Cooper Companies Increases Sales but Misses Revenue Estimate

Seth Jayson, The Motley Fool
Updated

Cooper Companies (NYS: COO) reported earnings on Thursday. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended April 30 (Q2), Cooper Companies missed slightly on revenues and missed estimates on earnings per share.

Compared to the prior-year quarter, revenue increased and GAAP earnings per share increased significantly.


Margins grew across the board.

Revenue details
Cooper Companies reported revenue of $344.6 million. The eight analysts polled by S&P Capital IQ anticipated sales of $350.0 million on the same basis. GAAP reported sales were 5.9% higher than the prior-year quarter's $325.3 million.

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Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $1.12. The nine earnings estimates compiled by S&P Capital IQ predicted $1.20 per share. GAAP EPS of $1.12 for Q2 were 53% higher than the prior-year quarter's $0.73 per share.

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Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 64.0%, 200 basis points better than the prior-year quarter. Operating margin was 19.0%, 50 basis points better than the prior-year quarter. Net margin was 15.9%, 500 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $366.4 million. On the bottom line, the average EPS estimate is $1.29.

Next year's average estimate for revenue is $1.42 billion. The average EPS estimate is $5.05.

Investor sentiment
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Cooper Companies is outperform, with an average price target of $89.00.

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At the time thisarticle was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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