Cintas (CTAS) Q4 2026 earnings summary

Executive summary

• Fiscal 2026 closed with robust top-line growth and record profitability, driven by strong execution across all business segments.

• Fourth quarter revenue rose 8.9% year-over-year to $2.91 billion, with organic growth at 8.4%.

• Full-year revenue reached $11.26 billion, up 8.9% year-over-year, marking 55 out of 57 years of top and bottom-line growth.

• Net income for Q4 grew 14.0% to $511.0 million; full-year net income rose 10.4% to $2.00 billion.

• Strategic investments, M&A activity, and capital returns to shareholders were prioritized.

Financial highlights

• Q4 gross margin was 51%, up 130 basis points year-over-year and matching the all-time high from Q3.

• Q4 operating income grew 12.7% to $673 million; operating margin was 23.2%.

• Adjusted Q4 EPS was $1.29, up 18.3% from $1.09 last year; diluted EPS was $1.26, up 15.6%.

• Full-year adjusted EPS was $4.94, up 12.3% year-over-year; diluted EPS was $4.91, up 11.6%.

• Operating cash flow for the year was $709.1 million; free cash flow was $1.88 billion.

Outlook and guidance

• Fiscal 2027 revenue expected between $12.1 billion and $12.25 billion, implying 7.4%-8.7% growth.

• Adjusted diluted EPS guidance for fiscal 2027 is $5.36-$5.50, representing 8.5%-11.3% growth.

• Incremental margins for 2027 are guided at 30%-32%, with operating margin expansion of 10-60 basis points.

• Guidance assumes one additional workday, no further acquisitions, and constant FX rates; excludes UniFirst acquisition impacts.

• FY27 effective tax rate expected at 20.2%.