Cintas Corp impresses with record results in the first quarter of 2025

Cintas Corporation achieved impressive results in the first quarter of fiscal year 2025, exceeding both internal and external expectations. Revenue increased by 6.8%, reaching a new quarterly record of $2.51 billion. Adjusted for one less workday compared to the previous year's quarter and other factors, organic growth was 8.0%. Particularly noteworthy was the growth in the First Aid and Safety as well as Fire Protection segments, each of which saw double-digit percentage increases compared to the previous year. The gross margin increased to 50.1%, while operating income rose by 12.1%, reaching a record high of 22.4% of revenue. Diluted earnings per share (EPS) increased by 18.3% to $1.10, highlighting Cintas' robust financial position and consistent pursuit of operational excellence. These positive results enabled a remarkable 62.4% increase in free cash flow. Cintas has raised its financial forecasts for fiscal year 2025, now expecting annual revenue between $10.22 billion and $10.32 billion, reflecting growth of 6.5% to 7.5%. The forecast for diluted EPS was also raised to a range of $4.17 to $4.25, representing growth of 10.0% to 12.1%. Technological investments remain a focus to achieve process standardizations and efficiency improvements. Partnerships with Verizon, Google, and SAP play a crucial role in alleviating employee workloads and serving customers more flexibly. Additionally, Cintas invested $473.6 million in share buybacks in the first quarter and increased the dividend by 15.6%. For the upcoming quarters, Cintas remains optimistic about continuing to achieve strong organic and inorganic growth and creating long-term value for shareholders through focused investments.