On the post-earnings call, founder and CEO Peyush Bansal told analysts that the company’s outlook last quarter — that improving operating leverage would ensure that each additional rupee of revenue translated into a higher contribution to profit — has played out. “In Q2, we said we are entering a compounding phase. Q3 validates that decisively. This is not cost-cutting. This is operating leverage. The compounding has begun,” Bansal said.
Lenskart’s total expenses grew 28% to Rs 2,163 crore, while its Ebitda expanded 90% during the quarter. The company’s operating margin expanded from 14.5% to 20%.
Lenskart also shared unaudited numbers that showed how its results would look if the three companies it recently bought had been part of the business for the full reporting period.
On December 31, 2024, Lenskart acquired Dealskart, the master franchise operator for its Indian retail outlets, following it up with its acquisition of Spanish eyewear firm Meller on August 11 last year, and of machine learning platform GeoIQ on September 30.
These illustrative — or pro forma — financial statements, which have been prepared to provide a like-for-like comparison, assume the acquisition of Dealskart effective September 30, 2024, of Meller from April 1, 2025, and of GeoIQ from April 1, 2024.
On a pro forma basis, the company’s revenue grew 37%, while its net profit more than tripled YoY.
Lenskart said its international operations are seeing faster profitability growth, supported by higher product margins and improving operating leverage. The company’s overseasproduct margin expanded to 75.7% in the first nine months of FY26from 70.8% in FY23, marking a 493-basis point improvement.
Store-level Ebitda margins across most overseas markets now range between 20% and 35%, depending on the maturity of the region, it added. Management attributed this to strong same-store sales growth, which is helping drive leverage at both the store and corporate levels.
Lenskart is present in southeast Asian countries such as Thailand and Singapore, in addition to middle eastern markets.
However, despite the margin expansion, the company said that it remains focussed on scaling the business rather than maximising near-term profitability, and is reinvesting gains into brand marketing, store additions, and technology to strengthen its leadership in international markets.
In the domestic business as well, Lenskart recorded strong same store sales growth of 28% YoY. The company added 169 new stores during the October-December quarter of 2025, compared to 65 stores in the same period last year.
The India business’s Ebitda margin grew to 20.8% compared to 16.3% in the same quarter of 2024. “This expansion is driven by operating leverage inherent in our vertically integrated, technology-led model: as revenue scales, our fixed cost base grows at a much slower rate. Margin expansion has been consistent over several years as foundational investments in manufacturing, technology, and brand pay off,” the company said in a letter to the shareholders.
