Warby Parker Reports First Annual Profit, Achieves $1.6 Million Net Income

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2.27.2026

Quick Facts

Warby Parker achieved its first full year of positive net income at $1.6 million, a $22 million improvement from 2024’s $20.4 million loss
Annual revenue grew 13% to $871.9 million with active customers increasing 7% to 2.69 million
Company plans to launch AI glasses partnership with Google in 2026, backed by up to $150 million from Google

Warby Parker posted its first annual profit in company history, reporting net income of $1.6 million for 2025. The eyewear retailer’s turnaround represents a $22 million improvement from the previous year’s net loss of $20.4 million.

The company generated $871.9 million in annual revenue, up 13% year-over-year. Its active customer base grew 7% to 2.69 million, while average revenue per customer increased 5.7% to $324.

“In 2025, we delivered double-digit revenue growth each quarter and achieved our first full year of positive net income while expanding Adjusted EBITDA,” said Co-Founder and Co-CEO Dave Gilboa.

Warby Parker expanded its physical footprint by opening 47 net new stores during 2025, ending the year with 323 locations across 44 U.S. states and Canadian provinces. The company plans to open 50 additional stores in 2026.

The profitability milestone places Warby Parker among a small group of direct-to-consumer brands that have achieved sustainable earnings. Industry data shows roughly 90% of DTC startups close by their fifth year, with about 30% failing in the first year.

Despite strong annual performance, fourth-quarter results showed mixed signals. The company reported an earnings per share loss of $0.05, missing analyst estimates of a $0.05 profit. Q4 revenue of $211.97 million came in slightly below expectations of $213.11 million.

Warby Parker authorized a $100 million Class A share repurchase program and ended 2025 with $286.4 million in cash and cash equivalents. CFO Adrian Mitchell said the “healthy balance sheet and strong cash flows allow us to invest in our strategic growth initiatives.”

The company faces headwinds among younger demographics. Management noted Vision Council data showing prescription glasses and contacts units were down mid-single digits year-over-year, particularly affecting younger and lower-income consumers.

Looking ahead, Warby Parker expects to launch AI glasses in partnership with Google in 2026. Google has committed up to $150 million to the partnership, with the glasses built on Android XR and leveraging Google’s Gemini AI model.

For 2026, the company guides net revenue of $959-$976 million, representing 10%-12% growth, and Adjusted EBITDA of $117-$119 million.