We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
The Cooper Companies (COO) Beats Q3 Earnings, View Up
Read MoreHide Full Article
The Cooper Companies Inc. (COO - Free Report) reported adjusted earnings of $2.30 in the third quarter of 2016, beating the Zacks Consensus Estimate by 2 cents and improving 16.8% on a year-over-year basis. The year-over-year upside was driven by robust revenue growth.
Revenues increased 11.5% year over year (up 6% at constant exchange rate or CER, including acquisitions in both periods) to $514.7 million, well ahead of the Zacks Consensus Estimate of $511.4 million.
While CooperVision (CVI) revenues increased 6% to $409.9 million, CooperSurgical (CSI) revenues witnessed a 38% rise (up 6% at constant currency) to $104.8 million on a year-over-year basis.
Quarter Details
Coming to the major growth catalysts within the CVI segment, robust performance by Toric (31% of CVI revenues), Multifocal (11% of CVI revenues) and Single-use sphere lenses (25% of CVI revenues) was the key positive.
In fact, multi focal revenues rose 5% to $44.3 million, while both Toric and single sphere revenues increased 10% to $120.5 million and $104.3 million, respectively, on a year-over-year basis. However, Non-single-use sphere lenses (33% of CVI revenues) sales inched up 1% from the year-ago quarter to $135.2 million.
Geographically, CVI revenues in the Americas increased 6%, in Europe, Middle East and Africa (EMEA) rose 3% while the same in Asia Pacific surged 16% year over year.
Coming to the CSI segment, the fertility category witnessed a 10% increase in the reported quarter on a year-over-year basis, totaling $52 million. However, the office and surgical products category at the CSI segment inched up 3% to $52.8 million year over year. The company is banking on the CSI segment with its ‘market leading product portfolio’ and scheduled product launches (disposable stoke NOC [ph]).
Cooper Companies maintained its leading position in the markets of specialty lenses, supported by impressive performances by Biofinity and Clariti. Coming to silicone hydrogel lenses, the product increased a notable 16% from the prior-year quarter, representing 61% of the company’s total sales.
Adjusted gross margin expanded 120 basis points (bps) on a year-over-year basis to 63.6%, courtesy of Bioinfinity and favorable foreign exchange rates.
Notably, the CVI segment witnessed a 240 bps surge in margins to 64.2%, while CSI margins declined a massive 420 bps to 61.2% in the reported quarter caused by the acquisitions in the genetic testing platform.
Adjusted operating margin expanded 260 bps on a year-over-year basis to 25.6%. The major reason behind the upside is an upbeat gross margin and ‘operating expense leverage’.
Guidance
Cooper Companies raised its projection for fiscal 2016. Adjusted earnings are now projected in the band of $8.32–$8.47, as compared with the previous guidance of $8.20–$8.50. The company forecasts total revenues in the range of $1.94–$1.95 billion, as compared with the earlier band of $1.93–$1.96 billion.
CVI revenues are now estimated in the band of $1.55–$1.56 billion. Meanwhile, CSI revenues are now expected at around $389–$392 million.
For fourth-quarter 2016, adjusted earnings per share are projected in the band of $2.15–$2.30. CVI revenues are expected between $390 million and $400 million while CSI revenues are anticipated between $106 million and $109 million.
CFO Gregory W. Matz to Retire
Cooper Companies also announced the retirement of Gregory W. Matz, the chief financial officer (CFO) of the company, in early 2017. AlbertG.White would succeed Mr. Matz as the new CFO from November 1, 2016. Notably, Gregory Matz served Cooper companies as its senior vice president and the chief risk officer as well.
Zacks Rank & Key Picks
Currently, Cooper Companies carries a Zacks Rank #3 (Hold).
Better-ranked stocks in the medical sector are Natus Medical Inc , IDEXX Laboratories Inc. (IDXX - Free Report) and Quidel Corp (QDEL - Free Report) . All the three stocks sport a Zacks Rank #1 (Strong Buy).
