CooperCompanies Announces Fourth Quarter and Full Year 2025 Results

Core Insights - CooperCompanies reported strong financial results for fiscal year 2025, exceeding consensus expectations for revenue, earnings, and free cash flow, with a focus on long-term shareholder value through growth and profitability initiatives [2][5]. Financial Performance - Fourth quarter revenue reached $1,065.2 million, a 5% increase year-over-year, with organic growth of 3% [5][6]. - Fiscal year 2025 revenue totaled $4.1 billion, also up 5% from the previous year, with organic growth of 4% [5][13]. - GAAP diluted earnings per share (EPS) for Q4 was $0.43, down 27%, while fiscal year GAAP diluted EPS was $1.87, down 4% [5][27]. - Non-GAAP diluted EPS for Q4 was $1.15, up 11%, and for the fiscal year, it was $4.13, up 12% [5][27]. Segment Performance - CooperVision (CVI) revenue for Q4 was $709.6 million, a 5% increase year-over-year, with organic growth of 3% [6][59]. - CooperSurgical (CSI) revenue for Q4 was $355.6 million, up 4% year-over-year, with organic growth also at 4% [12][59]. Margins and Costs - Gross margin for Q4 was 61%, down from 67% in the previous year, primarily due to reorganization costs [6][13]. - Non-GAAP gross margin was 66%, down 70 basis points from last year [6][13]. - Operating margin for Q4 was 13%, compared to 19% in the previous year, while non-GAAP operating margin improved to 27% [6][13]. Cash Flow and Share Repurchase - Cash provided by operations was $247.8 million, leading to free cash flow of $149.8 million after capital expenditures of $98.0 million [6][13]. - The company repurchased $197.3 million of common stock in Q4 and $290.1 million for the fiscal year, with a total share repurchase authorization of $2 billion [13][14]. Future Guidance - For fiscal year 2026, the company expects total revenue between $4.299 billion and $4.338 billion, with organic growth of 4.5% to 5.5% [20]. - Non-GAAP diluted EPS guidance for fiscal 2026 is projected to be between $4.45 and $4.60 [20].