Workplace equipment and cleaning supplies provider Cintas broke out Wednesday after beating Q3 forecasts and hoisting its guidance.
Cintas earnings growth accelerated for the second quarter in a row, increasing 22.3% to $3.84 per share. Total revenue jumped nearly 10% to $2.4 billion. FactSet analysts expected earnings of $3.58 per share on $2.39 billion in revenue.
Gross margin as a percentage of revenue rose to 49.4% from 47.2% the year prior.
Cincinnati-based Cintas on March 15 paid a quarterly cash dividend of $137.6 million to shareholders, a 17.1% increase from the same quarter last year.
The company hiked its full-year outlook on the results.
Cintas now expects 2024 revenue to range from $9.57 billion to $9.6 billion, up from the prior forecast of $9.48 billion to $9.56 billion. It guided earnings between $14.80 per share to $15 per share, compared to the prior outlook of $14.35 to $14.65 per share.
FactSet analysts estimate full-year earnings increase 12.3% to $14.59 per share on 8.4% revenue growth to $9.56 billion.
Cintas expects its 2024 interest expense to decline to $99 million from $109.5 million last year. The company's earnings guidance did not include future share buybacks.
Cintas Stock
CTAS stock jumped 8.3% Wednesday. The move lifted shares back above a 636.37 buy point in a four-weeks tight pattern. The stock is also actionable on a rebound from support at its 10-week moving average.
Cintas surged 13.8% so far this year and is trading at record highs. It rallied 33% in 2023.
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