NEW YORK—Warby Parker Inc. (NYSE: WRBY) announced financial results for the fourth quarter and full year ended Dec. 31, 2022. The company reported full year net revenue increased $57.3 million, or 10.6 percent, to $598.1 million compared to full year 2021. Fourth quarter net revenue increased $13.6 million, or 10.2 percent, to $146.5 million compared to fourth quarter 2021. Warby said its active customers increased 3.6 percent to 2.28 million year over year while average revenue per customer increased 6.9 percent year over year to $263.

Net loss for the year decreased $33.9 million to $110.4 million, primarily as a result of the increase in gross profit and the decrease in SG&A, the company explained. Adjusted EBITDA increased $2.3 million to $27.2 million.

“Our team’s accomplishments in 2022, Warby Parker’s first full year as a public company, reflect our commitment to growing sustainably while taking market share, delivering remarkable customer experiences and creating impact,” said co-founder and co-CEO Neil Blumenthal. “In the face of economic uncertainty and a depressed consumer environment, we delivered strong Q4 results and aim to bring that same momentum, powered by rigorous discipline, into 2023.”

 Warby Parker opened its 13th retail location in NYC at 80th Street & Columbus last weekend, which will also be known as  the Warby Parker Museum of the Blue-Footed Booby. The location is described as an ode to the company's long-standing unofficial mascot, the blue-footed booby (a real bird). The new location is located across the street from the Museum of Natural History.
“As we enter a new year, our team continues to focus on aspects of our business within our control, taking decisive action, and delivering on our value proposition while positioning our brand to continue to outpace industry growth. We’re committed to expanding profitability while making strategic investments in areas of the business that will drive brand awareness and create even more value for our millions of customers,” added co-founder and co-CEO Dave Gilboa.

The company opened 40 new stores during the year, ending 2022 with 200 stores. Warby Parker's contact lens revenue increased to 7.2 percent of its business in 2022, up from 4.3 percent in 2021. Eye exam revenue increased to 2.9 percent of Warby Parker's business in 2022, up from 1.7 percent in 2021. Eye exams are offered in 150 of the 200 locations.

Warby Parker reported it ended 2022 with $208.6 million in cash and cash equivalents. For the full year 2023, Warby Parker provided the following guidance:

  • Net revenue of $645 million to $660 million, representing growth of 8 percent to 10 percent versus full year 2022.

  • Adjusted EBITDA of approximately $51.5 million, or adjusted EBITDA margin of approximately 7.9 percent.

  • 40 new store openings will bring the total projected store count at year end of fiscal 2023 to approximately 240.
“We are pleased with our strong fourth quarter performance, in particular the profitability expansion we were able to achieve with an adjusted EBITDA margin of 2.2 percent in the first half of 2022 up to 6.9 percent in the second half despite economic headwinds,” said Steve Miller, CFO.

“Our 2023 outlook reflects our team’s commitment to maintaining discipline across the topline and bottomline while continuing to invest in our omnichannel business model, for example by opening 40 new stores. As we work to capture greater market share while providing vision for all, we’re as committed as ever to delivering value to shareholders.”