CSV - Earnings call transcript Q3 2024 | Carriage Services, Inc.

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Operator

Good day, and thank you for standing by. Welcome to the Carriage Services' Third Quarter 2024 Earnings Conference Call. Please be advised that today's conference is being recorded. I would like now to hand the conference over to your speaker today, Steve Metzger, President. Please go ahead, sir.

Steve Metzger

Good morning, everyone, and thank you for joining us to discuss our third quarter results.

Kathy on Chief this Chairman Executive Board Directors; myself, are from of to Officer. of Quezada, Accounting Carlos Officer and addition the morning call management the In Chief Shanley, and Vice

On the our release, closed. was which market can yesterday the earnings after press issued website, Carriage's you find

will information, remarks to non-GAAP of reconciliation differences Carlos GAAP and is Our remarks and followed morning the press intended will release formal and period. by including this measures. begin Today's and Kathy a call financial our from supplement include with supplemental financial be between question-and-answer

Before remind including call, comments this I'd plans. we statements, business, we'll our begin, and projections, like everyone that about forward-looking to make some during

SEC of our turn all not in Forward-looking found include, and you can which website. Thank involve now as statements like our And uncertainties as to, earnings us limited and inherently all and on These as to Carlos. but today. filings, uncertainties morning. risks call are over views identified I'd well only joining be release for of in this factors the our risks to our reflect

Carlos Quezada

employee to Steve, share my our you, financial continued excited quarter We're earnings driven their and express to to quarter. But first, commitment to for this Carriage our performance unwavering take everyone, which thank moment call. sincere joining to Thank for by have objectives, a X third strong to strategic progress excellence. led our you, another every want I appreciation

financial topics I and serve our will overhead, alignment call, of will initiatives. and Kathy such flow, our We down lower the pay leverage value have and deeply families made today's on our Your metrics with our some dedication of forward. and debt and truly then updates we values some vision, progress as your our impacts ratio. and provide key to cash key cover highlight drives company we our the shared support purpose. In

a million accelerate the million, driven revenue consecutive several $XX.X to or of noncore a we surpassed total quarter, in million growth the quarter, mark For the significant reported down XX.X%. the $XXX increase This revenue revenue of assets our organic $XXX.X divestitures despite have debt. paying disposition of third third we by single marks of time

contract, on financial financial initiatives continues revenue expected $XXX,XXX notable preneed increased growth contributing operating This $X.X This a year. has strategy performance a per million cemetery home and proven observed down in the per a setting boost basis which growth last most sound Our quarter strategic average was is future. When or these funeral slight dedication planning, effective which remarkable our is positive $XX.X by revenue tone to our home million, to or an $XX.X to contract compared breaking This our a enhancing our pricing home saw and we funeral increase the testament for sales, results to strategy, primarily funeral contracts of XX.X% to X.X% team, reflects same our to a performance revenue, experienced execution. X.X%. million. growth by decrease only and our funeral in to due total total while of focus analysis, our $XXX and X.X%, of promising that robust

last to agent sales at commissions, $X.X $XXX,XXX year. preneed compared or strategy million impressive Our XXX.X% the general for funeral boosted which ended quarter an same

of performance. its and sales the our prearranged our We on positive strategy be funeral excited ongoing continue impact success to by

Turning to cemetery operating revenue.

results increase EBITDA $XX.X at up came with or These last million advance dedication quarter an during XX.X% sales of in education cemetery million, field $XX and deliver teams We year. Total continues total of to to million the commitment XX.X $X.X cemetery or performance. last of through preneed margin protect the at XX.X% compared XX.X%, and closed quarter percentage from increase year. by sales families million, preneed the points to our to planning. that drive the cemetery strategy $X.X EBITDA highlight same excellence Our an cemetery XX.X% outstanding same quarter field

adjusted at success a of EBITDA GAAP $XX.X quarter basis management $X.X more details EBITDA. contributed to revenue consolidated prior an or a our the increase later of finished call. the overhead in We points and from the income over the quarter. was million related reflected quarter last our to margin on XXX The $X.X year Moving contract third an increase increase compared of per million, $X.X higher perspective, XX.X% will average the year. adjusted XX.X%, initiatives to consolidated million, million to same in share this net prior Kathy cost as year. From

