Bunzl (BNZL) Q3 2024 TU earnings summary

Executive summary

• Group revenue grew 5.4% at constant exchange rates in Q3, with underlying revenue down 1.2%, showing improvement over the prior quarter.

• Modest year-on-year volume growth was supported by improved US foodservice redistribution performance.

• Acquisitions contributed 6.8% growth at constant exchange rates, with 11 acquisitions announced year-to-date.

Financial highlights

• Group revenue increased 2.0% at actual exchange rates for the quarter.

• Operating margin was in line with expectations, supporting the 2024 outlook.

• Hyperinflationary economies contributed a small decrease of 0.2% to growth.

Outlook and guidance

• Full year guidance remains unchanged, expecting robust revenue growth at constant exchange rates, driven by acquisitions.

• Adjusted operating profit for 2024 is expected to show a strong increase versus 2023 at constant exchange rates.

• Group operating margin is expected to be moderately above 2023 levels.