CooperSurgical completed the acquisition of select Cook Medical assets on November 1, 2023, for $300 million. This acquisition is expected to enhance CooperSurgical's offerings in obstetrics, doppler monitoring, and gynecology surgery.

CooperVision is focused on greater worldwide market penetration using recently introduced products, and we continue to expand our presence in existing and emerging markets, including through acquisitions.

In December 2023, the Company's Board of Directors decided to end the declaration of the semiannual dividend. This may indicate a shift in capital allocation strategy towards other uses of cash.

CooperSurgical's SGA expenses increased primarily due to acquisition and integration expenses related to the Cook Medical acquisition. This suggests management is actively working to integrate the acquired assets.

CooperVision's R&D expenses increased due to myopia management programs and timing of R&D projects. CooperSurgical's R&D expenses increased mainly due to project spend and European Medical Device Regulation costs. This indicates a commitment to innovation and regulatory compliance.

As of January 31, 2024, the Company was in compliance with all debt covenants. This demonstrates sound financial management and adherence to contractual obligations.

The company acknowledges that adverse changes in global or regional business, political and economic conditions, including the impact of continuing uncertainty and instability of certain countries, man-made or natural disasters and pandemic conditions, that could adversely affect our global markets, and the potential adverse economic impact and related uncertainty caused by these items.

The company states that foreign currency exchange rate and interest rate fluctuations including the risk of fluctuations in the value of foreign currencies or interest rates that would decrease our net sales and earnings.

The company states that acquisition-related adverse effects including the failure to successfully achieve the anticipated net sales, margins and earnings benefits of acquisitions, integration delays or costs and the requirement to record significant adjustments to the preliminary fair value of assets acquired and liabilities assumed within the measurement period.

CooperVision competes in the worldwide contact lens market with our spherical, toric, multifocal, and toric multifocal contact lenses offered in materials like silicone hydrogel Aquaform technology.

Our CooperSurgical business competes in the fertility and women's health care market through its diversified portfolio of products and services, including fertility products and services, medical devices, cryostorage (such as cord blood and cord tissue storage) and contraception.

Competitive factors in the segments in which CooperSurgical competes include technological and scientific advances, product quality and availability, price and customer service (including response time and effective communication of product information to physicians, consumers, fertility clinics and hospitals).

Consolidated gross margin increased in the three months ended January 31, 2024, to 67% compared to 65% in the three months ended January 31, 2023, primarily driven by efficiency gains and price.

The company acknowledges disruptions in supplies of raw materials, particularly components used to manufacture our silicone hydrogel lenses.

The company acknowledges a major disruption in the operations of our manufacturing, accounting and financial reporting, research and development, distribution facilities or raw material supply chain due to challenges associated with integration of acquisitions, man-made or natural disasters, pandemic conditions, cybersecurity incidents or other causes.

CooperVision's R&D activities are primarily focused on the development of contact lenses, manufacturing technology and process enhancements.

CooperSurgical's R&D activities are focused on developing and refining diagnostic and therapeutic products including medical interventions, surgical devices and fertility solutions.

The company acknowledges a major disruption in the operations of our manufacturing, accounting and financial reporting, research and development or distribution facilities due to technological problems, including any related to our information systems maintenance, enhancements or new system deployments, integrations or upgrades.

In December 2023, the Company's Board of Directors decided to end the declaration of the semiannual dividend.

As of January 31, 2024, $256.4 million remains authorized for repurchase under the 2012 Share Repurchase Program. However, there were no share repurchases during the three months ended January 31, 2024, and 2023.

Cash provided by financing activities in the first three months of fiscal 2024 was primarily attributable to $200.0 million drawn on the revolving credit to pay for the Cook Medical acquisition.

The company acknowledges risks related to environmental, social and corporate governance (ESG) issues, including those related to climate change and sustainability.

Adverse changes in the global or regional general business, political and economic conditions, including the impact of continuing uncertainty and instability of certain countries, man-made or natural disasters and pandemic conditions, that could adversely affect our global markets, and the potential adverse economic impact and related uncertainty caused by these items.

The impact of international conflicts, such as Russia's invasion of Ukraine, and the global response to international conflicts on the global economy, European economy, financial markets, energy markets, currency rates and our ability to supply product to, or through, affected countries.

Market consolidation of large customers globally through mergers or acquisitions resulting in a larger proportion or concentration of our business being derived from fewer customers.