Cochlear up 6% after better-than-expected profit, guidance
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More news: Cochlear shares jumped more than 6% to $248.26 in early trading on the ASX after the company's gross profit and strong FY24 guidance exceeded analyst expectations. The company lifted underlying net profit by 10%, and is forecasting FY24 underlying net profit to rise by 16%-23%.
Cochlear lifts full-year profit, sales on strong demand
The news: Hearing implant maker Cochlear has lifted its full year profit and sales as as a pandemic-fuelled backlog of surgeries cleared.
The numbers: Statutory profit for the year to 30 June rose to $300.5 million, while underlying net profit was up 10% to $305.2 million, in line with the guidance. Revenue jumped 17% to $1.9 billion. The company will pay a final dividend of $1.75 a share, up from $1.45 a share a year earlier.
The context: Chief executive Dig Howitt said the sale of implant units increased 16%over the year driven by a combination of market growth, improved clinical capacity, market share gains and Covid catch-up surgeries. The launch of Cochlear’s latest device also boosted demand. The company is forecasting for FY24 underlying net profit to be in the range of $355 million to $375 million, a 16%-23% increase over the previous year.
The source: ASX announcement
