Metro International has announced a €476,000 (£398,000) net profit in the second quarter, due to impressing performances in Sweden and Hong Kong, Brand Republic reported.

The publisher, which has eagerly expanded to become one of the largest newspaper groups by footprint around the world, posted its second quarter net revenues at €57.3 million (£47.9 million), compared to €60.7 million (£50.75 million) one year ago, according to a company press release.

However, the company still lost €5.3 million (£4.4 million) in the first half of 2010, after the €5.8 million loss in the first quarter. Because of its free newspaper model, the company solely relies on advertising, which has forced it to reduce costs and pull back during the economic downturn. Last year it shut down its operations in Spain, due to the advertising slump, Brand Republic reported.

During the second quarter, Metro won the contract to distribute the paper in Hong Kong's mass transit system. On the other hand, the paper also agreed to divest of its Greek operations, but will still be published under a franchise agreement, Editor and Publisher reported.

Metro's footprint covers more than 100 major cities in 19 countries across Europe, North and South America, and Asia.