The Cooper Companies Inc. (COO - Free Report) reported adjusted earnings of $2.30 in the third quarter of 2016, beating the Zacks Consensus Estimate by 2 cents and improving 16.8% on a year-over-year basis. The year-over-year upside was driven by robust revenue growth.
Revenues increased 11.5% year over year (up 6% at constant exchange rate or CER, including acquisitions in both periods) to $514.7 million, well ahead of the Zacks Consensus Estimate of $511.4 million.
While CooperVision (CVI) revenues increased 6% to $409.9 million, CooperSurgical (CSI) revenues witnessed a 38% rise (up 6% at constant currency) to $104.8 million on a year-over-year basis.
Quarter Details
Coming to the major growth catalysts within the CVI segment, robust performance by Toric (31% of CVI revenues), Multifocal (11% of CVI revenues) and Single-use sphere lenses (25% of CVI revenues) was the key positive.
In fact, multi focal revenues rose 5% to $44.3 million, while both Toric and single sphere revenues increased 10% to $120.5 million and $104.3 million, respectively, on a year-over-year basis. However, Non-single-use sphere lenses (33% of CVI revenues) sales inched up 1% from the year-ago quarter to $135.2 million.
Geographically, CVI revenues in the Americas increased 6%, in Europe, Middle East and Africa (EMEA) rose 3% while the same in Asia Pacific surged 16% year over year.
Coming to the CSI segment, the fertility category witnessed a 10% increase in the reported quarter on a year-over-year basis, totaling $52 million. However, the office and surgical products category at the CSI segment inched up 3% to $52.8 million year over year. The company is banking on the CSI segment with its ‘market leading product portfolio’ and scheduled product launches (disposable stoke NOC [ph]).
Cooper Companies maintained its leading position in the markets of specialty lenses, supported by impressive performances by Biofinity and Clariti. Coming to silicone hydrogel lenses, the product increased a notable 16% from the prior-year quarter, representing 61% of the company’s total sales.
Margin Details
Adjusted gross margin expanded 120 basis points (bps) on a year-over-year basis to 63.6%, courtesy of Bioinfinity and favorable foreign exchange rates.
Notably, the CVI segment witnessed a 240 bps surge in margins to 64.2%, while CSI margins declined a massive 420 bps to 61.2% in the reported quarter caused by the acquisitions in the genetic testing platform.
Adjusted operating margin expanded 260 bps on a year-over-year basis to 25.6%. The major reason behind the upside is an upbeatgross margin and ‘operating expense leverage’.
Guidance
Cooper Companies raised its projection for fiscal 2016. Adjusted earnings are now projected in the band of $8.32–$8.47, as compared with the previous guidance of $8.20–$8.50. The company forecasts total revenues in the range of $1.94–$1.95 billion, as compared with the earlier band of $1.93–$1.96 billion.
CVI revenues are now estimated in the band of $1.55–$1.56 billion. Meanwhile, CSI revenues are now expected at around $389–$392 million.
For fourth-quarter 2016, adjusted earnings per share are projected in the band of $2.15–$2.30. CVI revenues are expected between $390 million and $400 million while CSI revenues are anticipated between $106 million and $109 million.
CFO Gregory W. Matz to Retire
Cooper Companies also announced the retirement of Gregory W. Matz, the chief financial officer (CFO) of the company, in early 2017. AlbertG.White would succeed Mr. Matz as the new CFO from November 1, 2016. Notably, Gregory Matz served Cooper companies as its senior vice president and the chief risk officer as well.
Zacks Rank & Key Picks
Currently, Cooper Companies carries a Zacks Rank #3 (Hold).
Better-ranked stocks in the medical sector are Natus Medical Inc , IDEXX Laboratories Inc. (IDXX - Free Report) and Quidel Corp (QDEL - Free Report) . All the three stocks sport a Zacks Rank #1 (Strong Buy).
