The Cooper Companies (COO) Q4 2024 earnings summary

Executive summary

• Achieved record annual revenues of $3.9 billion in fiscal 2024, with both CooperVision and CooperSurgical posting all-time highs and 8% year-over-year growth.

• Q4 delivered record revenues of $1,018.4 million, up 10% year-over-year, and record non-GAAP quarterly earnings, driven by margin improvements.

• GAAP diluted EPS for fiscal 2024 was $1.96, up 33% year-over-year; non-GAAP diluted EPS was $3.69, up 15%.

• Entering fiscal 2025 with a focus on market share gains, profitability, capacity expansion, and new product launches.

Financial highlights

• Q4 consolidated revenues: $1.018 billion, up 10% as reported and 7% organically.

• Q4 non-GAAP EPS grew 19% to $1.04; operating income up 16.2% with margin at 25.9%.

• Full-year revenues: $3.9 billion, up 8% both as reported and organically.

• Q4 gross margin improved to 67% from 65% last year; operating margin for Q4 rose to 19% from 15% last year.

• Free cash flow for Q4: $128.2 million; CapEx: $139.9 million; net debt reduced to $2.48 billion.

Outlook and guidance

• Fiscal 2025 consolidated revenue guidance: $4,080–$4,158 million, up 6%–8% organically.

• CooperVision revenue guidance: $2,733–$2,786 million, up 6.5%–8.5% organically; CooperSurgical: $1,347–$1,372 million, up 4%–6% organically.

• Non-GAAP EPS expected in the range of $3.92–$4.02, reflecting 10%–13% growth over FY24; operating income growth of 10%–12% in constant currency.

• Currency headwinds expected: 1.5% to revenues and 4% to earnings.

• CapEx for 2025 projected at about 11% of revenue; free cash flow expected to rise to $350–$400 million.