The Anglo-Dutch publishing and information services group Reed Elsevier has reported a rise in pre-tax profits for 2001 to �848m, �10m above analysts' expectations.

The rise, from �690m a year earlier, was due to acquisitions during 2001.

Its result for the first half of 2002 is expected to be lower due to tough trading conditions, the company said.

In 2001, the company cut costs by �170m.

Reed shares rose 2% in early trading.