Ahead of its initial public offering next week, eyewear retailer Warby Parker offered guidance into its fiscal year and said it expects to record a net-revenue increase of about 35 percent from 2020.
The estimate comes as Warby Parker struggles to reach profitability, Retail Dive writes. The brand, however, finds itself in a catch-22 scenario, as it “appears to be betting on stores to offset the high advertising costs associated with customer acquisition,” yet it’s this strategy “that often hinders DTC brands’ ability to turn a profit.”
The company is charting 30 to 35 new stores for its new fiscal year, the article says, which would push its footprint to between 155 to 160 locations.
Warby Parker has reported a loss or broken even every year since fiscal 2018, including a $55.9 million net loss in 2020. It will make its debut on the New York Stock Exchange on Sept. 29.
Read more at Retail Dive.
