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Cintas Corporation (CTAS-4.81%) has submitted its 10-Q filing for the quarterly period ended February 28, 2025.
The filing details financial results for the quarter, reporting an 8.4% increase in total revenue to $2,609.2 million compared to $2,406.2 million in the same quarter the previous year. The growth was driven by a 7.0% increase in the Uniform Rental and Facility Services segment and a 14.9% increase in the First Aid and Safety Services segment.
Cost of uniform rental and facility services rose by 5.2% to $1,009.7 million, while cost of other services increased by 8.5% to $280.2 million. Despite these increases, cost of services improved as a percentage of revenue due to operational efficiencies.
Selling and administrative expenses increased by 6.4% to $709.5 million. The company recorded a gain of $15.0 million from the sale of property and equipment during the quarter.
Operating income for the quarter was $609.9 million, representing 23.4% of revenue, up from $520.8 million or 21.6% of revenue in the previous year. This improvement was attributed to revenue growth and operational efficiencies.
Net income for the quarter was $463.5 million, a 16.6% increase from the previous year. Diluted earnings per share increased by 17.7% to $1.13.
For the nine months ended February 28, 2025, total revenue increased by 7.7% to $7,672.5 million. The Uniform Rental and Facility Services segment contributed $5,945.4 million, while the First Aid and Safety Services segment contributed $893.7 million.
The company reported net cash provided by operating activities of $1,530.2 million for the nine-month period, with net cash used in investing activities of $474.4 million and net cash used in financing activities of $1,150.6 million.
Cintas continued its share buyback program, repurchasing 2.7 million shares at an average price of $173.40 per share. The company declared dividends totaling $453.7 million during the nine-month period.
The filing also discusses the company's financial strategy, including its focus on revenue growth through customer base expansion and operational efficiencies. Cintas maintains a $2.0 billion revolving credit facility, which remains undrawn.
The company is involved in a class action lawsuit related to contract disputes, with a tentative settlement of $45.0 million pending court approval.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Cintas Corporation quarterly 10-Q report dated April 3, 2025. To report an error, please email earnings@qz.com.