CTAS Earnings Prediction
The chart below shows how CTAS performed 10 days before and after its earnings report, based on data from the past quarters. Typically, CTAS sees a -1.13% change in stock price 10 days leading up to the earnings, and a +0.07% change 10 days following the report. On the earnings day itself, the stock moves by +2.11%. This data can give you a slight idea of what to expect for the next quarter's release.
CTAS Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
2.61B
8.44%
1.85%
Gross Margin
50.57%
2.43%
1.46%
Operating Margin
23.37%
7.99%
1.21%
Net Margin
17.76%
7.51%
1.43%
EPS
1.13
17.71%
3.67%
No Data Available
CTAS Earnings Analysis
Cintas Corp Corporation (CTAS.O) Earnings Conference Call
Positive
Strong Revenue Growth: Cintas Corporation reported a strong third quarter with total revenue growth of 8.4% to $2.61 billion, exceeding expectations.
Organic Growth Performance: The organic growth rate was 7.9%, indicating solid performance across business segments.
Service Growth Highlights: Uniform rental and facility services achieved organic growth of 7%, while first aid and safety services and fire protection services grew in double digits.
Record Gross Margin Increase: Gross margin reached an all-time high of 50.6%, reflecting an increase of 11.1% over the prior year.
Record Operating Income Growth: Operating income increased by 17.1% to 23.4%, marking another all-time high for the company.
Earnings Per Share Growth: Diluted EPS grew 17.7% to $1.13, surpassing expectations of $1.07, showcasing strong earnings growth.
Free Cash Flow Increase: Free cash flow for the first nine months of the year increased by 14.5%, allowing for strategic investments and capital allocation.
EPS Growth Expectations: Cintas raised its annual diluted EPS expectations to a range of $4.36 to $4.40, implying a growth rate of 15% to 16.1%.
Operational Excellence Focus: The company continues to focus on operational excellence through technology investments and efficiency improvements, enhancing customer experience and margin profile.
Negative
Currency Exchange Impact: Foreign currency exchange rates negatively impacted third quarter revenue growth by 40 basis points, indicating potential vulnerability to currency fluctuations.
Uniform Direct Sales Decline: Organic growth for uniform direct sales was down 2.3%, suggesting challenges in that specific segment.
Tax Rate Increase Impact: The effective tax rate for the third quarter increased to 21% from 19.9% last year, which could affect net income and profitability going forward.
Workdays Impact on Revenue: There are two fewer workdays in fiscal 2025 compared to fiscal 2024, negatively impacting total revenue growth by about 80 basis points for the year and 160 basis points for the fourth quarter.
Acquisition Discussions Terminated: Cintas terminated discussions with UniFirst regarding a potential acquisition, indicating challenges in strategic growth opportunities and potential market consolidation.
CTAS FAQs
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CTAS Earning Call Sentiment
Cintas Corporation (NASDAQ:CTAS) Q3 2025 Earnings Call Transcript
CTAS.O
0.38%Positive
The earnings call summary indicates strong financial performance with revenue growth and increased gross margins. The Q&A reveals no significant concerns, with stable customer behavior and strong margins. The company is actively investing in technology and M&A, with positive guidance for organic growth and EPS. Despite a challenging pricing environment, the company maintains a strategic advantage in supply chain management. Overall, the positive financial metrics and strategic initiatives suggest a positive stock price movement.
