Cintas Increases 2015 Sales

Known For Uniform Sales And Rental Business

CintasTop 40 distributor Cintas (asi/162167) reported its total fiscal 2015 revenues rose 0.2%, reaching $4.48 billion. Excluding the impacts of acquisitions and foreign currency fluctuations, sales at the Ohio-based firm increased 7.1% for the year. The company reported its annual operating income was $696.4 million, up from $564.2 million in 2014, while its 2015 net income was $430.6 million. Earnings per diluted share, excluding discontinued operations and certain other factors, were $3.35, representing an increase of 21.8% over the prior year period.

“Our solid fiscal 2015 results are the product of good execution by our employees,” Cintas CEO Scott Farmer said in a statement. “We sold profitable business, provided excellent customer service, and increased the focus on managing our cost structure.”

In its fourth quarter, Cintas, which is known for its uniform sales and rental business, reported revenue of $1.14 billion. Organic growth for the period was 6%. Meanwhile, operating income was $177.7 million, with net income hitting $105.2 million, Cintas said. At $0.86, earnings per diluted share, excluding certain factors, represented an 11.7% increase over the same period the prior year. As is customary in its earnings release, Cintas did not break out figures for promotional products sales and profits.  

Looking ahead, Cintas is optimistic about its prospects for the new fiscal year. Said Farmer: “We expect fiscal 2016 revenue to be in the range of $4.70 billion to $4.78 billion, and fiscal 2016 EPS to be in the range of $3.74 to $3.83.”

Counselor ranks Cintas as the tenth-largest distributor in the industry, estimating the firm generated 2014 North American ad specialty sales of $153.9 million, a year-over-year increase of 3%.