EarningsQ1 2027 Earnings Report
MX:CTAS Q1 2027 EPS Results
Actual EPS$24.99
Consensus EPS$24.36
Beat/MissBeat by +$0.63
One Year Ago EPS$21.58
MX:CTAS Q1 2027 Revenue Results
Actual Revenue$54.19B
Expected Revenue$53.65B
Beat/MissBeat by +$540.93M
YoY Revenue Growth+10.88%
Earnings Announcement Details
QuarterQ1 2027
Date09/23/2026
TimeBefore Open
Conference CallWednesday, September 23, 2026
MX:CTAS Upcoming Earnings
Cintas's next earnings date is estimated for December 17, 2026, based on past reporting schedules.
Q1 2027 Earnings Call Audio
MX:CTAS Q1 2027 Earnings Call
0:00 / 0:00
Q1 2027 Earnings Slide Deck
No slide deck is available for this earnings event.
Q1 2027 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive. Cintas reported record quarterly revenue, all-time-high gross and operating margins, broad-based organic growth, double-digit EPS growth, improved guidance and robust capital returns. Management also highlighted strong customer demand, retention, cross-sell momentum and operational efficiency gains. The principal challenges were ongoing UniFirst regulatory clearances and transaction costs, higher tax and energy costs, macroeconomic variability, workday-related volatility and the need to manage future investments and Fire Protection margin variability.Company Guidance
Record Quarterly Revenue and Strong Organic Growth
First quarter total revenue grew 10.9% to $3.01 billion, marking the first time Cintas reached $3 billion of revenue in a quarter. Organic revenue growth was 8.9%.
Double-Digit Earnings Growth
Diluted EPS was $1.36, up 13.3% from $1.20 in the prior-year quarter. Adjusted diluted EPS, excluding UniFirst transaction-related expenses, was $1.39, up 15.8%.
Operating Income and Margin Reached Record Levels
Operating income increased 15.2% to $711.9 million from $617.9 million. Excluding UniFirst transaction-related expenses, operating income increased 17.6%. Operating margin reached an all-time high of 23.6%, compared with 22.7% last year; adjusted operating margin improved 90 basis points.
All-Time-High Gross Margin
Company gross margin was 51.5% of revenue, an all-time high. Uniform Rental and Facility Services gross margin increased 110 basis points to an all-time-high 50.8%, while First Aid and Safety Services gross margin increased 80 basis points to 57.6%.
Broad-Based Organic Revenue Growth
Organic growth by business was 8.0% for Uniform Rental and Facility Services, 14.2% for First Aid and Safety Services, 9.2% for Fire Protection Services and 9.6% for Uniform Direct Sale.
Strong Growth Drivers Across New Business, Retention and Cross-Sell
Management said strong top-line growth was driven by converting no-programmers to managed solutions, expanding relationships with existing customers through additional products and services, and maintaining strong customer retention. More than two-thirds of new business comes from no-programmers; retention showed a slight improvement and cross-sell also improved.
Updated Fiscal 2027 Revenue Guidance
Fiscal 2027 revenue guidance was raised from $12.10 billion to $12.25 billion to a range of $12.15 billion to $12.27 billion, representing total growth of 7.9% to 8.9%.
Updated Fiscal 2027 Adjusted EPS Guidance
Fiscal 2027 adjusted diluted EPS guidance was raised from $5.36 to $5.50 to a range of $5.45 to $5.54, representing growth of 10.3% to 12.1%. Management said the full guidance range implies double-digit EPS growth.
Attractive Incremental Margin Outlook
The updated guidance implies incremental margins of 32% to 34%, up from the prior 30% to 32% range, with operating margin expansion at double-digit rates throughout the guide.
First Aid and Safety Momentum
First Aid and Safety Services delivered 14.2% organic growth. Management said new-business productivity, retention and cross-sell all performed well, with increased momentum between rental customers and First Aid and Safety customers.
Fire Protection Remains a Double-Digit Growth Business
Fire Protection Services had a trailing 12-month growth rate of approximately 10.5%, and management expects the business to finish the year above 10% growth. The segment also delivered strong first-quarter gross margins.
Balanced Capital Allocation
Capital expenditures were 3.6% of sales, within the targeted range. Cintas increased its regular quarterly dividend by 15.6% and purchased $545 million of shares through the date of the call. The company has increased its dividend every year since going public 43 years ago.
Strategic Investments Supporting Future Growth
The company invested $107.5 million in capital expenditures during the quarter, primarily focused on technology, automation, capacity expansion and infrastructure. Management also cited investments in technology, selling resources and management bench strength.
Technology and Operational Efficiency Gains
Management said technology investments are contributing to margin expansion, improving employee-partner productivity and enhancing the customer experience. Examples included SmartTruck routing, garment sharing, sortation and other automation initiatives, as well as supply-chain volume discounts.
Stable Customer Demand in a Dynamic Environment
Management said demand remained consistent, the customer base was generally stable, and there had been no changes in sales cycles. The company said its broad customer base, outsourcing value proposition and ability to help customers operate more efficiently continue to support demand.
Strong Performance Across Target Verticals
Health care, hospitality, state and local government, and education all performed above the company average. Management said the company continues to invest in and is pleased with its organization around these verticals.
Record Employee-Partner Retention
Management described employee-partner retention levels as being at record levels and attributed the performance to attractive wages and benefits, as well as the company's culture and work environment.
Confidence in UniFirst Transaction Value
Management remains confident in the substantial long-term value creation opportunity from the UniFirst combination and remains optimistic that the transaction will close by the end of calendar 2026.
MX:CTAS Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed