International distribution and outsourcing group Bunzl recorded a seven per cent rise in profit before tax for its last financial year, it was revealed today.
Group revenue grew four per cent in the 12 months ending December 31st 2010, and margins improved in its UK business despite trading continuing to struggle.
Revenues in the UK fell by five per cent in the year but cost cuttings and efficiencies meant that operating profit rose by three per cent year-on-year to £59.5 million.
Michael Roney, CEO of Bunzl, said: “Despite continuing challenging economic conditions across our international markets, the group has once again delivered another good set of results.
“Our organic growth, as we continued to gain additional business with existing customers combined with new customer wins, was bolstered by acquisition activity with nine acquisitions announced during the year.”
The company further reduced its staff numbers in Britain during the year and closed warehouses in order to optimise its branch network but Bunzl now seems confident that it can build on its existing business in 2011.
Group revenues for the full-year were at the higher end of expectations set out at the end of the third quarter.
Expansions in global operations continued during the year with significant grow in Switzerland and entry in to the Israeli market, and the group have confirmed that there are several international opportunities currently in the pipeline.
Roney added: “Looking ahead, we believe that the opportunity for future development both organically and through acquisitions, combined with our market leading positions and our strong cash flow and balance sheet, should enable the group to achieve further growth.”