Total Asset Turnover
since 2005
Calculation
Cintas Corp., total asset turnover, long-term trends, calculation
| Total asset turnover | = | Revenue1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|
| May 31, 2024 | 1.05 | = | 9,596,615) | ÷ | 9,168,817) |
| May 31, 2023 | 1.03 | = | 8,815,769) | ÷ | 8,546,356) |
| May 31, 2022 | 0.96 | = | 7,854,459) | ÷ | 8,147,256) |
| May 31, 2021 | 0.86 | = | 7,116,340) | ÷ | 8,236,823) |
| May 31, 2020 | 0.92 | = | 7,085,120) | ÷ | 7,669,885) |
| May 31, 2019 | 0.93 | = | 6,892,303) | ÷ | 7,436,662) |
| May 31, 2018 | 0.93 | = | 6,476,632) | ÷ | 6,958,214) |
| May 31, 2017 | 0.78 | = | 5,323,381) | ÷ | 6,844,057) |
| May 31, 2016 | 1.20 | = | 4,905,458) | ÷ | 4,104,393) |
| May 31, 2015 | 1.07 | = | 4,476,886) | ÷ | 4,192,460) |
| May 31, 2014 | 1.02 | = | 4,551,812) | ÷ | 4,462,452) |
| May 31, 2013 | 0.99 | = | 4,316,471) | ÷ | 4,345,632) |
| May 31, 2012 | 0.99 | = | 4,102,000) | ÷ | 4,160,906) |
| May 31, 2011 | 0.88 | = | 3,810,384) | ÷ | 4,351,940) |
| May 31, 2010 | 0.89 | = | 3,547,339) | ÷ | 3,969,736) |
| May 31, 2009 | 1.01 | = | 3,774,685) | ÷ | 3,720,951) |
| May 31, 2008 | 1.03 | = | 3,937,900) | ÷ | 3,808,601) |
| May 31, 2007 | 1.04 | = | 3,706,900) | ÷ | 3,570,480) |
| May 31, 2006 | 0.99 | = | 3,403,608) | ÷ | 3,425,237) |
| May 31, 2005 | 1.00 | = | 3,067,283) | ÷ | 3,059,744) |
Based on: 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31), 10-K (reporting date: 2018-05-31), 10-K (reporting date: 2017-05-31), 10-K (reporting date: 2016-05-31), 10-K (reporting date: 2015-05-31), 10-K (reporting date: 2014-05-31), 10-K (reporting date: 2013-05-31), 10-K (reporting date: 2012-05-31), 10-K (reporting date: 2011-05-31), 10-K (reporting date: 2010-05-31), 10-K (reporting date: 2009-05-31), 10-K (reporting date: 2008-05-31), 10-K (reporting date: 2007-05-31), 10-K (reporting date: 2006-05-31), 10-K (reporting date: 2005-05-31).
1 US$ in thousands
An analysis of the financial data from 2005 to 2024 reveals a consistent long-term growth trajectory in both revenue and total assets, characterized by periods of fluctuating asset utilization efficiency. While revenue increased from approximately 3.07 billion US dollars in 2005 to 9.60 billion US dollars in 2024, the total asset turnover ratio experienced several distinct cycles of expansion and contraction.
- Long-term Revenue and Asset Growth
- Revenue demonstrated a steady upward trend over the two-decade period, with a notable acceleration starting in 2016. Total assets followed a similar growth path, rising from 3.06 billion US dollars in 2005 to 9.17 billion US dollars in 2024. This expansion indicates a significant scaling of the operational base to support increased sales volume.
- Asset Turnover Volatility and Efficiency
- The total asset turnover ratio remained relatively stable around 1.00 between 2005 and 2009. A period of decline occurred between 2010 and 2011, where the ratio dropped to a low of 0.88, suggesting a temporary misalignment between asset growth and revenue generation. Efficiency improved markedly thereafter, reaching a peak of 1.20 in 2016, the highest efficiency level recorded in the analyzed period.
- Significant Shift in 2017
- A sharp contraction in asset turnover is observed in 2017, where the ratio fell to 0.78. This decline correlates with a substantial increase in total assets, which jumped from approximately 4.10 billion US dollars in 2016 to 6.84 billion US dollars in 2017. This suggests a major capital investment or acquisition that expanded the asset base more rapidly than the corresponding increase in revenue could offset in the short term.
- Recovery and Current Trend
- Following the 2017 trough, asset turnover remained below 1.00 for several years, fluctuating between 0.86 and 0.93 from 2018 to 2021. However, a recovery trend is evident from 2022 onwards, with the ratio returning to 1.03 in 2023 and 1.05 in 2024. This indicates that the company has successfully leveraged its expanded asset base to drive higher revenue growth, returning to efficiency levels comparable to those seen in the early 2000s.
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Comparison to Industry (Industrials)
Cintas Corp., total asset turnover, long-term trends, comparison to industry (industrials)
| Cintas Corp. | Industrials | |
|---|---|---|
| May 31, 2024 | 1.05 | 0.65 |
| May 31, 2023 | 1.03 | 0.67 |
| May 31, 2022 | 0.96 | 0.66 |
| May 31, 2021 | 0.86 | 0.58 |
| May 31, 2020 | 0.92 | 0.50 |
| May 31, 2019 | 0.93 | 0.62 |
| May 31, 2018 | 0.93 | 0.67 |
| May 31, 2017 | 0.78 | 0.62 |
| May 31, 2016 | 1.20 | 0.61 |
| May 31, 2015 | 1.07 | 0.54 |
| May 31, 2014 | 1.02 | 0.49 |
| May 31, 2013 | 0.99 | 0.47 |
| May 31, 2012 | 0.99 | 0.46 |
| May 31, 2011 | 0.88 | 0.45 |
| May 31, 2010 | 0.89 | 0.41 |
| May 31, 2009 | 1.01 | 0.39 |
| May 31, 2008 | 1.03 | 0.43 |
| May 31, 2007 | 1.04 | 0.41 |
| May 31, 2006 | 0.99 | 0.43 |
| May 31, 2005 | 1.00 | 0.40 |
Based on: 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31), 10-K (reporting date: 2018-05-31), 10-K (reporting date: 2017-05-31), 10-K (reporting date: 2016-05-31), 10-K (reporting date: 2015-05-31), 10-K (reporting date: 2014-05-31), 10-K (reporting date: 2013-05-31), 10-K (reporting date: 2012-05-31), 10-K (reporting date: 2011-05-31), 10-K (reporting date: 2010-05-31), 10-K (reporting date: 2009-05-31), 10-K (reporting date: 2008-05-31), 10-K (reporting date: 2007-05-31), 10-K (reporting date: 2006-05-31), 10-K (reporting date: 2005-05-31).