Warby Parker (WRBY) 10-Q 8 Aug 24 2024 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2024	Aug. 06, 2024
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2024
Document Transition Report	false
Entity File Number	001-40825
Entity Registrant Name	Warby Parker Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	80-0423634
Entity Address, Address Line One	233 Spring Street
Entity Address, Address Line Two	6th Floor East
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10013
City Area Code	646
Local Phone Number	847-7215
Title of 12(b) Security	Class A Common Stock, $0.0001 par value per share
Trading Symbol	WRBY
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0001504776
Amendment Flag	false
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31
Common class A
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		100,657,415
Common class B
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		19,179,995

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023
Current assets:
Cash and cash equivalents	$ 237,958	$ 216,894
Accounts receivable, net	1,209	1,779
Inventory	53,345	62,234
Prepaid expenses and other current assets	16,122	17,712
Total current assets	308,634	298,619
Property and equipment, net	162,736	152,332
Right-of-use lease assets	138,138	122,305
Other assets	8,698	7,056
Total assets	618,206	580,312
Current liabilities:
Accounts payable	24,685	22,456
Accrued expenses	47,736	46,320
Deferred revenue	21,052	31,617
Current lease liabilities	25,559	24,286
Other current liabilities	2,002	2,411
Total current liabilities	121,034	127,090
Non-current lease liabilities	166,686	150,171
Other liabilities	1,096	1,264
Total liabilities	288,816	278,525
Commitments and contingencies (see Note 9)
Stockholders’ equity:
Common stock, $0.0001 par value; Class A: 750,000,000 shares authorized at June 30, 2024 and December 31, 2023, 100,656,965 and 98,368,239 issued and outstanding at June 30, 2024 and December 31, 2023, respectively; Class B: 150,000,000 shares authorized at June 30, 2024 and December 31, 2023, 19,179,995 and 19,788,682 shares issued and outstanding as of June 30, 2024 and December 31, 2023, respectively, convertible to Class A on a one-to-one basis	12	12
Additional paid-in capital	1,007,288	970,135
Accumulated deficit	(676,272)	(666,831)
Accumulated other comprehensive loss	(1,638)	(1,529)
Total stockholders’ equity	329,390	301,787
Total liabilities and stockholders’ equity	$ 618,206	$ 580,312

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2024	Dec. 31, 2023
Common stock par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock shares authorized	1,050,000,000
Common class A
Common stock shares authorized	750,000,000	750,000,000
Common stock shares issued	100,656,965	98,368,239
Common stock shares outstanding	100,656,965	98,368,239
Common class B
Common stock shares authorized	150,000,000	150,000,000
Common stock shares issued	19,179,995	19,788,682
Common stock shares outstanding	19,179,995	19,788,682

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Income Statement [Abstract]
Net revenue	$ 188,222	$ 166,093	$ 388,225	$ 338,061
Cost of goods sold	82,840	75,458	169,384	152,635
Gross profit	105,382	90,635	218,841	185,426
Selling, general, and administrative expenses	114,338	108,865	232,924	216,086
Loss from operations	(8,956)	(18,230)	(14,083)	(30,660)
Interest and other income, net	2,567	2,281	5,123	4,160
Loss before income taxes	(6,389)	(15,949)	(8,960)	(26,500)
Provision for income taxes	373	(24)	481	237
Net loss	$ (6,762)	$ (15,925)	$ (9,441)	$ (26,737)
Net loss per share attributable to common stockholders, basic (in dollars per share)	$ (0.06)	$ (0.14)	$ (0.08)	$ (0.23)
Net loss per share attributable to common stockholders, diluted (in dollars per share)	$ (0.06)	$ (0.14)	$ (0.08)	$ (0.23)
Weighted average shares used in computing net loss per share attributable to common stockholders, basic	120,086,495	116,792,223	119,615,015	116,477,573
Weighted average shares used in computing net loss per share attributable to common stockholders, diluted	120,086,495	116,792,223	119,615,015	116,477,573
Other comprehensive loss
Foreign currency translation adjustment	$ (18)	$ (35)	$ (109)	$ (718)
Total comprehensive loss	$ (6,780)	$ (15,960)	$ (9,550)	$ (27,455)

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Changes in Redeemable Convertible Preferred Stock and Stockholders’ (Deficit) Equity - USD ($) $ in Thousands	Total	Common Stock Class A and Class B Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Income (Loss)	Accumulated Deficit
Beginning balance (in shares) at Dec. 31, 2022		115,339,000
Beginning balance at Dec. 31, 2022	$ 286,646	$ 12	$ 890,915	$ (647)	$ (603,634)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock option exercises (in shares)		109,000
Stock option exercises	1,415		1,415
Restricted stock unit releases (in shares)		153,000
Stock-based compensation	19,780		19,780
Other comprehensive loss	(683)			(683)
Net income (loss)	(10,812)				(10,812)
Ending balance (in shares) at Mar. 31, 2023		115,601,000
Ending balance at Mar. 31, 2023	296,346	$ 12	912,110	(1,330)	(614,446)
Beginning balance (in shares) at Dec. 31, 2022		115,339,000
Beginning balance at Dec. 31, 2022	286,646	$ 12	890,915	(647)	(603,634)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	(26,737)
Ending balance (in shares) at Jun. 30, 2023		116,542,000
Ending balance at Jun. 30, 2023	302,062	$ 12	933,786	(1,365)	(630,371)
Beginning balance (in shares) at Mar. 31, 2023		115,601,000
Beginning balance at Mar. 31, 2023	296,346	$ 12	912,110	(1,330)	(614,446)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock option exercises (in shares)		482,000
Stock option exercises	1,940		1,940
Restricted stock unit releases (in shares)		285,000
Shares issued in connection with employee stock purchase plan (in shares)		117,000
Shares issued in connection with employee stock purchase plan	1,124		1,124
Stock-based compensation	18,012		18,012
Non-cash charitable contributions (in shares)		57,000
Non-cash charitable contributions	600		600
Other comprehensive loss	(35)			(35)
Net income (loss)	(15,925)				(15,925)
Ending balance (in shares) at Jun. 30, 2023		116,542,000
Ending balance at Jun. 30, 2023	302,062	$ 12	933,786	(1,365)	(630,371)
Beginning balance (in shares) at Dec. 31, 2023		117,849,000
Beginning balance at Dec. 31, 2023	301,787	$ 12	970,135	(1,529)	(666,831)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock option exercises (in shares)		67,000
Stock option exercises	905		905
Restricted stock unit releases (in shares)		563,000
Stock-based compensation	16,265		16,265
Other comprehensive loss	(91)			(91)
Net income (loss)	(2,679)				(2,679)
Ending balance (in shares) at Mar. 31, 2024		118,479,000
Ending balance at Mar. 31, 2024	316,187	$ 12	987,305	(1,620)	(669,510)
Beginning balance (in shares) at Dec. 31, 2023		117,849,000
Beginning balance at Dec. 31, 2023	$ 301,787	$ 12	970,135	(1,529)	(666,831)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock option exercises (in shares)	352,876
Net income (loss)	$ (9,441)
Ending balance (in shares) at Jun. 30, 2024		119,611,000
Ending balance at Jun. 30, 2024	329,390	$ 12	1,007,288	(1,638)	(676,272)
Beginning balance (in shares) at Mar. 31, 2024		118,479,000
Beginning balance at Mar. 31, 2024	316,187	$ 12	987,305	(1,620)	(669,510)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock option exercises (in shares)		286,000
Stock option exercises	3,179		3,179
Restricted stock unit releases (in shares)		509,000
Shares issued in connection with employee stock purchase plan (in shares)		110,000
Shares issued in connection with employee stock purchase plan	1,069		1,069
Stock-based compensation	13,539		13,539
Non-cash charitable contributions (in shares)		179,000
Non-cash charitable contributions	2,196		2,196
Other comprehensive loss	(18)			(18)
Net income (loss)	(6,762)				(6,762)
Ending balance (in shares) at Jun. 30, 2024		119,611,000
Ending balance at Jun. 30, 2024	$ 329,390	$ 12	$ 1,007,288	$ (1,638)	$ (676,272)

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Cash flows from operating activities
Net loss	$ (9,441)	$ (26,737)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	21,704	18,424
Stock-based compensation	27,879	37,792
Non-cash charitable contribution	2,196	600
Asset Impairment Charges	421	650
Amortization of cloud-based software implementation costs	2,008	826
Change in operating assets and liabilities:
Accounts receivable, net	571	259
Inventory	8,888	9,048
Prepaid expenses and other assets	(61)	1,301
Accounts payable	1,384	2,148
Accrued expenses	5,187	(11,619)
Deferred revenue	(10,565)	(6,684)
Other current liabilities	(409)	(21)
Right-of-use lease assets and current and non-current lease liabilities	1,956	1,614
Other liabilities	(168)	(206)
Net cash provided by operating activities	51,550	27,395
Cash flows from investing activities
Purchases of property and equipment	(32,088)	(24,610)
Investment in optical equipment company	(2,000)	0
Net cash used in investing activities	(34,088)	(24,610)
Cash flows from financing activities
Proceeds from stock option exercises	2,639	843
Proceeds from shares issued in connection with employee stock purchase plan	1,068	1,124
Net cash provided by financing activities	3,707	1,967
Effect of exchange rates on cash	(105)	(681)
Net change in cash and cash equivalents	21,064	4,071
Cash and cash equivalents, beginning of period	216,894	208,585
Cash and cash equivalents, end of period	237,958	212,656
Supplemental disclosures
Cash paid for income taxes	345	326
Cash paid for interest	92	110
Payments for Leasing Costs	21,201	17,530
Non-cash investing and financing activities:
Purchases of property and equipment included in accounts payable and accrued expenses	$ 4,089	$ 3,351

