Warby Parker Q4 revenue up 11.2%, slightly misses estimates

Warby Parker

26/02/2026 11:55

Overview

Vision lifestyle brand's Q4 revenue grew 11.2% but slightly missed analyst expectations

Company achieved first full year of positive net income of $1.6 mln

Company authorized $100 mln share repurchase program

Outlook

Warby Parker expects 2026 revenue of $959 mln to $976 mln

Company anticipates 2026 Adjusted EBITDA of $117 mln to $119 mln

Warby Parker plans to open 50 new stores in 2026

Result Drivers

GROSS MARGIN PRESSURE - Gross margin decreased due to tariff costs, increased doctor headcount, and higher shipping costs, partially offset by price increases and progressive lens sales

SG&A EFFICIENCIES - SG&A expenses decreased as a percentage of revenue due to corporate expense leverage and operational efficiencies

STORE EXPANSION - Opened 47 net new stores during the year, contributing to revenue growth

Company press release: ID:nBw6BDxsMa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Slight Miss*
$211.97 mln
$213.06 mln (13 Analysts)
Q4 EPS
-$0.05
Q4 Net Income
-$5.95 mln
Q4 Adjusted EBITDA
$15.20 mln
Q4 Gross Margin
52.40%
Q4 Adjusted EBITDA Margin
7.20%
Q4 Gross Profit
$111.04 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the miscellaneous specialty retailers peer group is "buy"

Wall Street's median 12-month price target for Warby Parker Inc is $28.50, about 30.9% above its February 25 closing price of $21.77

The stock recently traded at 44 times the next 12-month earnings vs. a P/E of 42 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)