Cintas Corporation (CTAS)

Fixed asset turnover

		May 31, 2024	Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	May 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020	May 31, 2020	Feb 29, 2020	Nov 30, 2019	Aug 31, 2019
Revenue (ttm)	US$ in thousands	9,596,620	9,309,430	9,089,960	8,885,310	8,706,250	8,509,840	8,287,180	8,041,620	7,777,990	7,547,600	7,361,590	7,193,700	7,040,620	6,826,590	6,884,740	6,996,000	7,085,120	7,259,270	7,130,950	7,005,470
Property, plant and equipment	US$ in thousands	1,534,170	1,505,810	1,463,830	1,439,270	1,396,480	1,358,180	1,340,660	1,329,130	1,323,670	1,312,180	1,299,380	1,301,230	1,318,440	1,329,930	1,344,330	1,378,380	1,403,060	1,434,870	1,425,580	1,422,350
Fixed asset turnover		6.26	6.18	6.21	6.17	6.23	6.27	6.18	6.05	5.88	5.75	5.67	5.53	5.34	5.13	5.12	5.08	5.05	5.06	5.00	4.93

May 31, 2024 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $9,596,620K ÷ $1,534,170K
= 6.26

The fixed asset turnover ratio for Cintas Corporation has exhibited a generally positive trend over the past several quarters. The ratio has ranged from 4.93 to 6.27, indicating that the company is generating revenue efficiently from its investment in fixed assets.

The consistent values above 5 suggest that Cintas is effectively utilizing its fixed assets to generate sales. A high fixed asset turnover ratio signifies that the company is efficient in generating revenue from its property, plant, and equipment.

Despite a slight fluctuation in values, the overall trend indicates that Cintas has been able to maintain a strong level of efficiency in utilizing its fixed assets over the analyzed period. However, further analysis in conjunction with other performance indicators would be needed to provide a comprehensive assessment of the company's operational effectiveness.