Trading Statement

RNS Number : 8354H

Bunzl PLC

26 June 2013

 



26 June 2013

BUNZL PRE CLOSE STATEMENT

 

Bunzl plc, the international distribution and outsourcing Group, is updating the market today relating to the six months ending 30 June 2013 prior to entering its close period.

Overall trading is consistent with expectations at the time of the Interim Management Statement in April.  At constant exchange rates Group revenue growth for the period is expected to be approximately 11% due to underlying revenue growth of about 2% and the positive impact of acquisitions.  Group operating margin for the period is expected to be at the same level as the first half of 2012.  As previously indicated, the results will be impacted by a higher net finance cost resulting from increased acquisition spend, additional longer term fixed rate borrowings and the introduction of the revised accounting standard IAS19.  The reported Group results for the first half are expected to have a positive currency exchange translation impact of between 1% and 2%.

Acquisitions are a key component of the Group's growth strategy and year to date the Company has completed four acquisitions with annualised revenue of more than £150 million.  The current environment for acquisitions remains positive with a promising pipeline of opportunities.

Bunzl's strong balance sheet, high cash generation relative to operating profit and numerous opportunities to consolidate further the markets in which it operates should enable the Group to continue to increase shareholder value.

Enquiries:

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

Tulchan David Allchurch Stephen Malthouse Tel: [phone]

 

END

 

 

TSTBSGDLGBDBGXU