Bunzl (LON:BNZL) Announces Quarterly Earnings Results

Bunzl (LON:BNZL) announced its quarterly earnings results on Tuesday. The company reported GBX 65.70 earnings per share (EPS) for the quarter, Digital Look Earnings reports. Bunzl had a net margin of 4.82% and a return on equity of 20.61%.

Here are the key takeaways from Bunzl’s conference call:

• Underlying revenue growth accelerated to 3.2%, with volume growth across all business areas and particularly strong momentum in North American distribution.
• Bunzl upgraded its 2026 outlook to modest adjusted operating profit growth and expects full-year operating margins to be broadly flat year over year.
• Strong cash generation and 1.8x leverage support a newly announced £500 million share buyback, while the company retains capacity for increased bolt-on acquisition spending.
• North American distribution delivered 8% underlying revenue growth as service levels, local decision-making, employee retention, and customer relationships improved, creating a platform for further market-share gains.
• Second-half margins are expected to decline year over year as temporary inflation-related inventory benefits unwind, selling prices normalize, Nisbets synergies annualize, and variable operating costs remain elevated.

Bunzl Price Performance

Shares of Bunzl stock opened at GBX 2,676 on Thursday. The firm has a market cap of £8.59 billion, a PE ratio of 18.99, a PEG ratio of 5.40 and a beta of 0.32. The stock has a 50 day moving average of GBX 2,743.34 and a 200 day moving average of GBX 2,474.74. The company has a current ratio of 1.38, a quick ratio of 0.73 and a debt-to-equity ratio of 95.61. Bunzl has a 12 month low of GBX 1,981 and a 12 month high of GBX 2,898.

Key Bunzl News

Here are the key news stories impacting Bunzl this week:

• Positive Sentiment: Bunzl raised its 2026 outlook, forecasting modest profit growth and a better margin performance, while announcing a £500 million share buyback. The buyback should support earnings per share and signals confidence in cash generation. Bunzl raises 2026 outlook and announces £500 million share buyback
• Positive Sentiment: The expected North American turnaround is providing additional support, with improved performance in the region helping lift the investment outlook. Bunzl gets a lift from North American turnaround
• Positive Sentiment: JPMorgan raised its price target from GBX 2,610 to GBX 2,800 and retained an “overweight” rating, indicating expectations for further upside.
• Positive Sentiment: The stock reached a new 12-month high, reflecting stronger market momentum following the improved outlook and buyback announcement. Bunzl hits new 12-month high
• Neutral Sentiment: Chief executives in North America and the UK and Ireland disclosed share acquisitions through employee stock plans. These transactions may indicate management alignment but were not described as open-market purchases. Bunzl North America CEO share transaction
• Neutral Sentiment: Deutsche Bank maintained its “hold” rating but increased its target to GBX 3,000, while RBC reiterated “sector perform” with a GBX 2,600 target. Bunzl analyst rating updates
• Negative Sentiment: Jefferies reiterated an “underperform” rating, highlighting continued analyst disagreement and a potential constraint on the shares after their recent advance. Jefferies reiterates underperform rating for Bunzl

Wall Street Analyst Weigh In

BNZL has been the topic of several analyst reports. Jefferies Financial Group reiterated an “underperform” rating and set a GBX 1,900 target price on shares of Bunzl in a research report on Tuesday. Deutsche Bank Aktiengesellschaft restated a “hold” rating and set a GBX 3,000 target price on shares of Bunzl in a research note on Wednesday. Royal Bank Of Canada reaffirmed a “sector perform” rating and issued a GBX 2,600 target price on shares of Bunzl in a report on Tuesday. JPMorgan Chase & Co. increased their price target on Bunzl from GBX 2,610 to GBX 2,800 and gave the stock an “overweight” rating in a research note on Wednesday. Finally, Citigroup boosted their price objective on Bunzl from £280 to £300 and gave the company a “buy” rating in a research report on Thursday, June 25th. Two equities research analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus target price of GBX 6,407.14.

Bunzl Company Profile

Bunzl plc operates as a distribution and services company in the North America, Continental Europe, the United Kingdom, Ireland, and internationally. The company offers food packaging, films, labels, cleaning and hygiene supplies, and personal protection equipment to grocery stores, supermarkets, and convenience stores. It also provides food packaging, disposable tableware, guest amenities, catering equipment, agricultural supplies, cleaning and hygiene products, and safety items to hotels, restaurants, contract caterers, food processors, commercial growers, and the leisure sector; and gloves, boots, hard hats, ear and eye protection, and other workwear, as well as cleaning and hygiene supplies, and asset protection products to industrial and construction, and ecommerce sectors.