The Cooper Companies(COO) - 2025 Q1 - Quarterly Results

Revenue Performance - Revenue for the first quarter of fiscal 2025 increased 4% year-over-year to $964.7 million, with CooperVision revenue up 4% to $646.1 million and CooperSurgical revenue up 3% to $318.6 million[3]. - For the three months ended January 31, 2025, net sales increased to $964.7 million, representing a year-over-year growth of 3.3%[38]. - CooperVision's net sales were $646.1 million, with a constant currency organic growth of 6% year-over-year[41]. - CooperSurgical reported net sales of $318.6 million, with an organic growth of 2% year-over-year[41]. Earnings and Profitability - GAAP diluted earnings per share (EPS) for the first quarter was $0.52, an increase of $0.11 from the previous year, while non-GAAP diluted EPS was $0.92, up $0.07 year-over-year[3]. - Diluted earnings per share for the first quarter of fiscal 2025 were $0.52, up from $0.41 in the prior year, indicating a growth of 26.8%[38]. - Operating income for the first quarter of fiscal 2025 was $182.0 million, up from $153.1 million in the prior year, reflecting a growth of 18.9%[38]. - Net income for the three months ended January 31, 2025, was $104.3 million, compared to $81.2 million in the same period last year, marking a year-over-year increase of 28.5%[38]. Margins - Gross margin improved to 68% from 67% in the prior year, driven by efficiency gains, with non-GAAP gross margin at 69%[4]. - Operating margin increased to 19% compared to 16% in the previous year, with non-GAAP operating margin at 25%, up from 24%[4]. Cash Flow - Free cash flow for the first quarter was $101.2 million, calculated from cash provided by operations of $190.6 million minus capital expenditures of $89.4 million[5]. Financial Guidance - Fiscal year 2025 total revenue guidance is set between $4,080 million and $4,158 million, with organic growth projected at 6% to 8%[12]. - CooperVision revenue guidance for fiscal 2025 is between $2,733 million and $2,786 million, with organic growth expected at 6.5% to 8.5%[12]. - CooperSurgical revenue guidance for fiscal 2025 is projected between $1,347 million and $1,372 million, with organic growth anticipated at 4% to 6%[12]. - Non-GAAP diluted EPS guidance for fiscal 2025 is raised to a range of $3.94 to $4.02, up from the previous guidance of $3.92 to $4.02[12]. Interest Expense and Debt - The company reported a decrease in interest expense to $26.0 million from $29.9 million in the previous year due to lower interest rates and reduced average debt[4]. Assets and Liabilities - Total assets as of January 31, 2025, were $12,222.2 million, a decrease from $12,315.2 million as of October 31, 2024[36]. - Total liabilities decreased to $4,094.7 million from $4,231.6 million, indicating improved financial health[36]. One-Time Tax Benefit - In fiscal 2021, the Company recorded a one-time tax benefit of approximately $2.0 billion due to the transfer of CooperVision intellectual property and goodwill to its UK subsidiary[27].