Our GAAP share, $X.XX by quarter for was XX.X% by EPS diluted the and $X.XX was up $X.XX $X.XX XXX% or diluted the year prior quarter third per the quarter. up or for adjusted EPS per share, versus third

all additional This outperformed interest positioned disciplined unlock reduce purposeful allocation, growth, the well and on amendment in improvement. near-term quarters for have X the the time we our we're agreement, demonstrating that capital commitment the our long-term focus value With to our expense seventh to last and recent expectations, shareholders. relentless marks credit to

or increase last of EPS XX.X% million, at XX.X% year, year consolidated As And when and compared diluted million ended same or increase consolidated compared of same points. we last of the an to adjusted adjusted while $X.XX XXX or an over during $XX.X year, million, increase $X.XX, million basis to XX.X% look EBITDA quarter, $X.XX of $XX.X last of period total an adjusted XX.X% an year. margin the EBITDA period the revenue increase at of the ended third X% $XXX.X through at $XX.X

to $X.XX diluted GAAP, $X.X And of EPS an or $XX.X net $X.XX was increase an increase million relates X.X%. income share, GAAP or it million, As per was X.X%. of

diluted $X.XX. more range Adjusted results. raising to the to of to and in Kathy to after metrics revised $X.XX Adjusted We consolidated flow XXXX EPS are with our reviewing we And free million and year EBITDA million. total guidance We of million. $XXX $XXX are related finish of cash guidance. to million key now our $XX proud revenue $XXX these remain of forecast, our guidance. details at operational million expect $XXX million will will adjusted to $XX provide the

steam committed enhance we ways and to strategic performance, to creating full long-term our while identify fully are new for We shareholders. ahead continue our to objectives value our

our is part request commitment, urns proposal caskets for As this our supply strategy. of an and important underway, competitive chain milestone broader process marking for currently in

enhance scale, highly to continuous were meetings are as with strategy our ongoing we vendors options are refining our financial serve prime benefits and we examples recent long-term supply experience. improvement. that These and and commitment is to Our partner merchandise to initiatives better to both our on focused leading their near-term in to of come strategy clients leverage as There materialize to greater our expect opportunities. we chain identify selling continue productive our designed more from to They XXXX.

our Chief Officer have search deliberate care. for detailed This a the during be talented Lastly, which Financial seen with candidates. we continues to and several continues process thoughtful

we search look person a for remains and ensure the drive success determined choice as right our are to critical ideal for skills to is growth, partner We the and who we providing we ongoing. the right this position. financial forward culture, with the best a updates can finding vision. This that have forward. to make long-term committed to We're leader and additional help critical aligns identify role However, values, Carriage's strategic future experience our with the

purposeful premier we the and objectives: our foundation allocation, innovation, our Over improvement, on at building align growth. with relentless capital partnerships, past our X through X around elevated experiences of Carriage, empower strategic a creating in and focused service. and efforts closely have Disciplined years, grounded purpose centered strong values core These

We proud very of progress. are our significant

Carriage individuals efforts. opportunities work while front clear still And quarter financial strong that, year-to-date to on these have in represents I Our this talented many Thank to us, driving the come of and sense hand is of organization regarding you. And it Kathy. will third many is across journey. hard excitement what with there over we a performance the of

Kathryn Shanley

to joining Carlos, us you, everyone you and Thank thank today.

