However, the company's net sales during the quarter went up marginally to Rs 53.16 crore from Rs 52.69 crore. UB has not made any provision for taxation during the period, though the tax for the 12 months ended March 31, 1999 was Rs 0.53 crore.

During the first half of the current fiscal, UB's net profit was down by 69.44 per cent at Rs 2.75 crore (Rs 9 crore). During the half, the company's net sales were Rs 136.52 crore (Rs 140 crore). Other income of UB stands at Rs 26.75 crore.

The company says conditions unfavourable to the brewing industry had resulted into the sluggish growth. The results were taken on record by the board of directors on October 20, according to a statement from UB.

Total expenditure during the second-quarter was lower at Rs 62.62 crore (Rs 63.34 crore). But the expenditure for the half-year increased to Rs 147 crore from Rs 140 crore. The launch of `Kingfisher Strong' in major markets in the country cost it around Rs 7 crore.

The company recorded a gross profit of Rs 6.76 crore (Rs 6.13 crore) during the quarter. Other income during the period was Rs 20.70 crore (Rs 22.56 crore). During the fiscal 1998-99, the company's net profit and net sales were Rs 12.21 crore and Rs 302.99 crore respectively.