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24 Aug 2020
Bunzl plc

Half yearly financial report for six months ended 30 June 2020

Financial results

H1 20

H1 19

as reported
at constant exchange


Revenue £4,846.3m £4,528.4m 7.0% 6.7%
Adjusted operating profit* £340.8m £302.7m 12.6% 13.0%
Adjusted profit before income tax* £306.8m £264.2m 16.1% 16.6%
Adjusted earnings per share* 70.1p 60.4p 16.1% 16.4%
Interim dividend 15.8p 15.5p 1.9%  
Additional 2019 interim dividend 35.8p      
Statutory results        
Operating profit £279.4m £239.0m 16.9%  
Profit before income tax £245.4m £200.5m 22.4%  
Basic earnings per share 55.6p 46.5p 19.6%  

Highlights include:

  • Strong and resilient performance despite Covid-19 challenges with revenue up 7.0%, 6.7% at constant exchange rates, and double digit increases in adjusted operating profit* and adjusted earnings per share*
  • Adjusted profit before income tax* up 16.6% at constant exchange rates to £306.8 million
  • Operating margin* 7.0%, up 30 basis points on a reported basis and 40 basis points at constant exchange rates
  • Return on average operating capital* and return on invested capital* increased to 39.7% and 14.4% respectively
  • Continued strong cash conversion* of 112% with net debt to EBITDA only 1.6x (1.9x at end of 2019)
  • 27 year track record of dividend growth continues with the reinstatement of the 2019 final dividend of 35.8p per share as an additional interim dividend for 2019 and interim dividend for 2020 up 1.9% to 15.8p per share
  • Acquisition activity has resumed with the proposed acquisition of MCR Safety and Abco Kovex announced today and a number of ongoing discussions taking place with a promising pipeline of potential opportunities

Commenting on today’s results, Frank van Zanten, Chief Executive Officer of Bunzl, said:

“Despite the unprecedented challenges experienced as a result of the Covid-19 pandemic during the first half of the year, these results have once again demonstrated the strength of our customer proposition and supply chain and the resilience of our business model and consistent and proven strategy. Throughout this period, a key priority has been the continued safety and wellbeing of people connected with our business including Bunzl colleagues, customers and suppliers. I have been greatly impressed by our tireless, dedicated and hardworking colleagues around the world as they have had to adapt their usual working practices to respond to the unprecedented demands placed on our business.

Looking forward, although there remains considerable uncertainty, we expect to face challenging trading conditions during the second half of the year. However the fundamental aspects of our business model remain attractive with the Group’s strong cash generation allowing us to maintain Bunzl’s long track record of dividend growth and continue our compounding strategy of consolidating the Group’s fragmented markets through focused acquisitions.”


* Alternative performance measure (see Note 2).



Bunzl plc Tulchan
Frank van Zanten, Chief Executive Officer David Allchurch
Richard Howes, Chief Financial Officer Martin Robinson
Tel: +44 (0)20 7725 5000 Tel: +44 (0)20 7353 4200

Half year financial report for six months ended 30 June 2020


A live webcast of today’s presentation to analysts will be available on the Company’s website at commencing at 9.30 am.