Bunzl reported higher profit and revenues in its first half. The company also announced two acquisitions in Canada and its agreement to buy one in Hungary.
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For the first half, profit before income tax increased 6 percent to 155.6 million pounds from last year's 147.1 million pounds. Earnings per share were 33.4 pence, higher than 31.8 pence a year ago.
Adjusted profit before income tax was 210.6 million pounds, compared to 187.0 million pounds last year. Adjusted earnings per share were 46.2 pence, compared to 41.4 pence last year.
Revenue for the period grew 10 percent to 3.45 billion pounds from 3.14 billion pounds last year. At constant exchange rates, revenues grew 6%.
Further, the company said its Board has decided to increase the interim dividend by 11% to 13.0 pence, as 23 year track record of dividend growth continues.
CEO Frank van Zanten said: "Going forward, we will focus on further expansion of the Group, continuing our investments in IT and digital projects and intensifying the sharing of best practice across our businesses globally. The Board is confident that Bunzl's well positioned businesses will develop further and that the prospects for the Group are positive."
Separately, Bunzl announced that it has completed two further acquisitions in Canada and has entered into an agreement to acquire a business in Hungary.
During July, Bunzl entered into an agreement to purchase Budapest -based Silwell Kft, which had revenue in 2015 of about 6 million pounds. The business supplies a variety of disposable foodservice items both to distributors and end users operating in the hotel, restaurant and catering sectors in Hungary. The acquisition is expected to be completed at the end of September.
In Canada, the company acquired cleaning & hygiene products suppliers Plus II Sanitation Supplies Inc with 2015 revenue of C$32 million, as well as Apex Sanitation Products Ltd with 2015 revenues of C$12 million. Both businesses were acquired in July. ■