July 22 (Reuters) - RPC Group Plc (RPC.L), a supplier of plastic packaging, said its first-quarter operating profit was ahead of the same period last year as a fall in sales volumes was more than offset by lower costs and improved margins.

RPC Group, cosmetics and toiletries' plastic packaging on display - Photo: www.rpc-group.com

Revenue for the first quarter ended June fell as sales volumes in the cosmetics and personal care sectors were hit by customer destocking and polymer price reductions were passed through to customers, RPC said on Wednesday 22 July.

"The current economic environment remains difficult and is impacting volume levels," RPC, which has been cutting costs extensively across the group through job cuts, said in a statement.

RPC, whose customers include Unilever, Kraft, Nestle and Procter & Gamble, said its financial position remained "robust".

The company said its RPC 2010 programme, which contains the two major work streams -- plant optimisation and performance enhancement -- was progressing well.

RPC said it had also identified potential further cost-savings in the procurement area.

RPC shares were up 3 percent at 208 pence at 1100 GMT on the London Stock Exchange.

(Reporting by Balachander Surianarayanan in Bangalore; Editing by Gopakumar Warrier)