The Cooper Companies Inc. (NYSE:COO) Q3 2020 Earnings Conference Call - Final Transcript

Sep 03, 2020 • 05:00 pm ET

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The Cooper Companies Inc. (NYSE:COO) Q3 2020 Earnings Conference Call - Final Transcript

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Operator
Operator

Ladies and gentlemen, thank you for standing by, and welcome to The Cooper Companies Inc. Third Quarter 2020 Earnings Call.

[Operator Instructions]

I will now like to hand the conference over to, Kim Duncan, Vice President, Investor Relations and Risk Management. Please go ahead.

Executive
Kim Duncan

Good afternoon, and welcome to The Cooper Companies' third quarter 2020 earnings conference call. During today's call, we will discuss the results included in the earnings release and then use the remaining time for Q&A. Our presenters on today's call are Al White, President and Chief Executive Officer; and Brian Andrews, Chief Financial Officer and Treasurer.

Before we begin, I'd like to remind you that, this conference call contains forward-looking statements, including all revenue and earnings per share guidance and other statements regarding anticipated results of operations, market or regulatory conditions and integration of any acquisitions or their failure to achieve anticipated benefits.

Forward-looking statements depend on assumptions, data or methods that may be incorrect or imprecise and are subject to risks and uncertainties. Events that could cause our actual results and future actions of the Company to differ materially from those described in forward-looking statements are set forth under the caption Forward-Looking Statements in today's earnings release and are described in our SEC filings, including Cooper's Form 10-K and Form 10-Q filings, all of which are available on our website at coopercos.com.

Should you have any additional questions following the call, please call our investor line at 925-460-3663 or e-mail ir@cooperco.com.

And now, I'll turn the call over to Al for his opening remarks.

Executive
Albert G. White

Thank you, Kim, and good afternoon, everyone. There are a number of things to cover on today's call, but let me start by saying our businesses are performing really well. They improved as we moved through the quarter, and that momentum continued in August. Before getting into the details, I want to first congratulate Dan McBride and the entire CVI organization for their performance during COVID. With our relatively strong June performance of down 3%, we hit key milestones, including increasing our global market share to 25% and becoming the Number 2 contact lens company in the world. The team is executing at an incredibly high level right now, driving our key strategic initiatives of expanding key account relationships, launching new products, upgrading distribution capabilities and expanding manufacturing. Combining this with our strong support of the independent optometrists, our extremely high customer service levels and the recent US launch of the most innovative contact lens in the world, MiSight, we remain in a great position to continue taking share.

Moving to the numbers and reporting all percentages on a constant currency basis. We posted consolidated revenues of $578 million in Q3, with CooperVision revenues of $449 million, down 11%; and CooperSurgical revenues of $129 million, down 24%. Non-GAAP earnings per share were $2.28. These results were stronger than expected as both businesses bounced back nicely from COVID lows. Our strength continued in August, and we've incorporated that in our guidance, which Brian