Anittel trimmed its losses significantly in the first half, losing less than $1 million as opposed to $5.9 million in the prior corresponding period.
Revenues actually declined by five percent to $25.3 million, however, operational controls contributed to the improving result, according to the company's report to the ASX.
Anittel restructured its operations and structure during 2013. "Now that the company has divested its communications carrier business to Big Air, management has restructured the organisation to enable increased focus on driving profitable growth in HCS [hosted collaboration services] and ICT services."
Its first half performance also reflects a significantly improved contribution from the IT services business, it said. "This is directly attributed to a move earlier this year to a local operating model."
As a result, product margins improved by 31 percent compared with the previous corresponding period.
"Furthermore, with the successful rollout of the Tasmanian government HCS project, we are now in a strong position to rapidly expand our HCS offerings into other opportunities."
With its balance sheet under control and a significantly improved balance sheet, Anittel said it can now focus on further transformation of the business and a return to profitability.
During the period, Anittel owners Peter and Vicki Kazacos provided a $5 million loan facility to the company, although the loan was not drawn upon by Anittel, and was repaid in full following the divestiture of Big Air.
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