Warby Parker reports surprise loss and revenue that misses, but reiterates full-year guidance

Shares of Warby Parker Inc. were indicated down about 3% in premarket trading Monday, after eye wear company reported a surprise first-quarter loss and revenue that came up shy of expectations, but reiterated its full-year outlook. Net losses widened to $34.1 million, or 30 cents a share, after a loss of $1.6 million, or 3 cents a share, in the year-ago period. The FactSet consensus was for breakeven on a per-share basis. Revenue fell 10.3% to $153.2 million, missing the FactSet consensus of $154.1 million. Cost of goods sold increased 15.2% to $63.6 million, as gross margin contracted to 58.5% from 60.3%. Average revenue per customer grew 11.2% to $249. For 2022, the company reiterated its revenue guidance range of $650 million to $660 million, which surrounds the FactSet consensus of $657 million. “Despite a challenging macroeconomic backdrop, we continue to grow faster than others in our industry,” said co-Chief Executive Neil Blumenthal. “We believe our omnichannel business model, compelling value proposition, and strong consumer brand uniquely position us to capture market share for years to come in both good and turbulent environments.” The stock has plunged 62.5% year to date through Friday, while the S&P 500 has lost 15.6%.

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