Enthusiastic about Quarto

Underlying operating profit grew 6 per cent to $3.9m (£2.5m) in the six-month period, although new, more expensive financing hit the pre-tax figure. A 3 per cent increase in revenues at the core book publishing business to $53.4m - helped by the Frances Lincoln acquisition - easily offset falling sales at the co-edition book licensing unit where profits slumped by a third. Fewer new titles, mainly due to a lag caused by slow decision making in English-speaking markets at the back-end of 2010, were to blame. Growth in Brazil and Mexico also slowed.

Still, Quarto expects to play catch-up in the second half which usually generates about two-thirds of that division's revenue, so full-year results should be "reasonably solid". It's also having success bringing debt under control - inventories are down $2m year on year - and net interest payments are still covered 3.5 times by underlying operating profits. Expensive interest rate swaps begin to drop off in December, too. Activist investor Christopher Mills is also stirring things up, so expect more news soon.