down million $XX illustrates from of in for and we guidance start our and expect which is a the quarters. Adjusted fee results expense conversion credit cash continued on of quarter $X.X cash impact the free of as highlighted sales, down we to million. this our activities and year. QX operating Trinity. We the quarter we amendment for talk provided as our was $X.X down our have was leverage by X.Xx $XXX,XXX in QX QX overhead with was capital cash year several X.Xx, the what mix in Carlos shift company's This performance. We a million, quarter reduction paid QX remainder $XX.X reducing then leverage debt highlights $X.X towards a at more driven our continued flow to from the million for of the towards XXXX will disciplined experienced XXXX slower year cemetery our schedule XXXX. result can to by expense year ratio, I million, focus providing which million remarks, agreement primarily strong down $XX the for included $XX.X As was flow interest our XXXX our which revenue preneed continue the drive allocation, along full which the from our by reduction commitment at strong prior favorable cash of his $XX.X given about for cycle of provided debt. million in performance of for the quarter quarter prior coming of and outstanding a now by million, increased from

$X.X to and we for CapEx, for Trinity. $X Turning million to Year-to-date expenditures. have million as invested maintenance relates our progress $X.X for it CapEx capital million growth

resulting continued and year Overhead we the implementation of early from of in our revenue on million as and prior Now Trinity million of implementation ensure prior XX percentage costs for in relating to opportunities XX.X%. the various exciting driven quarter The platform and third $XX.X ERP million is was next of overhead of successful development basis accrued in to this focus overhead. year variance the we the $X.X for which XX.X% the versus $XX.X quarter Project down education for customer the our a initiatives. Overhead of team $XXX,XXX points leadership just was as overhead. as XXXX, of shifting was increase year over our new quarter for experience by quarter, to $XXX,XXX prepare a expense

overhead XX.X% our which If Trinity, within you with was previously Project year prior exclude versus associated as of communicated the a XX% range. percent in costs is quarter, revenue

for Now shift expect can remainder what to of let's the year. we the

are have Although the cemetery we we sales, time. driven preneed is increased guidance as by continue over be organically, which primarily businesses growth projected to grow our collected our revenue to

Additionally, interest, adjusted will flow. also impact of and payroll the timing additional an certain cash for taxes, our payments free

of range the adjusted cash million million. For free $XX year the reasons, will within for these to flow $XX remain

For the of which lower full about for than year, we spend $XX our initial slightly growth expectation $X CapEx million CapEx, $XX for Trinity for million or million $X maintenance $X million, expect to and million. roughly is

For overhead, to expect costs continue focus as our driven we by on strategic slightly Trinity. overhead elevated objectives, to we experience

previously anticipate in after in we as overhead connection other complete However, internal communicated, is initiatives. and long efficiencies with the term, implementation

For expected the our within the XX% full XX% finish to is year, we of adjusted overhead to within range. expect revenue, which

We payment previously to expect pay cash and interest due the X.Xx period primarily tax end to leverage timing X.Xx in of year the extra our to ratio the bond range, the mentioned. the payment,

schedule of see a to $X.X in QX in interest expense by of more approximately our prepared $X open to it up our will We remarks, result concludes turn continued to fee as our the million and it credit a for down on debt. That XXXX million agreement questions. expect the amendment favorable I over reduction a provided operator paying focus back and to my to

Operator

Instructions] Our Paris comes Research. from Alex question first [Operator Barrington with

Alexander Paris

raise quarter. on beat Congratulations and in the the

First the talk wanted off, to about I guidance.

guidance. super QX raised a you strong had and year full You

suspect. $XX guidance, results the will couple QX, the the range would balance And about QX consensus #X, something in at come Did estimates of EBITDA related the the the range million, to adjusted preneed, of midpoint take the it is what to fourth because from is the again, underlying million, questions. Why end of to bit, range midpoint. revenue updated Given assumptions revenue be are at the the at down $X.XX. updated range down the sequentially QX perhaps the I borrow year-to-date what quarter? need high A the about and then a X, about and would is for year? EPS $X be

