Bunzl PLC shares rose 1.5% to 2,226.6p after the FTSE 100 distributor reported a fall in profits for 2025 as margins came under pressure, but said performance improved in the second half and reiterated its outlook for a more stable year ahead.
Revenue rose 0.6% to £11.8 billion, or 3% at constant exchange rates. Excluding recent acquisitions, underlying revenue growth was 0.4%, improving to 0.9% in the second half.
Adjusted operating profit fell 6.7% to £910.3 million, with the operating margin slipping to 7.7% from 8.3%.
Free cash flow was £579 million and net debt stood at 2.0 times EBITDA.
Chief executive Frank van Zanten said: “I am pleased with how the group has responded to what has proven to be a challenging year for Bunzl.”
He added that guidance for 2026 “remains unchanged and provides a foundation from which to deliver long-term profitable growth”.
The dividend was nudged up 0.3% to 74.1p and the group completed a £200 million share buyback. For 2026, Bunzl expects "moderate" revenue growth and operating margin to be "slightly down".