Description of Business

Description of Business	6 Months Ended
	Jun. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business	Description of Business Warby Parker Inc., a public benefit corporation founded in 2010 (together with its wholly owned subsidiaries, the “Company”), is a founder-led, mission-driven lifestyle brand that sits at the intersection of technology, design, healthcare, and social enterprise. The Company offers holistic vision care by selling eyewear products and providing optical services directly to consumers through its retail stores and e-commerce platform. For every pair of glasses or sunglasses sold, the Company helps distribute a pair of glasses to someone in need through its Buy a Pair, Give a Pair program. The Company is headquartered in New York, New York.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2024
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Basis of Presentation The Company’s unaudited condensed consolidated financial statements have been prepared and are presented in accordance with United States generally accepted accounting principles (“U.S. GAAP”). Certain information and disclosures normally included in consolidated financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the applicable rules and regulations of the Securities and Exchange Commission. Accordingly, these condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements for the year ended December 31, 2023 and the related notes. The December 31, 2023 condensed consolidated balance sheet was derived from the Company’s audited consolidated financial statements as of that date. The unaudited interim condensed consolidated financial statements include, in the opinion of management, all adjustments, consisting of normal and recurring items, necessary for the fair presentation of the condensed consolidated financial statements. There have been no significant changes in accounting policies during the six months ended June 30, 2024 from those disclosed in the audited consolidated financial statements for the year ended December 31, 2023 and the related notes. Principles of Consolidation The condensed consolidated financial statements include the financial statements of Warby Parker Inc., and its wholly owned subsidiaries. The Company has consolidated certain entities meeting the definition of a variable interest entity as the Company concluded that it is the primary beneficiary of the entities. The inclusion of these entities does not have a material impact on its condensed consolidated financial statements. Intercompany balances and transactions have been eliminated in consolidation. Use of Estimates The Company prepares its condensed consolidated financial statements in conformity with U.S. GAAP. These principles require management to make certain estimates and assumptions during the preparation of its condensed consolidated financial statements and accompanying notes. Actual results could differ from those estimates. Management’s estimates are based on historical experience and on various other market-specific and relevant assumptions that management believes to be reasonable under the circumstances. Significant estimates underlying the accompanying condensed consolidated financial statements include, but are not limited to (i) the valuation of inventory, including the determination of the net realizable value, (ii) the useful lives and recoverability of long-lived assets, (iii) the determination of deferred income taxes, including related valuation allowances, and (iv) assumptions related to the valuation of common stock and determination of stock-based compensation. Segment Information Operating segments are defined as components of an enterprise for which separate financial information is evaluated regularly by the chief operating decision maker (“CODM”), who makes decisions about allocating resources and assessing performance. The Company defines its CODM as its co-Chief Executive Officers. The Company has identified one operating segment. When evaluating the Company’s performance and allocating resources, the CODM relies on financial information prepared on a consolidated basis. Concentration of Credit Risk and Major Suppliers Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash and cash equivalents. The Company maintains its cash and cash equivalents in various accounts, which, at times, may exceed the limits insured by the Federal Deposit Insurance Corporation of $250 thousand per institution and the Canada Deposit Insurance Corporation of $100 thousand Canadian dollars. At June 30, 2024 and December 31, 2023, uninsured cash balances were approximately $236.7 million and $215.6 million, respectively. The Company has not experienced any concentration losses related to its cash and cash equivalents to date. The Company seeks to minimize its credit risk by maintaining its cash and cash equivalents with high-quality financial institutions and monitoring the credit standing of such institutions. The Company’s top five inventory suppliers accounted for approximately 19% and 18% of cost of goods sold for the six months ended June 30, 2024 and 2023, respectively. Cash and Cash Equivalents The Company considers all highly liquid short-term investments with an original maturity of three months or less to be a cash equivalent. Cash and cash equivalents include deposits with banks and financial institutions, money market funds, and receivables from credit card issuers, which are typically converted into cash within two to four days of capture. As such, these receivables are recorded as a deposit in transit as a component of cash and cash equivalents on the condensed consolidated balance sheets. At June 30, 2024 and December 31, 2023, the balance of receivables from credit card issuers included within cash and cash equivalents was $8.4 million and $15.0 million, respectively. Inventory Inventory consists of approximately $15.7 million and $13.3 million of finished goods, including ready-to-wear sun frames, contact lenses, and eyeglass cases, as of June 30, 2024 and December 31, 2023, respectively, and approximately $37.7 million and $48.9 million of component parts, including optical frames and prescription optical lenses, as of June 30, 2024 and December 31, 2023, respectively. Inventory is stated at the lower of cost or net realizable value, with cost determined on a weighted average cost basis. The Company continuously evaluates the composition of its inventory and makes adjustments when the cost of inventory is not expected to be fully recoverable. The estimated net realizable value of inventory is determined based on an analysis of historical sales trends, the impact of market trends and economic conditions, a forecast of future demand, and the estimated timing of product retirements. Adjustments for damaged inventory are recorded primarily based on actual damaged inventory. Adjustments for inventory shrink, representing the physical loss of inventory, include estimates based on historical experience, and are adjusted based upon physical inventory counts. However, unforeseen adverse future economic and market conditions could result in actual results differing materially from estimates. Investments In August 2023, the Company invested $1.0 million in a private optical equipment company, and made an additional $2.0 million investment in March 2024. As part of these investments, the Company will automatically receive shares of the entity or cash based on a conversion price dependent upon an ultimate conversion event. The investments are recorded within other assets on the condensed consolidated balance sheet and are measured at cost less impairment, if any. No impairment has been recorded for the three and six months ended June 30, 2024. Cloud-Based Software Implementation Costs The Company has entered into cloud-based software hosting arrangements for which it incurs implementation costs. Certain costs incurred during the application development stage are capitalized and included within prepaid expenses and other current assets or other assets, depending on the long or short-term nature of such costs, in line with the Company's policy on the accounting for prepaid software hosting arrangements. Costs incurred during the preliminary project stage and post-implementation stage are expensed as incurred. Capitalized cloud-based software implementation costs are amortized, beginning on the date the related software or module is ready for its intended use, on a straight-line basis over the remaining term of the hosting arrangement as a component of selling, general, and administrative expenses, the same line item as the expense for the associated hosting arrangement. As of June 30, 2024, the Company had $14.2 million of gross capitalized cloud-based software implementation costs and $5.2 million of related accumulated amortization, for a net balance of $9.0 million, made up of $3.3 million recorded within prepaid expenses and other current assets and $5.7 million recorded within other assets on the condensed consolidated balance sheet. As of December 31, 2023, the Company had $13.1 million of gross capitalized cloud-based software implementation costs and $3.1 million of related accumulated amortization, for a net balance of $10.0 million, made up of $4.0 million recorded within prepaid expenses and other current assets and $6.0 million recorded within other assets on the condensed consolidated balance sheet. During the three and six months ended June 30, 2024, the Company incurred $0.9 million and $2.0 million of amortization of capitalized cloud-based software implementation costs, respectively. During the three and six months ended June 30, 2023, the Company incurred $0.5 million and $0.8 million of amortization of capitalized cloud-based software implementation costs, respectively. Leases The Company records a lease liability and corresponding right-of-use (“ROU”) asset at lease commencement. The lease liability is measured at the present value of non-cancellable future lease payments over the lease term, minus expected tenant improvement allowances (“TIAs”) determined to be lease incentives. The ROU asset is measured at the lease liability amount, adjusted for prepaid lease payments, TIAs expected to be received, and any initial direct costs. When calculating the present value of future lease payments, the Company utilizes an incremental borrowing rate, which incorporates several factors including the lease term, U.S. Treasury bond rates, financial ratios related to earnings and cash flows, and other comparisons with similarly sized companies. Many of the Company’s leases contain TIA provisions, which represent contractual amounts receivable from a lessor for improvements to the leased property made by the Company which are determined to represent lease incentives. The Company considers the collection of TIAs to be reasonably certain, and includes them in the present value calculation when determining the lease liabilities for new leases. The benefit from a TIA is amortized through rent expense over the term of the related lease. The recognition of rent expense for an operating lease commences on the date at which control and possession of the property is obtained. Rent expense is calculated by recognizing total fixed minimum rental payments, net of any TIAs or other rental concessions, on a straight-line basis over the lease term. Some of the Company’s retail leases contain percent of sales rent or similar provisions, which is recognized as incurred as variable rent. Retail, optical laboratory, and distribution center rent expense is recognized as a component of cost of goods sold and all other rent expense is recognized as a component of selling, general, and administrative expenses. Asset Impairment Long-lived assets, such as property and equipment, ROU assets, and capitalized cloud-based software implementation costs, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset group may not be recoverable. Recoverability of asset groups to be held and used is evaluated by a comparison of the carrying amount of an asset group to estimated undiscounted future cash flows expected to be generated by the asset group. If the carrying amount of an asset group exceeds its estimated undiscounted future cash flows, an impairment charge is recognized as a component of selling, general, and administrative expenses in the amount by which the carrying amount exceeds the fair value of the asset group. The Company considers each store location to be its own asset group when evaluating for impairment. Asset impairment charges, recorded as a component of selling, general, and administrative expenses, were immaterial and $0.4 million for the three and six months ended June 30, 2024, primarily related to the write-off of assets in connection with retail stores and the write-off of capitalized software no longer being used. Asset impairment charges were $0.3 million and $0.7 million for the three and six months ended June 30, 2023, primarily related to the write-off of assets in connection with capitalized software and retail store closures. Revenue Recognition The Company primarily derives revenue from the sales of eyewear products, optical services and accessories. The Company sells products and services through its stores, website, and mobile apps. Revenue generated from eyewear products includes the sales of prescription and non-prescription optical glasses and sunglasses and contact lenses. Revenue generated from services and other consists of in-person eye exams and prescriptions issued through the Virtual Vision Test app, eyewear accessories, lens replacements, and customer charges for optional expedited shipping. All revenue is reported net of sales taxes collected from customers on behalf of taxing authorities and variable consideration, including returns and discounts. Revenue is recognized when performance obligations are satisfied through either the transfer of control of promised goods or the rendering of services to the Company's customers. Control transfers once a customer has the ability to direct the use of, and obtain substantially all of the benefits from, the product, which is generally determined to be the point of delivery or upon rendering of the service in the case of eye exams. This includes the transfer of legal title, physical possession, the risks and rewards of ownership, and customer acceptance. In the normal course of business, payment may be collected from the customer prior to recognizing revenue and such cash receipts are included in deferred revenue until the order is delivered to the customer. Substantially all of the deferred revenue included on the balance sheet at December 31, 2023 was recognized as revenue in the first quarter of 2024 and the Company expects substantially all of the deferred revenue at June 30, 2024 to be recognized as revenue in the third quarter of 2024. The Company’s sales policy allows customers to return merchandise for any reason within 30 days of receipt, generally for an exchange or refund. An allowance is recorded within other current liabilities on the condensed consolidated balance sheets for expected future customer returns which the Company estimates using historical return patterns and its expectation of future returns. Any difference between the actual return and previous estimates is adjusted in the period in which such returns occur. Historical return estimates have not materially differed from actual returns in any of the periods presented. The allowance for returns was $1.9 million and $2.2 million at June 30, 2024 and December 31, 2023, respectively, and is included in other current liabilities on the condensed consolidated balance sheets. The Company offers non-expiring gift cards to its customers. Proceeds from the sale of gift cards are initially deferred and recognized within deferred revenue on the condensed consolidated balance sheets, and are recognized as revenue when the product is received by the customer after the gift card has been tendered for payment. Based on historical experience, and to the extent there is no requirement to remit unclaimed card balances to government agencies under unclaimed property laws, an estimate of the gift card balances that will never be redeemed is recognized as revenue in proportion to gift cards which have been redeemed. While the Company will continue to honor all gift cards presented for payment, management may determine the likelihood of redemption to be remote for certain card balances due to, among other things, long periods of inactivity. The balance of unredeemed gift cards was $2.3 million and $3.1 million as of June 30, 2024 and December 31, 2023, respectively. The following table disaggregates the Company’s revenue by product: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Eyewear products $ 173,965 $ 156,680 $ 361,585 $ 319,027 Services and other 14,257 9,413 26,640 19,034 Total Revenue $ 188,222 $ 166,093 $ 388,225 $ 338,061 The following table disaggregates the Company’s revenue by channel: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 E-commerce $ 57,753 $ 55,329 $ 120,612 $ 117,081 Retail 130,469 110,764 267,613 220,980 Total Revenue $ 188,222 $ 166,093 $ 388,225 $ 338,061 Recently Issued Accounting Pronouncements In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting. The guidance requires additional disclosures of significant segment expense categories and the amount and description of other segment items beyond the significant segment expenses. The ASU also allows for the disclosure of multiple measures of a segment’s profit or loss for each reportable segment if the CODM utilizes more than one measure to assess performance and allocate resources. Lastly, the ASU clarifies that all of the disclosures required in the segments guidance, including disclosing a measure of segment profit or loss and reporting significant segment expenses and other segment items, apply to all public entities, including those with a single operating or reportable segment. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods in fiscal years beginning after December 15, 2024. The Company expects the adoption of the standard with the 2024 Form 10-K to result in additional disclosures related to a measure of profit or loss, significant segment expenses, and other segment items. In December 2023, the FASB issued ASU 2023-09, Income Taxes. The guidance requires public entities to annually disclose specific categories in the rate reconciliation and provide additional information for reconciling items that meet a quantitative threshold. The ASU is effective for annual periods beginning after December 15, 2024. The Company expects the adoption of the standard within the 2025 Form 10-K to result in additional disclosures related to the rate reconciliation. Recently Adopted Accounting Pronouncements There are no recently adopted accounting pronouncements that have a material impact on the Company’s condensed consolidated financial statements.

