CommScope Reports Third Quarter 2025 Results

Core Insights - CommScope reported a strong financial performance for Q3 2025, with consolidated net sales reaching $1.63 billion, a 50.6% increase year-over-year [4][6][9] - The company achieved a GAAP income from continuing operations of $106.9 million, compared to a loss of $96.7 million in the same quarter of the previous year [10][11] - Non-GAAP adjusted EBITDA for the quarter was $402.5 million, reflecting a 97.1% increase from the prior year, marking the sixth consecutive quarter of growth [6][11] Financial Performance - Consolidated net sales for Q3 2025 were $1,629.7 million, up from $1,082.2 million in Q3 2024 [4][5] - RemainCo net sales were $516.3 million, a 49.4% increase from $345.5 million in the previous year [4][5] - Non-GAAP adjusted net income per diluted share was $0.62, compared to a loss of $0.06 per share in Q3 2024 [10][11] Segment Performance - RUCKUS segment net sales increased by 15.2% to $178.5 million, driven by higher demand and improved inventory [14][25] - ANS segment net sales surged by 77.2% to $337.8 million, attributed to growth in Access Technologies and Broadband Networks Solutions [14][25] - The Connectivity and Cable Solutions (CCS) segment reported net sales of $1,113.4 million, a 51.1% increase, primarily due to growth in the Data Center business [19][25] Cash Flow and Balance Sheet - The company generated cash flow from operations of $151.4 million and free cash flow of $135.0 million for the quarter [5][25] - CommScope ended the quarter with a cash balance of $705 million, with total liquidity of approximately $1,281.8 million [8][25] Future Outlook - The company anticipates closing the CCS deal in Q1 2026, planning to repay existing debt and distribute excess cash to shareholders as a special dividend [7][8] - CommScope raised its 2025 consolidated adjusted EBITDA guidance to between $1.30 billion and $1.35 billion, and RemainCo adjusted EBITDA guidance to $350 million to $375 million [6][8]