Cabletalk struggling to make satisfactory returns

Telecommunications service company Cabletalk is still struggling to make satisfactory returns.

The company's profit fell in its second half year to March 31 due to its main customer, TelstraClear, turning its focus away from business connections.

Although it said in May revenue had rebounded, chairman Ross Keenan told the annual meeting yesterday its profit margins were still suffering.

The company hoped the unbundling of Telecom's network for broadband would provide new opportunities.