Scitec, the Australian networking solutions specialist, has capped an exceptional year with the announcement of a $1.122 million profit on revenues of $40.02 million for 1996/97. This compares with an operating loss of $2.928 million on revenues of $40.225 million for the previous financial year.
The company said that in the past year it had eliminated borrowings and reduced inventory.
During the period it had achieved a positive cash flow from its operations of $2.63 million compared with a negative flow of $5.178 million in the previous year.
Results from the domestic operation saw professional services grow by 10 per cent. Export revenues jumped 16 per cent and now account for 65 per cent of the company's products made in Australia.
"The strength of our balance sheet and the growth in our profits provides us with the necessary foundation to profitably grow our business in the future," said Colin Kempter, Scitec's general manager, marketing.
During the year, Scitec unveiled a new manufacturing facility that has the capacity to more than double production.
Scitec was also appointed as a reseller by Network General. To enter into the arrangement with Network General, Scitec had to satisfy a number of requirements, such as a commitment to training and demonstration equipment.
Scitec also signed a technology agreement with Cisco that will see it incorporate Cisco's Internetwork Operating System technology into its FastLane Packet Switch.
Scitec says the net effect will be to give users a single unit that will handle LAN, telephone, facsimile and video traffic across a WAN.
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