Innovative Eyewear Q2 2025 Results: Revenue Surges 88% Amidst Lucyd Armor and Reebok Powered by Lucyd Success

Innovative Eyewear Inc. reported Q2 2025 unaudited financial results with revenue surging 88% YoY to $579,230. The growth was driven by new product launches such as the Lucyd Armor smart safety glasses and the Reebok Powered by Lucyd collection. Gross profit margin decreased to -2% due to higher customs duties and tariffs, but the company is taking steps to mitigate these impacts.

Innovative Eyewear Inc. (NASDAQ: LUCY, LUCYW), a developer of smart eyewear under the Lucyd®, Nautica®, Eddie Bauer®, and Reebok® brands, announced its unaudited financial results for the second quarter of 2025. The company reported a significant increase in revenue, surging by 88% year-over-year (YoY) to $579,230 [1].

The growth was primarily driven by the success of recent product launches, including the Lucyd Armor® smart safety glasses, launched in October 2024, and the Reebok® Powered by Lucyd collection, introduced in April 2025. The Lucyd Armor product line accounted for nearly half of the total units sold during the quarter. The Reebok® Powered by Lucyd frames, known for their superior audio quality, have also contributed significantly to the revenue increase [1].

Despite the robust revenue growth, the company's gross profit margin decreased to -2% in the second quarter of 2025, compared to 18% in the same period last year. This decline was attributed to significantly higher customs duties, tariffs, and importation costs. However, Innovative Eyewear is actively addressing these challenges with a multi-pronged approach, including diversifying its logistics network, expanding ex-US sales, and implementing mild price increases on custom lenses [1].

The company also achieved several notable milestones during the second quarter. It successfully launched the Reebok® Powered by Lucyd sport smart eyewear collection, which has been well-received by customers. Additionally, Innovative Eyewear entered into partnerships with Smartech Retail Group and EyeRecommend to showcase its smart eyewear at the new TM:RW flagship department store in Times Square, New York City, and to provide its products to more than 600 independent optometry stores across Canada, respectively [1].

Innovative Eyewear ended the quarter with combined cash and cash equivalents and investments of $8,912,645, up from $7,524,171 as of December 31, 2024. This increase was primarily due to warrant exercises and other equity transactions entered into during the current quarter [1].

The company's net loss for the second quarter of 2025 was $2,106,094, or $0.66 per share, compared to a net loss of $1,948,399, or $1.87 per share in the same period last year. The net loss for the six months ended June 30, 2025, was $3,884,797, or $1.37 per share, a 1% improvement from the prior year comparable period [1].

Harrison Gross, CEO of Innovative Eyewear Inc., commented on the company's performance: "I am very pleased by our performance and improved sales for the quarter, as we continue our upward trend of outperforming sales each quarter on a year-over-year basis, which we have done every quarter for the last 24 months. We are optimistic about the potential to mitigate the effect of tariffs on our gross margins in the future, as we build a more globally-focused business with significant distribution outside of the USA. Our sales growth materially outpaced our increased operating expenses as our marketing efforts continue to yield improved returns. Looking ahead to the second half of 2025, we believe we are well positioned to build on our momentum and significantly grow both revenue and market share. I am particularly excited about the potential of our newly launched Reebok® product line, which expanded our portfolio to include smart glasses for active lifestyles, coupled with the continued significant traction of the Lucyd Armor smart safety glasses. Both product lines address vast subsets of the eyewear market which are underserved by smart eyewear providers" [1].

References:
[1] https://www.marketscreener.com/news/innovative-eyewear-inc-reports-q2-2025-unaudited-financial-results-ce7c51d9df8aff25