BUSINESS WEBSITES


Stay Informed. Register with us and keep up to date with the latest news and publications - link to alert service page

Bunzl Pre Close Statement


27 June 2006

Bunzl plc, the international distribution and outsourcing Group, is updating the market today prior to entering the close period for the six months to 30 June 2006.

The Company announces that:

  • Overall trading is expected to be in line with market estimates.
  • Revenue in North America remains strong aided by good underlying growth, supported by upward pressure from product prices, and the impact of recently acquired businesses. The acquisitions made in the second half of 2005, at lower than the Group’s average margins, are now largely integrated on to the Company’s IT platform and are expected to show benefits in future periods.
  • In the UK and Ireland, revenue is growing despite weaker market conditions. Tight cost control, supported by additional operating efficiencies, continues to offset rising operating costs.
  • Revenue in Continental Europe continues to develop well due to a combination of good organic growth across all countries and the impact of acquisitions.
  • Strong overall revenue growth in Australasia has resulted from satisfactory underlying performance and the effect of acquisitions made since the first half of 2005. As previously announced for comparison purposes, the revenue and operating profit for Australasia for the first half of 2005 were £47.2 million and £3.3 million respectively.
  • Year-to-date the Company has announced four acquisitions, one in each Business Area. The acquisition outlook remains promising and further activity is expected in the coming period.

Bunzl’s strategy of pursuing organic growth, continuing to refine its operating model, expanding international sourcing and growing through acquisitions will continue to allow the Group to progress satisfactorily.

Enquiries:

Bunzl plc
Michael Roney, Chief Executive
Brian May, Finance Director
Tel: 020 7725 5000

Finsbury
Roland Rudd
Morgan Bone
Tel: 020 7251 3801