So midpoint. everything take was what said based But the high just be would to it I on end? at the

Carlos Quezada

lowest above as surprises seasonalized which we third That's we of had you quarter know, quarter, from been you would a includes few and the on think I cemetery. have third year. appreciate When that but the expectations case, large it's great always question, it. the you about a normalized sales a I the thought when every Alex. where quarter, are, be our preneed year

as we know coming fourth data about we're be and the just so We of And we, and and months, what the looking are to were up pretty of very economic forecasting like. couple cautious books, got elections wanted coming October course, quarter, a we close, up. optimistic in that's

news You keep discretionary and to somewhat wanted it reasonably achievement about expecting within it outlook, hear being -- to a while we within keep range. spending the of decreasing, wanted increase we our

of that's the day. higher it of where bit our get it the consistent. side we're to As it But just middle really up range. I expectation the is the the be end wanted the end have somewhat what to relates more higher the more tightened to could range to We truly takes going of on of believe outlook, our point. to to keep a We than little be at

Alexander Paris

decline, And would if at were up. be necessarily but the flattish higher or sequential sequential revenue it would fourth be not quarter end, a line sequentially, you

the question down July quarter has QX, last said expected in the volumes, were particularly for month you But on side? that had funeral first still I be going up you here. the the example, to related, trends gangbusters monthly quarter. but third what know of cemetery quarter, So slightly, the it for second full were been

like? in And since QX? then funeral was what look what the in So during volumes same books, October October is trend in the does question,

Carlos Quezada

Yes, that's great question. another

X.X% from So we have the due as the comparable to at of continue a beginning to COVID. remember, QX to see, that expectation volume QX, perspective effect year, case pull-forward decline our you from decline from was that total being QX, the for and the seen And of at a contract lowest this have has volume. on actually been QX, we the year

that September, decline. same However, the little you ticked see October August, a up could but on and trend, bit more July,

[indiscernible] also -- So much the to have we keep as to wanted enough the not a decide decline. be that's to honestly, on one we range off, on tight of extend could. the cautious, too why and like as numbers much, We October expect but to X.X% it's reasons to not too little don't a

cremation Bakersfield. of down, closed However, down right? X businesses there closed is we We a out business

business volume So out that giving from that a we then really we providing Buffalo, we going also not comparison required, that the perspective, was you in away. New York, that any not And see a have business was that positive shut building. That building EBITDA.

And while volume is we got some negative. so the actually, savings

to that be we not about XXXX. being concerned be and about more too very a with to year normalized honest So that, continue you, through optimistic

Alexander Paris

the talked to And just then that question you a related about. shutdowns

On had the divestitures you proceeds. a closed of QX conference in call, million couple around already $XX for

million then associated excess to estate that be with some about EBITDA on to well opportunity could it. And minor might -- any have had third been $XX have close of for in get relatively impact the talked relatively you You total, And are real EBITDA. the in Wondering, the what $XX Q&A, in sold doesn't any that you million other the as year? this did expectations a quarter? your with the on balance divestitures to

Steve Metzger

Alex, Steve. this is

opportunities a close here did a we and real in QX, of we in have estate-focused couple transaction So QX.

communicated still previously range on $XX million target $XX we're of to the that. So for million,

it's to on full the anticipate $XX at we $X.X million, million the at proceeds EBITDA to for think end and high of up year I these we give probably the range. do day, that of $XX the be we're when end the with looking million around 'XX, transactions total

Alexander Paris

end, complete that you to $XX $XX expect expect you high at range in million in million And do the to that XXXX?

