(Alliance News) - Bunzl PLC on Wednesday said it expects a "strong performance" in 2021 but admitted to uncertainty related to new Covid-19 variants.
The London-based distribution firm said it expects its underlying revenue growth will be in the "high single-digit" range compared to its pre-pandemic level in 2019.
Revenue in 2021 is expected to rise 2% year-on-year at actual exchange rates, and 7% on a constant currency basis. For the financial year 2020, Bunzl reported revenue of GBP10.11 billion.
"At constant exchange rates, underlying revenue growth is expected to reflect a strong recovery in the base business, supported by inflation, partially offset by the anticipated decline in Covid-19 related orders with deflation on certain Covid-19 related products. Group adjusted operating margin is expected to be only slightly ahead of historical levels," the company said.
Bunzl noted that the revenue increase is being driven by the impact of acquisitions completed this year.
Shares in Bunzl were up 0.1% at 2,891.00 pence on Wednesday in London.
By Heather Rydings; heatherrydings@alliancenews.com
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Bunzl (BNZL)