Bunzl PLC (BNZL.LN), the international distribution and outsourcing group, said Tuesday revenue growth for the year ending Dec 31 is expected to be between 3% and 4% due to underlying revenue growth and the positive impact from acquisitions and exchange.

MAIN FACTS:

-Excluding the impact from the previously announced sale of products related to H1N1 prevention last year, underlying revenue growth is approximately 1.5% as a result of a slight improvement in the second half growth rate compared to the first half of 2010.

-Overall trading is consistent with expectations at the time of the Interim Management Statement in October.

-In North America, the largest business area, underlying revenue growth is strong, albeit with some margin pressure, due largely to increased volumes to existing customers.

-In the U.K. & Ireland, although revenue is below that of the previous year due to the persisting difficult economic conditions, margins have increased significantly on 2009.

-Revenue and operating profit in Continental Europe were positively impacted by the sale of H1N1 prevention products in 2009, particularly in the second half; After adjusting for this impact, both revenue and operating profit are ahead of the prior year due to the impact of acquisitions.

-Strong underlying growth and substantial margin improvement has led to excellent profit growth in the Rest of the World.

-Acquisitions continue to be a key component of the Group's growth strategy; The current environment remains promising and discussions are ongoing with a number of interested parties.

-Bunzl's geographically diversified business, strong cash flow and robust balance sheet position the Company well to take advantage of appropriate opportunities to develop further.

-Shares closed Monday at 707.50 pence, valuing the Company at GBP2.33 billion.

-By Jana Weigand, Dow Jones Newswires; 44-20-7842-9314; jana.weigand@dowjones.com

 
 
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