Steve Metzger

Yes, do. yes, I'm we sorry,

expect them in XXXX. close We to

Alexander Paris

you're last schedule then to And debt in ahead me question. It reduction. of little seems a your

by do engaged year-end had you year-end communicated to when more and And a you'd off, to X.Xx would market? You in become what that the saying X.XXx second previously think of now target to, M&A first X.XXx, attribute X.Xx to you off? you're

Carlos Quezada

question. a good It's for that very again question, Thanks Alex.

of a yes, bit where would we thought So little we're we be. ahead

our have significant very been able allocation to capital been has We disciplined -- approach results. some successful

consequence not through strategic that, review of but alignment able as the expected And did of well. And our first on and course, debt. we as also quarter of the numbers -- from than adjusted fees the amendment, agreement paying that more result reported that we provided out been XXXX. the that the QX was amendment to separation down between cash have As allocate better fees, a process in a forget to please don't the we what much

line also calculation leverage leverage financial So that bank with to the a calculation full ratio have us allow ratio.

And as numbers those so that well. decreased

why those bond to the feels We a that's bit believe we down the kick of have the payments. good it QX by tax in we So will very deals, XXXX. spot payments and our do continue interest our to end continue to than as a Steve paying we the will and the expected. We believe as be divestitures be off especially mentioned the should we debt, we other we for little accelerate than close extra truly just to able with do we quarter, ahead payroll of timing that that be

the to full XXXX. we banks and go have M&A that expectation, barely to Our the be in heard shape able we from support will back

So and the our that's goal expectation. that's

Operator

Sidoti question Franzreb And our Company. next with & comes from John

John Franzreb

continue sales. understand revenue assuming that some can we've the of time, it level? at is of we Are that this in go Should sustainable a the made preneed quarters? X seen rate? elevated Or there you anomaly that thinking last to run at about collect changes back I'm you some so an that like be business that kind an upfront. cemetery I'd over I and the to revenue the

Carlos Quezada

since When with really off you got recruiting when now strategy CRM -- tweaking It second quarter-to-quarter we working back evolution performance we the X.X been then. What things. that going, think kicked than cemetery on cemetery structure, happened the through compensation created XXXX, about of of is we're preneed and few still XXXX, more better an sales, our XXXX. started has plans, of in every half really has working put that we we was since a and have than years preneed

it's course, job cemetery but now sales comes an it is bringing are is leads than Senior President that generating of working firm new incredible more ever more to sorry, recruit and of efficient, Cemetery before. And of All doing marketing, I'm Carriage, Marketing before. when our better at than to it some Pudenz, Shane right changes. We've cemetery Vice and people. continues made sales the

continue basis from. we'll that lot for true the do had same right the If back capture leaders to X sales. world, a in have right -- about course, view rate. Keep and we to cemeteries, I you XX% at of since lead year the in cemeteries. provide since challenges next in on between programs to somewhat all our that X to and has the on and some the year-over-year double-digits, all of the able is the to We not preneed the Carriage not the -- new been to counselors but Since been go to cemetery is some summer, leadership we started. so a last recruit and XXXX. We probably announcement grow, received we overhead been of continue think this grow, last sustainable maybe will that challenges years. over had generation in XX% to the summer have the believe point growth I've low we mind And the from right training, always sustain we talking then,

John Franzreb

in. And very when It's quarter, impressive. it's about Alex other that the said reason muted sequential start outlook see Carlos. the than playing as historical of in the the anomaly where was? Is that October think winter number, that that you we it's pointed patterns seasonality to kind typically of out, Impressive any then relative out the and maybe kicks more you not there

Carlos Quezada

be think will in do I seasonality No, XXXX. there

to QX, for starts winter the winter others see And with in that. happens on what starts the some it's depending think been areas, how some and late, interesting early. I

So predict. to that's difficult very

However, together, at the all put end up fourth quarter around end somewhere you we of the being trends. the once same the day,

of for the but and fourth. an so year quarter being second highest I the a continue sales the first in the quarter third quarter is to do And being being year, a third mentioned, fourth normalized seasonality of being full to the quarter expect I I really the This quarter, expect of have large quarter because highest XXXX. the second quarter exception

John Franzreb

COVID the you [ And fourth quarter was you enough. that think the X.X%. the contract volume highlighted to we've we that all Do start Fair ] anniversaried down when hit impacts?

