Warby Parker Reports $771.3 Million Revenue with 15.2% Growth for Fiscal Year 2024

Warby Parker Inc. reported a net revenue of $771.3 million for the fiscal year ending December 31, 2024, marking a 15.2% increase from $669.8 million in the previous year. The company's gross profit also rose to $426.8 million, resulting in a gross profit margin of 55.3%, up from 54.5% in 2023. Despite this growth, Warby Parker recorded a net loss of $20.4 million, an improvement from a loss of $63.2 million in 2023. The company attributed its revenue growth to a 7.8% increase in active customers and a rise in average revenue per customer, driven by the successful launch of higher-priced lens options and bundled purchases.

In terms of operational developments, Warby Parker expanded its retail footprint to 276 stores, including 236 locations offering in-person eye exams. The company opened 39 new stores in 2024, continuing its strategy to enhance brand awareness and customer engagement. The total employee headcount reached approximately 3,780, reflecting the company's commitment to scaling its operations. Additionally, Warby Parker's omnichannel approach, which integrates online and in-store experiences, has been pivotal in attracting and retaining customers.

The filing also highlighted significant changes in the company's cost structure. Cost of goods sold increased by 13.1% to $344.5 million, primarily due to higher product and fulfillment costs associated with sales growth. However, the cost of goods sold as a percentage of revenue decreased, indicating improved operational efficiency. Selling, general, and administrative expenses rose by 4.5% to $456.9 million, driven by increased payroll costs and marketing investments, although the percentage of these expenses relative to revenue decreased significantly.

Looking ahead, Warby Parker expressed optimism about its growth trajectory, emphasizing plans to continue expanding its retail presence and enhancing its product offerings, including eyewear and vision care services. The company aims to leverage its strong brand and customer loyalty to capture a larger share of the growing eyewear market, which is projected to reach approximately $68 billion in the U.S. by 2024. However, the company acknowledged potential risks, including economic fluctuations and supply chain challenges, which could impact future performance.