Business · NEWS EXPLAINER
Bunzl’s Q3 underlying revenue rises 3.7% as North America supports growth
Group revenue grew 3.1% at constant exchange rates, while acquisitions added 0.4 points and fewer trading days cut 1.1 points. Bunzl reiterated its full-year outlook rather than raising it again.
Bunzl reported a 3.7% increase in third-quarter underlying revenue and a 3.1% rise in group revenue at constant exchange rates for the three months ended September 30. The company said product-cost inflation and volume growth both helped, with North America Distribution the clearest volume driver.
The specialist distributor kept the full-year outlook issued at the half year: modest underlying revenue growth and a broadly flat annual operating margin compared with 7.6% in 2025. The statement also separated acquisition support, fewer trading days, Blueleaf and buyback progress so readers can distinguish operating performance from capital allocation.
Underlying revenue rose faster than reported group revenue
Bunzl said third-quarter group revenue increased 3.1% at constant exchange rates and was broadly the same at actual rates. Its underlying measure rose 3.7%. Bunzl defines underlying revenue as organic revenue adjusted for trading days and excluding hyperinflationary growth above 26% a year in Turkey; the company said that hyperinflation adjustment had no impact in this period.
North America supplied the clearest operating support
The company attributed the underlying increase to both product-cost inflation and volume growth, with volumes continuing to be driven by a strong North America Distribution performance. Reuters noted that North America was 53% of group revenue in 2025, which makes that improvement important to the quarterly read-through. The statement did not publish regional revenue or profit amounts for the quarter.
Acquisitions helped, but fewer trading days pulled the other way
Acquisitions added 0.4 percentage points to revenue growth, while fewer trading days reduced growth by 1.1 percentage points, Bunzl said. Those figures describe separate parts of the revenue bridge and should not be confused with the 3.7% underlying measure, which already adjusts for trading-day differences. Inflation and volume were both positive drivers, but the statement did not give a numerical split between them.
The full-year outlook was reiterated, not upgraded again
After upgrading guidance at the half year, Bunzl reiterated that it expects modest full-year underlying revenue growth, some support from inflation and a small acquisition benefit. It still expects the annual operating margin to be broadly flat against the 7.6% reported for 2025. Net adjusted finance expense is expected at £125 million to £130 million and the effective tax rate around 26%. Guidance excludes acquisitions announced since September 1, 2026.
Blueleaf and the buyback are separate capital-allocation updates
Bunzl also said it completed the UK acquisition of care-home products distributor Blueleaf in October; Blueleaf generated £58 million of revenue in 2025. The group has completed about £225 million of the £500 million share buyback announced at the half year. These updates do not change the meaning of the quarterly revenue figures, and the company says it is retaining balance-sheet headroom for further bolt-on acquisitions.
