Lucyd (LUCY) investor relations material

Executive summary

• Q1 2026 revenue grew 70% year-over-year to $773,561, marking the 11th consecutive quarter of growth, driven by strong demand for smart eyewear, especially Lucyd Armor smart safety glasses, which accounted for about two-thirds of units sold.

• Gross profit margin was 23% in Q1 2026, down from 49% in Q1 2025 due to non-recurring credits and inventory adjustments in the prior year, but up from 21% for FY 2025.

• Operating expenses rose 20% year-over-year to $2,547,210, mainly from higher general and administrative costs, partially offset by lower R&D expenses.

• Strategic shift toward higher-ROI product lines, sunsetting older collections, and launching new products such as the Reebok® Powered by Lucyd optical collection.

• Received the Red Dot Award for Lucyd Armor, recognizing design excellence.

Financial highlights

• Q1 2026 revenues: $773,561, up 70% from $454,501 in Q1 2025.

• Net loss for Q1 2026: $(2,309,368), or $(0.37) per share, compared to $(1,778,703), or $(0.72) per share, in Q1 2025.

• Gross profit: $175,445 (23% margin) in Q1 2026 vs. $220,533 (49% margin) in Q1 2025.

• Operating expenses: $2,547,210 in Q1 2026, up from $2,124,324 in Q1 2025.

• Cash and cash equivalents at March 31, 2026: $4.4 million; total liquidity (including investments): $5.7 million.

Outlook and guidance

• Management expects continued revenue growth in 2026, supported by new product launches, expanded retail partnerships, and ongoing commercial initiatives.

• Wholesale channel seen as the most scalable long-term growth opportunity, with e-commerce remaining dominant in the near term.

• Sufficient liquidity to fund operations for at least the next 12 months; may seek additional capital if needed.

• Forward-looking statements caution that commercial discussions may not result in agreements or revenue.