Cintas Corporation (CTAS)

Return on assets (ROA)

		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
Net income (ttm)	US$ in thousands	1,812,281	1,778,340	1,712,422	1,638,540	1,571,592	1,503,478	1,431,726	1,381,406	1,348,010	1,296,270	1,285,891	1,256,267	1,235,757	1,209,018	1,151,954	1,142,142	1,110,968	987,831	963,967	925,230
Total assets	US$ in thousands	9,825,240	9,611,140	9,366,530	9,068,710	9,481,300	8,978,880	8,813,870	8,719,680	8,546,360	8,466,000	8,427,010	8,261,030	8,147,260	8,168,600	8,017,410	7,857,750	8,236,820	8,347,500	8,454,750	8,043,380
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%

May 31, 2025 calculation

ROA = Net income (ttm) ÷ Total assets
= $1,812,281K ÷ $9,825,240K
= 18.45%

The analysis of Cintas Corporation's return on assets (ROA) over the specified period reveals a consistent upward trend, indicative of improving efficiency in generating net income from its asset base. Starting at 11.50% as of August 31, 2020, the ROA experienced a modest decline to 11.40% by November 30, 2020, amidst initial pandemic uncertainties. Subsequently, it demonstrated steady growth, reaching 11.83% by February 28, 2021, and accelerating notably from May 31, 2021, onward.

By August 31, 2021, the ROA was at 14.54%, reflecting enhanced asset utilization and profitability. This upward trajectory continued through the subsequent periods, reaching 14.37% in November 2021, and further increasing to 14.80% in February 2022. The positive momentum persisted, with the ROA hitting 15.17% by May 31, 2022, and marginal increases by August (15.21%) and November 2022 (15.26%).

From early 2023 onwards, the ROA maintained a steady climb, reaching 15.31% on February 28, 2023, and 15.77% by May 31, 2023. The growth persisted into the latter part of 2023, with a slight dip to 15.84% at the end of August, but then accelerating to 16.24% by November 30, 2023. The upward trend continued into early 2024, culminating at 16.74% on February 29, 2024, indicating continued improvement in asset efficiency.

Looking ahead, the forecasted ROA figures suggest sustained strength, with projections of 16.58% in May 2024, 18.07% in August 2024, and further increases to 18.28% by November 2024, 18.50% by February 2025, and a slight tapering to 18.45% by May 2025. This overall pattern demonstrates robust and consistent asset utilization and profitability improvement for Cintas Corporation over the analyzed period, reflecting positive operational momentum and effective management strategies.