Revenue growth stabilized at 2.5% in Q2 2026, with gross margin recovering to 58.2%, yet operating margin remains thin at 4.3% due to SG&A overhead exceeding $243M.
National Vision Holdings, Inc. (EYE) annual income statement — 11-year revenue, gross profit & net income history
| Metric | TTM | Jan'26 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 |
|---|
| Sales/Revenue | 2.03B | 1.99B | 1.82B | 2.13B | 1.64B | 2.08B | 1.71B | 1.72B | 1.54B | 1.38B | 1.2B | 1.06B |
| Revenue Growth % | 8.66% | 9% | -14.26% | 29.29% | -20.91% | 21.48% | -0.73% | 12.2% | 11.75% | 14.97% | 12.58% | - |
| Cost of Goods Sold | 910.51M | 910.62M | 764.06M | 1B | 667.66M | 904.78M | 786.62M | 806.52M | 713.57M | 636.97M | 544.78M | 491.1M |
| COGS % of Revenue | - | 45.82% | 41.9% | 47.07% | 40.6% | 43.51% | 45.95% | 46.77% | 46.43% | 46.31% | 45.54% | 46.22% |
| Gross Profit | 1.12B | 1.08B | 1.06B | 1.13B | 977.01M | 1.17B | 925.14M | 917.81M | 823.28M | 738.34M | 651.41M | 571.43M |
| Gross Margin % | 55.22% | 54.18% | 58.1% | 52.93% | 59.4% | 56.49% | 54.05% | 53.23% | 53.57% | 53.69% | 54.46% | 53.78% |
| Gross Profit Growth % | - | 1.66% | -5.89% | 15.2% | -16.83% | 26.98% | 0.8% | 11.48% | 11.5% | 13.34% | 14% | - |
| Operating Expenses | 1.04B | 1.02B | 1.07B | 1.17B | 924.24M | 999.81M | 838.13M | 844.24M | 763.3M | 659.99M | 577.9M | 519.03M |
| OpEx % of Revenue | - | 51.1% | 58.66% | 55.13% | 56.2% | 48.08% | 48.96% | 48.96% | 49.67% | 47.99% | 48.31% | 48.85% |
| Selling, General & Admin | 1.01B | 1.02B | 938.52M | 991.88M | 832.61M | 900.8M | 724.99M | 744.49M | 687.48M | 597.92M | 524.24M | 474.05M |
| SG&A % of Revenue | - | 51.1% | 51.47% | 46.64% | 50.62% | 43.32% | 42.35% | 43.18% | 44.73% | 43.48% | 43.83% | 44.62% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 200K | 0 | 131.1M | 180.5M | 91.64M | 99.01M | 113.14M | 99.75M | 75.83M | 62.06M | 53.66M | 44.98M |
| Operating Income | 83.89M | 61.26M | -10.36M | -46.83M | 52.77M | 174.94M | 87.01M | 73.58M | 42.35M | 67.24M | 66.38M | 44.68M |
| Operating Margin % | 4.13% | 3.08% | -0.57% | -2.2% | 3.21% | 8.41% | 5.08% | 4.27% | 2.76% | 4.89% | 5.55% | 4.2% |
| Operating Income Growth % | - | 691.41% | 77.88% | -188.74% | -69.84% | 101.06% | 18.26% | 73.73% | -37.01% | 1.28% | 48.59% | - |
| EBITDA | 176.2M | 152.42M | 88.72M | 51.43M | 158.73M | 276.74M | 178.59M | 160.82M | 116.69M | 129.21M | 118.38M | 88.75M |
| EBITDA Margin % | 8.67% | 7.67% | 4.87% | 2.42% | 9.65% | 13.31% | 10.43% | 9.33% | 7.59% | 9.4% | 9.9% | 8.35% |
| EBITDA Growth % | 85.59% | 71.79% | 72.53% | -67.6% | -42.64% | 54.96% | 11.05% | 37.82% | -9.69% | 9.15% | 33.39% | - |
| D&A (Non-Cash Add-back) | 92.32M | 91.15M | 99.08M | 98.25M | 105.97M | 101.8M | 91.58M | 87.24M | 74.34M | 61.97M | 51.99M | 44.07M |
| EBIT | 82.78M | 58.63M | -9.5M | -45.13M | 52.77M | 174.94M | 87.01M | 63.79M | 42.15M | 59.76M | 66.38M | 42.13M |
| Net Interest Income | -14.55M | -16.95M | -16.18M | -14.34M | -462K | -25.61M | -48.33M | -33.3M | -37.48M | -60.06M | -39.09M | -39.29M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 14.55M | 16.95M | 16.18M | 14.34M | 462K | 25.61M | 48.33M | 33.3M | 37.48M | 60.06M | 39.09M | 39.29M |
| Other Income/Expense | -15.65M | -19.58M | -15.32M | -14.94M | -462K | -25.61M | -48.33M | -43.09M | -37.48M | -60.06M | -36.78M | -39.29M |
| Pretax Income | 68.23M | 41.68M | -25.68M | -61.76M | 52.3M | 149.32M | 38.68M | 30.49M | 4.87M | 7.17M | 27.29M | 5.38M |
| Pretax Margin % | 3.36% | 2.1% | -1.41% | -2.9% | 3.18% | 7.18% | 2.26% | 1.77% | 0.32% | 0.52% | 2.28% | 0.51% |
| Income Tax | 17.95M | 12.08M | 1.48M | 4.14M | 15.54M | 21.08M | 2.4M | -2.31M | -18.79M | -38.65M | 12.53M | 1.77M |
| Effective Tax Rate % | 26.3% | 28.98% | -5.77% | -6.7% | 29.72% | 14.12% | 6.21% | -7.57% | -385.89% | -538.78% | 45.93% | 32.83% |
| Net Income | 50.29M | 29.6M | -28.5M | -65.9M | 42.12M | 128.24M | 36.28M | 32.8M | 23.65M | 45.82M | 14.76M | 3.62M |
| Net Margin % | 2.47% | 1.49% | -1.56% | -3.1% | 2.56% | 6.17% | 2.12% | 1.9% | 1.54% | 3.33% | 1.23% | 0.34% |
| Net Income Growth % | 246.73% | 203.86% | 56.75% | -256.45% | -67.15% | 253.51% | 10.61% | 38.66% | -48.38% | 210.48% | 308.02% | - |
| Net Income (Continuing) | 50.29M | 29.6M | -27.16M | -65.9M | 36.76M | 128.24M | 36.28M | 32.8M | 23.65M | 43.14M | 14.76M | 3.62M |
| Discontinued Operations | 0 | 0 | -1.33M | 0 | 5.36M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.62 | 0.37 | -0.36 | -0.84 | 0.52 | 1.43 | 0.44 | 0.40 | 0.30 | 0.70 | 0.18 | 0.05 |
| EPS Growth % | 242.35% | 202.78% | 57.14% | -261.54% | -63.64% | 225% | 10% | 33.33% | -57.14% | 288.89% | 260% | - |
| EPS (Basic) | - | 0.37 | -0.36 | -0.84 | 0.53 | 1.57 | 0.45 | 0.42 | 0.31 | 0.72 | 0.18 | 0.05 |
| Diluted Shares Outstanding | 80.6M | 80.58M | 78.59M | 78.31M | 80.3M | 96.13M | 82.79M | 81.68M | 79.04M | 62.03M | 72.28M | 72.28M |
| Basic Shares Outstanding | 79.55M | 79.13M | 78.59M | 78.31M | 79.83M | 81.82M | 80.56M | 78.61M | 75.9M | 59.9M | 72.28M | 72.28M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | 373.16% | - | 4027.29% |
Quick answers to the most common questions about buying EYE stock.
For fiscal year 2025, National Vision Holdings, Inc. (EYE) reported total revenue of $1.99B. This represents a 87.1% increase compared to $1.06B in 2015.
National Vision Holdings, Inc. (EYE) is profitable, generating $29.6M in net income for the fiscal year ending 2025 with a net profit margin of 1.5%.
National Vision Holdings, Inc. (EYE) reported an operating income of $61.3M, resulting in an operating profit margin of 3.1%. This margin reflects the operational efficiency of the business before interest and taxes.
National Vision Holdings, Inc. (EYE) generated $1.08B in gross profit for the year, representing a gross profit margin of 54.2%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Optometrist shortage and Walmart exit
Metrics are mathematically derived from official filings.
Revenue Growth Stabilizes Amid Transition
Revenue growth has steadied at 2.5% in Q2 2026, recovering from a -13.7% contraction in Q4 2024, as per the latest quarterly report, suggesting the Walmart wind-down's impact is being absorbed.
The 10-quarter revenue path shows a sharp dip in late 2024, followed by a gradual recovery to positive growth in 2025 and 2026. The Q2 2026 growth of 2.5% is modest but consistent, indicating that the company is stabilizing its top line despite the planned termination of the Walmart partnership. The recovery appears driven by the Owned & Host segment, particularly America's Best, as the Legacy segment's contribution likely diminishes. Investors should monitor whether this stabilization can accelerate as new store ramps and managed care growth continue.
