Company: WRBY
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001504776-25-000027
Chunk: 83

Company: Warby Parker Inc.
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 8
Chunk 83
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 working capital needs;

•such measures do not reflect the interest expense, or the cash requirements necessary to service interest or principal payments on our debt;

•such measures do not reflect our tax expense or the cash requirements to pay our taxes;

•although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future and such measures do not reflect any cash requirements for such replacements; and

•other companies in our industry may calculate such measures differently than we do, limiting their usefulness as comparative measures.

Due to these limitations, Adjusted EBITDA and Adjusted EBITDA Margin should not be considered as measures of discretionary cash available to us to invest in the growth of our business. We compensate for these limitations by relying primarily on our GAAP results and using these non-GAAP measures only supplementally. Each of the adjustments and other adjustments described in this paragraph and in the reconciliation table below help management with a measure of our core operating performance over time by removing items that are not related to day-to-day operations.

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The following table reconciles Adjusted EBITDA and Adjusted EBITDA Margin to the most directly comparable GAAP measure, which is net (loss) income:

Three Months Ended June 30,Six Months Ended June 30,2025202420252024(in thousands)(in thousands)Net (loss) income$(1,752)$(6,762)$1,720 $(9,441)Adjusted to exclude the following:Interest and other income, net(1,984)(2,567)(4,439)(5,123)Provision for income taxes(789)373 665 481 Depreciation and amortization expense12,486 11,121 24,648 21,704 Asset impairment charges175 22 486 421 Stock-based compensation expense(1)9,162 14,097 22,163 28,412 Non-cash charitable donation(2)2,821 2,196 2,821 2,196 Amortization of cloud-based software implementation costs752 935 1,489 2,008 System implementation costs(3)346 — 346 — Inventory write-downs(4)2,456 — 2,456 — Other costs(5)1,341 168 1,866 1,303 Adjusted EBITDA$25,014 $19,