Revenue growth has steadied near double digits at 9.8% in 2026Q2, while gross margin improved to 57.9% and operating margin turned positive at 1.3%, marking a clear inflection from prior losses.
Warby Parker Inc. (WRBY) annual income statement — 7-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 |
|---|
| Sales/Revenue | 911.61M | 871.9M | 771.32M | 669.76M | 598.11M | 540.8M | 393.72M | 370.46M |
| Revenue Growth % | 10.99% | 13.04% | 15.16% | 11.98% | 10.6% | 37.36% | 6.28% | - |
| Cost of Goods Sold | 413.12M | 401.33M | 344.48M | 304.54M | 257.05M | 223.05M | 161.78M | 147.35M |
| COGS % of Revenue | - | 46.03% | 44.66% | 45.47% | 42.98% | 41.24% | 41.09% | 39.78% |
| Gross Profit | 498.49M | 470.58M | 426.83M | 365.22M | 341.06M | 317.75M | 231.94M | 223.11M |
| Gross Margin % | 54.68% | 53.97% | 55.34% | 54.53% | 57.02% | 58.76% | 58.91% | 60.22% |
| Gross Profit Growth % | - | 10.25% | 16.87% | 7.08% | 7.34% | 37% | 3.96% | - |
| Operating Expenses | 496.93M | 475.92M | 456.95M | 437.22M | 452.26M | 461.41M | 287.57M | 224.77M |
| OpEx % of Revenue | - | 54.58% | 59.24% | 65.28% | 75.62% | 85.32% | 73.04% | 60.67% |
| Selling, General & Admin | 363.64M | 475.92M | 440.05M | 421.57M | 452.26M | 461.41M | 287.57M | 224.77M |
| SG&A % of Revenue | - | 54.58% | 57.05% | 62.94% | 75.62% | 85.32% | 73.04% | 60.67% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 1000K | 0 | 16.89M | 15.65M | 0 | 0 | 0 | 0 |
| Operating Income | 1.55M | -5.34M | -30.11M | -72M | -111.2M | -143.66M | -55.63M | -1.66M |
| Operating Margin % | 0.17% | -0.61% | -3.9% | -10.75% | -18.59% | -26.56% | -14.13% | -0.45% |
| Operating Income Growth % | - | 82.28% | 58.18% | 35.26% | 22.59% | -158.23% | -3245.28% | - |
| EBITDA | 70.85M | 44.94M | 15.75M | -33.44M | -79.34M | -121.7M | -37.26M | 12.85M |
| EBITDA Margin % | 7.77% | 5.15% | 2.04% | -4.99% | -13.26% | -22.5% | -9.46% | 3.47% |
| EBITDA Growth % | 130.6% | 185.3% | 147.11% | 57.85% | 34.81% | -226.67% | -389.85% | - |
| D&A (Non-Cash Add-back) | 69.3M | 50.28M | 45.87M | 38.55M | 31.86M | 21.96M | 18.38M | 14.52M |
| EBIT | 9.91M | 3.04M | -19.52M | -62.76M | -109.9M | -144.01M | -55.63M | -1.66M |
| Net Interest Income | 6.27M | 8.38M | 10.6M | 9.23M | 1.31M | -347K | -97K | 1.94M |
| Interest Income | 6.27M | 8.38M | 10.6M | 9.23M | 1.31M | 0 | 0 | 1.94M |
| Interest Expense | 0 | 0 | 0 | 0 | 0 | 347K | 97K | 0 |
| Other Income/Expense | 8.36M | 8.38M | 10.6M | 9.23M | 1.31M | -347K | -97K | 1.94M |
| Pretax Income | 9.91M | 3.04M | -19.52M | -62.76M | -109.9M | -144.01M | -55.73M | 276K |
| Pretax Margin % | 1.09% | 0.35% | -2.53% | -9.37% | -18.37% | -26.63% | -14.15% | 0.07% |
| Income Tax | 2.17M | 1.4M | 875K | 433K | 497K | 263K | 190K | 276K |
| Effective Tax Rate % | 21.85% | 46.07% | -4.48% | -0.69% | -0.45% | -0.18% | -0.34% | 100% |
| Net Income | 7.74M | 1.64M | -20.39M | -63.2M | -110.39M | -144.27M | -55.92M | 0 |
| Net Margin % | 0.85% | 0.19% | -2.64% | -9.44% | -18.46% | -26.68% | -14.2% | - |
| Net Income Growth % | 183.89% | 108.05% | 67.74% | 42.75% | 23.48% | -158% | - | - |
| Net Income (Continuing) | 7.74M | 1.64M | -20.39M | -63.2M | -110.39M | -144.27M | -55.92M | 0 |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.06 | 0.01 | -0.17 | -0.54 | -0.96 | -1.39 | -0.50 | -0.52 |
| EPS Growth % | 186.57% | 107.71% | 68.52% | 43.75% | 30.94% | -178% | 3.85% | - |
| EPS (Basic) | - | 0.01 | -0.17 | -0.54 | -0.96 | -1.39 | -0.50 | -0.52 |
| Diluted Shares Outstanding | 125.75M | 125.1M | 120.39M | 117.39M | 114.94M | 113.62M | 111.39M | 111.39M |
| Basic Shares Outstanding | 123.94M | 122.67M | 120.39M | 117.39M | 114.94M | 113.62M | 111.39M | 111.39M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying WRBY stock.
