Earnings$CTAS

Cintas raises full-year guidance as first-quarter revenue climbs to $3.01 billion

The uniform rental and facility services provider posted record revenue and operating margin while lifting its fiscal 2027 outlook.

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Cintas Corporation (CTAS) reported its financial results for the first quarter ended August 31, 2026, alongside an upward revision to its full-year guidance for fiscal 2027, according to a regulatory filing Tuesday.

Total revenue for the first quarter of fiscal 2027 reached $3.01 billion, compared to $2.72 billion in the same period a year earlier, representing an increase of 10.9%. Organic revenue growth for the quarter was 8.9% after adjusting for acquisitions, foreign currency fluctuations, and workday differences. The company reported net income of $551.7 million, up 12.3% from $491.1 million in the prior year's first quarter. Diluted earnings per share were $1.36, compared to $1.20 a year earlier.

Key takeaways

  • First-quarter revenue rose 10.9% to $3.01 billion from $2.72 billion a year earlier.
  • Organic revenue growth for the quarter came in at 8.9%.
  • Net income increased 12.3% to $551.7 million, with diluted EPS at $1.36.
  • Full-year fiscal 2027 revenue guidance was raised to a range of $12.15 billion to $12.27 billion.
  • Full-year adjusted diluted EPS guidance was lifted to a range of $5.45 to $5.54.

First-quarter results

Here's how the company did:

  • Uniform rental and facility services revenue: $2.29 billion, up 9.7% from $2.09 billion a year earlier.
  • Other revenue: $719.2 million, up 14.7% from $627.1 million a year earlier.
  • Gross margin: $1.55 billion, up 13.7% from $1.37 billion a year earlier, with a gross margin percentage of 51.5% compared to 50.3%.
  • Operating income: $711.9 million, up 15.2% from $617.9 million a year earlier, including $14.4 million of transaction expenses related to the proposed UniFirst Corporation acquisition.
  • Adjusted diluted EPS: $1.39, excluding the $0.03 impact of non-recurring UniFirst transaction expenses, up 15.8% from the prior year.

Todd M. Schneider, Cintas Chief Executive Officer, said in a statement, "We are pleased with our start to fiscal 2027. Our employee-partners delivered another strong quarter, producing record revenue and record operating margin."

Updated fiscal 2027 guidance

Cintas raised its annual revenue expectations from a prior range of $12.10 billion to $12.25 billion to a new range of $12.15 billion to $12.27 billion. The company also raised its adjusted diluted EPS expectations from a range of $5.36 to $5.50 to a range of $5.45 to $5.54.

Mr. Schneider said in the release, "As we look forward to what lies ahead for fiscal 2027, we are raising our full fiscal year financial guidance."

The updated adjusted diluted EPS guidance excludes non-recurring transaction costs related to the proposed UniFirst acquisition, which cannot be reasonably estimated at this time. The company noted that fiscal year 2027 interest, net is expected to be approximately $103.0 million, primarily due to the amortization of bridge loan financing expenses related to the UniFirst transaction.

Mr. Schneider added, "We continue to engage with the U.S. Federal Trade Commission as it reviews our transaction with UniFirst. We remain excited about the substantial value we expect to create for shareholders and customers through the transaction, and we look forward to welcoming the UniFirst Team Partners to Cintas once the transaction is complete, which we expect to occur prior to the end of calendar 2026."

Dividends and share repurchases

Reflecting its commitment to return capital to shareholders, Cintas paid an aggregate quarterly dividend of $208.8 million on September 15, 2026. During the first quarter of fiscal 2027 and through September 22, 2026, the company purchased shares of common stock under its share buyback programs for a total purchase price of $544.7 million.

Why it matters

The upward revision in full-year guidance highlights management confidence despite ongoing transaction expenses tied to the pending UniFirst acquisition. Organic growth of 8.9% points to stable underlying demand for facility services and uniform rentals across customer bases.

By the numbers

MetricValueSource
First-Quarter Revenue$3.01 billionPress Release
Organic Revenue Growth8.9%Press Release
Gross Margin$1.55 billionPress Release
Operating Income$711.9 millionPress Release
Net Income$551.7 millionPress Release
Diluted EPS$1.36Press Release
Adjusted Diluted EPS$1.39Press Release
Updated Revenue Guidance Range$12.15 billion to $12.27 billionPress Release
Updated Adjusted Diluted EPS Range$5.45 to $5.54Press Release

Regulatory review and outlook

The pending UniFirst transaction remains subject to review by the U.S. Federal Trade Commission. Cintas expects the transaction to close prior to the end of calendar 2026, subject to customary closing conditions and regulatory approvals.

Sources