Service International(SCI)2024-05-01 21:27Revenue and Earnings - Revenue for Q1 2024 was $1,045.4 million, an increase of $16.7 million compared to Q1 2023[4] - Diluted earnings per share for Q1 2024 was $0.89, down from $0.93 in Q1 2023[6] - Net income for Q1 2024 was $131.3 million, a decrease of 9.3% compared to $144.8 million in Q1 2023[19] - Total revenue for Q1 2024 was $604.7 million, down 0.8% from $609.7 million in Q1 2023[21] - Gross profit margin decreased to 21.8% in Q1 2024 from 24.5% in Q1 2023[21] - Comparable funeral revenue decreased by 1.4% to $599.4 million in Q1 2024 compared to $607.9 million in Q1 2023[24] - Core funeral revenue increased by $3.7 million, or 0.7%, primarily due to a 3.9% increase in core average revenue[31] Cash Flow and Operating Activities - Net cash provided by operating activities was $220.1 million, slightly up from $219.6 million in Q1 2023[5] - Cash flows from operating activities were $220.1 million in Q1 2024, slightly up from $219.6 million in Q1 2023[19] - The forecast for net cash provided by operating activities excluding special items is between $935 million and $985 million for 2024[8] Sales and Production - Comparable preneed cemetery sales production grew by 7.8% in Q1 2024[5] - Total preneed sales decreased by 2.4% to $315.2 million in Q1 2024 from $323.0 million in Q1 2023[24] - Total recognized preneed revenue rose by $19.5 million, or 7.0%, benefiting from a $23.8 million increase in comparable preneed sales production, or 7.8%[30] - The company reported a decrease in comparable funeral services performed by 2.8% to 93,341 in Q1 2024 from 96,051 in Q1 2023[24] Capital Expenditures and Investments - Capital improvements at existing field locations are budgeted at $125 million for 2024[8] - Development of cemetery property is expected to be $165 million in 2024[8] - Total maintenance, cemetery development, and other capital expenditures are projected to be $325 million[8] - Capital expenditures for Q1 2024 were $79.8 million, compared to $77.9 million in Q1 2023[19] - Total capital expenditures decreased by $1.9 million to $79.8 million in Q1 2024, primarily due to lower spending on digital investments[34] Interest and Tax - Interest expense increased by $10.4 million to $64.4 million in Q1 2024, primarily due to higher interest rates on floating rate debt[34] - The GAAP effective income tax rate for Q1 2024 was 22.9%, down from 24.5% in the prior year quarter[34] Asset Growth - Total assets increased to $16.7 billion in Q1 2024, up from $16.4 billion in Q1 2023, representing a growth of 2.1%[17] Guidance and Forecast - The 2024 guidance for diluted earnings per share excluding special items is projected to be between $3.50 and $3.80[8] - The combined trust fund returns for the three months ended March 31, 2024, were 5.6%[35]