Cintas Corporation stock research
FY2025 Q2
Cintas (CTAS) Gross Margin — Quarter Ended Nov 30, 2024
Revenue increased compared to the preceding quarter, while gross profit remained unchanged; cost of revenue grew more quickly, leading to a slightly lower gross margin. Revenue was also higher than the same quarter one year earlier, but gross profit and cost of revenue data for that period are not available.
Gross margin takeaway
Quarter ended Nov 30, 2024 · FY2025 Q2
Revenue increased compared to the preceding quarter, while gross profit remained unchanged; cost of revenue grew more quickly, leading to a slightly lower gross margin. Revenue was also higher than the same quarter one year earlier, but gross profit and cost of revenue data for that period are not available.
- The primary driver of the gross margin change was the faster growth in cost of revenue relative to revenue, which kept gross profit from increasing despite higher revenue.
- Compared to the preceding quarter, revenue was higher, gross profit was stable, cost of revenue was higher, and gross margin was lower. The year-ago quarter's gross margin data is not provided, so only revenue comparison is possible, which was higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
49.8%
Gross profit
$1.3B
Revenue
$2.6B
Cost of revenue
$1.3B
Quarter-over-quarter change
-0.2 pts
Year-over-year change
n/a
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Aug 31, 2024 | $2.5B | $1.3B | $1.2B | 50.1% |
| Nov 30, 2024 | $2.6B | $1.3B | $1.3B | 49.8% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Aug 31, 2024
-0.2 pts
Year-over-year change
Nov 30, 2023
n/a
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The primary driver of the gross margin change was the faster growth in cost of revenue relative to revenue, which kept gross profit from increasing despite higher revenue.
Compared to the preceding quarter, revenue was higher, gross profit was stable, cost of revenue was higher, and gross margin was lower. The year-ago quarter's gross margin data is not provided, so only revenue comparison is possible, which was higher.
Monitor the trend in cost of revenue growth relative to revenue growth in future quarters.