Property and Equipment, Net

Property and Equipment, Net	6 Months Ended
	Jun. 30, 2024
Property, Plant and Equipment [Abstract]
Property and Equipment, Net	Property and Equipment, Net Property and equipment, net consists of the following: June 30, December 31, 2023 Leasehold improvements $ 174,890 $ 161,720 Computers and equipment 40,996 35,738 Furniture and fixtures 32,409 29,405 Capitalized software 28,281 23,750 Construction in process 22,608 17,555 299,184 268,168 Less: accumulated depreciation and amortization (136,448) (115,836) Property and equipment, net $ 162,736 $ 152,332 Depreciation and amortization expense consists of the following: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Cost of goods sold $ 7,374 $ 6,340 $ 14,475 $ 12,370 Selling, general, and administrative expenses 3,747 2,943 7,229 6,054 Total depreciation and amortization expense $ 11,121 $ 9,283 $ 21,704 $ 18,424

Accrued Expenses

Accrued Expenses	6 Months Ended
	Jun. 30, 2024
Payables and Accruals [Abstract]
Accrued Expenses	Accrued Expenses Accrued expenses consists of the following: June 30, December 31, 2023 Product and fulfillment $ 13,642 $ 8,786 Payroll related 9,550 13,575 Marketing 6,504 6,619 Legal 3,935 1,638 Charitable contributions 2,907 4,458 Professional services 2,600 2,159 Retail related 1,975 2,800 Other 6,623 6,285 Total accrued expenses $ 47,736 $ 46,320

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2024
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company uses the estimated annual effective tax rate approach to determine the provision for income taxes. The estimated annual effective tax rate is based on forecasted annual results and may fluctuate due to differences between the forecasted and actual results, changes in valuation allowances, and any other transactions that result in differing tax treatment. The Company's income tax expense and effective tax rate were as follows: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Income tax expense $ 373 $ (24) $ 481 $ 237 Effective tax rate (5.8) % 0.2 % (5.4) % (0.9) % The Company’s estimated annual effective income tax rate for the three and six months ended June 30, 2024 and 2023 differed from the statutory rate primarily due to the valuation allowance, non-deductible executive compensation, stock-based compensation, differences in tax rates in state and foreign jurisdictions, and other permanent items.

Redeemable Convertible Preferre

Redeemable Convertible Preferred Stock and Stockholders’ Equity	6 Months Ended
	Jun. 30, 2024
Equity [Abstract]
Redeemable Convertible Preferred Stock and Stockholders’ Equity	Stockholders’ Equity Common Stock As of June 30, 2024, the Company’s Twelfth Amended and Restated Certificate of Incorporation authorizes the issuance of up to 1,050,000,000 shares of common stock, par value of $0.0001 per share, of which 750,000,000 shares are designated Class A common stock, 150,000,000 shares are designated Class B common stock, and 150,000,000 shares are designated Class C common stock. Class A common stock receives one vote per share, Class B common stock receives ten votes per share, and Class C common stock has no voting rights except as required by Delaware law. Common stock is not redeemable at the option of the holder. As of June 30, 2024, outstanding shares of common stock as well as shares of common stock attributable to stock options, restricted stock units (“RSUs”), and performance stock units (“PSUs”) were as follows: Class A Class B Class C Common stock outstanding 100,511,157 19,099,763 — Employee stock options – outstanding 301,647 1,501,750 — Restricted stock units – outstanding 3,051,964 1,532,264 — Performance stock units – outstanding — 4,397,688 — Employee stock plans – available 30,159,039 — — Shares of Class A common stock issuable upon conversion of all outstanding Class B common stock, options, RSUs, and PSUs 26,531,465 — — Total common stock – outstanding or issuable 160,555,272 26,531,465 — Shares authorized 750,000,000 150,000,000 150,000,000 Common stock authorized and available for future issuance 589,444,728 123,468,535 150,000,000 Preferred Stock As of June 30, 2024, 50,000,000 preferred shares were authorized and no shares were outstanding.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2024
Share-Based Payment Arrangement [Abstract]
Stock-Based Compensation	Stock-Based Compensation Plans and Awards The Company’s eligible employees participate in various stock-based compensation plans, which are provided by the Company directly. In August 2021, the board of directors approved the 2021 Incentive Award Plan (the “2021 Plan”), which became effective on September 28, 2021. The Company no longer grants equity awards under its 2010 Equity Incentive Plan, 2011 Stock Plan, 2012 Milestone Stock Plan, or 2019 Founder Stock Plan (collectively, the “Prior Plans”), and shares available for issuance under the Prior Plans were made available for issuance under the 2021 Plan. The shares authorized under the 2021 Plan will increase annually, beginning on January 1, 2022 and continuing through 2031, by the lesser of (i) 5% of the outstanding common stock (on an as converted basis) as of the last day of the immediately preceding fiscal year, or (ii) a smaller amount as agreed by the board of directors. Awards granted under the 2021 Plan generally vest over four years. In addition, the shares authorized under the 2021 Plan will increase, among other things, to the extent that an award (including an award under the Prior Plans) terminates, expires, or lapses for any reason or an award is settled in cash without the delivery of shares. In February 2024, the board of directors approved an annual increase of 5,892,462 shares to the shares authorized for issuance under the 2021 Plan, and 24,954,436 shares remained available for future issuance pursuant to new awards as of June 30, 2024. Employee Stock Purchase Plan In August 2021, the board of directors adopted and the stockholders of the Company approved the 2021 Employee Stock Purchase Plan (the “ESPP”). The shares authorized under the ESPP will be increased annually on the first day of each fiscal year beginning in 2022 and ending in 2031, by an amount equal to the lesser of (i) 1% of the shares of the Company’s common stock outstanding (on an as converted basis) on the last day of the immediately preceding fiscal year and (ii) such number of shares of common stock as determined by the board of directors; provided, however, no more than 16,614,772 shares of common stock may be issued under the ESPP. At December 31, 2023, there were 4,136,058 shares available for future issuance pursuant to ESPP purchases. In February 2024, the board of directors approved an annual increase of 1,178,492 shares to the ESPP, and there were 5,204,603 shares available for future issuance pursuant to ESPP purchases as of June 30, 2024. Stock-based Compensation Expense Stock-based compensation expense consisted of the following: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Cost of goods sold $ 271 $ 290 $ 509 $ 484 Selling, general, and administrative expenses 13,560 17,722 27,370 37,308 Total stock-based compensation expense $ 13,831 $ 18,012 $ 27,879 $ 37,792 Stock-based compensation expense for the three and six months ended June 30, 2024 primarily consists of $6.2 million and $13.5 million related to the 2021 Founders Grant, as described below, respectively, and $6.3 million and $11.3 million in connection with RSUs, respectively. Stock-based compensation expense for the three and six months ended June 30, 2023 primarily consists of $11.2 million and $25.0 million related to the 2021 Founders Grant, respectively, and $5.1 million and $9.7 million in connection with RSUs. Stock Options The fair value for stock options granted under the Plans are estimated at the date of grant using the Black-Scholes option-pricing model. No stock options were granted in 2024 or 2023. A summary of stock option activity for the six months ended June 30, 2024 is as follows: Number of Weighted Weighted Aggregate Balance at December 31, 2023 2,156,273 $ 7.20 4.0 $ 16,541 Granted — — Exercised (352,876) 11.57 1,585 Forfeited — — Balance at June 30, 2024 1,803,397 $ 6.34 3.3 $ 18,289 Exercisable as of June 30, 2024 1,803,397 $ 6.34 3.3 $ 18,289 Vested as of June 30, 2024 1,691,819 5.46 3.1 Unvested as of June 30, 2024 111,578 $ 19.70 7.5 The total value of unrecognized stock compensation expense related to unvested options granted under the Plans was $1.1 million as of June 30, 2024, and is expected to be recognized over 0.3 years. Restricted Stock Units and Performance Stock Units A summary of RSU activity for the six months ended June 30, 2024 is as follows: Number of Restricted Stock Units Weighted Average Grant Date Fair Value Unvested as of December 31, 2023 3,050,028 $ 24.05 Granted 1,871,378 13.96 Forfeited (145,136) 18.14 Released (1,071,788) 20.48 Vested and not yet released (63,986) 17.89 Unvested as of June 30, 2024 3,640,496 $ 20.26 The total value of unrecognized stock compensation expense related to outstanding RSUs and PSUs granted under the Plans was $44.1 million and $6.6 million as of June 30, 2024, respectively, which is expected to be recognized over a weighted-average period of 1.5 years and 0.3 years, respectively. No PSUs were granted, forfeited, released or vested during the six months ended June 30, 2024. As of June 30, 2024 there were 943,732 RSUs that were vested but not yet released, mainly related to the June 2021 grant to the co-CEOs described below. RSUs granted prior to the Company’s direct listing vest upon the satisfaction of both a service and a performance condition, which was satisfied upon the direct listing on September 20, 2021, and the Company recognizes stock-based compensation expense using the accelerated attribution method as the service conditions are met. RSUs issued after the direct listing only contain a service condition and are recognized on a straight line basis over the vesting period. In June 2021, the Company granted 4,397,688 PSUs and 1,884,724 RSUs to the co-CEOs, in the aggregate, under the 2019 Founder Stock Plan (the “Founders Grant”). The PSUs vest upon two performance conditions, (i) a qualified public offering, which was satisfied upon the Company’s direct listing on September 20, 2021 (the “Direct Listing”), and (ii) the price of the Company’s Class A common stock reaching stock price hurdles over a period of ten years, as defined by the terms of the award. The PSUs are subject to the co-CEOs’ continued employment with the Company through the applicable vesting date. If the PSUs vest, the Company will deliver one share of Class B common stock on the settlement date. Unvested PSUs expire in ten years from the date of grant. The terms of the PSUs granted are described further below. The PSUs are divided into eight substantially equal tranches, each one vesting on the date the 90-day trailing volume-weighted average trading price of the Company’s Class A common stock exceeds the stock price hurdle, as set forth in the table below, provided that no PSUs may vest prior to the six month anniversary of the Direct Listing. Tranche Number of PSUs Stock Price Hurdle 1 549,712 $ 47.75 2 549,710 $ 55.71 3 549,712 $ 63.67 4 549,710 $ 71.63 5 549,712 $ 79.59 6 549,710 $ 87.55 7 549,712 $ 95.50 8 549,710 $ 103.46 The Company used a Monte Carlo simulation to calculate the grant-date fair value of the PSUs of $128.8 million. Since the PSUs contain a performance and market condition, the stock-based compensation expense will be recognized when it becomes probable that the performance condition will be met using the accelerated attribution method. Stock-based compensation will be recognized over the period of time the market condition for each tranche is expected to be met (i.e., the derived service period). The performance condition was satisfied at September 29, 2021 by the Direct Listing, and the Company began recording expense at that time. The Founders Grant RSUs will vest in equal monthly installments over a period of five years, subject to the co-CEOs’ continued employment with the Company through the applicable vesting date and conditioned upon the completion of a qualified public offering. The grant-date fair value of the RSUs is $66.9 million. Since the RSUs contain a performance condition, stock-based compensation expense is recognized using the accelerated attribution method when it becomes probable that the performance condition will be met. The performance condition was satisfied on September 29, 2021 by the Direct Listing, and the Company began recording expense at that time. Shares underlying vested PSUs and RSUs will be issued to the CEOs on a specified quarterly date following the second anniversary of the vesting date, except for an amount necessary to cover any taxes due in connection with the vesting, which will be withheld or sold to cover, or issued to offset, such taxes. Any RSUs or PSUs subject to the award that have not vested by the tenth anniversary of the grant date will be forfeited.

