Indian food group Britannia Industries saw its earnings climb in its first quarter, boosted by an increase in sales.

In the three months to the end of June, earnings reached INR894.9m (US$14m) compared to a net profit of INR464.8m last year. Britannia’s operating margin for the period increased to 7.7% from 4.7% in the year ago quarter.

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“The expansion in margin is consequent to an improvement in product mix and higher price realisation coupled with an emphasis on cost management – the growth momentum we saw in the second half of last year,” said Britannia Industries managing director Vinita Bali.

Operating profit reached INR118.1m in the quarter, from INR63.1m in the prior year. Britannia’s finance costs in the quarter declined to INR4m from INR10m in the 2012 quarter.

Sales in the three months climbed 15% to INR1.4bn.

Click here to view the full earnings release.

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