Following the eyewear retailer’s announcement of a good operating performance for the fourth quarter of FY26, which was bolstered by robust revenue growth, store expansion, and increased premiumization, shares of Lenskart Solutions rose nearly 7% in early trading on Thursday.
Before reducing gains, the stock reached an intraday high of Rs 517 after opening at Rs 513 on the National Stock Exchange. The stock was up 1.5% at Rs 495 at 9.35 a.m. Nearly 9.6 million shares were traded in the first 20 minutes of trading, demonstrating the continued strength of trading volumes.
Emkay Retains ‘Buy’
Emkay Global Financial Services increased its target price by 4% from Rs 600 to Rs 625 and kept its “Buy” rating on Lenskart after the March quarter earnings. The updated goal shows an almost 28% increase from Wednesday’s closing price of Rs 486.85.
According to Emkay analysts, Lenskart outperformed Street’s and our projections by almost 10% overall in Q4. We believe that Lenskart’s flywheel is gaining traction because free eye exams are attracting new clients (~25% volume growth in FY26). Recurring purchases are encouraged by the loyalty program, while Ebitda margin growth is supported by vertical integration.
Strong Revenue Growth Continues
Lenskart reported a 7.5% year-over-year decrease in overall net profit to Rs 203.6 crore for the January–March quarter of FY26, down from Rs 220.1 crore for the same period the previous year. The drop in earnings coincided with increased component and inventory costs.
However, compared to Rs 1,728 crore during the same period last year, revenue from operations increased 45.62% year over year to around Rs 2,516 crore during the quarter.
Sales of eyewear units rose 25.2% year over year to 9.7 million units during the reporting quarter, according to the business. Due to a trend towards luxury products and the normalization of the base from the previous year, average selling prices in India increased by 15.9% to Rs 1,865.
Lenskart’s net profit for the entire fiscal year FY26 climbed by about 68% to Rs 501 crore from Rs 297.3 crore in FY25, while operating revenue rose by 33% to Rs 8,814 crore.
Emkay claims that the India division achieved “best-in-class” topline growth of about 33% in FY26, helped by an increase in same-store sales of almost 21%.
International Business Expands
With income from abroad operations increasing 35.4% year over year to Rs 1,054 crore, Lenskart’s international business too showed impressive growth. The performance, according to analysts, allayed worries about weaker development in foreign markets.
Due in major part to operating leverage, the India/International Ebitda margin increased by approximately 450/350bps to 14/7% in FY26 despite the macro uncertainty and faster expansion. Due to currency depreciation offsetting the benefits of vertical integration and premiumization, the gross margin was steady in FY26, according to Emkay’s analysis.
In FY26, the business opened 542 net new stores in India, up from 282 in the previous fiscal year. According to Lenskart, it plans to continue adding stores at a comparable rate in FY27.
Additionally, brokerages reported that the company’s inorganic growth in the sunglasses market through Meller and the introduction of smart eyewear “B” have gone more smoothly than anticipated.
Separately, Lenskart announced that it will invest close to Rs 53 crore to expand its ownership of its foreign subsidiaries, Owndays and Lenskart Singapore. For about Rs 50 crore, the business intends to purchase a 1% share in Owndays and further shares in Lenskart Singapore for approximately Rs 3 crore.