Leases

Leases	6 Months Ended
	Jun. 30, 2024
Leases [Abstract]
Leases	Leases The Company leases retail, office, optical laboratory, and distribution center space under operating leases from third parties. As of June 30, 2024, the total lease terms of the various leases range from 1 to 11 years. The leases generally contain renewal options and rent escalation clauses, and from time to time include contingent rent provisions. Renewal options are exercisable at the Company’s sole discretion and are included in the lease term if they are reasonably certain to be exercised. In general it is not reasonably certain that lease renewals will be exercised at lease commencement and as such, lease renewals are not included in the lease term. The following table details the Company’s net lease expense: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Operating lease expense $ 8,485 $ 7,495 $ 16,576 $ 14,931 Variable lease expense (1) 138 505 322 1,248 Net lease expense $ 8,623 $ 8,000 $ 16,898 $ 16,179 (1) Variable lease expense primarily consists of contingent rent. The following table presents the future maturity of lease liabilities: Operating Leases (1) 2024 $ 18,952 2025 38,041 2026 42,213 2027 39,568 2028 34,154 Thereafter 53,358 Future minimum lease payments 226,286 Impact of discounting 34,041 Present value of lease payments $ 192,245 (1) The years 2024 and 2025 both include $4.8 million of expected cash inflows from TIAs. Operating lease payments exclude $4.8 million of legally binding minimum lease payments related to executed leases for which the Company has not yet taken possession of the leased premises. The following table presents other relevant lease information: June 30, Weighted average remaining lease term (years) 5.6 Weighted average discount rate 5.3 %

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2024
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies 2022 Credit Facility In September 2022, the Company and its wholly owned subsidiary, Warby Parker Retail, Inc., (together, the "Borrowers") entered into a Credit Agreement with Comerica Bank and the lenders from time to time party thereto (as amended, the "2022 Credit Facility"). The 2022 Credit Facility consisted of a $100.0 million five-year revolving credit facility with sublimits of $15.0 million for letters of credit and $5.0 million for swing line notes. 2024 Credit Facility In February 2024, the Borrowers entered into a Credit Agreement with JPMorgan Chase Bank, N.A. and the lenders party thereto (the “2024 Credit Facility”), which replaced the 2022 Credit Facility. The 2024 Credit Facility consists of a $120.0 million five-year revolving credit facility with sublimits of $15.0 million for letters of credit and $10.0 million for swingline loans. The 2024 Credit Facility includes an option for the Company to increase the available amount by up to $55.0 million, for a maximum borrowing capacity of $175.0 million, subject to the consent of the lenders funding the increase and certain other conditions. Proceeds of the borrowings under the 2024 Credit Facility are expected to be used for working capital and other general corporate purposes in the ordinary course of business. The Company is permitted to repay borrowings under the 2024 Credit Facility at any time, in whole or in part, without penalty. Under the 2024 Credit Facility, borrowings under the revolving credit facility bear interest on the principal amount outstanding, at the Company’s election, at (a) the greater of the prime rate (as defined in the credit agreement) or 2.5%, plus an applicable margin of 0.65% to 0.90% depending on the Company’s leverage ratio or (b) adjusted SOFR (as defined in the credit agreement), plus an applicable margin of 1.65% to 1.90% depending on the Company’s leverage ratio. The Company is charged an unused commitment fee of 0.20% to 0.25% depending on the Company's leverage ratio. Both interest on principal and commitment fees are included in interest expense on the condensed consolidated statements of operations. The 2024 Credit Facility contains a financial maintenance covenant which only applies while total borrowings exceed $30.0 million, which requires the Company to maintain a maximum consolidated senior net leverage ratio of 3:1. The 2024 Credit Facility contains customary affirmative and negative covenants, including limits on indebtedness, liens, capital expenditures, asset sales, investments and restricted payments, in each case subject to negotiated exceptions and baskets, as well as customary representations, warranties and event of default provisions. The obligations of the Borrowers under the 2024 Credit Agreement are secured by first-lien security interests in substantially all of the assets of the Borrowers. In addition, the obligations are required to be guaranteed in the future by certain additional domestic subsidiaries of the Company. Other than letters of credit outstanding of $4.7 million and $4.3 million as of June 30, 2024 and December 31, 2023, respectively, used to secure certain leases in lieu of a cash security deposit, there were no other borrowings outstanding. Litigation During the normal course of business, the Company may become subject to legal proceedings, claims and litigation. Such matters are subject to many uncertainties and outcomes are not predictable with assurance. Accruals for loss contingencies are recorded when a loss is probable, and the amount of such loss can be reasonably estimated. On March 13, 2023, a former employee, on behalf of herself and a proposed class of California hourly employees, filed a complaint against the Company, alleging violations of various California wage and hour laws, seeking wages, statutory penalties and attorneys’ fees. The matter (captioned Pham v. Warby Parker Inc., et al., Case No. 5:23-cv-01884-NC; N.D. Cal. ) is currently pending in the United States District Court for the Northern District of California. On June 16, 2023, another former employee filed a related representative action (captioned Chery v. Warby Parker Inc., et al., Case No. 23CV417693; Cal. Super. Ct. ) in the Santa Clara County Superior Court of California pursuant to California’s Private Attorneys General Act, asserting largely overlapping claims, seeking civil penalties on behalf of the state. Since that time, one additional follow on Private Attorneys General Act lawsuit was filed (captioned Jacobsen, et al. v. Warby Park Inc., et al. , Case No. 23CV421588; Cal. Super. Ct. ). Following a voluntary mediation in April 2024, the Company reached an agreement in principle with the plaintiffs to consolidate and settle the foregoing matters for a total of $1.95 million. The parties are currently negotiating the terms of a long form settlement agreement, which they expect to be finalized in the third quarter of 2024, after which it will be submitted to the court for preliminary approval. If the parties cannot reach an accord on the terms of the long form agreement, or the court does not approve the settlement, the litigation will continue. The Company has accrued for the full amount of the proposed settlement. In addition to the matters described above, as of June 30, 2024, the Company is currently involved in other legal proceedings which, in the opinion of the Company’s management, will not materially affect the Company’s financial position, results of operations, or cash flows should such litigation be resolved unfavorably.

