0000089089-26-000034
SEC filingRevenue growth of 2.1% was partially offset by profitability headwinds, as a decline in comparable funeral services performed pressured margins despite disciplined cost control and strong operating cash flow generation.
Gross profit for the quarter was $286.5 million, a decrease of 1.7% from the prior year, resulting in a gross margin of 26.1%. Operating income declined 3.1% to $243.8 million, and net income fell 4.9% to $135.8 million. The decline in operating income was slightly offset by a focus on disciplined controllable cost management, which limited fixed cost growth to approximately 1% versus the prior year quarter. This cost discipline demonstrates operational leverage management despite the fixed-cost nature of the funeral service segment. Diluted EPS was $0.97 compared to $0.98 in the prior year period.