CommScope reports second quarter 2019 results
CommScope Holding Company, Inc., a global leader in infrastructure solutions for communications networks, reported results for the quarter ended June 30, 2019. The company reported second quarter net sales of $2.57 billion, an increase of 107% compared to $1.24 billion during the same period in the prior year. The second quarter of 2019 included ARRIS sales of $1.37 billion from the date of acquisition, April 4, 2019, through the end of the quarter. Excluding purchase accounting adjustments of $18.3 million related to deferred revenue, net sales in the second quarter of 2019 were $2.59 billion. CommScope generated a net loss of $334 million, or $(1.81) per basic share, a decrease from the prior year period's net income of $65.9 million, or $0.34 per diluted share. Non-GAAP adjusted net income for the second quarter of 2019 was $152.8 million, or $0.66 per diluted share, versus $133.1 million, or $0.68 per diluted share, in the second quarter of 2018.
“Our second quarter results were in-line with our expectations as we successfully navigated a difficult operating environment with disciplined execution,” said President and Chief Executive Officer Eddie Edwards. “Despite the challenges facing the broader industry, including persistent headwinds due to declining cable operator spending, we are controlling what we can by continuing our work to streamline the combined operations and further reduce costs to maximize free cash flow generation. To that end, early in the third quarter we have redeemed $100 million of long-term debt with an additional $100 million expected on August 17 th, 2019.”