John Menzies soars on fillip from airport business

John Menzies shares jumped 8% today after the group said profits at its airport-services business were ahead of expectations.

The division, which operates passenger-handling services such as ticketing, check-in and baggage services for the likes of BMI and easyJet, had "increased contract win momentum and generally positive trading".

The group admitted its more established newspaper and magazine distribution arm "operates in challenging markets" but cost savings are keeping profits on track.

The newspaper and magazine division, which is focused on the UK and does not have a large international arm, got a one-off boost from the Royal Wedding with sales well above normal levels.

Shares, up 40p at 545p today, have risen almost 50% in the past year as the group has diversified.

Analyst Numis raised profit forecasts, saying: "We believe the growing Aviation business will start to dominate the earnings profile."