On June 7, 2024, CooperSurgical acquired a fertility company specializing in sperm separation devices for $33.5 million. This acquisition enhances CooperSurgical's fertility offerings and expands its market presence.

On November 1, 2023, CooperSurgical completed the acquisition of select Cook Medical assets focused on obstetrics, doppler monitoring, and gynecology surgery markets for $300 million. This acquisition broadens CooperSurgical's product offerings and market reach in women's health.

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. This strategy aims to drive future sales growth and profitability.

On May 1, 2024, the Company entered into a Revolving Credit Agreement for $2.3 billion, using it to repay existing debt and terminate the previous credit agreement. This refinancing aims to improve financial flexibility and extend debt maturities.

In December 2023, the Company's Board of Directors decided to end the declaration of the semiannual dividend. This decision may allow the company to reallocate capital towards strategic investments or debt reduction.

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 the impact of uncertain global and regional business, political and economic conditions, including international conflicts, on its global markets and ability to supply products. These factors could adversely affect sales, cash flow, and performance.

The company's international operations are subject to foreign currency exchange rate and interest rate fluctuations, which could decrease net sales and earnings. The company uses financial instruments to manage these risks.

The company acknowledges risks associated with acquisitions, including failure to achieve anticipated benefits, integration delays, and contingent liabilities. These factors could negatively impact financial performance.

CooperVision competes in the worldwide contact lens market with its range of contact lenses, including those offered in silicone hydrogel Aquaform technology. The company also competes in myopia management and specialty eye care contact lens markets.

CooperSurgical competes in the fertility and women's health care market through its diversified portfolio, including fertility products and services, medical devices, cryostorage, and contraception. The company has established its market presence and distribution system through product development and acquisitions.

The company protects its products through patents and trademark registrations and relies on trade secrets, licenses, technical know-how, and continuing technological innovation to develop and maintain its competitive position.

Consolidated gross margin was relatively flat at 66% and 67% in the three and nine months ended July 31, 2024, respectively, compared to 66% in the three and nine months ended July 31, 2023.

CooperVision's SGA expenses increased in the three months ended July 31, 2024, compared to the three months ended July 31, 2023, due to increase in advertising and marketing activities.

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, including myopia management programs and silicone hydrogel contact lenses.

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

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).

On May 1, 2024, the Company entered into a Revolving Credit Agreement for $2.3 billion, using it to repay existing debt and terminate the previous credit agreement. This refinancing aims to improve financial flexibility and extend debt maturities.

In December 2023, the Company's Board of Directors decided to end the declaration of the semiannual dividend. This decision may allow the company to reallocate capital towards strategic investments or debt reduction.

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

Risks related to environmental, social and corporate governance (ESG) issues, including those related to regulatory and disclosure requirements, climate change and sustainability.

The company acknowledges the impact of uncertain global and regional business, political and economic conditions, including international conflicts, on its global markets and ability to supply products. These factors could adversely affect sales, cash flow, and performance.

New U.S. and foreign government laws and regulations, and changes in existing laws, regulations and enforcement guidance, which affect areas of our operations including, but not limited to, those affecting the health care industry, including the contact lens industry specifically and the medical device or pharmaceutical industries generally, including but not limited to the EU Medical Devices Regulation (MDR) and the EU In Vitro Diagnostic Medical Devices Regulation (IVDR).

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.