Cooper Companies Results Top Estimate

(RTTNews) - Contact lens maker Cooper Companies Inc. (COO) said Thursday after the markets closed that its second quarter profit rose 5.5% from last year, as sales increased 7%.

The company's quarterly earnings per share also came in above analysts' expectations as did its quarterly revenue. At the same time, the company maintained its full year revenue forecast, but raised the low end of its annual earnings guidance range.

Robert Weiss, Cooper's president and chief executive officer, said, "I am proud to report another strong quarter for the Company. We continued gaining market share within CVI driven by our silicone hydrogel family of products, especially Biofinity and MyDay. CSI also posted solid revenue growth driven by its fertility business. As we move into the second half of the year, we remain positive on our markets and our ability to continue taking market share."

Cooper Companies shares remained unchanged in after hours trading after closing the day's regular trading session at $131.11, up 4 cents. The shares trade in a 52-week range of $110.33 to $145.34.

For the second quarter ended April 30, 2014, the Pleasanton, California-based company reported net income of $79.2 million or $1.62 per share, compared to $75.1 million or $1.52 per share for the year-ago quarter.

Excluding items, adjusted net income for the latest quarter was $80.1 million or $1.64 per share.

On average, 12 analysts polled by Thomson Reuters expected the company to earn $1.60 per share for the second quarter. Analysts' estimates typically exclude special items.

Net sales for the second quarter rose 7% to $412.32 million from $384.04 million in the same quarter last year. Ten analysts had a consensus revenue estimate of $411.41 million for the second quarter.

Gross margin for the quarter narrowed to 65% from 66% a year ago, mainly due to planned costs associated with MyDay. However, operating margin for the quarter improved to 22% from 21% last year.

Second quarter revenue for the CooperVision unit, which makes contact lenses, increased 7% to $331.1 million, while it grew 9% to $81.2 million for the CooperSurgical unit, which makes products for the woman's healthcare market.

Cooper Companies mainly competes with Alcon and Bausch & Lomb Inc. in the contact lens market.

For the fiscal year 2014, the company continues to forecast revenue of $1.685 billion to $1.725 billion. The company now expects earnings of $$6.78 to $7.00 per share and adjusted earnings of $6.80 to $7.00 per share. Previously, the company expected both earnings and adjusted earnings of $6.75 to $7.00 per share.

Analysts currently expect the company to earn $6.83 per share on revenue of $1.71 billion for the fiscal year 2014.