Cintas Corp (CIT.DE) Q1 2025 Earnings Report

Cintas Corp posted a solid QQ1 2025 with revenue of USD 2.5016 billion, up 6.8% year over year and 1.24% quarter over quarter. The company delivered a gross margin of approximately 50.05%, operating margin of 22.4%, and net margin near 18.1%, supported by favorable pricing and a productive operating discipline. EBITDA reached USD 679.5 million, underscoring a durable profitability engine within its diversified services mix (uniform rental and facility services, plus first aid and safety services).

Cash generation remained robust, with operating cash flow of USD 466.7 million and free cash flow of USD 373.8 million. Capital allocation was aggressively tilted toward shareholder returns, evidenced by share repurchases of USD 614.8 million and dividends of USD 138.2 million. The balance sheet remained solid: cash of USD 101.4 million, total debt USD 2.838 billion, and net debt around USD 2.736 billion. With current assets and liabilities aligned (current ratio ~1.53) and a debt-to-capitalization profile around 41.4%, Cintas retains financial flexibility to support ongoing growth and capital returns.

From a valuation and market positioning standpoint, ratios indicate premium pricing relative to earnings and sales (P/E about 100x, P/B ~45x, P/S ~72x), reflecting high market expectations for a durable, recurring-revenue model in the industrials services space. The quarter reinforces a resilient earnings base, but investors should monitor macro demand, wage-cost dynamics, and competition as key catalysts and potential risks. Note: the supplied input does not include earnings-call transcripts or forward guidance, limiting management commentary integration beyond the reported results.