Here's What Key Metrics Tell Us About CommScope (COMM) Q3 Earnings
For the quarter ended September 2023, CommScope (COMM) reported revenue of $1.6 billion, down 32.8% over the same period last year. EPS came in at $0.13, compared to $0.50 in the year-ago quarter.
The reported revenue represents a surprise of -0.24% over the Zacks Consensus Estimate of $1.6 billion. With the consensus EPS estimate being $0.14, the EPS surprise was -7.14%.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how CommScope performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Net Sales- CCS (Connectivity and Cable Solutions): $632.50 million versus $634.99 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -37.2% change.
Net Sales- Home Networks: $249.40 million versus the five-analyst average estimate of $255.78 million. The reported number represents a year-over-year change of -36.3%.
Core net sales: $1.35 billion compared to the $1.48 billion average estimate based on five analysts. The reported number represents a change of -32.2% year over year.
Net Sales- NICS (Networking, Intelligent Cellular and Security Solutions): $289 million versus $316.79 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +12.1% change.
Net Sales- ANS (Access Network Solutions): $218.30 million versus $308.45 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -36.2% change.
Net Sales- OWN (Outdoor Wireless Networks): $210.30 million versus $211.89 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -45% change.
Adjusted EBITDA- NICS (Networking, Intelligent Cellular and Security Solutions): $63 million compared to the $74.21 million average estimate based on three analysts.
Adjusted EBITDA- Home Networks: $3.10 million versus $0.09 million estimated by three analysts on average.
Adjusted EBITDA- ANS (Access Network Solutions): $58.50 million versus $57.07 million estimated by three analysts on average.
Core adjusted EBITDA: $245.50 million versus $261.47 million estimated by three analysts on average.
Adjusted EBITDA- CCS (Connectivity and Cable Solutions): $78.70 million versus $90.01 million estimated by three analysts on average.
Adjusted EBITDA- OWN (Outdoor Wireless Networks): $45.30 million versus the three-analyst average estimate of $40.18 million.
View all Key Company Metrics for CommScope here>>>
Shares of CommScope have returned -41.4% over the past month versus the Zacks S&P 500 composite's +1.8% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.
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CommScope Holding Company, Inc. (COMM) : Free Stock Analysis Report
