The Cooper Cos. Inc.’s stock jumped early today, but fell back despite the company reporting a positive outlook for fiscal 2004 and 2005.
The company’s shares (NYSE: COO) late Friday afternoon were trading at $55.39, dropping from its surge early in the day to roughly $58. Shares also were down slightly from Thursday’s close of $55.45. The company reported its second-quarter earnings after markets closed on Thursday.
Cooper Cos. owns and operates CooperVision Inc. in Fairport.
Cooper Cos. now expects its 2004 revenues to reach $483 million to $493 million with earnings of $2.55 to $2.58 a share. Previously, Cooper officials had said the firm would post $480 million to $490 million in full-year revenues. The revised estimates assume a different tax rate and no major changes in currency.
CooperVision is expected to post $383 million to $390 million in revenues for 2004.
For fiscal 2005, Cooper projects $550 million to $558 million in revenues and earnings of $3.02 to $3.07 a share. The firm’s previous estimates for next year were $535 million to $550 million. The guidance assumes Cooper’s $115 million of convertible debt reaches its conversion share price, resulting in dilution of roughly a penny a share per quarter as shares outstanding increase, officials said.
Cooper’s second-quarter revenues grew 25 percent to $120.6 million from $96.4 million in 2003. Net income was $21.6 million, or 64 cents, a share, up from $15.2 million, or 48 cents a share, a year ago. Analysts had expected earnings of 59 cents a share.
“In our second quarter (CooperVision) continued to grow faster than both the worldwide contact lens market and our competitors’ results reported for the first calendar quarter,” CEO Thomas Bender said.
CooperVision posted $95.1 million in sales, up 22 percent. Cash flow in the quarter was $31.4 million, up from $23.2 million in 2003.