line in Q4.

 

·          Successful presentation at SILMO Paris 2025, one of the
world's leading optics and eyewear trade shows, which resulted in Innovative
Eyewear securing initial orders from multiple key European markets.

 

·          Addition of a new translation feature to the Lucyd app,
which allows for voice-based translation between 17 languages in real-time.

 

·          Introduction of new variants to Lucyd Armor at the end of
the quarter.

 

·          A major update to the Innovative Eyewear's website to
make it more user-friendly and better showcase our multiple collections of
smart eyewear.

 

Harrison Gross, CEO of Innovative Eyewear, said:

"I am very pleased by our impressive sales growth for the quarter and the
potential of international growth and expansion. We continue our upward trend
of outperforming sales each quarter on a year-over-year basis, which we have
done every quarter for over two years now. I am also pleased by the
improvements in our gross profit margin during the quarter, despite the
ongoing headwinds from tariffs. We plan to build on the continued success and
momentum of our most popular product lines, Lucyd Armor® smart safety
glasses, Lucyd Lyte® and Reebok® Powered by Lucyd smartglasses. We are also
excited about the potential of international growth and expansion, as we
continue to make progress towards building a more globally focused business
with significant distribution outside of the U.S. Overall, we believe that we
are well positioned to deliver further revenue growth in the fourth quarter of
2025 and beyond. We are confident that our smart eyewear will be a top gifting
choice this holiday season, and that our fourth quarter will be the strongest
yet."

Innovative Eyewear's net loss for the third quarter of 2025 was $(1,836,267)
or $(0.38) per share, compared with $(1,720,677) or $(0.99) per share in the
third quarter of 2024, as Innovative Eyewear continues to invest in
initiatives to further grow its business, including influencer marketing
efforts, frequent trade shows in the eyewear, hardware and electronics
industries, and sales and marketing team expansion.   For the nine months
ending September 30, 2025, Innovative Eyewear had a net loss of $(5,721,064)
or $(1.62) per share, as compared with a $(5,640,387) or $(4.78) per share
loss in the prior year comparable period.

Innovative Eyewear ended the quarter with $7,998,202 of combined cash and cash
equivalents and investments, a 6.3% increase compared with the $7,524,171
combined cash and cash equivalents and investments as of December 31, 2024.
This increase in funds was primarily attributable to warrant exercises and
other equity transactions entered into during the current nine-month period.
Further, Innovative Eyewear had no debt at the end of the current period.

About Innovative Eyewear Inc.

Innovative Eyewear is a developer and retailer of ChatGPT smart eyewear, under
the Lucyd®, Nautica®, Eddie Bauer® and Reebok® brands. True to our mission
to Upgrade Your Eyewear®, our Bluetooth smart glasses allow users to stay
safely and ergonomically connected to their digital lives and are offered in
hundreds of frame and lens combinations to meet the needs of the optical
market. To learn more and explore our continuously evolving collection of
smart eyewear, please visit www.lucyd.co (http://www.lucyd.co) .

 

About Tekcapital plc

Tekcapital creates value from investing in new, university-developed
discoveries that can enhance people's lives. Tekcapital is quoted on the AIM
market of the London Stock Exchange (AIM: symbol TEK) and is headquartered in
the UK. For more information, please visit www.tekcapital.com.
(http://www.tekcapital.com.)

 

LEI: 213800GOJTOV19FIFZ85

 

Tekcapital currently owns 259,455 shares of Innovative Eyewear, Inc.
(NASDAQ: LUCY).

 

For further information, please contact:

 

 Tekcapital Plc                                                                                          Via Flagstaff
 Clifford M. Gross, Ph.D.

 SP Angel Corporate Finance LLP                                                                          +44 (0) 20 3470 0470

 (Nominated Adviser and Broker)
 Richard Morrison/Charlie Bouverat (Corporate Finance)/Abigail Wayne / Rob Rees
 (Corporate Broking)

 Flagstaff Strategic and Investor Communications                                                         +44 (0) 20 7129 1474
 Tim Thompson/Andrea Seymour/Fergus Mellon

 

Forward-Looking Statements

This press release contains certain forward-looking statements, including
those relating to the Innovative Eyewear's Q3 results. Forward-looking
statements are based on the company's current expectations and assumptions.
The Private Securities Litigation Reform Act of 1995 provides a safe-harbor
for forward-looking statements. These statements may be identified by the use
of forward-looking expressions, including, but not limited to, "anticipate,"
"believe," "continue," "estimate," "expect," "future," "intend," "may,"
"outlook," "plan," "potential," "predict," "project," "should," "will,"
"would" and similar expressions that predict or indicate future events or
trends or that are not statements of historical matters, but the absence of
these words does not mean that a statement is not forward-looking. Innovative
Eyewear undertakes no obligation to publicly update any forward-looking
statement, whether as a result of new information, future events or otherwise.
Important factors that could cause actual results to differ materially from
those in the forward-looking statements are set forth in the Company's filings
with the Securities and Exchange Commission, including its annual report on
Form 10-K under the caption "Risk Factors."

 

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