CooperCompanies (COO) Reports Fourth Quarter And Full Year 2025 Earnings Results

The Cooper Companies, Inc. (COO) today announced its financial results for the recent quarter, revealing a mixed performance. The Company reported quarterly revenue of $1.0652 billion, surpassing analysts’ expectations by approximately $4.4 million. However, diluted earnings per share came in at $0.43, falling short of the estimated $1.11, marking a significant miss in earnings expectations.

Key Highlights

• Fourth quarter 2025 revenue reached $1,065.2 million, a 5% increase year-over-year, with 3% organic growth.
• Fiscal year 2025 revenue totaled $4.1 billion, also up 5%, with 4% organic growth.
• GAAP diluted EPS for Q4 2025 was $0.43, down 27%, while non-GAAP diluted EPS was $1.15, up 11%.
• CooperVision reported a 5% revenue increase in Q4 2025, driven by strong performance in MyDay contracts and a 37% increase in MiSight sales.
• CooperSurgical finished the year strong, delivering revenue at the high end of guidance, particularly in the fertility sector.
• The company anticipates over $2.2 billion in free cash flow from 2026 to 2028, supporting share repurchases and strategic investments.
• Fiscal year 2026 guidance includes total revenue of $4.3 billion, with organic growth projected at 4.5% to 5.5%.

Summary

CooperCompanies reported its financial results for the fourth quarter and full year 2025, highlighting a revenue increase of 5% year-over-year to $1,065.2 million in Q4 and $4.1 billion for the fiscal year. The company experienced organic growth of 3% in Q4 and 4% for the year. President and CEO Al White stated, “We closed fiscal 2025 ahead of consensus revenue, earnings, and free cash flow expectations,” emphasizing the company’s focus on accelerating top-line growth and improving profitability. CooperVision’s strong performance was attributed to contract wins and product launches, while CooperSurgical showed resilience, particularly in its fertility business.

Looking ahead, CooperCompanies has set ambitious goals for fiscal year 2026, projecting total revenue between $4.3 billion and $4.34 billion, with organic growth expectations of 4.5% to 5.5%. The company also anticipates generating over $2.2 billion in free cash flow from 2026 through 2028, which will enable it to fund share repurchases, reduce debt, and pursue strategic investments. White noted, “Our disciplined execution has delivered eight consecutive quarters of earnings beats,” indicating a strong operational foundation as the company moves into the new fiscal year.

The Cooper Companies, Inc. (COO) has experienced a rollercoaster ride in its stock price, with a notable decline of 26.62% over the past year, despite a more optimistic outlook in the shorter term. Over the last month, the stock has rebounded by 11.51%, suggesting a potential recovery phase after a challenging period. The company’s price-to-earnings ratio stands at a relatively high 38, indicating that investors are willing to pay a premium for its earnings, likely due to its strong growth prospects. With an impressive two-year compound annual growth rate (CAGR) of 21.34% in earnings per share and a robust 36.34% in free cash flow, COO demonstrates solid operational efficiency and profitability, as reflected in its net profit margin of 10.09%. However, the return on invested capital at 4.56% raises some questions about how effectively the company is utilizing its capital to generate returns. As the market digests these mixed signals, investors will be keenly watching how COO navigates its growth trajectory amidst fluctuating stock performance. Overall, while the recent price changes may cause some concern, the underlying fundamentals suggest that there is potential for a turnaround if the company can capitalize on its strengths.

The Cooper Companies, Inc., together with its subsidiaries, develops, manufactures, and markets contact lens wearers. The company operates in two segments, CooperVision and CooperSurgical. The CooperVision segment offers spherical lense, including lenses that correct near and farsightedness; and toric and multifocal lenses comprising lenses correcting vision challenges, such as astigmatism, presbyopia, myopia, ocular dryness and eye fatigues in the Americas, Europe, Middle East, Africa, and Asia Pacific. The CooperSurgical segment focuses on family and women’s health care, which provides medical devices, fertility, genomics, diagnostics, and contraception to health care professionals and patients worldwide. It offers surgical and office products, including PARAGARD, uterine manipulators, retractors, closure products, point of care products, LEEP products, endosee, and illuminate and fetal pillows; fertility products and services, such as fertility consumables and equipment, and embryo options and preimplantation genetic testing. The Cooper Companies, Inc. was founded in 1958 and is headquartered in San Ramon, California.