Eyewear retailer Warby Parker (NYSE:WRBY) met Wall Street's revenue expectations in Q3 2026, with revenue up 10.4% year on year to $244.7 million. The company's full-year revenue guidance of $971 million at the midpoint was close to analysts' consensus estimates. Its GAAP profit of $0.04 per share was $0.01 above analysts' consensus estimates.
For more on Warby Parker, read our full research report .
Warby Parker (WRBY) Q3 2026 highlights:
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Revenue$244.7 million vs S&P analysts' consensus estimates of $244.9 million (10.4% year-on-year growth, in line)
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EPS (GAAP)$0.04 vs analysts' consensus estimates of $0.03 ($0.01 beat)
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Adjusted EBITDA$28.55 million vs analysts' consensus estimates of $26.91 million (11.7% margin, 6.1% beat)
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Revenue guidanceThe company slightly lifted its revenue guidance for the full year to $971 million at the midpoint from $967.5 million
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EBITDA guidance$118 million at the midpoint for the full year, above analysts' consensus estimates of $115.8 million
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Operating margin1.5%, in line with the same quarter last year
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Free cash flow-$1.98 million compared to -$1.52 million in the same quarter last year
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Active customers2.74 million, up 80,000 year on year
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Locations364 at quarter end, up from 313 in the same quarter last year
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Market capitalization$2.63 billion
"There's a tremendous amount happening across Warby Parker, from rolling out Warby Parker Care to expanding our retail footprint to launching our first Intelligent Eyewear collection," said Neil Blumenthal, Co-Founder and Co-CEO. "We're continuing to expand our products and services, build on the investments we've made over many years, like exams and insurance, and find new ways to serve our customers. In an uneven optical environment, we're staying focused on what we can control, while pursuing opportunities we believe can drive meaningful growth for years to come."
Revenue growth
A company's long-term revenue performance can indicate its overall quality. Any business can deliver a good quarter or two, but the best consistently grow over the long term.
With $934.7 million in revenue over the past 12 months, Warby Parker is a small retailer, which sometimes brings disadvantages compared to larger competitors benefiting from economies of scale and negotiating leverage with suppliers. On the positive side, it can grow faster because it has more room to build new stores.
Warby Parker's 12.6% annualized revenue growth over the last three years was solid as it opened new stores and expanded its reach.
This quarter, Warby Parker's year-on-year revenue growth was 10.4%, and its $244.7 million of revenue was in line with Wall Street's consensus estimates.
Looking ahead, sell-side analysts expect revenue to grow 16.5% over the next 12 months, according to S&P, an acceleration versus the last three years. That strong projection implies its newer products will drive faster revenue growth.
Number of stores
The number of stores a retailer operates is a critical driver of how quickly company-level revenue can grow.
Warby Parker operated 364 locations in the latest quarter. Over the last two years, it has opened new stores at a rapid pace, averaging 16.9% annual growth, among the fastest in the consumer retail sector. This gives it a chance to scale into a mid-sized business over time.
When a retailer opens new stores, it usually means it's investing for growth because demand is greater than supply, especially in areas where consumers may not have a store within reasonable driving distance.
Key takeaways from Warby Parker's Q3 results
Warby Parker's EPS and EBITDA both beat Wall Street's consensus estimates in Q3, giving the quarter some clear positives. It was a solid quarter overall, and shares soared 18.9% to $25.31 immediately after the results.
Warby Parker had a solid quarter, but the investment case depends on the bigger picture. What happened in the latest quarter matters, but not as much as longer-term business quality and valuation when deciding whether to invest in this stock. For more on Warby Parker, read the free full research report here .