Net Loss Per Share Attributable

Net Loss Per Share Attributable to Common Stockholders	6 Months Ended
	Jun. 30, 2024
Earnings Per Share [Abstract]
Net Loss Per Share Attributable to Common Stockholders	Net Loss Per Share Attributable to Common Stockholders The computation of net loss per share attributable to common stockholders is as follows: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Numerator Net loss attributable to common stockholders - basic and diluted $ (6,762) $ (15,925) $ (9,441) $ (26,737) Denominator Weighted average shares, basic and diluted 120,086,495 116,792,223 119,615,015 116,477,573 Earnings Per Share Net loss per share attributable to common stockholders, basic and diluted $ (0.06) $ (0.14) $ (0.08) $ (0.23) The following potentially dilutive shares were excluded from the computation of diluted net loss per share because including them would have been antidilutive: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Stock options to purchase common stock 1,803,397 2,374,295 1,803,397 2,374,295 Unvested restricted stock units 3,640,496 3,849,323 3,640,496 3,849,323 Unvested performance stock units 4,397,688 4,397,688 4,397,688 4,397,688 ESPP purchase rights 362,117 414,306 362,117 414,306

Related-Party Transactions

Related-Party Transactions	6 Months Ended
	Jun. 30, 2024
Related Party Transactions [Abstract]
Related-Party Transactions	Related-Party Transactions As a private company, the Company issued secured promissory notes collateralized by the stock purchased by certain Company executives in relation to the exercise of employee stock options. As the promissory notes are secured by the underlying shares they have been treated as non-recourse notes in the condensed consolidated financial statements. The promissory notes were issued with a term of 8.5 years and an interest rate equal to the minimum applicable federal mid-term rate in the month the loan was issued. The secured promissory notes were recorded as a reduction to equity offsetting the amount in additional paid-in-capital related to the exercised options funded by the notes. The loans had a balance of $2.5 million at both June 30, 2024 and December 31, 2023. No loans are outstanding with any of our named executive officers, and no new promissory notes were issued during the six months ended June 30, 2024 and 2023. The loans outstanding had a weighted average remaining term of 5.1 years at June 30, 2024. During both the three and six months ended June 30, 2024 and 2023, the outstanding loan balance increased by an immaterial amount due to interest.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2024
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events Lease Obligations Subsequent to June 30, 2024, the Company entered into 4 operating lease agreements and extended the terms of 4 existing operating lease agreements for retail space in the U.S., with terms ranging from 5 to 10 years. Total commitments under the new agreements are approximately $8.9 million, payable over the terms of the related agreements.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2024
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The Company’s unaudited condensed consolidated financial statements have been prepared and are presented in accordance with United States generally accepted accounting principles (“U.S. GAAP”). Certain information and disclosures normally included in consolidated financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the applicable rules and regulations of the Securities and Exchange Commission. Accordingly, these condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements for the year ended December 31, 2023 and the related notes. The December 31, 2023 condensed consolidated balance sheet was derived from the Company’s audited consolidated financial statements as of that date. The unaudited interim condensed consolidated financial statements include, in the opinion of management, all adjustments, consisting of normal and recurring items, necessary for the fair presentation of the condensed consolidated financial statements. There have been no significant changes in accounting policies during the six months ended June 30, 2024 from those disclosed in the audited consolidated financial statements for the year ended December 31, 2023 and the related notes.
Principles of Consolidation	Principles of Consolidation
Use of Estimates	Use of Estimates The Company prepares its condensed consolidated financial statements in conformity with U.S. GAAP. These principles require management to make certain estimates and assumptions during the preparation of its condensed consolidated financial statements and accompanying notes. Actual results could differ from those estimates. Management’s estimates are based on historical experience and on various other market-specific and relevant assumptions that management believes to be reasonable under the circumstances. Significant estimates underlying the accompanying condensed consolidated financial statements include, but are not limited to (i) the valuation of inventory, including the determination of the net realizable value, (ii) the useful lives and recoverability of long-lived assets, (iii) the determination of deferred income taxes, including related valuation allowances, and (iv) assumptions related to the valuation of common stock and determination of stock-based compensation.
Segment Information	Segment Information Operating segments are defined as components of an enterprise for which separate financial information is evaluated regularly by the chief operating decision maker (“CODM”), who makes decisions about allocating resources and assessing performance. The Company defines its CODM as its co-Chief Executive Officers. The Company has identified one operating segment. When evaluating the Company’s performance and allocating resources, the CODM relies on financial information prepared on a consolidated basis.
Concentration of Credit Risk and Major Suppliers	Concentration of Credit Risk and Major Suppliers
Cash and Cash Equivalents	Cash and Cash Equivalents
Inventory	Inventory is stated at the lower of cost or net realizable value, with cost determined on a weighted average cost basis. The Company continuously evaluates the composition of its inventory and makes adjustments when the cost of inventory is not expected to be fully recoverable. The estimated net realizable value of inventory is determined based on an analysis of historical sales trends, the impact of market trends and economic conditions, a forecast of future demand, and the estimated timing of product retirements. Adjustments for damaged inventory are recorded primarily based on actual damaged inventory. Adjustments for inventory shrink, representing the physical loss of inventory, include estimates based on historical experience, and are adjusted based upon physical inventory counts. However, unforeseen adverse future economic and market conditions could result in actual results differing materially from estimates.
Revenue Recognition	Revenue Recognition The Company primarily derives revenue from the sales of eyewear products, optical services and accessories. The Company sells products and services through its stores, website, and mobile apps. Revenue generated from eyewear products includes the sales of prescription and non-prescription optical glasses and sunglasses and contact lenses. Revenue generated from services and other consists of in-person eye exams and prescriptions issued through the Virtual Vision Test app, eyewear accessories, lens replacements, and customer charges for optional expedited shipping. All revenue is reported net of sales taxes collected from customers on behalf of taxing authorities and variable consideration, including returns and discounts. Revenue is recognized when performance obligations are satisfied through either the transfer of control of promised goods or the rendering of services to the Company's customers. Control transfers once a customer has the ability to direct the use of, and obtain substantially all of the benefits from, the product, which is generally determined to be the point of delivery or upon rendering of the service in the case of eye exams. This includes the transfer of legal title, physical possession, the risks and rewards of ownership, and customer acceptance. In the normal course of business, payment may be collected from the customer prior to recognizing revenue and such cash receipts are included in deferred revenue until the order is delivered to the customer. Substantially all of the deferred revenue included on the balance sheet at December 31, 2023 was recognized as revenue in the first quarter of 2024 and the Company expects substantially all of the deferred revenue at June 30, 2024 to be recognized as revenue in the third quarter of 2024. The Company’s sales policy allows customers to return merchandise for any reason within 30 days of receipt, generally for an exchange or refund. An allowance is recorded within other current liabilities on the condensed consolidated balance sheets for expected future customer returns which the Company estimates using historical return patterns and its expectation of future returns. Any difference between the actual return and previous estimates is adjusted in the period in which such returns occur. Historical return estimates have not materially differed from actual returns in any of the periods presented. The allowance for returns was $1.9 million and $2.2 million at June 30, 2024 and December 31, 2023, respectively, and is included in other current liabilities on the condensed consolidated balance sheets. The Company offers non-expiring gift cards to its customers. Proceeds from the sale of gift cards are initially deferred and recognized within deferred revenue on the condensed consolidated balance sheets, and are recognized as revenue when the product is received by the customer after the gift card has been tendered for payment. Based on historical experience, and to the extent there is no requirement to remit unclaimed card balances to government agencies under unclaimed property laws, an estimate of the gift card balances that will never be redeemed is recognized as revenue in proportion to gift cards which have been redeemed. While the Company will continue to honor all gift cards presented for payment, management may determine the likelihood of redemption to be remote for certain card balances due to, among other things, long periods of inactivity. The balance of unredeemed gift cards was $2.3 million and $3.1 million as of June 30, 2024 and December 31, 2023, respectively.
Leases	Leases The Company records a lease liability and corresponding right-of-use (“ROU”) asset at lease commencement. The lease liability is measured at the present value of non-cancellable future lease payments over the lease term, minus expected tenant improvement allowances (“TIAs”) determined to be lease incentives. The ROU asset is measured at the lease liability amount, adjusted for prepaid lease payments, TIAs expected to be received, and any initial direct costs. When calculating the present value of future lease payments, the Company utilizes an incremental borrowing rate, which incorporates several factors including the lease term, U.S. Treasury bond rates, financial ratios related to earnings and cash flows, and other comparisons with similarly sized companies. Many of the Company’s leases contain TIA provisions, which represent contractual amounts receivable from a lessor for improvements to the leased property made by the Company which are determined to represent lease incentives. The Company considers the collection of TIAs to be reasonably certain, and includes them in the present value calculation when determining the lease liabilities for new leases. The benefit from a TIA is amortized through rent expense over the term of the related lease. The recognition of rent expense for an operating lease commences on the date at which control and possession of the property is obtained. Rent expense is calculated by recognizing total fixed minimum rental payments, net of any TIAs or other rental concessions, on a straight-line basis over the lease term. Some of the Company’s retail leases contain percent of sales rent or similar provisions, which is recognized as incurred as variable rent. Retail, optical laboratory, and distribution center rent expense is recognized as a component of cost of goods sold and all other rent expense is recognized as a component of selling, general, and administrative expenses.
Recently Adopted and Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting. The guidance requires additional disclosures of significant segment expense categories and the amount and description of other segment items beyond the significant segment expenses. The ASU also allows for the disclosure of multiple measures of a segment’s profit or loss for each reportable segment if the CODM utilizes more than one measure to assess performance and allocate resources. Lastly, the ASU clarifies that all of the disclosures required in the segments guidance, including disclosing a measure of segment profit or loss and reporting significant segment expenses and other segment items, apply to all public entities, including those with a single operating or reportable segment. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods in fiscal years beginning after December 15, 2024. The Company expects the adoption of the standard with the 2024 Form 10-K to result in additional disclosures related to a measure of profit or loss, significant segment expenses, and other segment items. In December 2023, the FASB issued ASU 2023-09, Income Taxes. The guidance requires public entities to annually disclose specific categories in the rate reconciliation and provide additional information for reconciling items that meet a quantitative threshold. The ASU is effective for annual periods beginning after December 15, 2024. The Company expects the adoption of the standard within the 2025 Form 10-K to result in additional disclosures related to the rate reconciliation. Recently Adopted Accounting Pronouncements There are no recently adopted accounting pronouncements that have a material impact on the Company’s condensed consolidated financial statements.
Research, Development, and Computer Software, Policy	Cloud-Based Software Implementation Costs The Company has entered into cloud-based software hosting arrangements for which it incurs implementation costs. Certain costs incurred during the application development stage are capitalized and included within prepaid expenses and other current assets or other assets, depending on the long or short-term nature of such costs, in line with the Company's policy on the accounting for prepaid software hosting arrangements. Costs incurred during the preliminary project stage and post-implementation stage are expensed as incurred. Capitalized cloud-based software implementation costs are amortized, beginning on the date the related software or module is ready for its intended use, on a straight-line basis over the remaining term of the hosting arrangement as a component of selling, general, and administrative expenses, the same line item as the expense for the associated hosting arrangement.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2024
Accounting Policies [Abstract]
Disaggregation of Revenue	The following table disaggregates the Company’s revenue by product: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Eyewear products $ 173,965 $ 156,680 $ 361,585 $ 319,027 Services and other 14,257 9,413 26,640 19,034 Total Revenue $ 188,222 $ 166,093 $ 388,225 $ 338,061 The following table disaggregates the Company’s revenue by channel: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 E-commerce $ 57,753 $ 55,329 $ 120,612 $ 117,081 Retail 130,469 110,764 267,613 220,980 Total Revenue $ 188,222 $ 166,093 $ 388,225 $ 338,061

