Segment Reporting (Tables)

3 Months Ended

Mar. 31, 2026

Revenue, pre-tax income and total assets by segments

The tables below present revenue, disaggregated by major source for each of our reportable segments, as well as, significant segment expenses, other segment expenses, operating income (loss), depreciation and amortization, regional and unallocated funeral and cemetery costs, and gross profit by segment as follows: (in thousands) for the three months ended March 31, 2026 and 2025, respectively:


Three months ended, March 31, 2026	Funeral		Cemetery		Total
Revenue
Services	$	45,492	$	5,430	$	50,922
Merchandise	20,513		4,165		24,678
Cemetery property	—		21,214		21,214
Other revenue	5,709		3,597		9,306
Total revenue	71,714		34,406		106,120

Less:
Salaries, benefits, and commission expenses	17,873		10,134		28,007
Cost of merchandise	5,592		2,001		7,593
Allocated overhead costs(1)	2,959		1,161		4,120
Facilities and grounds expenses	3,071		1,251		4,322
General and administrative expenses(2)	3,429		1,053		4,482
Other segment expenses(3)	7,192		1,970		9,162
Adjusted operating profit (4)	$	31,598	$	16,836	$	48,434

Reconciliation of Adjusted operating profit to Gross profit
Cemetery property amortization	$	—	$	1,995	$	1,995
Field depreciation expense	2,886		522		3,408
Regional and unallocated funeral and cemetery costs	2,331		2,060		4,391
Gross profit	$	26,381	$	12,259	$	38,640

Corporate costs and expenses:
General and administrative expenses					$	13,085
Net loss on divestitures and impairment charges					278
Operating income					$	25,277

Interest expense					$	6,884

Other, net					(6)
Income before income taxes					$	18,399



(1) Allocated overhead costs include: property insurance costs, property tax expenses, and corporate overhead fees allocated to the field, such as information technology, human resources, legal, and finance.
(2) General and administrative expenses include: professional services, travel and meals expenses, computer software expenses, and office supplies.
(3) Other segment expenses primarily include transportation costs, other funeral costs, and non-payroll related promotional costs.
(4) During the first quarter of 2026, the Company changed its measure of segment profit from segment operating income to segment adjusted operating profit. The change reflects how management now evaluates segment performance and allocates resources. The change primarily relates to the exclusion of depreciation, amortization, and certain corporate allocations. Prior-period amounts have been recast for comparability.


Three months ended March 31, 2025	Funeral		Cemetery		Total
Revenue
Services	$	47,949	$	5,061	$	53,010
Merchandise	21,556		4,039		25,595
Cemetery property	—		19,991		19,991
Other revenue	5,114		3,359		8,473
Total revenue	74,619		32,450		107,069

Less:
Salaries, benefits, and commission expenses	17,977		9,919		27,896
Cost of merchandise	6,270		1,826		8,096
Allocated overhead costs(1)	3,227		1,331		4,558
Facilities and grounds expenses	2,929		1,205		4,134
General and administrative expenses(2)	3,021		895		3,916
Other segment expenses(3)	8,016		2,226		10,242
Adjusted operating profit (4)	$	33,179	$	15,048	$	48,227

Reconciliation of Adjusted operating profit margin to Gross profit
Cemetery property amortization	$	—	$	1,828	$	1,828
Field depreciation expense	2,826		496		3,322
Regional and unallocated funeral and cemetery costs	3,150		2,085		5,235
Gross profit	$	27,203	$	10,639	$	37,842

Corporate costs and expenses:
General and administrative expenses					$	12,048
Net loss on divestitures and impairment charges					(5,770)
Operating income					$	31,564

Interest expense					$	7,298

Other, net					(1,988)
Income before income taxes					$	26,254



(1) Allocated overhead costs include: property insurance costs, property tax expenses, and corporate overhead fees allocated to the field, such as information technology, human resources, legal, and finance.
(2) General and administrative expenses include: professional services, travel and meals expenses, computer software expenses, and office supplies.
(3) Other segment expenses primarily include transportation costs, other funeral costs, and non-payroll related promotional costs.
(4) During the first quarter of 2026, the Company changed its measure of segment profit from segment operating income to segment adjusted operating profit. The change reflects how management now evaluates segment performance and allocates resources. The change primarily relates to the exclusion of depreciation, amortization, and certain corporate allocations. Prior-period amounts have been recast for comparability.