21st Century Technology posts an operating loss of £0.5m for the six months tom the end of June compared with a loss of £0.3m a year ago.
The group reports an underlying loss before depreciation and amortisation of £0.05m against an underlying profit of £0.03m last time.
Revenue totalled £6.4m (2015: £4.7m) including £2.9m from a full six months from Passenger Systems (2015: £0.8m for two months).
Gross profit was £3.0m (2015: £2.0m) including £1.5m from a full six months from Passenger Systems (2015: £0.4m for two months).
Chief executive Russ Singleton said: "We entered 2016 with plans to grow both our Fleet and Passenger Systems businesses based on market research and forecasts incorporating information from our large fleet operator customers. However, the volumes of new bus orders were lower than expected and this remained the case throughout much of H1.
"As a result, and in order to mitigate losses, a program to remove costs and accelerate the consolidation of our operations was commenced. Particular focus has been on areas where there was duplication or overlap resulting from the acquisition of RSL Group and we have ensured that the changes made have not impacted our ability to maintain the high level, 24/7 service and support required by our customers.
"This continued focus on customer service has been recognised by the First Bus 5 year contract renewal announced in August".