Bunzl (BNZL) — Dividend Yield: 3.32%

Sector: General Industrials | Market Cap: £7,242.88 | EPIC: BNZL

Bunzl (LON: BNZL) is a global distribution and outsourcing group listed on the FTSE 100, with a market capitalisation of approximately £7.2 billion. The company specialises in distributing non-food consumables and outsourcing services to businesses across a wide range of sectors, including foodservice, grocery, cleaning and hygiene, safety, healthcare, and retail. Bunzl operates in over 30 countries across North America, Europe, Latin America, and Asia Pacific.

Bunzl's dividend yield of approximately 3.32% is supported by the company's remarkably consistent financial performance and progressive dividend policy. Bunzl has increased its dividend for over 30 consecutive years, an exceptional track record that ranks it among the longest dividend growth streaks in the FTSE 100. The company's essential-service distribution model generates highly predictable cash flows that underpin this reliable dividend.

For investors seeking quality defensive stocks in the FTSE 100, Bunzl offers a low-profile but highly effective business model. The company distributes the everyday items that businesses need to operate, from cleaning supplies and disposable packaging to safety equipment and healthcare consumables. This essential nature of its products means demand remains resilient through economic cycles, providing earnings stability that many FTSE 100 companies cannot match.

Bunzl's growth strategy combines organic expansion with a highly disciplined acquisition programme, having completed hundreds of bolt-on acquisitions over the past two decades. Each acquisition adds local market density, customer relationships, and product expertise, creating a compounding effect on revenues and profits. The company's decentralised operating model gives local management autonomy while maintaining group-level financial discipline. Bunzl's fragmented end markets offer extensive runway for further consolidation. For FTSE 100 investors who appreciate consistent compounding, reliable dividends, and defensive business characteristics, Bunzl represents one of the most dependable long-term holdings available.