Lenskart Solutions Ltd. shares jumped more than 6% in morning trade on Thursday, November 5, after second-quarter net profit more than doubled to ₹227 crore. Buyers piled into the counter from the opening bell. The stock had already gained 3.38% to settle at ₹693.75 in the previous session, bringing its calendar-year advance to 58%.
Consolidated revenue for the quarter ended September 30 climbed 35.7% year-on-year to ₹2,845 crore from ₹2,096 crore in the corresponding period last year. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) surged 50% to ₹621 crore, lifting reported operating margins by 200 basis points to 22%. In-house frame manufacturing, store-level rental efficiencies, and strong volume growth across domestic outlets drove the expansion. Eyewear shipments climbed 27.1% to 1.1 crore units, while the company conducted 80 lakh eye examinations—a 40.4% increase over last year.
| Financial Metric (Q2 FY27) | Q2 FY27 | Q2 FY26 | YoY Change (%) |
|---|---|---|---|
| Consolidated Revenue | ₹2,845 crore | ₹2,096 crore | +35.7% |
| EBITDA | ₹621 crore | ₹414 crore | +50.0% |
| EBITDA Margin | 22.0% | 20.0% | +200 bps |
| Net Profit | ₹227 crore | ₹102 crore | +122.5% |
| Eyewear Units Sold | 1.1 crore | 86.5 lakh | +27.1% |
| Total Store Count | 3,624 | 3,459 | +165 stores |
Brokerages responded rapidly to the beat. HSBC upgraded the stock to 'Buy' from 'Hold' and raised its price target to ₹790, noting that consolidated EBITDA landed 3% ahead of consensus estimates. The bank's research desk pointed to international operations—which sustained 23% constant-currency growth—as an expanding profit pool that warrants higher valuation multiples alongside a 21% domestic same-store sales trajectory. Nomura retained its 'Buy' call with a Street-high target of ₹888, highlighting that pre-Ind AS 116 EBITDA climbed 65% to ₹393 crore, with corresponding margins widening 270 basis points to 13.8%.
CLSA posted an 'Outperform' rating with a ₹773 price target, pointing out that domestic operating profit came in 12% above its internal projections. Jefferies maintained its 'Buy' recommendation with a ₹780 target, citing the company's multi-tiered retail expansion. Lenskart added 165 net stores during the quarter, bringing its total footprint to 3,624 outlets worldwide. Same-store sales rose 20.8%, while overall sales per store grew 27.1% net of internal cannibalisation.
Subscription cash flows also gained traction. The company's paid loyalty tier, Lenskart Gold, crossed 1 crore active members in India, generating ₹73 crore in fee income during the quarter while overall gross margins expanded to 70%. Management has laid out seven internal operating levers to reach a long-term EBITDA margin goal of 25%. While Jefferies noted that currency volatility remains a near-term headwind abroad, executive focus remains locked on store network additions, smart eyewear development, and scaling the mass-market Hustlr Club format across Tier-2 and Tier-3 cities.