TOTTENHAM Hotspur enjoyed a half year profits surge to £7.1 million sterling, thanks to millions earned on player transfers, "excellent" team performance and improving commercial activity, the club said yesterday.

In the six months to November 30th, taxable profits went up from £2 million in the corresponding period a year earlier after some lucrative changes to the playing squad.

Chairman Mr Alan Sugar said Spurs had made £4.8 million from trading players, like selling Nick Barmby to Middlesbrough, compared with £1.5 million in the corresponding period in 1994.

Core business profits of £2.3 million came after increased sponsorship deals with Hewlett Packard and Pony, TV fees and higher gate receipts, as well as increased profits from merchandising.

"These record interim results are very pleasing and continue to reflect the true potential of the club," said Mr Sugar.

Spurs expected to see the return of key injured players so that it could make a serious challenge for a position in Europe, he said.

However, the club is under threat of being banned from Europe because of a row concerning a below strength team fielded in the Inter Toto Cup.