John Menzies profits treble

John Menzies, the Scottish company best known for newspaper distribution, saw half-year profits almost treble.

It made £20.6m, up from £7.4m for the same period last year, and said annual profits were likely to beat forecasts.

The company also distributes cargo worldwide, and profits doubled in this area, despite disruption from the Icelandic ash cloud earlier this year.

Shares in the company, which was founded in 1833, were almost 10% higher in morning trading.

The business got a two-fold boost from the South Africa World Cup, where it handled 250 extra charter flights.

It also helped to keep sales of the newspapers and magazines it distributes steady, because of high demand for collectable stickers relating to the tournament.

John Menzies said profits at its Menzies Aviation division, which moves cargo around airports in 27 countries, were boosted by contract gains, in particular with Lufthansa/bmi at London Heathrow.

It won 56 contracts in the six-month period and lost 16, with most of these relating to route cutbacks and airline failure.

Increased demand for de-icing services following the cold start to the year in northern Europe also boosted revenues.

The group, which used to compete with WH Smith, withdrew from the High Street in 1998.