Reported net income from continuing operations increased to $226.6 million or $2.06 per share from $189.3 million or $1.68 per share in the fourth quarter of 2018.
Supported by strong sales across all the business segments, revenues moved up 7.4% to $1.79 billion during the three-month period and surpassed analysts’ prediction. The Uniform Rental and Facility Services segment registered a 6.8% organic sales growth, while First Aid and Safety Services recorded a 10.7% gain.
Supported by strong sales, revenues moved up 7.4% to $1.79 billion during the three-month period
Scott Farmer, chief executive officer of Cintas, said, “For the ninth consecutive year, our organic revenue growth was in the mid- to high- single digits and EPS grew double digits when adjusted for one-time and special items. Additionally, our strong cash flow and balance sheet enabled us to deploy cash to increase shareholder value.”
Also see: Cintas Q2 2019 Earnings Conference Call Transcript
The management expects
full-year 2020 revenues to be between $7.24 billion and $7.31 billion.
Full-year earnings from continuing operations are currently forecast in the
range of $8.30 per share to $8.45 per share. The current fiscal year contains
one less workday than fiscal 2019, which negatively impacts revenue growth by
40 basis points, according to the company.
Cintas shares have
maintained a steady uptrend after hitting a low in the final weeks of last
year, gaining about 45% since then. The stock climbed to a record high in early
trading Tuesday and ended the session higher.