CO

The Cooper Companies, Inc. stock research

Apr 30, 2024

FY2024 Q2

The Cooper Companies (COO) Gross Margin — Quarter Ended Apr 30, 2024

Revenue increased compared to both the prior quarter and the same quarter last year, while cost of revenue also rose in both comparisons. Gross profit grew alongside revenue, and gross margin remained stable versus the prior quarter and improved relative to the same quarter one year earlier.

Gross margin takeaway

Quarter ended Apr 30, 2024 · FY2024 Q2

Revenue increased compared to both the prior quarter and the same quarter last year, while cost of revenue also rose in both comparisons. Gross profit grew alongside revenue, and gross margin remained stable versus the prior quarter and improved relative to the same quarter one year earlier.

  • The strongest observable margin driver was the sustained gross margin at the same level as the prior quarter despite higher revenue and cost, indicating consistent cost management relative to sales. Compared to a year ago, the gross margin improvement was driven by gross profit growing faster than cost of revenue.
  • Gross margin was unchanged from the immediately preceding quarter and was higher than the same quarter one year earlier. Revenue, gross profit, and cost of revenue all increased sequentially and year-over-year.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

67.0%

Gross profit

$631.2M

Revenue

$942.6M

Cost of revenue

$311.4M

Quarter-over-quarter change

+0.0 pts

Year-over-year change

+0.5 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Jul 31, 2023$930.2M$610.0M$320.2M65.6%
Oct 31, 2023$927.1M$606.5M$320.6M65.4%
Jan 31, 2024$931.6M$623.8M$307.8M67.0%
Apr 30, 2024$942.6M$631.2M$311.4M67.0%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Jan 31, 2024

+0.0 pts

Year-over-year change

Apr 30, 2023

+0.5 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The strongest observable margin driver was the sustained gross margin at the same level as the prior quarter despite higher revenue and cost, indicating consistent cost management relative to sales. Compared to a year ago, the gross margin improvement was driven by gross profit growing faster than cost of revenue.

Gross margin was unchanged from the immediately preceding quarter and was higher than the same quarter one year earlier. Revenue, gross profit, and cost of revenue all increased sequentially and year-over-year.

Monitor whether the stable gross margin can be maintained as revenue and cost of revenue continue to rise in future quarters.