Trying to write a Loop to perform calculations within blank rows between populated rows

This was set for a range to 500. I'm not certain that I understand your problem but try making this change.

    'Calculate Blended Averages and add labels
    Set ws = ActiveSheet
    For Each rcell In Range("A2:A" & Range("A" & rows.count).End(3)(2).row)
        If rcell.Offset(, 1).Value = "" And rcell.Offset(, 2).Value <> "" Then
        'Move the cursor to column D and calculate Blended AHT - the If statement accounts for division by zero
        'rcell.Offset(, 3).Value = rcell.Offset(, 5).Value / rcell.Offset(, 2).Value 'This is the original code
        If rcell.Offset(, 2).Value = 0 Then
            rcell.Offset(, 3).Value = 0
        Else
            rcell.Offset(, 3).Value = rcell.Offset(, 5).Value / rcell.Offset(, 2).Value
        End If
        'Move the cursor to column E and calculate Blended ACW - the If statement accounts for division by zero
        'rcell.Offset(, 4).Value = rcell.Offset(, 6).Value / rcell.Offset(, 2).Value 'This is the original code
        If rcell.Offset(, 2).Value = 0 Then
            rcell.Offset(, 4).Value = 0
        Else
            rcell.Offset(, 4).Value = rcell.Offset(, 6).Value / rcell.Offset(, 2).Value
        End If
        'Place the unique Rep Name into column A
        rcell.Value = rcell.Offset(-1).Value
        'Place the split label into column B
        rcell.Offset(, 1).Value = "Blended Splits"
        x = rcell.Offset(-1).Value
        End If
        'Copies the resulting line from Sheet2 and places it in on the blank line beneath the same name in Sheet1
        For Each scell In Sheets("Sheet1").Range("A2:A" & Sheets("Sheet1").Range("A" & Rows.Count).End(3)(1).Row)
            If scell.Value = "" And scell.Offset(-1).Value = x Then
            Range(scell, scell.Offset(, 4)).Value = Range(rcell, rcell.Offset(, 4)).Value
            End If
        Next scell
        ws.Activate
    Next rcell