Annual results for year ended 31 December 2009

22 Feb 2010

Bunzl plc, the international distribution and outsourcing Group, today publishes its annual results for the year ended 31 December 2009.

Other highlights include:

• Group operating margin markedly improved in the second half of the year compared to the first half
• Underlying revenue growth of 2.6% in North America, the largest business area
• Cost reduction initiatives resulted in significant improvement in the UK & Ireland operating margin in the second half of the year compared to the first half
• Strong increase in operating margin in Continental Europe compared to 2008
• Continued strong cash flow with operating cash flow to operating profit* of 102% and net debt to EBITDA† at the year end reduced to 2.2 times
• Track record of dividend growth continues with 5% increase
• Two acquisitions already completed in 2010

* Before intangible amortisation
† Operating profit before depreciation and intangible amortisation

Commenting on today's results, Michael Roney, Chief Executive of Bunzl, said:

"The Group has delivered robust results against the backdrop of challenging macro-economic conditions across its international markets. I am particularly encouraged by the second half performance of all of the business areas, highlighted by the positive underlying growth in North America, the improvement in operating margins achieved in the UK & Ireland and the Rest of the World and the higher operating margin in Continental Europe.

Looking ahead, while the economic conditions are expected to remain challenging, we believe that Bunzl should continue to show resilience and to develop well, helped by our leading market positions, an improving environment for acquisitions and our strong cash flow and balance sheet."

Bunzl also today announces that it has acquired Hamo A/S in Denmark from a privately owned company which is wholly owned by Peter Bergman.

Based in Rødovre, Hamo is principally engaged in the supply of catering disposables and light catering equipment to a variety of end users in both the public and private sectors in Denmark. Pro forma revenue in the year ended 31 December 2009 was DKK43.2 million and the gross assets acquired are estimated to be DKK14.8 million.

Commenting on the acquisition, Michael Roney said:

"Hamo is a good fit with our existing catering supplies business in Denmark, extends our customer base in this important market and complements the business of Clean Care which we acquired in January. I am delighted to welcome the management and staff to Bunzl."

Enquiries:

Download the Annual Results for Year Ended 31 December 2009 (PDF 276KB)

Note:
A live webcast of today's presentation to analysts will be available on www.bunzl.com commencing at 9.30 am.