Summary
Cintas Corporation's 2021 10-K filing reveals a company that navigated the challenges of the COVID-19 pandemic while demonstrating resilience and growth. Total revenue saw a modest increase of 0.4% to $7.1 billion, with the Uniform Rental and Facility Services segment remaining the largest contributor. Despite initial impacts from business closures and customer payment delays, the company's designation as an "essential business" allowed for continued operations. The latter half of fiscal year 2021 saw a positive impact from vaccine rollouts and the lifting of restrictions, leading to a significant rebound in organic revenue, particularly in the fourth quarter. Financially, Cintas reported a robust increase in net income by 26.8% to $1.11 billion, translating to diluted earnings per share of $10.24, up from $8.11 in the prior year. This growth was driven by improved cost controls, operational efficiencies, and a one-time gain from the sale of certain operating assets. The company also continued its commitment to shareholder returns through increased dividends and active share repurchases, underscoring a strong financial position and confidence in future performance.
Financial Highlights
54 data points| Revenue | $7.12B |
| Gross Profit | $3.31B |
| SG&A Expenses | $1.93B |
| Operating Income | $1.39B |
| Interest Expense | $98.21M |
| Net Income | $1.11B |
| EPS (Basic) | $2.63 |
| EPS (Diluted) | $2.56 |
| Shares Outstanding (Basic) | 419.50M |
| Shares Outstanding (Diluted) | 430.83M |
Key Highlights
- 1Total revenue for fiscal year 2021 reached $7.1 billion, a slight increase of 0.4% compared to the prior year, demonstrating stability amidst pandemic-related disruptions.
- 2Net income saw a significant increase of 26.8% to $1.11 billion, resulting in diluted earnings per share of $10.24, up from $8.11 in fiscal year 2020.
- 3The Uniform Rental and Facility Services segment, Cintas' largest, showed a revenue increase of 0.8% to $5.69 billion, highlighting its consistent performance.
- 4First Aid and Safety Services segment revenue grew by 10.7% to $784.3 million, reflecting increased demand for safety products during the pandemic.
- 5Operating cash flow remained strong, providing $1.36 billion in net cash, a 5.3% increase from the prior year, indicating healthy operational liquidity.
- 6Cintas continued its capital allocation strategy, paying $530.5 million in dividends and repurchasing shares, demonstrating a commitment to shareholder returns.
- 7The company experienced a positive revenue trend in the fourth quarter of fiscal year 2021 with 11.5% organic growth, signaling a strong recovery from pandemic impacts.