CommScope has postponed plans to spin-off its Home Networks business after a poor performance by the division in the second half of 2021.
The company, which acquired the former Arris business, was hit by supply chain shortages and delays. In a statement, CommScope said it remained committed to the strategic separation of the business, but does not have an estimate as to when that might be completed.
Net sales in the Home Networks unit of $476.7 million, decreased 18.1% from 2020, primarily driven by declines in Broadband Connectivity Devices.
In the second quarter of 2021, management shifted a number of product lines from the Company’s Broadband Networks segment to its Home Networks segment to better align with how those businesses are being managed.
There are also plans to reorganise the business structure in 2022 to better match market needs and the offerings of its competitors.
Five new divisions have been created:
- Connectivity and Cable Solutions – combining copper and fibre cabling and connectivity products.
- Access Network Solutions – including active broadband cable and video technologies.
- Networking, Intelligent Cellular and Security Solutions – dedicated to providing wireless communications solutions for indoor and venue applications.
- Outdoor Wireless Networks – largely unchanged from its current Outdoor Wireless Networks segment.
- Home Networks – largely unchanged from its current Home Networks segment.