The Cooper Companies(COO) - 2024 Q2 - Quarterly Results

Financial Performance - GAAP diluted earnings per share (EPS) of $0.44, up 122% from last year's second quarter[2] - Revenue increased 7% year-over-year to $942.6 million, with CooperVision revenue up 8% to $635.9 million and CooperSurgical revenue up 6% to $306.7 million[9] - Operating margin of 17%, compared to 11% in last year's second quarter; non-GAAP operating margin remained at 24%[11] - Non-GAAP net income for the quarter was $169.5 million, or $0.85 per share, compared to $153.5 million, or $0.77 per share, in the prior year[21] - Net income for the quarter was $88.9 million, compared to $39.8 million in the prior year, resulting in diluted earnings per share of $0.44, up from $0.20[1] - Non-GAAP diluted EPS increased by $0.08 to $0.85, a 10% rise compared to the same quarter last year[64] Revenue Guidance - The company raised its fiscal year 2024 financial guidance to a non-GAAP diluted EPS of $3.54 - $3.60[7] - CooperSurgical revenue guidance for fiscal year 2024 is set at $1,272 - $1,292 million, indicating organic growth of 5% to 7%[15] - The company expects total revenue for fiscal 2024 to be between $3,863 million and $3,905 million, with organic growth projected at 7.5% to 8.5%[39] - CooperVision expects revenue guidance of $2,591 - $2,613 million, indicating organic growth of 8.5% to 9.5%[69] Operational Efficiency - Operating income increased to $161.7 million, up from $96.3 million in the same quarter last year, indicating improved operational efficiency[1] - Cash provided by operations was $111.0 million, resulting in free cash flow of $36.9 million after capital expenditures of $74.1 million[12] - Non-GAAP operating income for the three months was $224.8 million, representing a 24% margin, consistent with the prior year[44] Revenue Breakdown - CooperVision's total revenue of $635.9 million included a 12% increase in toric and multifocal lenses and a 9% increase in sphere and other lenses[13] - The Americas region reported revenue of $264.4 million, up 9% year-over-year, while EMEA revenue was $237.0 million, up 13%[37] - CooperVision revenue was $635.9 million, with organic growth of 11% and a currency impact of 2%[58] - CooperSurgical revenue was $306.7 million, showing an 8% increase in constant currency, with a 4% organic growth[68] Financial Position - Total liabilities increased to $4,243.5 million, while stockholders' equity rose to $7,803.9 million[30] - Total assets reached $12,047.4 million, an increase from $11,658.9 million as of October 31, 2023[60] - The company has total debt of $2.7 billion, with cash and cash equivalents at $112.4 million[66] - Current assets totaled $1,859.0 million, up from $1,704.9 million in the previous period[60] - Goodwill increased to $3,761.3 million from $3,624.5 million, reflecting ongoing acquisitions[60] Research and Development - Research and development expenses increased to $38.9 million from $32.6 million year-over-year, highlighting the company's commitment to innovation[1] Cost Management - The company is focused on strategic acquisitions and optimizing its cost structure to enhance overall performance[40] Gross Profit and Margin - The company reported a gross profit of $631.2 million, representing a gross margin of 67%[19] - Gross profit for the same period was $631.2 million, compared to $582.9 million in the prior year, reflecting a strong performance[1] - Gross margin improved to 67%, up from 66% in the previous year[65]