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Cabletel returns to profitability

In a potential bellwether for cable television equipment suppliers, Canadian distributor Cabletel said it returned to profitability during last year’s fourth quarter, although sales were still down 32.8% to $14.776 million.

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Cabletel credited cost-cutting measures implemented in the third quarter for its return to profitability. For the three months ended December 31, Cabletel earned $217,644. The company reported net year-end sales that were down 22% from the previous year at $58.120 million and a year-end net loss of $2.096 million.

Cable distributor business--based on after-market sales to cable operators--generally is a predictor for overall vendor business. The distributor business has been suffering a slump that is reflective of the slowdown and maturity of cable builds.

--Jim Barthold, senior editor

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© 2012 Penton Media Inc.

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