Cooper Companies Inc (NASDAQ:COO) stock fell 3.87% (As on December 6, 11:06:31 AM UTC-4, Source: Google Finance) after the company forecast its annual revenue below Wall Street expectations, after marginally missing estimates for quarterly revenue due to softer demand for contact lenses. The company saw some softness in mid-October, which carried over into the beginning of November. There was some softness in the U.S. market as well as in countries such as China. CooperVision, the company’s contact lens division, reported fourth-quarter sales of $676.4 million, while analysts on average were expecting $682.73 million. Sales at the company’s surgical division, which provides a range of fertility and women’s care devices, rose 12% to $342 million in the quarter, but fell short of the estimates of $346.16 million.

COO in the fourth quarter of FY 24 has reported the adjusted earnings per share of $1.04, beating the analysts’ estimates for the adjusted earnings per share of $1, according to Zacks Investment Research. The company had reported the adjusted revenue growth of 10 percent to $1.02 billion in the fourth quarter of FY 24, missing the analysts’ estimates for revenue of $1.03 billion. Gross margin of 67% compared with 65% in last year’s fourth quarter driven by price and efficiency gains. On a non-GAAP basis, gross margin was similar to last year at 67%. Operating margin of 19% compared with 15% in last year’s fourth quarter driven by SG&A expense leverage and stronger gross margins. On a non-GAAP basis, operating margin was 26%, up from 24% last year. Interest expense of $27.0 million compared with $26.3 million in last year’s fourth quarter. On a non-GAAP basis, interest expense was $25.6 million, down from $26.4 million. Cash provided by operations of $268.1 million offset by capital expenditures of $139.9 million resulted in free cash flow of $128.2 million.

The Cooper Companies expects full-year earnings to be in the range of $3.92 to $4.02 per share compared with estimates of $4.06, with revenue expected to be in the range of $4.08 billion to $4.16 billion, which is below analysts’ average estimate of $4.19 billion, according to data compiled by LSEG. For fiscal 2025, CVI revenue is expected to be in the range of $2,733 – $2,786 million (organic growth of 6.5% to 8.5%) and CSI revenue is expected to be in the range of $1,347 – $1,372 million (organic growth of 4% to 6%).