Macquarie Telecom today released its half-yearly report to 31 December 2009, announcing an increase in net profit carried by the success of its hosting business.
The telco reported a reduction in its telco revenues (comprising mobile, data and voice) in the half from $100.5 million to $98.8 million.
"Telco revenue down ... primarily due to reduction in voice as further price competition and fixed to mobile substitution occurs," the company said. Cost reduction had allowed the company to obtain an increase in earnings before interest tax depreciation and amortisation (EBITDA) in the segment.
Hosting revenues, on the other hand, had increased from $17.8 million to $20.5 million due to "record sales orders".
"Hosting now contributes 37 per cent of business profitability," the company said. The hosting business's EBITDA had grown from $5.4 million to $6.2 million.
The company said it had invested in staff to handle the growth of the segment, but did not specify how many.
Overall, the company declared an 18.8 per cent rise in profit on the previous corresponding period to $13.7 million for continuing operations.
The telco announced that it will be focusing on the growth of its two core businesses, hosting and telco going ahead, and would look to grow via acquisition.
"The company has a highly skilled and experienced management team that is executing on the company's growth strategy and we will explore acquisition opportunities to accelerate that growth," chief executive officer David Tudehope said in a statement.