Breaking News
FONT-SIZE Plus   Neg
Share SHARE
mail  E-MAIL

Bunzl Expects 7% Revenue Growth In H1; Buys US-Based Service Paper Co.

6/27/2012 3:29 AM ET

Distribution and outsourcing group Bunzl Plc (BNZL.L, BZLFY.PK) Wednesday said it expects first-half revenues to grow about 7 percent at constant exchange rates and also announced the acquisition of a U.S. firm, Service Paper Co.

Bunzl did not disclose how much it paid for the company that distributes disposable supplies to grocery, foodservice, food processor and industrial packaging sectors throughout the Pacific Northwest.

For the year ended December 31, 2011, revenue of the business acquired was $61 million and gross assets purchased are expected to be $18 million, Bunzl noted.

Commenting on the acquisition, Michael Roney, chief executive of Bunzl said, "Service Paper is an excellent business with a reputation for providing high levels of customer service which will complement and expand our existing business in the region."

In early May, the company had completed three acquisitions in the U.S., Israel and Australia.

Bunzl said including the acquisition of Service Paper, it has completed five acquisitions year to date with annualized revenue of about 130 million pounds.

In a trading statement ahead of its first half ending June 30, 2012, Bunzl said along with a 4 percent underlying revenue growth, acquisitions and the disposal of the UK Vending business also helped it grow total revenues.

Bunzl added that its operating margin also improved slightly due to the impact of acquisitions completed in 2011 and the sale of the UK Vending business.

BNZL.L is currently trading at 1,015 pence, down 5 pence or 0.49 percent, on a volume of 35 thousand shares.

Register
To receive FREE breaking news email alerts for Bunzl plc and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Chipmaker Advanced Micro Devices Inc. said Thursday after the markets closed that its first quarter loss narrowed from last year, helped by strong revenue growth in its graphics and visual solutions business. The company's quarterly earnings per share, excluding items, also came in above analysts' expectations as did its quarterly revenue. After trending higher over the past few sessions, stocks showed a lack of direction throughout the trading day on Thursday. The major averages spent the session bouncing back and forth across the unchanged line before ending the day mixed. While the major averages closed on opposite sides of the unchanged line, they all showed only modest moves. U.S. Secretary Of State John Kerry said Thursday that he and his counterparts from Russia, Ukraine and the European Union have reached an agreement on a preliminary plan for ending the ongoing crisis in Ukraine. Kerry was speaking at the end of the Ukraine contact group's first meeting, comprising the foreign ministers of Russia, Ukraine, the EU and the U.S., in the Swiss city of Geneva.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.