Interim Management Statement

RNS Number : 2025F

Bunzl PLC

20 April 2011

 

20 April 2011

BUNZL INTERIM MANAGEMENT STATEMENT

Bunzl plc, the international distribution and outsourcing Group, today announces its interim management statement for the period since 31 December 2010.

Overall trading has been consistent with expectations at the time of the annual results announcement in February.  At constant exchange rates, Group revenue in the first quarter has increased 12% compared to the same period last year due to underlying revenue growth of 2.5%, the positive impact from acquisitions and additional trading days in 2011 compared to the comparable period in 2010.  There has been a small overall negative translation impact from exchange. 

The improvement in underlying revenue is due to continuing good growth in North America, Continental Europe and the Rest of the World with the persistent difficult economic conditions holding back revenue in the UK & Ireland.  Group operating margin has also increased in the first quarter as a result of an improvement in mix and the additional trading days in the period.

Acquisitions remain a key component of Bunzl's strategy.  Cannon Consumables in the UK and Omega in Australia, which were acquired in March, are integrating well. 

There has been no significant change in Bunzl's financial position during the period and the Group continues to have substantial funding headroom available.  Bunzl's strong cash flow and balance sheet, together with a promising pipeline of potential acquisition targets, should continue to give the Group opportunities to consolidate the markets in which it operates.

The Board is confident that Bunzl's market leading positions and the positive impact from acquisitions should allow the Group to grow further.

Enquiries:

Bunzl plc Michael Roney, Chief Executive Brian May, Finance Director Tel: [phone]

Tulchan David Allchurch Stephen Malthouse Tel: [phone]

 

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