For fiscal year 2025, Warby Parker Inc. (WRBY) reported total revenue of $871.9M. This represents a 135.4% increase compared to $370.5M in 2019.
Warby Parker Inc. (WRBY) is profitable, generating $1.6M in net income for the fiscal year ending 2025 with a net profit margin of 0.2%.
Warby Parker Inc. (WRBY) reported an operating income of $-5.3M, resulting in an operating profit margin of -0.6%. This margin reflects the operational efficiency of the business before interest and taxes.
Warby Parker Inc. (WRBY) generated $470.6M in gross profit for the year, representing a gross profit margin of 54.0%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Persistent operating losses
Metrics are mathematically derived from official filings.
Revenue Growth Steadies Near Double Digits
Warby Parker's revenue growth has moderated from 16.3% in 2024Q1 to 9.8% in 2026Q2, according to recent financial statements, indicating a deceleration but still positive momentum.
The company has consistently grown revenue year-over-year, with the most recent quarter showing 9.8% growth, down from the mid-teens rates seen in 2024. This suggests a maturation of the core retail business, though growth remains above industry averages. The sequential revenue pattern shows seasonality, with Q4 typically lower, but the overall trend is stable, not accelerating.
Gross Margin Expansion Drives Profitability
Gross margin improved from 54.0% in 2024Q2 to 57.9% in 2026Q2, as reported in quarterly filings, reflecting better cost management and product mix.
The gross margin has expanded by nearly 400 basis points over the period, which is a positive sign for the company's pricing power and supply chain efficiency. This improvement has been instrumental in moving operating income from negative to positive, despite relatively flat SG&A as a percentage of revenue. The margin expansion appears sustainable given the company's vertical integration and direct-to-consumer model.
Operating Leverage Emerges as Sales Scale
Operating margin swung from -4.8% in 2024Q2 to +1.3% in 2026Q2, per income statement data, indicating that fixed costs are being absorbed by higher revenue.
The company has achieved operating profitability in recent quarters, with operating income turning positive in 2026Q1 and Q2. This suggests that the cost structure is now benefiting from scale, as SG&A growth has lagged revenue growth. However, the operating margin is still thin, and any slowdown in revenue growth could easily push it back to negative territory.
Net Income Positive but SBC Weighs on EPS
Net income turned positive in 2026Q2 at $4.6M, but stock-based compensation of $9.9M exceeded net income, as per financial statements, highlighting earnings quality concerns.
While the company has reported positive net income in the last two quarters, the magnitude of SBC is significant relative to net income, suggesting that reported earnings are not fully cash-backed. The diluted EPS of $0.04 is modest, and the SBC expense reduces the quality of earnings. Investors should monitor whether SBC as a percentage of revenue declines as the company scales.
SG&A Dominates Cost Structure
SG&A expenses have remained around $110-130M per quarter, as shown in the income statement, representing over 50% of revenue and limiting operating leverage.
The primary cost driver is SG&A, which has grown roughly in line with revenue, preventing significant operating margin expansion. R&D is not separately disclosed, suggesting it is either minimal or included in SG&A. The company's ability to control SG&A growth will be critical to achieving sustainable profitability, as gross margin improvements alone may not be sufficient.
2026 Marks Turn to Profitability
The most significant inflection occurred in 2026Q1 when operating income turned positive for the first time in the data, reaching $1.7M, as per quarterly reports, after several quarters of losses.
This inflection was driven by a combination of revenue growth and gross margin expansion, which together overcame the relatively stable SG&A costs. The positive operating income has persisted into 2026Q2, suggesting that the company may have reached a sustainable profitability threshold. However, the margin is thin, and the company remains sensitive to any cost increases or revenue deceleration.
What Could Invalidate the Base Case
Despite recent profitability, Warby Parker's thin operating margins and heavy SBC could be vulnerable to revenue deceleration or cost inflation, as per income statement data.
The company's operating margin of just 1.3% in 2026Q2 leaves little room for error; a modest slowdown in revenue growth or an uptick in SG&A could push it back to losses. Additionally, SBC of $9.9M in 2026Q2 exceeds net income, suggesting that reported earnings may not be sustainable on a cash basis. If competition intensifies or consumer spending weakens, the recent profitability could prove fleeting.