HICKORY — CommScope Inc. reported better-than-expected quarterly earnings in its fourth quarter, although the results ended in a net loss.
The Hickory-based multinational network infrastructure provider produced an earnings loss of $23.3 million, or 12 cents per share. Adjusted for one-time gains and charges, the earnings were 51 cents, which beat analyst predictions of 43 cents per share.
CommScope
Quarterly sales fell to $1.06 billion against $1.12 billion a year prior — a drop of about $70 million. However, the revenue was slightly above analyst expectations.
“We are pleased to deliver fourth-quarter results at the high end of our expectations,” said CEO Eddie Edwards in a statement. “Our positive results reflected stronger-than-anticipated sales volumes and favorable product and geographic mix, as well as our ongoing cost reduction initiatives.”
The company also said it expects first-quarter earnings between 41 cents per share and 46 cents per share and revenue between $1.06 billion and $1.11 billion.
Analysts are currently projecting earnings of 43 cents and revenue of $1.07 billion.
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“We continue to expect modest growth and relatively stable year-over-year results in 2019,” said Chief Financial Officer Alex Pease. “Our cost reduction initiatives aim to offset lower-than-expected spending from North American service providers due to factors that include merger-related dynamics, the timing of certain large projects and the competitive landscape.”
For the year, the company is projecting earnings of $2.10 per share and $2.25 per share and revenue between $4.51 billion and $4.65 billion.
Analysts are currently projecting earnings of $2.19 per shares and revenue of $4.57 billion.
CommScope’s stock price dropped 20 cents to $23.25 in Thursday afternoon trading.
This story is from the North Carolina Business News Wire, a service of the UNC-Chapel Hill School of Media and Journalism
