A resurgence in the popularity of model trains and slot-car racing has helped boost profits at model maker Hornby.

The company's pre-tax profits for the first half of the year rose by more than 50%.

"There is a significant renaissance on the popularity of Hornby model railways and Scalextric slot car racing," said Hornby's chief executive Frank Martin.

And profits are set to be boosted further by sales of the recently released Harry Potter Hogwarts Express train set.

Mr Martin said sales of the new set were going extremely well.

"The product is literally flying off the shelf," he said.

New focus

The once struggling model maker has benefited from moving away from the children's market, to target middle aged enthusiasts who have more money to spend.

It has also switched production of its models to China which cut costs and, the company claims, increased quality.

"The improved detailing and quality of our products is one of the keys to the improved performance," said Mr Martin.

Hornby has also tried to increase sales by entering into the computer games world.

It has produced CD Rom which allows people to design their own railway, and a Scalextric version is also due for launch.

Model performance

The success of Hornby is in marked contrast to the troubles currently hitting the real-life rail industry.

But Mr Martin claims these problems are actually helping sales.

"We have had some good publicity recently and the likes of Railtrack and Virgin are in the press or the TV every day which helps to raise the profile."

Hornby said its international sales had risen "substantially", but that sales in the US had suffered from the slowing economy and the effects of 11 September.

Mr Martin said the company was well positioned for the crucial Christmas period and he was "quietly confident" about prospects for the full year.

Hornby shares rose 4.4% to close at 281p.