London, April 25, 2026, 23:07 BST
Bunzl shares climbed on Friday, closing 0.91% higher at 2,447 pence in London, according to market data. This came two days after the business supplies distributor reaffirmed its 2026 outlook and offered investors clearer signs of a recovery in North America.
Bunzl is still in recovery mode after margin pressure in North America—its largest market—where soft demand and operational missteps dented results. According to Reuters, the company has responded by slashing expenses and tweaking its product lineup in the region.
Bunzl reported a 1.5% increase in group revenue for the first quarter when measured at constant exchange rates, taking out the impact of currency shifts. Stripping out factors like acquisitions and trading-day differences, underlying revenue climbed 2.0%—with volume gains and higher tariffs both giving a lift. But at actual exchange rates, revenue slipped 0.4%.
Guidance stays as is. The company is sticking with its forecast for moderate revenue growth through 2026 at constant exchange rates. For operating margin, a gentle drop from last year’s 7.7% is still on the table. Adjusted operating profit for the quarter landed where management had penciled in, with the outlook pointing to a steadier year ahead.
Chief Executive Frank van Zanten pointed to underlying growth for the quarter, crediting both performance initiatives and a renewed push on organic revenue. Bunzl’s deal pipeline remains busy, he added, and van Zanten sees better prospects for acquisitions than a year ago.
At the annual meeting, shareholders cleared the way for management—every resolution went through. The final dividend sailed by with 98.72% approval, and authority for an ordinary share buyback drew in 98.71%, according to a regulatory filing.
Competition remains patchy. Just last month, RS Group—also listed in the UK—flagged that U.S. tariff questions had led big Mexican clients to hold back on orders, making Bunzl’s tariff-sensitive pricing and its remarks on North America stand out.
Skepticism lingers on the sell side. Jefferies kept its “Underperform” call on Bunzl, sticking to a 1,900 pence price target. Over at RBC, analysts held firm at 2,200 pence. MarketBeat lists the consensus as “Reduce.” MarketBeat
Still, there’s room for setbacks. Back in March, Investors’ Chronicle reported Bunzl was working to patch things up in North America after a miscalculated push for its own brands—paired with a shift to a more centralised approach—ended up costing the company a big client. The publication also noted that 2025 operating profit came in at £910 million, down 4.3% at constant exchange rates.
Bunzl’s half-year results are set for release on September 1, covering the period through June 30. In the meantime, investors will be tracking North America’s momentum, checking if tariff-driven price hikes hold, and looking to see if acquisitions boost growth without piling on new risk.