Property and Equipment, Net (Ta

Property and Equipment, Net (Tables)	6 Months Ended
	Jun. 30, 2024
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment	Property and equipment, net consists of the following: June 30, December 31, 2023 Leasehold improvements $ 174,890 $ 161,720 Computers and equipment 40,996 35,738 Furniture and fixtures 32,409 29,405 Capitalized software 28,281 23,750 Construction in process 22,608 17,555 299,184 268,168 Less: accumulated depreciation and amortization (136,448) (115,836) Property and equipment, net $ 162,736 $ 152,332 Depreciation and amortization expense consists of the following: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Cost of goods sold $ 7,374 $ 6,340 $ 14,475 $ 12,370 Selling, general, and administrative expenses 3,747 2,943 7,229 6,054 Total depreciation and amortization expense $ 11,121 $ 9,283 $ 21,704 $ 18,424

Accrued Expenses (Tables)

Accrued Expenses (Tables)	6 Months Ended
	Jun. 30, 2024
Payables and Accruals [Abstract]
Schedule of Accrued Liabilities	Accrued expenses consists of the following: June 30, December 31, 2023 Product and fulfillment $ 13,642 $ 8,786 Payroll related 9,550 13,575 Marketing 6,504 6,619 Legal 3,935 1,638 Charitable contributions 2,907 4,458 Professional services 2,600 2,159 Retail related 1,975 2,800 Other 6,623 6,285 Total accrued expenses $ 47,736 $ 46,320

Income Taxes (Tables)

Income Taxes (Tables)	6 Months Ended
	Jun. 30, 2024
Income Tax Disclosure [Abstract]
Summary of Income Tax Expense (Benefit)	The Company's income tax expense and effective tax rate were as follows: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Income tax expense $ 373 $ (24) $ 481 $ 237 Effective tax rate (5.8) % 0.2 % (5.4) % (0.9) %

Redeemable Convertible Prefer_2

Redeemable Convertible Preferred Stock and Stockholders’ Equity (Tables)	6 Months Ended
	Jun. 30, 2024
Equity [Abstract]
Schedule of Stock by Class	As of June 30, 2024, outstanding shares of common stock as well as shares of common stock attributable to stock options, restricted stock units (“RSUs”), and performance stock units (“PSUs”) were as follows: Class A Class B Class C Common stock outstanding 100,511,157 19,099,763 — Employee stock options – outstanding 301,647 1,501,750 — Restricted stock units – outstanding 3,051,964 1,532,264 — Performance stock units – outstanding — 4,397,688 — Employee stock plans – available 30,159,039 — — Shares of Class A common stock issuable upon conversion of all outstanding Class B common stock, options, RSUs, and PSUs 26,531,465 — — Total common stock – outstanding or issuable 160,555,272 26,531,465 — Shares authorized 750,000,000 150,000,000 150,000,000 Common stock authorized and available for future issuance 589,444,728 123,468,535 150,000,000

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2024
Share-Based Payment Arrangement [Abstract]
Share-based Payment Arrangement, Expensed and Capitalized, Amount	Stock-based compensation expense consisted of the following: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Cost of goods sold $ 271 $ 290 $ 509 $ 484 Selling, general, and administrative expenses 13,560 17,722 27,370 37,308 Total stock-based compensation expense $ 13,831 $ 18,012 $ 27,879 $ 37,792
Share-based Payment Arrangement, Option, Activity	A summary of stock option activity for the six months ended June 30, 2024 is as follows: Number of Weighted Weighted Aggregate Balance at December 31, 2023 2,156,273 $ 7.20 4.0 $ 16,541 Granted — — Exercised (352,876) 11.57 1,585 Forfeited — — Balance at June 30, 2024 1,803,397 $ 6.34 3.3 $ 18,289 Exercisable as of June 30, 2024 1,803,397 $ 6.34 3.3 $ 18,289 Vested as of June 30, 2024 1,691,819 5.46 3.1 Unvested as of June 30, 2024 111,578 $ 19.70 7.5
Share-based Payment Arrangement, Restricted Stock Unit, Activity	A summary of RSU activity for the six months ended June 30, 2024 is as follows: Number of Restricted Stock Units Weighted Average Grant Date Fair Value Unvested as of December 31, 2023 3,050,028 $ 24.05 Granted 1,871,378 13.96 Forfeited (145,136) 18.14 Released (1,071,788) 20.48 Vested and not yet released (63,986) 17.89 Unvested as of June 30, 2024 3,640,496 $ 20.26
Schedule of Nonvested Performance-based Units Activity	The PSUs are divided into eight substantially equal tranches, each one vesting on the date the 90-day trailing volume-weighted average trading price of the Company’s Class A common stock exceeds the stock price hurdle, as set forth in the table below, provided that no PSUs may vest prior to the six month anniversary of the Direct Listing. Tranche Number of PSUs Stock Price Hurdle 1 549,712 $ 47.75 2 549,710 $ 55.71 3 549,712 $ 63.67 4 549,710 $ 71.63 5 549,712 $ 79.59 6 549,710 $ 87.55 7 549,712 $ 95.50 8 549,710 $ 103.46

Leases (Tables)

Leases (Tables)	6 Months Ended
	Jun. 30, 2024
Leases [Abstract]
Lease, Cost	The following table details the Company’s net lease expense: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Operating lease expense $ 8,485 $ 7,495 $ 16,576 $ 14,931 Variable lease expense (1) 138 505 322 1,248 Net lease expense $ 8,623 $ 8,000 $ 16,898 $ 16,179 (1) Variable lease expense primarily consists of contingent rent. The following table presents other relevant lease information: June 30, Weighted average remaining lease term (years) 5.6 Weighted average discount rate 5.3 %
Lessee, Operating Lease, Liability, Maturity	The following table presents the future maturity of lease liabilities: Operating Leases (1) 2024 $ 18,952 2025 38,041 2026 42,213 2027 39,568 2028 34,154 Thereafter 53,358 Future minimum lease payments 226,286 Impact of discounting 34,041 Present value of lease payments $ 192,245 (1) The years 2024 and 2025 both include $4.8 million of expected cash inflows from TIAs. Operating lease payments exclude $4.8 million of legally binding minimum lease payments related to executed leases for which the Company has not yet taken possession of the leased premises.

Net Loss Per Share Attributab_2

Net Loss Per Share Attributable to Common Stockholders (Tables)	6 Months Ended
	Jun. 30, 2024
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The computation of net loss per share attributable to common stockholders is as follows: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Numerator Net loss attributable to common stockholders - basic and diluted $ (6,762) $ (15,925) $ (9,441) $ (26,737) Denominator Weighted average shares, basic and diluted 120,086,495 116,792,223 119,615,015 116,477,573 Earnings Per Share Net loss per share attributable to common stockholders, basic and diluted $ (0.06) $ (0.14) $ (0.08) $ (0.23)
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	The following potentially dilutive shares were excluded from the computation of diluted net loss per share because including them would have been antidilutive: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Stock options to purchase common stock 1,803,397 2,374,295 1,803,397 2,374,295 Unvested restricted stock units 3,640,496 3,849,323 3,640,496 3,849,323 Unvested performance stock units 4,397,688 4,397,688 4,397,688 4,397,688 ESPP purchase rights 362,117 414,306 362,117 414,306

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Narrative (Details) $ in Thousands	1 Months Ended		3 Months Ended		6 Months Ended
	Mar. 31, 2024 USD ($)	Aug. 31, 2023 USD ($)	Jun. 30, 2024 USD ($)	Jun. 30, 2023 USD ($)	Jun. 30, 2024 USD ($) segment	Jun. 30, 2023 USD ($)	Dec. 31, 2023 USD ($)
Concentration Risk [Line Items]
Number of operating segments | segment					1
Uninsured cash balances			$ 236,700		$ 236,700		$ 215,600
Cash and cash equivalents			237,958		237,958		216,894
Finished goods			15,700		15,700		13,300
Component parts			37,700		37,700		48,900
Investment in optical equipment company	$ 2,000	$ 1,000			2,000	$ 0
Allowance for returns			1,900		1,900		2,200
Deferred Revenue, Unredeemed Gift Cards			2,300		2,300		3,100
Capitalized Computer Software, Gross			14,200		14,200		13,100
Capitalized Computer Software, Net			9,000		9,000		10,000
Capitalized Computer Software, Accumulated Amortization			5,200		5,200		3,100
Amortization of cloud-based software implementation costs			900	$ 500	2,008	826
Asset Impairment Charges				$ 300	421	$ 650
Prepaid Expenses and Other Current Assets
Concentration Risk [Line Items]
Capitalized Computer Software, Net			3,300		3,300		4,000
Other Noncurrent Assets
Concentration Risk [Line Items]
Capitalized Computer Software, Net			5,700		5,700		6,000
Credit Card Receivable
Concentration Risk [Line Items]
Cash and cash equivalents			$ 8,400		$ 8,400		$ 15,000
Cost of Goods and Service Benchmark | Supplier Concentration Risk | Top Five Inventory Suppliers
Concentration Risk [Line Items]
Concentration risk percent					19%	18%

