Interim Results For Six Months Ended 30 June 2006

29 Aug 2006

Bunzl plc, the international distribution and outsourcing Group, today announces its interim results for the six months ended 30 June 2006 and two significant acquisitions in North America.

• Revenue up 17% to £1,603.2 million
• Operating profit* up 14% to £104.8 million
• Profit before tax up 9% to £88.1 million
• Earnings per share of continuing operations up 7% to 17.5p
• Adjusted earnings per share* up 8% to 19.3p
• Dividend up 8% to 5.3p

* before intangible amortisation

Other highlights include:

• All business areas increased revenue and profits
• Improved overall organic growth
• Southern Syringe, a healthcare distributor in the UK, acquired in July
• Acquisitions in North America of Morgan Scott and United American Sales announced today
• Acquisitions to date add annualised revenue of about £285 million
• Limited on-market share buy back

Commenting on today's results, Anthony Habgood, Chairman of Bunzl, said:

"These are a good set of results. They combine sound operating performance with a number of acquisitions which fit closely with our stated strategy while at the same time opening important potential development opportunities for the Group."

Michael Roney, Chief Executive of Bunzl, said:

"These results show the good progress which we have made in the first half. Our improved level of underlying growth and the continuing integration of acquisitions clearly position us well for the future."

Bunzl also today announces that it has completed two further acquisitions in North America.

The Company has acquired the business of Morgan Scott from two privately owned companies, Morgan Scott Inc, controlled by William O'Brien and Robert Giroux, and Morgan Scott (Kingston) Inc, controlled by Robert Tremblay. Based in Toronto, the business is engaged in the distribution of jan/san and foodservice disposable products in eastern Canada. Revenue in 2005 was C$65.6 million and the gross assets acquired are estimated to be C$19 million.

Bunzl has also purchased the business of United American Sales Inc from a private company owned by Joseph Sodini and Timothy Homan. Based in Ohio with facilities also in California, Nevada, Texas and Georgia, the business supplies personal protection equipment through redistributors to the industrial and construction markets. Revenue in 2005 was $57.7 million and the gross assets acquired are estimated to be $15 million.

Commenting on these acquisitions, Michael Roney, Chief Executive of Bunzl, said:

"The acquisitions of Morgan Scott and United American Sales are excellent additions to our successful and growing business in North America. Morgan Scott will further strengthen our presence in eastern Canada, particularly in the jan/san and foodservice sectors, while United American Sales will enable us to enter the redistribution sector for personal protection equipment in North America and provides an opportunity to develop further in this market.

Together with Southern Syringe, announced in July, we have now completed three acquisitions since the end of June, each of which gives the Group exciting opportunities to develop successfully in both existing and new sectors with significant potential. With the acquisitions made in the first half, they will add annualised revenue of about £285 million".

Download the Interim Results for Six Months Ended 30 June 2006 (PDF 208KB).

Enquiries: