Cintas Corporation reported financial results for its fiscal 2027 first quarter ended August 31, 2026. The company announced record revenue and operating margin for the period.
For the quarter, total revenue was $3.01 billion, representing an increase of 10.9% compared to the same period in the prior year. Organic revenue growth, which adjusts for acquisitions, foreign currency exchange, and workday differences, was 8.9%. Gross margin for the quarter was $1.55 billion, an increase of 13.7% year-over-year. As a percentage of revenue, gross margin was 51.5%, an increase of 120 basis points.
Operating income for the first quarter of fiscal 2027 was $711.9 million, an increase of 15.2% compared to $617.9 million in the prior year. This operating margin was 23.6% of revenue. The company noted that operating income included $14.4 million of transaction expenses related to the proposed acquisition of UniFirst Corporation.
Net income for the quarter was $551.7 million, compared to $491.1 million in the prior year. Diluted earnings per share increased to $1.36 from $1.20 in the prior year. Excluding the UniFirst transaction expenses, adjusted diluted EPS was $1.39, an increase of 15.8%.
In terms of shareholder returns, Cintas paid a quarterly dividend of $208.8 million on September 15, 2026. Additionally, the company repurchased shares of its common stock during the first quarter and through September 22, 2026, for a total purchase price of $544.7 million.
Regarding its acquisition of UniFirst, Cintas stated it continues to engage with the U.S. Federal Trade Commission. The company expects the transaction to close prior to the end of calendar 2026.
The company also updated its full fiscal year 2027 guidance. Revenue is now expected to be between $12.15 billion and $12.27 billion, up from the previous range of $12.10 billion to $12.25 billion. Adjusted diluted EPS is expected to be between $5.45 and $5.54, up from the previous range of $5.36 to $5.50.
