NASDAQ$COO

The Cooper Companies Inc · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

CooperCompanies' third quarter results were negatively impacted by COVID-19, but solidly exceeded expectations due to a faster than expected recovery.

CooperCompanies reported a 15% year-over-year decrease in revenue to $578.2 million. GAAP diluted earnings per share were $1.12, a 53% decrease, and non-GAAP diluted earnings per share were $2.28, a 30% decrease. The company experienced a faster than expected recovery as the quarter progressed.

  • Revenue decreased 15% year-over-year to $578.2 million.
  • CooperVision (CVI) revenue was down 12% to $449.3 million.
  • CooperSurgical (CSI) revenue was down 24% to $128.9 million.
  • Non-GAAP diluted earnings per share was $2.28, down 30% from last year.

Headline financials

Total Revenue

$578M

Previous: $679M-14.9%
EPS (adj)

$0.57

Previous: $0.81-29.6%
GAAP Gross Margin

62.0%

Previous: 66.0%-6.1%
GAAP Operating Margin

12.0%

Previous: 21.0%-42.9%
Capital Expenditures

-$203M

Previous: -$207M+1.9%
Free Cash Flow

$64.9M

Previous: $306M-78.8%
Net Income

$55.2M

Previous: $120M-54.0%
Operating Income

$72M

Previous: $142M-49.4%
Gross Profit

$361M

Previous: $451M-19.9%
Cash & Equivalents

$127M

Previous: $113M+13.0%
Total Assets

$6.75B

Previous: $6.17B+9.3%

Revenue & EPS history

Cooper · Revenue · Quarterly

$578M

Q3 2020-14.9%vs Q3 2019
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Cooper · $129M total across 2 segments · Q3 2020

  • Office and Surgical
    $81.7M
  • Fertility
    $47.2M

Forward guidance

The Company provided its fiscal fourth quarter 2020 guidance, expecting total revenue between $665 - $693 million and non-GAAP diluted earnings per share between $3.00 - $3.20.

Tailwinds

  • Fiscal fourth quarter 2020 total revenue $665 - $693 million
  • CVI revenue $500 - $520 million
  • CSI revenue $165 - $173 million
  • Fiscal fourth quarter 2020 non-GAAP diluted earnings per share $3.00 - $3.20
  • Non-GAAP diluted earnings per share guidance excludes amortization and impairment of intangible assets, and other exceptional or unusual income or gains and charges or expenses including acquisition, integration and manufacturing related costs which we may incur as part of our continuing operations.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

+0.5%

Avg return

Earnings day

-0.5%

Avg return

5 days after

-0.1%

Avg return

30 days after

51%

35 / 68 earnings

Positive

+12.1%

Q3 2024

Best reaction

-12.8%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-4.6%-8.0%-12.5%
Q4 2025-4.3%+4.8%+5.3%
Q3 2025-12.8%-11.8%-8.9%
Q2 2025+0.0%-0.3%+3.6%
Q1 2025-6.6%-13.1%-18.9%
Q4 2024-6.0%-5.6%-12.6%
Q3 2024+12.1%+12.1%+16.4%
Q2 2024+3.5%+3.8%-4.2%
Q1 2024+8.1%+7.3%+7.4%
Q4 2023-2.2%-0.7%+6.8%
Q3 2023-2.1%-3.5%-15.9%
Q2 2023-4.0%-5.1%+3.2%
Q1 2023+8.7%+3.9%+15.4%
Q4 2022-1.6%+4.8%+9.7%
Q3 2022+4.1%+2.5%-8.5%
Q2 2022-0.3%+1.3%-7.2%
Q1 2022+2.1%-8.5%+3.1%
Q4 2021+4.8%+8.7%+12.2%
Q3 2021+1.1%-0.7%-7.6%
Q2 2021-0.7%-3.2%+6.0%
Q1 2021+1.8%+0.3%+1.1%
Q4 2020+3.3%+3.3%+8.6%
Q3 2020+2.0%+0.3%+5.7%
Q2 2020-0.2%-5.0%-9.1%
Q1 2020-1.3%-0.9%-17.3%
Q4 2019-1.6%-2.4%+3.3%
Q3 2019-3.5%-6.7%-8.3%
Q2 2019+4.5%+9.0%+18.2%
Q1 2019-1.8%+0.1%+1.0%
Q4 2018-11.6%-7.3%-10.4%
Q3 2018-3.7%-3.4%+4.3%
Q2 2018+1.4%-0.4%+6.0%
Q1 2018+2.1%-3.8%-11.5%
Q4 2017-3.2%-1.9%-1.5%
Q3 2017-4.0%-2.5%-3.7%
Q2 2017+8.9%+10.5%+9.4%
Q1 2017-3.1%-3.6%-0.4%
Q4 2016+1.3%+4.1%+5.2%
Q3 2016+0.0%+1.3%-3.6%
Q2 2016-0.1%-0.4%+7.1%
Q1 2016+6.4%
Q4 2015-12.8%
Q3 2015-7.1%
Q2 2015-5.1%
Q1 2015+9.7%
Q4 2014-4.4%
Q3 2014+0.7%
Q2 2014+1.7%
Q1 2014+4.3%
Q4 2013-4.6%
Q3 2013-1.8%
Q2 2013+8.1%
Q1 2013+2.5%
Q4 2012+1.0%
Q3 2012+10.3%
Q2 2012-4.1%
Q1 2012+2.8%
Q4 2008+2.8%
Q4 2011+2.8%
Q3 2011-1.8%
Q2 2011+1.4%
Q2 2010+1.4%
Q1 2010+8.9%
Q1 2011+1.0%
Q4 2010-1.5%
Q3 2010+5.8%
Q3 2009+5.8%
Q4 2009+5.8%

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