Shares of CommScope Holding Company (NASDAQ: COMM) surged 26.34% in intraday trading on Thursday after the network infrastructure provider reported first-quarter earnings that surpassed analyst expectations and announced a new stock repurchase program.

For the first quarter of 2025, CommScope reported adjusted earnings per share of $0.14, handily beating the consensus estimate of $0.07. Revenue came in at $1.11 billion, in line with analyst projections. The company saw strong year-over-year growth, with net sales increasing 23.5% compared to the same period last year.

"We are off to an encouraging start in 2025 resulting in strong year-over-year growth in revenue and adjusted EBITDA," said Chuck Treadway, President and Chief Executive Officer. "For the first quarter of 2025, CommScope reported net sales of $1.11 billion, an increase of 23.5% from the prior year and delivered Core non-GAAP adjusted EBITDA of $245 million, a strong improvement of 159.2% year-over-year and fourth consecutive quarter of improvement."

Adding to investor optimism, CommScope's Board of Directors approved a share repurchase plan authorizing the company to buy back up to $50 million of its outstanding common stock. This move signals confidence in the company's financial position and outlook.

The company's CCS (Connectivity and Cable Solutions) segment led the way with a particularly strong performance in data center, where year-over-year revenue grew by 88%. CommScope also reported improved profitability, with first quarter Core adjusted EBITDA as a percentage of revenues reaching 22.0%, compared to 10.5% in the prior year.

Looking ahead, Treadway expressed confidence in the company's prospects, stating, "We feel we are well positioned for growth throughout the rest of 2025 and are confirming our 2025 Core adjusted EBITDA guideposts of $1.00 to $1.05 billion." The combination of better-than-expected earnings, the new buyback program, and positive outlook appears to be driving the significant stock price increase.