The Anglo-Dutch publishing and information services group Reed Elsevier has reported a 17% jump in profits helped in part by a good performance from its internet services.

The group publishes business, scientific, educational and legal publications - including such titles as The Lancet, New Scientist and Computer Weekly.

Pre-tax profits excluding one-off items were �410m for the first half of its business year, up from �351m in the same period last year.

The company admitted its business division had suffered from the advertising downturn, but this had been offset by stronger performances in other areas of the group.

Net gain

Reed's science and medical business enjoyed a strong first half with operating profits up 12%.

This rise was helped by the growth of the ScienceDirect internet subscription service, which existing subscribers to Reed publications can access for an extra fee.

The company says about 60% of subscribers to its scientific journals are now also paying for online services.

Elsewhere the Lexis online legal service is proving popular with law students in the United States. Online revenue from US legal services grew 9%.

There was less good news from the company's business division, which suffered from the general slowdown in the US economy.

The company added that the economic slump is likely to have "a broader and deeper impact" in the second half of the year, but said it was cutting costs in an attempt to maintain profits.

On track

Overall, the company was upbeat about its future prospects.

"We remain on track to deliver on our financial goals of above market revenue growth and double digit earnings growth for 2002 and beyond" the company said in a statement.

The company also said the integration of the US publisher Harcourt was going well.

Reed bought Harcourt - whose publications include Grays Anatomy - last month for $4.5bn (�3.2bn).

The company said the purchase was a "major step forward in the development of our strategy and will further accelerate our financial progress".