New acquisitions sees business supplies distributor Bunzl on the up

British-based business supplies distributor Bunzl said third-quarter revenue rose on the back of a series of acquisitions and an improved operating margin.

FTSE-100 listed Bunzl, which supplies supermarkets, hospitals and hotels with products ranging from carrier bags to toilet rolls, said that group revenue for the quarter was up 6 percent compared with the same period last year.

Revenue in the UK and Ireland was "slightly behind" last year's figures due to the weak economic backdrop, while revenue growth in its largest market, North America, remained strong at a similar level to first-half figures, Bunzl said.

The company, which makes two-thirds of its growth through acquisitions, said it had achieved strong revenue and profit growth in Europe due to acquisitions, exchange rates and an improvement in operating margins.

The group, which already operates in 23 countries and serves clients such as John Lewis and Selfridges, has made nine acquisitions so far this year and said on Tuesday it had substantial funding headroom for more.

Bunzl, which started life as a haberdashery in Bratislava in 1854, said it was confident it would continue to grow by making acquisitions despite the challenging economic environment.