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Cintas (CTAS) Lowers Q4 Guidance

May 29, 2009 7:36 AM EDT
CTAS Hot Sheet
Revenue Growth %: +7.7%

Financial Fact:
Rental uniforms and ancillary products: 2.16B

Today's EPS Names:
TARO, BRLI, TLB, More
Cintas Corporation (Nasdaq: CTAS) expects Q4 revenue to be between $870 million and $885 million and EPS of $0.34-$0.38, below the consensus of $923 million and $0.47.

Cintas said results will include a restructuring charge to be recognized in the quarter due to the declining economic conditions which continue to impact the North American economy and Cintas’ businesses.

In announcing the fourth quarter estimate, Scott Farmer, Cintas Chief Executive Officer stated, "The U.S. economy continues to lose employment at a rapid rate, directly impacting our customers and prospects. The suddenness and severity of U.S. job losses over the past several months has resulted in the need for Cintas to take additional cost reduction measures. While we expect the economy to ultimately recover, we are uncertain as to when or at what rate this recovery will occur."

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