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
The Cooper Companies (COO) Beats Q3 Earnings, View Up
COOPER COS Price and EPS Surprise
COOPER COS Price and EPS Surprise | COOPER COS Quote
COOPER COS Price and EPS Surprise
COOPER COS Price and EPS Surprise | COOPER COS Quote
The Cooper Companies Inc. (COO - Free Report) reported adjusted earnings of $2.30 in the third quarter of 2016, beating the Zacks Consensus Estimate by 2 cents and improving 16.8% on a year-over-year basis. The year-over-year upside was driven by robust revenue growth.
Revenues increased 11.5% year over year (up 6% at constant exchange rate or CER, including acquisitions in both periods) to $514.7 million, well ahead of the Zacks Consensus Estimate of $511.4 million.
While CooperVision (CVI) revenues increased 6% to $409.9 million, CooperSurgical (CSI) revenues witnessed a 38% rise (up 6% at constant currency) to $104.8 million on a year-over-year basis.
Quarter Details
Coming to the major growth catalysts within the CVI segment, robust performance by Toric (31% of CVI revenues), Multifocal (11% of CVI revenues) and Single-use sphere lenses (25% of CVI revenues) was the key positive.
In fact, multi focal revenues rose 5% to $44.3 million, while both Toric and single sphere revenues increased 10% to $120.5 million and $104.3 million, respectively, on a year-over-year basis. However, Non-single-use sphere lenses (33% of CVI revenues) sales inched up 1% from the year-ago quarter to $135.2 million.
Geographically, CVI revenues in the Americas increased 6%, in Europe, Middle East and Africa (EMEA) rose 3% while the same in Asia Pacific surged 16% year over year.
Coming to the CSI segment, the fertility category witnessed a 10% increase in the reported quarter on a year-over-year basis, totaling $52 million. However, the office and surgical products category at the CSI segment inched up 3% to $52.8 million year over year. The company is banking on the CSI segment with its ‘market leading product portfolio’ and scheduled product launches (disposable stoke NOC [ph]).
Cooper Companies maintained its leading position in the markets of specialty lenses, supported by impressive performances by Biofinity and Clariti. Coming to silicone hydrogel lenses, the product increased a notable 16% from the prior-year quarter, representing 61% of the company’s total sales.
Margin Details
Adjusted gross margin expanded 120 basis points (bps) on a year-over-year basis to 63.6%, courtesy of Bioinfinity and favorable foreign exchange rates.
Notably, the CVI segment witnessed a 240 bps surge in margins to 64.2%, while CSI margins declined a massive 420 bps to 61.2% in the reported quarter caused by the acquisitions in the genetic testing platform.
Adjusted operating margin expanded 260 bps on a year-over-year basis to 25.6%. The major reason behind the upside is an upbeatgross margin and ‘operating expense leverage’.
Guidance
Cooper Companies raised its projection for fiscal 2016. Adjusted earnings are now projected in the band of $8.32–$8.47, as compared with the previous guidance of $8.20–$8.50. The company forecasts total revenues in the range of $1.94–$1.95 billion, as compared with the earlier band of $1.93–$1.96 billion.
CVI revenues are now estimated in the band of $1.55–$1.56 billion. Meanwhile, CSI revenues are now expected at around $389–$392 million.
For fourth-quarter 2016, adjusted earnings per share are projected in the band of $2.15–$2.30. CVI revenues are expected between $390 million and $400 million while CSI revenues are anticipated between $106 million and $109 million.
CFO Gregory W. Matz to Retire
Cooper Companies also announced the retirement of Gregory W. Matz, the chief financial officer (CFO) of the company, in early 2017. AlbertG.White would succeed Mr. Matz as the new CFO from November 1, 2016. Notably, Gregory Matz served Cooper companies as its senior vice president and the chief risk officer as well.
Zacks Rank & Key Picks
Currently, Cooper Companies carries a Zacks Rank #3 (Hold).
Better-ranked stocks in the medical sector are Natus Medical Inc , IDEXX Laboratories Inc. (IDXX - Free Report) and Quidel Corp (QDEL - Free Report) . All the three stocks sport a Zacks Rank #1 (Strong Buy).
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>