What are some important optimizations that can be made to a website to reduce the loading time?
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Remove/Minimize any bottlenecks on the server side. For this purpose, use a profiler like Xdebug or Zend Debugger to find out where your application is doing expensive and slow operations. Implement caching where possible. Use an OpCode Cache. If this still isn’t fast enough consider investing in more CPU or RAM or SSDs (depending on whether you are CPU, IO or Memory bound)
For general server/client side optimizations, see the Yahoo YSlow! User Guide.
It basically sums it up to:
Also see the comments contributed below, as they contain some additional useful information for other users.