Cintas Corporation (CTAS)

Return on assets (ROA)

		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
Net income (ttm)	US$ in thousands	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	876,037	957,571	926,385	923,278
Total assets	US$ in thousands	9,168,820	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	7,669,880	7,901,980	7,887,340	7,661,900
ROA		17.14%	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%	11.42%	12.12%	11.75%	12.05%

May 31, 2024 calculation

ROA = Net income (ttm) ÷ Total assets
= $1,571,592K ÷ $9,168,820K
= 17.14%

Based on the data provided, we can observe that Cintas Corporation's Return on Assets (ROA) has been generally trending upwards over the past few quarters. The ROA has consistently shown improvement from 11.40% in November 2020 to 17.14% in May 2024. This indicates that the company has been effectively utilizing its assets to generate profits.

The increasing trend in ROA suggests that Cintas Corporation has been efficient in generating earnings relative to its assets over time. This improvement may be attributed to effective management of assets, higher revenue generation, or cost-cutting measures.

Overall, a rising ROA indicates that Cintas Corporation is becoming more profitable and efficient in generating returns on its assets, which is a positive sign for the company's financial health. It reflects positively on the management's ability to utilize the company's resources effectively to drive profitability.