Carlos Quezada

experience gains of than meeting and specific less. the that the that around little we're through quarter, share I shared in market in some or in I is X.X% fourth that's by decline us a pricing also throughout in right pricing community that it's pull-forward bit that the quarterly in of the quarter, third think to on data, evaluating pricing reviewing the that a not based just is we'll improving for more and it hoping the last a competition losses. But is business specific call. And our that it for we're the the if with this maybe analytical a what process funeral happens because homes. And aligned our effect happens.

flat. cases, volume. adjusting, In cases, be we decreased we're some right? we some because losing so In cases, In leave price And price prices. we the some we increased may

be and of may we pull-forward blended volume and maximize between So growth. the perfect balance adjust find some those the within to volume price continue effect and as losses

X because absorbing over able inflationary most I progress the last pretty do we some we've price the getting significant in pricing we of where is to probably to growth experienced have Now more believe focusing on volume are and the costs been years. it

to and leaving not keep And we that business grow market business. so by now it's behind sure families business to continue any that making we're those are share family able by business,

John Franzreb

attention into about. fourth on overhead question, something And And X that that caught Is GAAP Kathy queue. gap on an about or basis number guess number? to XX% It's XX%. back my basis? I'll that things year being full one quarter is said a adjusted I costs that or a get last a

Kathryn Shanley

on I would basis. an say it's adjusted

regard We we're for Trinity. a in taking with to unique what the And specifically looking to normalized is XXXX. are out more items, more XX% XX%

Carlos Quezada

And We John, Carriage. just to just statement when for a I the of purpose person add X We part positions, in say continuous created that. -- one objectives a -- a right? And additional created a one our little few it's strategic in call department. within chain We improvement department, really supply of department each these.

supply skipped really -- one. I for and we I customer here, So chain. And that. apologize created we're that really,

additional So members on there's to results is we It of XXXX. to improvement experience, result in that additional on we've that of It's this the with and on easy. overhead can. team the growth focus at you that show in focus challenging, compared making able on what been the of But industry not had see else Carriage everybody and focus a growing and those could in happen. focus has showing the we an is this some quite the organic course, purpose

Operator

question comes Burke from next Riley. with our And B. Liam

Liam Burke

or off the give of a Could in where -- to sense pricing Funeral state as your EBITDA a steady back working in maintain of using also XX% you level? things you move of of are and you your me of volumes. being and Home a this and Can just both market-specific high-XXs prepared of discussion, to this terms do up statements we can margin go from benchmark, think to down in Q&A costs in There you terms and with that strategy sit couple Or to vendors the get EBITDA? the is margins? quarter's

Carlos Quezada

of been When think businesses, And for model, great as about agreements relates supply will beneficial vendor ever That's to more be be are to a we're it one has beneficial not right? each going but operation, we question, choosing decentralized, -- the while creating always a the the continue very decentralized, Carriage And especially more to are to than central-led Liam. you somewhat that chain. on we vendors of the our urns focus between a provide States. When and those those expanding that margins. that on provides more volume funeral by analysis, before homes. to better margins, United not in expand the opportunity to just largest keep It making our the did but we focus families caskets generating also we is significant pricing across realized a sure our families and

it's the just it's the in tools businesses so that about visit And of not what markets. of the margins, one also expanding create each number about maximize to our we people can

wouldn't have are say commit that our And are side say so to within home would I something range yet is home sustainability margins. funeral this on the to we expand I But funeral current a margins the today of for XXXX.

