Bunzl's H1 revenue climbs on North America distribution strength; announces £500 mln share buyback

Bunzl Public

01/09/2026 07:10

Overview
UK distribution and services group's H1 revenue grew 3% yr/yr, supported by volume and inflation
Adjusted EPS for H1 rose 11.4% yr/yr, driven by margin expansion and operational improvements
Company announced new £500 mln share buyback program to be completed over next 12 months

Outlook
Bunzl upgrades 2026 outlook, sees modest underlying revenue growth supported by some inflation
Company expects 2026 operating margin to be broadly flat year-on-year versus 7.6% in 2025
Bunzl expects modest adjusted operating profit growth for 2026 at constant exchange rates

Result Drivers
VOLUME GROWTH - Co said underlying revenue growth was led by volume increases, especially in North America Distribution
INFLATION IMPACT - Product cost increases, particularly in plastic-related categories, contributed to revenue and margin expansion, though much is expected to be temporary
OPERATIONAL IMPROVEMENTS - Restored service levels and agility in North America Distribution supported financial performance

Company press release: ID:nRSA6885Sa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
 
GBP 5.93 bln
GBP 5.90 bln (1 Analyst)
H1 Adjusted EBIT
 
GBP 440.6 mln
 
H1 Adjusted Pretax Profit
 
GBP 380.9 mln
 
H1 Dividend
 
GBP 0.208
 
H1 Pretax Profit
 
GBP 290.4 mln
 
*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 5 "strong buy" or "buy", 8 "hold" and 4 "sell" or "strong sell"
The average consensus recommendation for the diversified industrial goods wholesale peer group is "buy."
Wall Street's median 12-month price target for Bunzl plc is GBp2,650.00, about 5.1% below its August 28 closing price of GBp2,792.00
The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 13 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)