CINCINNATI (AP) — Uniform supplier Cintas Corp. said Monday that its fiscal fourth-quarter net income rose 9 percent, but it gave a tepid outlook for the current year due in part to the health care overhaul.
Cintas said the federal government's Affordable Care Act could cause some customers to delay hiring decisions, which would affect demand for uniforms. Cintas provides uniforms for a wide range of businesses in North America, as well as other products like entrance mats, restroom supplies, first aid and fire protection products.
Shares fell $1.69, or 3.5 percent, to $46.19 in aftermarket trading. The stock hit a 52-week high of $48.17 in regular trading Monday. They have gained 17 percent this year.
Net income for the three months ended May 31 rose to $86 million, or 69 cents per share. That compares with net income of $78.6 million, or 60 cents per share, in the same period a year ago. Analysts expected net income of 70 cents per share, according to FactSet.
Revenue rose 7 percent, to $1.13 billion, which matched analyst expectations.
For the fiscal year that runs through May 2014, profit rose 6 percent to $315.4 million, or $2.52 per share, from $297.6 million, or $2.27 per share, in the previous year. Revenue rose nearly 5 percent, to $3.04 billion from $2.91 billion.
For fiscal 2014, the company expects net income of $2.66 to $2.75 per share on revenue of $4.5 billion to $4.6 billion.
Analysts expect net income of $2.80 per share on revenue of $4.56 billion.