Bunzl PLC (BNZL.LN) Announces Results

Of DOW JONES NEWSWIRES

LONDON (Dow Jones)--Distribution and outsourcing group Bunzl PLC (BNZL.LN) Monday said full-year trading is in line with expectations, enabling it to take advantage of opportunities to develop further.

The company said full-year revenue rose 11% on the year, buoyed by positive currency exchange. At constant exchange rates, underlying revenue in the second half is some 1% below the 2008 figure but this is a slight improvement in the growth rate compared to the first half of 2009.
Bunzl said its operating margin has also improved compared to the first half, largely due to cost cutting and a reduced negative transaction impact from foreign exchange, particularly in the U.K. & Ireland and Australasia. Revenue growth in North America in the second half is slightly stronger than the 2% growth recorded in the first half, due to new customer wins and additional business with existing accounts, but revenue in the U.K. & Ireland continued to be below last year's - hit by the weak economy.

Bunzl, based in London, provides outsourcing solutions and service-oriented distribution, supplying a broad range of non-food consumable products. Its main customer markets include grocery, food service, cleaning and safety, non-food retail and health care.

Bunzl shares closed Friday at 657 pence, giving the company a market valuation of GBP2.16 billion. They've risen 11.4% since the start of the year.



-By Anita Likus, Dow Jones Newswires; +44 20 7842 9407; anita.likus@dowjones.com