Cooper Companies Inc (NYSE:COO), renowned for its contact lenses, has uplifted its revenue outlook for the year 2024 after surpassing Wall Street’s sales forecasts for the quarter, propelled by robust demand for its products. In the aftermath of the announcement, the company’s shares experienced a significant surge, ascending approximately 7% in after-hours trading.

The revised forecast now projects annual revenues to oscillate between $3.84 billion and $3.90 billion. This adjustment marks an increase from the previously anticipated range of $3.81 billion to $3.88 billion, positioning the company’s expectations above the analyst consensus of $3.85 billion, as per LSEG data.

The contact lens market, with key players like Cooper and Alcon, has been on an upward trajectory, witnessing strong demand growth in recent years. This surge comes despite the industry facing supply challenges due to the trending shift towards daily disposable lenses.

During a post-earnings conference call, Cooper Companies conveyed a bullish stance on the contact lens market’s prospects, indicating no signs of demand deceleration. Albert White, the CEO, highlighted the company’s improved supply situation compared to the beginning of the year, describing it as being “in a much better spot.”

The quarterly performance of CooperVision, the contact lens division of the company, was particularly noteworthy, with sales reaching $621.5 million. This figure not only surpasses the average analyst projection of $614.9 million but also underscores the division’s pivotal role in the company’s overall success.

Moreover, the company’s surgical division, which encompasses a diverse array of fertility and women’s care devices, reported a 12% increase in sales to $310.1 million for the quarter, exceeding the expected $301.6 million.

Based in San Ramon, California, Cooper Companies disclosed a total revenue of $931.6 million for the first quarter ending January 31, surpassing the analyst forecast of $915.94 million.

Looking ahead, Cooper anticipates its adjusted earnings per share for 2024 to range between $3.50 and $3.58, slightly above the analyst consensus of $3.46 per share. The company also reported an adjusted first-quarter profit of 85 cents per share, outperforming the expected 78 cents, further solidifying its strong financial position and market optimism.