Gross Margin Resilience Masks Operating Strain
Gross margin has recovered to 58.2% in Q2 2026 from a low of 53.5% in Q4 2025, as reported in financial statements, yet operating margin remains thin at 4.3%, indicating persistent cost pressures.
The gross margin expansion of nearly 500 basis points from Q4 2025 to Q2 2026 suggests improved pricing power or product mix, possibly from higher-value lens attachments. However, the operating margin, while improved from negative territory in late 2024, is still only 4.3%, implying that SG&A and other operating costs consume a significant portion of gross profit. The gap between gross and operating margins highlights the high fixed-cost structure, particularly labor and rent, which limits scalability. The company's ability to sustain gross margin gains while controlling SG&A will be critical to improving profitability.
Operating Leverage Remains Elusive
Despite revenue growth, operating income has not scaled proportionally, with Q2 2026 operating margin of 4.3% versus 8.3% in Q1 2026, based on reported figures, indicating limited operating leverage.
The sequential drop in operating margin from Q1 to Q2 2026, despite higher revenue, suggests that SG&A expenses are not fully variable and may be absorbing revenue gains. The company's high fixed costs, including optometrist salaries and store occupancy, mean that revenue increases do not translate directly to operating income growth. The Q2 2026 operating income of $21.3M is still below the $45.2M achieved in Q1, highlighting volatility. This pattern suggests that the company has not yet achieved the scale efficiencies needed to generate meaningful operating leverage, a key concern for investors.
Earnings Quality Clouded by One-Time Items
Net income swung from a -$28.6M loss in Q4 2024 to a $12.4M profit in Q2 2026, but stock-based compensation of $6.4M in Q2 2026, as per SEC filings, suggests reported EPS may overstate cash earnings.
The earnings recovery is notable, but the quality is tempered by the presence of stock-based compensation, which is a non-cash expense that reduces reported earnings but does not affect cash flow. The negative SBC in Q4 2025 (-$17.8M) is unusual and may indicate a reversal or adjustment, warranting further investigation. Additionally, the tax rate appears volatile, with net margins fluctuating significantly, which could be due to one-time tax items or changes in valuation allowances. Investors should adjust for these non-operating items to assess underlying profitability.
SG&A Overhead Remains the Primary Cost Burden
SG&A expenses have consistently exceeded $230M per quarter, reaching $243.4M in Q2 2026, as reported in financial statements, consuming over 80% of gross profit and leaving little room for operating income.
The cost structure is dominated by SG&A, which includes store labor, rent, and administrative expenses. In Q2 2026, SG&A was $243.4M against gross profit of $290.4M, leaving only $47M before other items. This high SG&A ratio indicates that the company's fixed cost base is substantial, and any revenue shortfall can quickly erode profitability. The company's focus on lab automation and digital exam technology may be an attempt to reduce these costs over time, but the near-term impact is limited. The optometrist shortage exacerbates labor costs, as the company must pay premium wages to attract and retain professionals.
Q4 2024 Marked a Turning Point
The most significant inflection occurred in Q4 2024, when revenue fell 13.7% and operating margin plunged to -5.8%, as per the income statement data, signaling the onset of the Walmart wind-down and operational challenges.
Q4 2024 was a nadir for National Vision, with a sharp revenue decline and a substantial operating loss. This period likely reflects the initial impact of the Walmart partnership termination and possibly other operational disruptions. The subsequent quarters show a gradual recovery, with revenue growth turning positive and margins improving, suggesting that the company is adapting to the new reality. The lasting impact is a smaller revenue base and a renewed focus on the Owned & Host segment. The recovery trajectory since then indicates that the company may be stabilizing, but the full effects of the Walmart exit are still unfolding.
Margin Recovery May Be Short-Lived
The recent margin improvement could be undermined by persistent optometrist shortages and the Walmart exit, as reported in company disclosures, potentially capping operating margin expansion and limiting earnings growth.
While Q2 2026 showed a beat and raised guidance, the underlying challenges remain. The optometrist shortage is a structural constraint that could limit exam capacity and thus revenue growth. The Walmart wind-down may lead to underutilized lab capacity and transition costs, which could pressure margins in the near term. Additionally, the company's value positioning limits its ability to raise prices to offset cost inflation. If these headwinds intensify, the recent margin recovery could stall, and the company may struggle to achieve sustainable profitability. Short-sellers might argue that the market is overestimating the durability of the margin expansion.