Cintas Reports 5.1% Rise In Quarterly Sales
Net Income Soared 13.2%
Counselor Top 40 distributor Cintas (asi/162167) has announced its total sales for the quarter ended February 28, 2014, increased to $1.13 billion, a 5.1% year-over-year rise. Quarterly organic growth – which adjusts for the effects of acquisitions and additional workdays during a time period – was 3.1%. Net income, meanwhile, soared 13.2% to $84.6 million. A major rollout in Cintas’ Uniform Direct Sales operating segment contributed to the quarterly gains, according to the company.
“Despite the impact of the severe winter weather which affected our customers and our operations, as well as the weaker Canadian dollar, we were able to grow earnings at a double-digit rate,” said Scott D. Farmer, CEO of Cintas. “We are pleased with our results for the quarter and our fiscal year to date achieved by the hard work and dedication of our employees.”
Operating income jumped to $150.2 million, a 12.9% increase, while earnings per diluted share (EPS) in the company’s third quarter rose 15% to $0.69. In its full-year forecast, Cintas is now predicting further improved 2014 sales and earnings. “We expect fiscal 2014 revenue in the range of $4.550 billion to $4.575 billion and EPS in the range of $2.75 to $2.79,” Farmer said.
Known for its uniform sales, Cincinnati-based Cintas also offers document management, facility services, as well as safety and promotional items. The company ranks as the 9th largest distributor in the industry, with 2012 North American ad specialty sales of $145 million, according to Counselor estimates.