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Disaggregation of Revenue [Line Items]
Net revenue	$ 188,222	$ 166,093	$ 388,225	$ 338,061
E-commerce
Disaggregation of Revenue [Line Items]
Net revenue	57,753	55,329	120,612	117,081
Retail
Disaggregation of Revenue [Line Items]
Net revenue	130,469	110,764	267,613	220,980
Eyewear products
Disaggregation of Revenue [Line Items]
Net revenue	173,965	156,680	361,585	319,027
Services and other
Disaggregation of Revenue [Line Items]
Net revenue	$ 14,257	$ 9,413	$ 26,640	$ 19,034

Property and Equipment, Net (De

Property and Equipment, Net (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 299,184		$ 299,184		$ 268,168
Less: accumulated depreciation and amortization	(136,448)		(136,448)		(115,836)
Property and equipment, net	162,736		162,736		152,332
Total depreciation and amortization expense			21,704	$ 18,424
Cost of goods sold
Property, Plant and Equipment [Line Items]
Total depreciation and amortization expense	7,374	$ 6,340	14,475	12,370
Selling, general, and administrative expenses
Property, Plant and Equipment [Line Items]
Total depreciation and amortization expense	3,747	2,943	7,229	6,054
Total depreciation and amortization expense
Property, Plant and Equipment [Line Items]
Total depreciation and amortization expense	11,121	$ 9,283	21,704	$ 18,424
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property and equipment, gross	174,890		174,890		161,720
Computers and equipment
Property, Plant and Equipment [Line Items]
Property and equipment, gross	40,996		40,996		35,738
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Property and equipment, gross	32,409		32,409		29,405
Capitalized software
Property, Plant and Equipment [Line Items]
Property and equipment, gross	28,281		28,281		23,750
Construction in process
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 22,608		$ 22,608		$ 17,555

Accrued Expenses (Details)

Accrued Expenses (Details) - USD ($) $ in Thousands	Jun. 30, 2024	Dec. 31, 2023
Payables and Accruals [Abstract]
Product and fulfillment	$ 13,642	$ 8,786
Payroll related	9,550	13,575
Marketing	6,504	6,619
Retail related	1,975	2,800
Charitable contributions	2,907	4,458
Professional services	2,600	2,159
Legal	3,935	1,638
Other	6,623	6,285
Total accrued expenses	$ 47,736	$ 46,320

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Income Tax Disclosure [Abstract]
Income tax expense	$ 373	$ (24)	$ 481	$ 237
Effective tax rate	(5.80%)	0.20%	(5.40%)	(0.90%)

Redeemable Convertible Prefer_3

Redeemable Convertible Preferred Stock and Stockholders’ Equity - Narrative (Details)	Jun. 30, 2024 vote $ / shares shares	Dec. 31, 2023 $ / shares shares
Temporary Equity [Line Items]
Common stock shares authorized	1,050,000,000
Common stock par value (in dollars per share) | $ / shares	$ 0.0001	$ 0.0001
Preferred stock shares authorized	50,000,000
Preferred stock shares outstanding	0
Series A common stock
Temporary Equity [Line Items]
Common stock shares authorized	750,000,000	750,000,000
Number of votes granted | vote	1
Series B common stock
Temporary Equity [Line Items]
Common stock shares authorized	150,000,000	150,000,000
Number of votes granted | vote	10
Series C common stock
Temporary Equity [Line Items]
Common stock shares authorized	150,000,000
Number of votes granted | vote	0

Redeemable Convertible Prefer_4

Redeemable Convertible Preferred Stock and Stockholders’ Equity - Common Stock Outstanding (Details) - shares	Jun. 30, 2024	Dec. 31, 2023
Class of Stock [Line Items]
Employee stock options - outstanding (in shares)	1,803,397	2,156,273
Authorized (in shares)	1,050,000,000
Employee Stock Purchase Plan
Class of Stock [Line Items]
Total common stock – outstanding or issuable on exercise of options (in shares)	5,204,603	4,136,058
Series A common stock
Class of Stock [Line Items]
Common stock outstanding (in shares)	100,511,157
Employee stock options - outstanding (in shares)	301,647
Shares of Class A common stock issuable upon conversion of all outstanding Class B common stock, options, RSUs, and PSUs (in shares)	26,531,465
Total common stock – outstanding or issuable on exercise of options (in shares)	160,555,272
Authorized (in shares)	750,000,000	750,000,000
Common stock available for future issuance (in shares)	589,444,728
Series A common stock | Restricted stock units (RSUs)
Class of Stock [Line Items]
Stock units - outstanding (in shares)	3,051,964
Series A common stock | Performance Stock Units
Class of Stock [Line Items]
Stock units - outstanding (in shares)	0
Series A common stock | Employee Stock Purchase Plan
Class of Stock [Line Items]
Employee stock options - available (in shares)	30,159,039
Series B common stock
Class of Stock [Line Items]
Common stock outstanding (in shares)	19,099,763
Employee stock options - outstanding (in shares)	1,501,750
Shares of Class A common stock issuable upon conversion of all outstanding Class B common stock, options, RSUs, and PSUs (in shares)	0
Total common stock – outstanding or issuable on exercise of options (in shares)	26,531,465
Authorized (in shares)	150,000,000	150,000,000
Common stock available for future issuance (in shares)	123,468,535
Series B common stock | Restricted stock units (RSUs)
Class of Stock [Line Items]
Stock units - outstanding (in shares)	1,532,264
Series B common stock | Performance Stock Units
Class of Stock [Line Items]
Stock units - outstanding (in shares)	4,397,688
Series B common stock | Employee Stock Purchase Plan
Class of Stock [Line Items]
Employee stock options - available (in shares)	0
Series C common stock
Class of Stock [Line Items]
Common stock outstanding (in shares)	0
Employee stock options - outstanding (in shares)	0
Shares of Class A common stock issuable upon conversion of all outstanding Class B common stock, options, RSUs, and PSUs (in shares)	0
Total common stock – outstanding or issuable on exercise of options (in shares)	0
Authorized (in shares)	150,000,000
Common stock available for future issuance (in shares)	150,000,000
Series C common stock | Restricted stock units (RSUs)
Class of Stock [Line Items]
Stock units - outstanding (in shares)	0
Series C common stock | Performance Stock Units
Class of Stock [Line Items]
Stock units - outstanding (in shares)	0
Series C common stock | Employee Stock Purchase Plan
Class of Stock [Line Items]
Employee stock options - available (in shares)	0

Stock-Based Compensation - Narr

Stock-Based Compensation - Narrative (Details) $ in Thousands	1 Months Ended				3 Months Ended		6 Months Ended
	Jan. 31, 2023 shares	Jan. 31, 2022 shares	Aug. 31, 2021 shares	Jun. 30, 2021 performanceCondition shares	Jun. 30, 2024 USD ($) shares	Jun. 30, 2023 USD ($)	Jun. 30, 2024 USD ($) shares	Jun. 30, 2023 USD ($)	Dec. 31, 2023 shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense | $					$ 13,831	$ 18,012	$ 27,879	$ 37,792
Series A common stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for future issuance					160,555,272		160,555,272
Series B common stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for future issuance					26,531,465		26,531,465
2021 Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Annual increase in shares authorized, percent			5%
Number of additional shares authorized	5,892,462
The Plans | Series A common stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options approved for grant (in shares)					24,954,436		24,954,436
The Founders Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense | $					$ 6,200	11,200	$ 13,500	25,000
Stock options or restricted stock units (RSUs) | 2021 Incentive Award Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period			4 years
Employee Stock Purchase Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of additional shares authorized		1,178,492	16,614,772
Shares available for future issuance					5,204,603		5,204,603		4,136,058
Stock options | The Plans
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Cost not yet recognized, outstanding awards | $					$ 1,100		$ 1,100
Non-vested award, cost not yet recognized, period for recognition							3 months 18 days
Restricted stock units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Units vested (in shares)							1,071,788
Granted (in shares)							1,871,378
Vested and not yet released (in shares)							63,986
Restricted stock units (RSUs) | 2021 Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense | $					6,300	$ 5,100	$ 11,300	$ 9,700
Restricted stock units (RSUs) | The Plans
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Non-vested award, cost not yet recognized, period for recognition							1 year 6 months
Cost not yet recognized, outstanding awards | $					44,100		$ 44,100
Restricted stock units (RSUs) | The Founders Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period				5 years
Granted (in shares)				1,884,724
Grant date fair value | $							$ 66,900
Vested and not yet released (in shares)							943,732
Performance stock units (PSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award expiration period				10 years
Number of performance conditions | performanceCondition				2
Terms of award, stock price hurdle period				10 years
Performance stock units (PSUs) | Monte Carlo simulation
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Grant date fair value | $							$ 128,800
Performance stock units (PSUs) | Series B common stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares receivable per share based payments award (in shares)				1
Performance stock units (PSUs) | The Plans
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Non-vested award, cost not yet recognized, period for recognition							3 months 18 days
Cost not yet recognized, outstanding awards | $					$ 6,600		$ 6,600
Performance stock units (PSUs) | The Founders Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)				4,397,688

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	$ 13,831	$ 18,012	$ 27,879	$ 37,792
Cost of goods sold
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	271	290	509	484
Selling, general, and administrative expenses
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	$ 13,560	$ 17,722	$ 27,370	$ 37,308