Liam Burke

growth is a is or a larger sales, preneed sales of this a productive more sale in the Great. going a function a the -- force? preneed, larger to back And of function force just sales

Carlos Quezada

function of things, of which X both you a It's mentioned.

force. It more had is is a efficient sales it sales larger not large a off-cycle or X But force. So we productive sales. also normal and

as not sale sales had. as we But under of in And the $XXX,XXX. largest other large have a almost cemetery, another did in this big us, this $X.X sale million we probably is competitors. are For cemetery had cemetery ever and one

just combined, So shy that $X of million. is

go difficult quarter predict let's do $X.X But strong impressive. cemetery large the we're when within in reasons sales the We the normal range of, That's challenging of one large and million above strategy repeat the pretty sales more it's that perspective. $XXX,XXX that. out you million. very a teams why strength it, million, from of to came repeat or going for of to the much say to the $X.X call to not to have be able the $X are performance sale a third So

in for that keep your just mind so And numbers.

Operator

George next ROTH with our comes Kelly Capital Partners. from question And

George Kelly

So maybe of on the follow-up a to one questions. start prior

You able that to market. financial mentioned in contemplate again have in XXXX, the expect back to the to M&A getting flexibility you be

you seen have market what And with just M&A kind So the would on I'm helpful. like any of look environment What the now? respect be curious, just to multiples? does commentary right

Steve Metzger

George.

we've with it's we've different to past our down paying -- relationships -- we've with the So yes, year. debt, while year, on next partners work continue been the are really been to looking we working focused that

there We've that good are as succession little back a looking come plans. businesses it becomes and folks more we down, we out focused think execute for that we think as their we'll friendly looks rates we for And growth environment bit that to folks XXXX. more a see next So get of interest do got the group more to on year. on for

So doing is preparing what over X also this growth year the we've really accelerate next years. to been

So but alluded making systems can teams we this, grow accelerated that an really rate. refined we're sure Carlos to integration the so is people at to that to playbook to from has approach,

that excited account little a I before all other X about that think did of debt, thing we've down to of under those back paying of the XX% XX% company's it, X transactions. EBITDA. transactions company's years is we of all and the But we right talked revenue call got today we're about for only the, about X the

year. to the with that that short to one few very did a back as that And transactions. going in next follow blueprint we we time of get growth we're So is period very

So like excited year. next get as his ahead I of full steam us, for out said, kind the remarks, we're opening Carlos to -- and we're in just of gate mentioned it's

George Kelly

been is are years that And focused -- the you've you're of of -- the on couple focused on assets. fair you've meaningful. last hearing Is characterization? even large paydown. where the while So kind a of what looking been at assets you're pipeline over They're larger debt building I'm kind you

Steve Metzger

right. That's

that sense like Dallas. -- I like businesses markets. Charlotte significant focused up a be smaller to different on what into really a very, we certain of on nice what That's some there'll combos presence And then make outside for in us in our of and focus couple a moving we've tuck-in Greenlawn, in going forward. said, be have to look 'XX, lot based a will at with If done if of we're Greenlawn very from everything you 'XX of large or fit Fairfax and -- those kind you categories,

George Kelly

then high the the foreseeable mentioned And of your more XXXX, curious one should tailwind I for the you double-digit that question, expectation doing volumes we to pricing can you can XXXX. sticking anticipate I'm future. prior preneed business? questions. kind next for year? grow I'm the about high year? cemetery And to continue guess, like there do also kind realized be And to you that in next side, of you just -- a Is keep about funeral you here second of mentioned low Carlos, growth level level, of to on kind how thinking think follow-up,

Carlos Quezada

a very That's George. question, good

on good that pricing a think difference volume make you loss. pull-forward perspective that continued as have we if about baseline. significant when the through funeral in for revenue that up lost flat volumes the the So a effect, from significant will just The will a a make it now because to quarter we difference. third be has They to related home right, be a comparison business, the phenomenal side go thing, example, X.X%,

