Cd0.95Fe0.05Te thin films have been grown on glass slides using RF sputtering and various substrate temperatures. Films grown at 100°C, which showed a mixture of amorphous and polycrystalline phases, were thermally annealed in an inert gas atmosphere at temperatures Ta in the range 100–450°C. The growth of the microcrystalline grain size was studied using X-ray diffraction and transmission electron microscopy techniques. The growth rate showed an energy-activated behavior characterized by two activation energies (Et); for Ta <300°C, Et= 0.065 eV and for Ta >300°C, Et= 0.165 eV. We have associated t he temperature (300°C) at which the change in the activation energy takes place with the crystallization of the film amorphous phase. Room-temperature resistivity measurements are intrepreted in terms of a grain boundary-controlled conductivity. The activation energy for the conductivity process shows a linear increase with annealing temperature in the range 100–350°C. The activation energy saturates at approximately 0.6 eV as a result of Fe-related deep donor levels.