Britannia Industries Ltd has recorded an increase3.94 per cent increase in net profit to Rs 43.45 crore during the first quarter of the financial year till June 2012.

Britannia had reported a net profit of Rs 41.8-crore in the same quarter of the previous year. The net sales of the company rose to Rs 1,222 crore for the first quarter compared to Rs 1,103 crore during the same period of the previous year.

Managing Director Vinita Bali said that the operating margin of the company rose by a 120-basis-point during the quarter.

"Last year, we were able to increase operating margins by 80 basis points. Now, in the first quarter of the current financial year itself, it has improved by 120 basis points. We continue to work on three priority areas of revenue management, cost management and innovation to improve the operational performance across the categories," she said.

Britannia, GoAir and all other Wadia Group companies will now start paying up to 0.1 per cent of net sales as royalty payments. The companies, both listed and unlisted will now pay to 0.25 per cent for shared services to their parent company from this financial year.

The Wadia Group maintains a presence across various sectors through its firms including Britannia in food, Bombay Dyeing and Manufacturing in and furnishings, Bombay Burmah Trading in plantations, Citurgia Biochemicals and National Peroxide in chemicals, Bombay Realty in realty and GoAir in aviation.