Lower costs and a 7 per cent growth in sales pushed first quarter net profit at Indian Rayon & Industries Ltd up 52 per cent year-on-year.
 
Net profit rose to R150.8 million from R99.1 million a year earlier as sales grew to R3.65 billion from R3.42 billion.

Raw material costs, a key component of Indian Rayon's expenses, remained stagnant at INR1.61 billion in spite of higher sales; other expenses, including sales and administrative costs, dropped 7% to INR1.07 billion in the quarter.

Indian Rayon, an Aditya Birla Group company, whose operations include textiles and insulators, is in the process of spinning off its insulator division.