Stock-Based Compensation - Sche

Stock-Based Compensation - Schedule of Stock Option Activity (Details) $ / shares in Units, $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2024 USD ($) $ / shares shares	Dec. 31, 2023 USD ($) $ / shares shares
Number of Stock Options
Beginning balance (in shares) | shares	2,156,273
Options granted (in shares) | shares	0
Options exercised (in shares) | shares	(352,876)
Options forfeited (in shares) | shares	0
Ending balance (in shares) | shares	1,803,397	2,156,273
Exercisable at end of period (in shares) | shares	1,803,397
Vested at end of period (in shares) | shares	1,691,819
Exercisable at end of period (in shares) | shares	111,578
Weighted Average Exercise Price
Beginning balance (in dollars per share) | $ / shares	$ 7.20
Options granted (in dollars per share) | $ / shares	0
Options exercised (in dollars per share) | $ / shares	11.57
Options forfeited (in dollars per share) | $ / shares	0
Ending balance (in dollars per share) | $ / shares	6.34	$ 7.20
Exercisable at end of period (in dollars per share) | $ / shares	6.34
Vested at end of period (in dollars per share) | $ / shares	5.46
Unvested at end of period (in dollars per share) | $ / shares	$ 19.70
Weighted average contractual term (years)
Weighted average contractual term	3 years 3 months 18 days	4 years
Exercisable at end of period	3 years 3 months 18 days
Vested at end of period	3 years 1 month 6 days
Unvested at end of period	7 years 6 months
Aggregate intrinsic value
Beginning balance | $	$ 16,541
Exercised | $	1,585
Ending balance | $	18,289	$ 16,541
Exercisable at end of period | $	$ 18,289

Stock-Based Compensation - Sc_2

Stock-Based Compensation - Schedule of RSU Activity (Details) - Restricted stock units (RSUs)	6 Months Ended
	Jun. 30, 2024 $ / shares shares
Number of Restricted Stock Units
Unvested beginning balance (in shares) | shares	3,050,028
Granted (in shares) | shares	1,871,378
Forfeited (in shares) | shares	(145,136)
Released (in shares) | shares	(1,071,788)
Vested and not yet released (in shares) | shares	(63,986)
Unvested ending balance (in shares) | shares	3,640,496
Weighted Average Grant Date Fair Value
Unvested beginning balance (in dollars per share) | $ / shares	$ 24.05
Granted (in dollars per share) | $ / shares	13.96
Forfeited (in dollars per share) | $ / shares	18.14
Released (in dollars per share) | $ / shares	20.48
Vested and not yet released (in dollars per share) | $ / shares	17.89
Unvested ending balance (in dollars per share) | $ / shares	$ 20.26

Stock-Based Compensation - Sc_3

Stock-Based Compensation - Schedule of PSUs (Details) - Unvested performance stock units	Jun. 30, 2024 $ / shares shares
1
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of PSUs (in shares) | shares	549,712
Stock price hurdle (in dollars per share) | $ / shares	$ 47.75
2
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of PSUs (in shares) | shares	549,710
Stock price hurdle (in dollars per share) | $ / shares	$ 55.71
3
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of PSUs (in shares) | shares	549,712
Stock price hurdle (in dollars per share) | $ / shares	$ 63.67
4
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of PSUs (in shares) | shares	549,710
Stock price hurdle (in dollars per share) | $ / shares	$ 71.63
5
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of PSUs (in shares) | shares	549,712
Stock price hurdle (in dollars per share) | $ / shares	$ 79.59
6
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of PSUs (in shares) | shares	549,710
Stock price hurdle (in dollars per share) | $ / shares	$ 87.55
7
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of PSUs (in shares) | shares	549,712
Stock price hurdle (in dollars per share) | $ / shares	$ 95.50
8
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of PSUs (in shares) | shares	549,710
Stock price hurdle (in dollars per share) | $ / shares	$ 103.46

Leases - Narrative (Details)

Leases - Narrative (Details)	Jun. 30, 2024
Minimum
Lessee, Lease, Description [Line Items]
Operating lease term period	1 year
Maximum
Lessee, Lease, Description [Line Items]
Operating lease term period	11 years

Leases - Lease Cost (Details)

Leases - Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Leases [Abstract]
Operating lease expense	$ 8,485	$ 7,495	$ 16,576	$ 14,931
Variable lease expense(1)	138	505	322	1,248
Net lease expense	$ 8,623	$ 8,000	$ 16,898	$ 16,179

Leases - Future Minimum Operati

Leases - Future Minimum Operating Lease Payment (Details) $ in Thousands	Jun. 30, 2024 USD ($)
Leases [Abstract]
2024	$ 18,952
2025	38,041
2026	42,213
2027	39,568
2028	34,154
Thereafter	53,358
Future minimum lease payments	226,286
Impact of discounting	34,041
Present value of lease payments	192,245
Expected cash inflows from TIAs	4,800
Minimum lease payments for leases not yet commenced	$ 4,800

Leases - Other Lease Informatio

Leases - Other Lease Information (Details)	Jun. 30, 2024
Leases [Abstract]
Weighted average remaining lease term (years)	5 years 7 months 6 days
Weighted average discount rate	5.30%

Commitments and Contingencies (

Commitments and Contingencies (Details) - USD ($) $ in Thousands	1 Months Ended
	Apr. 30, 2024	Feb. 28, 2024	Jun. 30, 2024	Dec. 31, 2023	Sep. 30, 2022
Debt Instrument [Line Items]
Litigation Settlement, Expense	$ 1,950
Revolving credit facility | Comerica Bank | Line of credit
Debt Instrument [Line Items]
Maximum borrowing capacity		$ 120,000			$ 100,000
Debt Instrument, Interest Rate, Stated Percentage		2.50%
Debt Instrument, Covenant, Financial Maintenance Maximum		$ 30,000
Debt Instrument, Covenant, Net Leverage Ratio Maximum		3
Revolving credit facility | Comerica Bank | Line of credit | Minimum
Debt Instrument [Line Items]
Basis spread		0.20%
Revolving credit facility | Comerica Bank | Line of credit | Maximum
Debt Instrument [Line Items]
Basis spread		0.25%
Revolving credit facility | Comerica Bank | Line of credit | Prime Rate | Minimum
Debt Instrument [Line Items]
Basis spread		0.65%
Revolving credit facility | Comerica Bank | Line of credit | Prime Rate | Maximum
Debt Instrument [Line Items]
Basis spread		0.90%
Revolving credit facility | Comerica Bank | Line of credit | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Minimum
Debt Instrument [Line Items]
Basis spread		1.65%
Revolving credit facility | Comerica Bank | Line of credit | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Maximum
Debt Instrument [Line Items]
Basis spread		1.90%
Revolving credit facility | Comerica Bank | Line of credit | Option to Increase
Debt Instrument [Line Items]
Maximum borrowing capacity		$ 175,000
Increase available		55,000
Letter of credit | Comerica Bank | Line of credit
Debt Instrument [Line Items]
Maximum borrowing capacity		15,000			15,000
Letter of credit | Comerica Bank | Line of credit | Credit Facility
Debt Instrument [Line Items]
Letters of credit, outstanding amount			$ 4,700	$ 4,300
Swing Line Notes | Comerica Bank | Line of credit
Debt Instrument [Line Items]
Maximum borrowing capacity		$ 10,000			$ 5,000

Net Loss Per Share Attributab_3

Net Loss Per Share Attributable to Common Stockholders - Loss per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Numerator
Net loss attributable to common stockholders, basic	$ (6,762)	$ (15,925)	$ (9,441)	$ (26,737)
Net loss attributable to common stockholders, diluted	$ (6,762)	$ (15,925)	$ (9,441)	$ (26,737)
Denominator
Weighted average shares, basic (in shares)	120,086,495	116,792,223	119,615,015	116,477,573
Weighted average shares, diluted (in shares)	120,086,495	116,792,223	119,615,015	116,477,573
Earnings Per Share
Net loss per share attributable to common stockholders, basic (in dollars per share)	$ (0.06)	$ (0.14)	$ (0.08)	$ (0.23)
Net loss per share attributable to common stockholders, diluted (in dollars per share)	$ (0.06)	$ (0.14)	$ (0.08)	$ (0.23)

Net Loss Per Share Attributab_4

Net Loss Per Share Attributable to Common Stockholders -Schedule of Antidilutive Shares (Details) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Stock options to purchase common stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive shares excluded from computation of earnings per share (in shares)	1,803,397	2,374,295	1,803,397	2,374,295
Unvested restricted stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive shares excluded from computation of earnings per share (in shares)	3,640,496	3,849,323	3,640,496	3,849,323
Unvested performance stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive shares excluded from computation of earnings per share (in shares)	4,397,688	4,397,688	4,397,688	4,397,688
Employee Stock Purchase Plan
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive shares excluded from computation of earnings per share (in shares)	362,117	414,306	362,117	414,306

Related-Party Transactions (Det

Related-Party Transactions (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2024	Dec. 31, 2023
Management | Secured promissory notes
Related Party Transaction [Line Items]
Notes payable, term	8 years 6 months
Management | Secured promissory notes | Employee Loans
Related Party Transaction [Line Items]
Related Party Transaction, Weighted Average Remaining Term	5 years 1 month 6 days
Related Party
Related Party Transaction [Line Items]
Other Receivables	$ 2.5	$ 2.5

Subsequent Events (Details)

Subsequent Events (Details) $ in Thousands	Jul. 01, 2024 USD ($) leaseAgreement	Jun. 30, 2024 USD ($)
Subsequent Event [Line Items]
Future minimum lease payments | $		$ 226,286
Minimum
Subsequent Event [Line Items]
Operating lease term period		1 year
Maximum
Subsequent Event [Line Items]
Operating lease term period		11 years
Subsequent Event
Subsequent Event [Line Items]
Number of Extended Operating Lease Agreements | leaseAgreement	4
Subsequent Event | New and Extended Lease Terms, Retail Space United States
Subsequent Event [Line Items]
Operating lease agreements | leaseAgreement	4
Future minimum lease payments | $	$ 8,900
Subsequent Event | New and Extended Lease Terms, Retail Space United States | Minimum
Subsequent Event [Line Items]
Operating lease term period	5 years
Subsequent Event | New and Extended Lease Terms, Retail Space United States | Maximum
Subsequent Event [Line Items]
Operating lease term period	10 years