Net sales rose 24 per cent to Rs 500.4 crore, against Rs 404.5 crore. Corporate sales was up 21 per cent to Rs 270 crore, a company release said.

Net profit margins stood at 3.7 per cent, against 3.4 per cent.

Profits have risen despite the continuing economic slowdown, it said. This increase has been achieved, mainly through the success of new introductions in the biscuit, cake and dairy segments, it added.

"However, it should be noted that the first quarter of 1997 does not include sale of dairy products. On a comparable basis, sales increased by 20 per cent during the first half," the company said.

The company's main new products were Tiger biscuits, Half-Half cake and cheese spreads. Gross profit improved 35 per cent, while net profit by 36 per cent during the quarter.

The company said that growthin earnings was achieved mainly through all-round cost savings, productivity gains and effective treasury management. "Our efforts in these areas continue, which together with the new product launches will help neutralise the adverse impact of the depressed economy and spiralling increase in input prices and thus help to maintain a healthy bottomline.

On the BSE, the Britannia Industries scrip on Monday increased by Rs 13 to close at Rs 714.75 per share over the previous close of Rs 701.75 per share.