CommScope Holding Company, Inc. - COMM STOCK NEWS

CommScope Holding Company (NASDAQ: COMM) reported Q3 2020 results with net sales of $2.17 billion, an 8.9% decline year-over-year. The company posted a GAAP net loss of $116.3 million, improving from a loss of $156.5 million in Q3 2019. Non-GAAP adjusted EBITDA was $341.9 million, down 7.5% year-over-year. Key segments showed varied performance: Broadband Networks grew by 18.1% while Home Networks fell by 31.8%. Despite challenges, the management remains focused on strategic investments and cost-cutting measures to enhance profitability and shareholder value.

CommScope has partnered with StackPath to expand its cloud capacity across twelve global sites, enhancing their edge-computing platform. CommScope's Professional Services team will upgrade StackPath's data centers by installing new equipment and managing logistics, with initial projects set for completion in Q4 2020 and further growth planned into 2021. This collaboration aims to meet the rising global demand for cloud services, demonstrating CommScope's expertise in large-scale data center deployments.

CommScope partners with Converge ICT to enhance internet connectivity in the Philippines, targeting unserved and underserved communities. This collaboration aims to strengthen the national infrastructure amidst rising demands for connectivity due to remote work and e-commerce growth. Converge ICT plans to leverage CommScope’s expertise in network design and deployment for extensive rural and urban coverage, contributing to the Digital Philippines initiative. The deployment will utilize CommScope’s innovative fiber products to accelerate installation and improve broadband accessibility.

CommScope has launched the RUCKUS ICX 7550 enterprise campus switch series, designed to enhance high-performance networking for various applications including Wi-Fi 6 and IoT. This series provides exceptional port density, uplink capacity, and a substantial Power over Ethernet (PoE) budget, facilitating long-term operational efficiency. The ICX 7550 supports multigigabit downlink and uplink ports, ensuring seamless connectivity and performance for demanding environments. The switches can be managed via cloud services, making them flexible for diverse organizational needs.

CommScope has acquired the complete patent portfolio for virtual radio access networks (vRAN) from Phluido, a pioneer in RAN virtualization. This acquisition focuses on key concepts integral to 5G and O-RAN radio networks, including efficient fronthaul transport and network synchronization. CommScope aims to enhance its position as an innovative indoor RAN provider with this intellectual property, which complements its existing ONECELL patent portfolio. Phluido will maintain a license to use these patents for non-commercial development purposes.

CommScope plans to release its Q3 2020 financial results on November 5 before the market opens. The release will be followed by a conference call at 8:30 a.m. Eastern where management will discuss the results. Investors can listen to the live audio via a link on the company’s Investor Relations website, and a replay will be archived for a limited time after the call. CommScope is recognized as a leader in connectivity solutions for communications networks.

CommScope is set to showcase its advancements in 10G technology and virtualized networks at the SCTE Cable-Tec Expo. They will demonstrate their Virtual Headend Portfolio, focusing on solutions for virtualizing modern operator networks. Key highlights include Fixed Wireless Access technology aimed at leveraging 5G capabilities and a new Distributed Access Architecture portfolio to enhance network density. Collaborations with operators like Mediacom and Tele Columbus AG will also be featured, aiming for improved broadband and network capacity.

CommScope has partnered with Ziply Fiber to deploy its Wi-Fi 6 home networking solutions, enhancing bandwidth support for subscribers. The collaboration aims to improve internet connectivity at gigabit speeds, vital for remote work and learning. Ziply Fiber will integrate CommScope’s X5 Wi-Fi Extenders and NVG578LX GPON gateway, fostering a high-performance Wi-Fi experience. This move reflects a response to rising consumer demand for robust home networking solutions. The advancements will be showcased at the SCTE - ISBE Cable-Tec Expo 2020 virtual event.

CommScope Holding Company (NASDAQ: COMM) announced the departure of Eddie Edwards, President and CEO, after 15 years. His successor, Charles “Chuck” Treadway, brings extensive leadership experience from various global companies. The Board highlighted Treadway’s potential to drive growth and capitalize on market opportunities, particularly in network infrastructure. Frank M. Drendel, founder, becomes Chairman Emeritus, while Bud Watts takes over as Chairman. The company reaffirmed its third-quarter outlook, expecting modest improvements in sales and non-GAAP adjusted EBITDA.