News September 28, 2017
Cintas Reveals Strong Q1 Results
Cintas Corp., parent company of Top 40 distributor Cintas (asi/162167), announced that revenue, net income and earnings per diluted share all increased during its fiscal first quarter of 2018, which ended August 31.
Cintas said first quarter revenue tallied $1.61 billion, an increase of 27.2% over last year’s first quarter. The acquisition of uniform rental company G&K Services was the primary driver of growth. Still, organic growth rate, which adjusts for the impacts of acquisitions and foreign currency exchange rate fluctuations, was 8.3%.
Meanwhile, Q1 net income from continuing operations added up to $161.1 million, an 18.3% jump from the same quarter the prior year. Earnings per diluted share from continuing operations for the first quarter were $1.45 compared to $1.24 for last year’s first quarter. Also, operating income for the first quarter of $249.1 million increased 22.1% from last year’s first quarter.
In updating its full-year fiscal guidance for 2018, Cintas said it expects revenue to be in the range of $6.325 billion to $6.4 billion, with earnings per share from continuing operations registering $5.30 to $5.38.
With estimated 2016 North American promotional product revenue of $163.3 million, Cintas ranked 11th on Counselor’s 2017 list of the largest distributors in the advertising specialty industry.