However, That's gaining program going an I more to business. to share rolled business going think and XXXX. is strategy piece of service the market to be families. where by out service is for is passion our compelling for elevating to in That's approach a significant first in be do the every experience quarter business

continue should rollout to the impact we everybody that. the It's to not year. going the on going see to be a we it's able course, throughout be be but will -- quarter, first to grow as Of we

we testing believe thing, too improve visits been about our second our have going been enhance seen over The and The but website won't to to I much us have for be ways strategy. e-commerce XX-day -- and for do we've believe we results share compelling enough is I do period it, XXXX. homes, that's to I testing rollout a significant. full funeral a for

pre-arranged performance. sell of rollout when hire full fully a find the launch point continues of though May growth to to And as funeral business this of funeral appropriate XXXX, on Precoa to to funeral George, And to continues That to you with have way for probably game. have fifth rolled pre-arranged the be metaphor slow another like think believe high be to to been NGL from better, and about if be this have going to those it's collaborate course, night's stages baseball to counselors use that states the being lot of in other a a a know on continues partnership need And probably last of out. We XXXX. around of so each we would to in really regulation still And have our other and business in use I We're in that's year pre-arranged that to some one, agreement pre-arranged Mel still the We license, over we little piece I story. And continue related September, to one, view. I that of still the and directors started with such used metaphors a third by after September know grow, in selling it's is to strategies signed early sales. expectations funeral pre-arranged that literation license. the partnership inning a and significant even for it, funeral. strategy of funeral. just have some

George Kelly

for you've $X for headwinds XXXX, margin? that year? are next or brought think fairly margin. don't tailwinds quarter's I call, And again, articulated kind I with You've consolidated kind of for is high significant cost XX% conference million kind me been what it -- on year most respect know tailwinds that then and headwind margin question before you've you year. similar. but got next Any up major of EBITDA to And Curious, -- this of this last other savings the of for above that headwinds consistent level

Carlos Quezada

than don't positive that swan we from have upgrading about unexpected and forecast and economical are process that Nothing pretty systems an or is performance, perspective could we of certainly XX% other the cost We feel management that events things that. We to sustainable. I the believe black over. control

Operator

Alex question to with Research. our next Paris move from Barrington we'll And

Alexander Paris

one to revenue you adjusted said just from year. For for example, the are Sorry, you overhead will this XX% more you range excluding terms next question year, you in XX% full million and projection? the in overhead Kathy, said said also a the Trinity of of Trinity, What year. for for overhead I of clarification. point be $X adjusted think of

excluded overhead then revenue X was also. year-to-date related of And trying get So just just months? that the to question. adjusted quarter gets a estimate. as I'm a to for What a fourth percentage

Kathryn Shanley

Okay.

So things for reoccur Those full include be not would that be Project severance excluded like and Kirby. things expect the excluded full would the were that a which other expenses from in perspective, year XXXX. things do to we year

Alexander Paris

much be was how and that You Trinity was year. And What Project impact about full was impact the severance for severance for said would $X what XXXX? Kirby the Kirby impact? the and million Project fiscal

Kathryn Shanley

about they're $XX.X million. Combined,

Alexander Paris

Trinity Kirby So $XX.X and severance is about million?

Kathryn Shanley

is by through Yes. September. itself, Project No. Trinity Kirby

Operator

and ladies conference there questions to in at any back for no closing queue the turn And gentlemen, now are time. this or I'd Carlos like to further additional remarks.

Carlos Quezada

Thank you, operator.

team dedication reflects performance every Carriage the of to statement, the quarter's strong This our our the member. purpose commitment work, and partnerships hard

building Carriage, new lies great with to progress, when grow forward we you potential for with everyone. and we our ahead serve. and our every year. and you full day. experiences fourth proud we Thank energized legacy our we sharing We of services, as our success look day, quarter meaningful and in about your trust report are those more continue unlocking to and a are Have purpose deliver We're on elevate we to what

Operator

and ladies this today's you gentlemen, Thank participation. your call. for concludes conference And

may disconnect. day. have a And great You now

Carriage Services (CSV) 31 Oct 242024 Q3 Earnings call transcript