Bunzl Q3 group revenues grow, reiterates FY guidance

24th Oct 2024 09:37

(Sharecast News) - Distribution and outsourcing firm Bunzl said on Thursday that group revenue had grown in Q3, leading it to reiterate its FY guidance.

Bunzl said Q3 group revenues were up 5.4% at constant exchange rates, while underlying revenues declined 1.2% . It also said it had delivered "modest volume growth" on a year-on-year basis.

The FTSE 100-listed group stated its FY guidance remained unchanged, with Bunzl continuing to expect to deliver "robust revenue growth", at constant exchange rates, driven by acquisitions already completed in 2024, with "a small decline" in underlying revenue.

Bunzl also continues to expect adjusted operating profits to show "a strong increase" in comparison with 2023, at constant exchange rates, with group operating margins guided to be "moderately above" the level reported for 2023.

It also reiterated its commitment to allocate roughly £700.0m a year, primarily to be invested in value-accretive acquisitions and returns of capital in each of the three years ending 31 December 2027.

Chief executive Frank van Zanten said: "Bunzl has delivered another period of good growth that demonstrates the ongoing strength of our compounding strategy and resilient business model. I am pleased to see continued momentum in underlying revenue performance and the extension of this year's acquisition success."

As of 0935 BST, Bunzl shares were down 2.83% at 3,445.60p.

Reporting by Iain Gilbert at Sharecast.com