December 21, 2023
Cintas Increases Sales & Earnings During Its Fiscal Half-Year
The Top 40 distributor increased its total revenue expectations for the full year based on the strong performance.
Top 40 distributor Cintas (asi/162167) just keeps growing.
The Cincinnati-headquartered corporation, best known for its uniform rental and facility services, increased sales and earnings during the first six months of its 2024 fiscal year, which concluded Nov. 30, 2023.
Over the period, total company revenue tallied about $4.72 billion, an 8.7% rise compared to the fiscal 2023 half-year. Net income accelerated to about $759.7 million, a 12.4% year-over-year rise. Diluted earnings per share were also up about 12% to $7.31.
The half-year business growth was helped along by a successful second quarter, which ended Nov. 30. For Q2, total company revenue rose 9.3% to $2.37 billion. Net income increased 15.5% to $374.6 million, which translated to diluted earnings per share of $3.61.
The sales figures consist of revenue from all Cintas’ business channels – much more than just promotional products. The company generates most of its revenue through its uniform rental and facility services business.
CEO Todd M. Schneider said Cintas is increasing its full-year financial guidance for fiscal 2024 based on the strong six-month start.
“We are raising our annual revenue expectations from a range of $9.40 billion to $9.52 billion to a range of $9.48 billion to $9.56 billion and our diluted EPS from a range of $14.00 to $14.45 to a range of $14.35 to $14.65,” Schneider said.
In fiscal year 2023, Cintas grew total company revenue 12% on an annual basis to $8.8 billion.
Based on estimated 2022 North American promotional product revenue of $199.1 million, Cintas ranked 16th on Counselor’s most recent list of the largest distributors in the industry.