Company: WRBY
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001504776-25-000027
Chunk: 90

Company: Warby Parker Inc.
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 8
Chunk 90
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 by $20.7 million, or 9.5%, for the six months ended June 30, 2025 compared to the same period in 2024, primarily due to the increase in net revenue over the same period.

Gross margin, expressed as a percentage and calculated as gross profit divided by net revenue, decreased by 170 basis points for the six months ended June 30, 2025 compared to the same period in 2024. The decrease in gross margin was primarily driven by the sales growth of contact lenses, which are sold at a lower margin than our other eyewear, and increased store occupancy costs and doctor headcount as the number of stores grew from 256 at June 30, 2024 to 298 at June 30, 2025. These impacts were partially offset by increased penetration of our higher priced frames and lenses and selective price increases during the second quarter.

Selling, General, and Administrative Expenses

Six Months Ended June 30,20252024$ Change% Change(in thousands)Selling, general, and administrative expenses$241,643 $232,924 $8,719 3.7 %As a percentage of net revenue55.1 %60.0 %(4.9)%

Selling, general, and administrative expenses increased $8.7 million, or 3.7%, for the six months ended June 30, 2025 compared to the same period in 2024. This increase was primarily driven by higher payroll-related costs from growth in our retail workforce and investments in marketing, partially offset by lower stock-based compensation, mostly related to the 2021 Founders Grant as award tranches finish expensing. As a percentage of revenue, SG&A decreased by 490 basis points, primarily driven by slower growth in corporate expenses and reduced stock-based compensation.

Interest and Other Income, Net

Six Months Ended June 30,20252024$ Change% Change(in thousands)Interest and other income, net$4,439 $5,123 $(684)(13.4)%As a percentage of net revenue1.0 %1.3 %(0.3)%

Interest and other income, net decreased $0.7 million, or 13.4%, for the six months ended June 30, 2025 compared to the same period in 2024, primarily due to lower interest rates on our increased cash and cash equivalents balance.

30

Provision for Income Taxes

Six