National Vision Holdings tops Q2 profit estimates, lifts full-year outlook

National Vision Holdings Inc. on Monday reported second-quarter profit that exceeded market forecasts, while raising its full-year earnings outlook as the optical retailer benefits from sustained consumer demand and disciplined cost management.

The Duluth, Georgia-based company said adjusted earnings per share for the April-June period totaled $0.65, surpassing the $0.58 average estimate from analysts surveyed by Refinitiv. Revenue for the quarter rose 6.1% year-over-year to $352.4 million, driven by higher sales in its retail and managed services segments.

Chief Executive Reade Fahs highlighted the company’s ability to navigate supply chain challenges and inflationary pressures without eroding profitability. "We continue to execute on our strategy of balancing growth investments with operational efficiency," Fahs said in a statement. Same-store sales increased 4.3% year-over-year, reflecting steady consumer spending on eyewear and related services.

For the full year, National Vision raised its adjusted EPS guidance to a range of $2.55 to $2.65, up from the prior range of $2.40 to $2.50. The midpoint of the new range implies growth of approximately 7% over 2023’s adjusted EPS of $2.38. The company also narrowed its full-year revenue growth target to 5.5% to 6.5%, from 5% to 7% previously.

Analysts at Truist Securities maintained a Hold rating on the stock but noted the raised guidance as a positive signal. "The upward revision suggests underlying demand remains resilient, even as macroeconomic uncertainty persists," Truist wrote in a client note. National Vision’s shares were up 2.1% in premarket trading following the announcement.

The company operates more than 1,100 optical retail locations under brands including America’s Best and Eyeglass World, serving approximately 20 million customers annually.