28 Aug 2013

33% drop in profit reported by Team Talk

7:13 am on 28 August 2013

Telecommunications company Team Talk has reported a 33% drop in annual net profit to $3.6 million for the 12 months to the end of June.

The company said the result was dragged down by costs associated with its Farmside acquisition.

Team Talk paid $31 million for Farmside, which provides broadband and other technology services in rural areas, with a provision to raise that to $42 million if earnings targets are met.

With the Farmside acquisition to digest, the company expected the first half will be business as usual.

However, in the second half, it said the company should be dangerous.