Cintas Corporation (CTAS)
Profitability ratios
Return on sales
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 50.04% | 49.51% | 48.79% | 48.33% | 47.98% | 48.02% | 47.92% | 47.68% | 47.34% | 46.84% | 46.50% | 46.25% | 46.24% | 46.55% | 46.51% | 46.67% | 46.58% | 45.84% | 45.84% | 45.73% |
| Operating profit margin | 22.82% | 22.77% | 22.34% | 21.82% | 21.56% | 21.17% | 20.86% | 20.72% | 20.45% | 20.18% | 20.26% | 20.11% | 20.21% | 20.21% | 19.62% | 19.68% | 19.47% | 17.92% | 17.66% | 17.18% |
| Pretax margin | 21.90% | 21.85% | 21.38% | 20.85% | 20.57% | 20.11% | 19.74% | 19.54% | 19.21% | 18.93% | 19.05% | 18.94% | 19.08% | 19.03% | 18.38% | 18.37% | 18.10% | 16.48% | 16.22% | 15.73% |
| Net profit margin | 17.53% | 17.53% | 17.23% | 16.80% | 16.38% | 15.98% | 15.57% | 15.36% | 15.29% | 15.06% | 15.35% | 15.46% | 15.73% | 15.88% | 15.50% | 15.72% | 15.61% | 14.32% | 13.90% | 13.18% |
The analysis of Cintas Corporation's profitability ratios over the period represented in the data reveals a consistent upward trend across all examined margins, indicating improving profitability and efficient management of costs relative to revenue.
The gross profit margin displays a steady increase from approximately 45.73% in August 2020 to approximately 50.04% projected for May 2025. This positive trend suggests that Cintas has been able to either increase its sales prices, reduce cost of goods sold, or a combination of both, thereby enhancing the core profitability of its operations.
Operating profit margin reflects a similarly upward trajectory, rising from about 17.18% in August 2020 to an anticipated 22.82% in May 2025. This growth indicates improved operational efficiency and effective control over operating expenses, contributing to higher profit levels from core business activities.
Pre-tax margins follow a comparable pattern, increasing from roughly 15.73% to an estimated 21.90% over the same period, which further evidences that the company's pre-tax profitability has been expanding consistently, likely driven by both improving operating margins and favorable non-operating or financial factors.
Net profit margins exhibit growth from approximately 13.18% in August 2020 to around 17.53% projected for May 2025. This growth signifies that after accounting for all expenses, including taxes, the company is realizing increased net income relative to sales, reinforcing the overall improvement in profitability efficiency.
In summary, Cintas Corporation has demonstrated sustained improvement in its profitability ratios over the analyzed period. The progressive increases across gross, operating, pre-tax, and net profit margins suggest robust operational management, effective cost control, and a favorable revenue environment. These trends collectively point toward a strengthening financial position and enhanced ability to generate shareholder value over time.
Return on investment
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 24.02% | 24.03% | 23.71% | 23.48% | 21.82% | 22.18% | 21.76% | 21.37% | 21.09% | 20.51% | 20.14% | 19.77% | 19.48% | 18.85% | 18.19% | 18.20% | 16.82% | 14.81% | 14.48% | 15.00% |
| Return on assets (ROA) | 18.45% | 18.50% | 18.28% | 18.07% | 16.58% | 16.74% | 16.24% | 15.84% | 15.77% | 15.31% | 15.26% | 15.21% | 15.17% | 14.80% | 14.37% | 14.54% | 13.49% | 11.83% | 11.40% | 11.50% |
| Return on total capital | 37.76% | 50.57% | 52.01% | 53.31% | 48.22% | 47.23% | 48.15% | 45.77% | 46.70% | 47.82% | 49.49% | 50.59% | 48.01% | 46.76% | 40.95% | 43.24% | 37.58% | 32.41% | 34.04% | 33.46% |
| Return on equity (ROE) | 38.69% | 38.72% | 39.89% | 40.75% | 36.41% | 35.51% | 35.84% | 33.88% | 34.89% | 35.68% | 37.48% | 38.90% | 37.35% | 36.70% | 32.33% | 34.51% | 30.13% | 25.88% | 26.79% | 25.67% |
The financial data for Cintas Corporation reveals a consistent and positive trend in several profitability ratios over the analyzed period. Specifically, the Operating Return on Assets (Operating ROA) has shown steady growth, increasing from 15.00% as of August 31, 2020, to 24.02% projected for May 31, 2025. This indicates that the company's core operations have become more efficient in generating operating income relative to its assets over time.
Similarly, the Return on Assets (ROA) has experienced an upward trajectory, rising from 11.50% at August 31, 2020, to an expected 18.45% in May 2025. The convergence of Operating ROA and ROA suggests improvements not only in operational efficiency but also in overall asset utilization, including the impact of non-operational factors.
The Return on Total Capital (ROTC) has exhibited a pronounced upward trend, starting at 33.46% in August 2020 and reaching as high as 53.31% in August 2024 before slightly declining to 37.76% in May 2025. This indicates an increasing efficiency in generating profits from all sources of capital employed, which may be attributed to effective leverage management and profitable growth initiatives.
Return on Equity (ROE) has also demonstrated robust growth, rising from 25.67% in August 2020 to a peak of approximately 40.75% in August 2024, with a slight moderation in the subsequent periods. The trend underscores the company's ability to generate higher returns for shareholders, driven by improved profitability and effective use of equity capital.
Overall, Cintas Corporation’s profitability ratios reflect a sustained enhancement in operational efficiency, asset utilization, and shareholder returns. The upward trends across these key ratios indicate a strong and improving profitability profile, supported by consistent operational improvements and strategic capital deployment.