Summary
Cintas Corporation's 2023 Form 10-K highlights a strong fiscal year characterized by robust revenue growth and consistent profitability. The company reported a 12.2% increase in total revenue, reaching $8.8 billion, primarily driven by organic growth across its key segments: Uniform Rental and Facility Services, and First Aid and Safety Services. This growth was fueled by expanding its customer base, increasing penetration with existing clients, and strategic price adjustments. The Uniform Rental and Facility Services segment remains the largest contributor, showing a 10.8% revenue increase, while the First Aid and Safety Services segment demonstrated impressive growth of 14.3%. Financially, Cintas maintained healthy operating income and net income growth, translating to diluted earnings per share of $12.99, an 11.5% increase year-over-year. The company also returned significant value to shareholders through dividends and share repurchases, underscoring its financial strength and commitment to shareholder returns. Cintas' operational efficiency, evidenced by improved gross margins and effective cost management, positions it well to navigate economic uncertainties and continue its growth trajectory.
Financial Highlights
54 data points| Revenue | $8.82B |
| Cost of Revenue | $4.64B |
| Gross Profit | $4.17B |
| SG&A Expenses | $2.37B |
| Operating Income | $1.80B |
| Interest Expense | $111.23M |
| Net Income | $1.35B |
| EPS (Basic) | $3.30 |
| EPS (Diluted) | $3.25 |
| Shares Outstanding (Basic) | 406.58M |
| Shares Outstanding (Diluted) | 413.51M |
Key Highlights
- 1Total revenue increased by 12.2% to $8.8 billion in fiscal year 2023, driven by organic growth of 12.2%.
- 2Uniform Rental and Facility Services segment revenue grew by 10.8%, while First Aid and Safety Services revenue increased by 14.3%.
- 3Diluted earnings per share (EPS) rose by 11.5% to $12.99.
- 4Gross margin improved from 46.2% in fiscal 2022 to 47.3% in fiscal 2023, indicating improved operational efficiencies.
- 5The company returned approximately $469.8 million in dividends to shareholders and repurchased $398.9 million of its common stock during fiscal year 2023.
- 6Cintas maintained effective internal controls over financial reporting, with an unqualified audit opinion from its independent registered public accounting firm.
- 7The company ended the fiscal year with a strong liquidity position, reporting $1.6 billion in cash flow from operating activities and maintaining access to a $2.0 billion revolving credit facility.