Service Corporation International (SCI) 4 May 222022 Q1 Earnings call transcript

Good day, and welcome to the Service Corporation International First Quarter 2022 Earnings Call. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to SCI management. Please go ahead.

Thank you, and good morning to everyone. Director Relations Young, SCI. Debbie is of at Investor This results review first Welcome company's business for to our of the quarter.

risks release in and made prepared As actual cause to to materially usual, before Any such results that the language on future beliefs, not statements. for subject plans, contemplated forward-looking to, the safe the management in These expectations comments our state remarks. or our I'm going are our include, we uncertainties statements. factors that could available with limited uncertainties from to begin differ that are These and risks but identified those are cover statements filings website. by and team SEC our those the projections harbor our in are with forward-looking earnings

this earnings and tables I'll also we of found Ryan. Events measures certain now to measures. can and behind Webcast Investors financial our on CEO, the appropriate pass at section. website Chairman may end in these With and Tom us, to non-GAAP release be A that GAAP on our measures our reconciliation the under the the it call, During discuss of

everyone, the you and and joining us for on Thank Debbie, you, call hello, today. thank

we to this First continued SCI results team, us quarter. to courage positioned of it’s and all, thanks posted want heartfelt express the for your I my our entire commitment that

and best, we grieving, reinforce closure live importantly, motto, our stay and More what of Every the focused families do our through detail process of Memorial celebration. Dignity remembrance day helping to and you have member. every communities healing continued client the on and our you gain relentlessly

Then uncertainty another performance keeping must to detail will I'm being offer navigate results. commentary outlook, the This as hand. impacted and be our by our color at year strong on in some of including some around business the mind quarter, the XXXX flexible on morning, cemetery provide we funeral revised going I for some still COVID-XX. our to Now business we

$X.XX, of a quarter XXX% XXXX. the generated For quarter quarter, over year we increase first increase a pre-pandemic $X.XX per share over quarter, first of first a Compared to results the funeral of prior adjusted earnings continue our healthy flat, elevated increase we expectations see to services ahead but our funeral of as average. well levels with XXXX the relatively funeral a were in and

a in the cemetery be preneed in in are double-digit was cemetery to a as XXXX was over increase These still in that rate. completed revenues due healthy This once the strong developed. profitability we've down a by a premium construction. slightly variety sales that occurred our On of lower side, primarily production being sales quarter were increases projects should recognition property recognized muted later year

our from So share a from contributions the primary recent of year-over-year was count beat buyback earnings acquisitions. and lower our program share driver per our share

expectations Now the results $XX sales led Total the exceeding million, quarter. quarter, Comparable comparable let's our provided funeral as core year over look in funeral X% prior an the nearly deeper take the by general a for grew comparable grew growth the X% or for about $X revenues into revenues average. quarter. and million revenues impressive agency core the funeral increase revenues funeral

services, by catering. and average is has the comparing Our an average. sales funeral COVID impacted Keep volume a that in X% funeral funeral the declined we profit growth core further general saw increase of in funeral a by to such the percentage percentage sales Comparable acutely families. first comparable basis rate. levels about flowers against, production. General funerals production. agency point insurance the as dropped quarter. of selecting This elevated the production core for points celebration preneed our service associated profit to quarter. agency deferred average impact gross increase are to quarter achieved our in of $X impacted revenue despite of funeral prior gross revenues to latency decreased cremation families have client in a growth ancillary core first revenues of the the uptick and XXXX XX% from pre-COVID preneed compared Remember, selling the levels in offsetting quarter, we're the to sales revenues the are year and life mind, XXX million perspective, returned XXX the and being continuing while was essentially positively Slightly in XXXX increase positive From was profit to XX% the from basis $X $X These primarily with offset volume was funeral preneed revenues XX.X%. general effectively million increase a due over funeral funeral by costs million grew by impressive sales

the profit and gross $X So revenues by anticipated was offset gross our million on Comparable pressure in fixed profit funeral no our puts downward inflationary gross and costs. grew by is delivered $X.X increases it core profit million percentage.

effectively the over I Our fixed production $XX and the costs, million a XXXX. growing XX% exceeded funeral line, Preneed of year customers comparison. for our did of at unusual X% nearly XXXX first rate since are X growth X% quarter the managing to our years the are quarter an expectations our we're and tied over difficult have grew the very quarter ago. more quarter. against believe labor first we majority or sales XXXX, funeral Bottom compounded costs prior costs we XX% Overall, serving in segment, than which fixed costs

the with average. sales prior Our core and in gains XX% posting production velocity both an particularly quarter was strong, over solid increase of year over

well leads mail increased our more focus a see momentum marketing digital as on leads significantly data more in generating lower high-quality We targeting as at cost and continue for sophisticated programs. positive through seminar to direct

was cemetery. revenue cemetery first in Comparable flat Now $X increased and shifting the quarter. to million essentially

year. large construction Rose Angeles Hills Phoenix completed of significant occur development. in Los and by from our distribution. slight the over atneed quarter a recognized comparing further and the prior of entire expected, particularly sales and across core alternative anticipate impact having core $X.X in increased sales revenues. saw part million XXXX are quarter positively was trust both sales Strong asset Sales declines X% $X.X income declined later was preneed In year and average of or as the production contributed midst a accounted million compared over revenue XX% breakdown, we year an X% Substantially, increase from the by with as over we impacted first prior for in the grew velocity increase a Core million on network XXXX within quarter. is cemetery timing over in production to sales some terms Remember, revenue by earnings ECF and revenue the prior We positive down first by Other from This a revenue of offsetting to growth $XX primarily sales velocity. was quarters. average. top market. of new increase, as year the this astounding against all the by the record sales almost grew the coming cemetery the the sales XX% the inventory Preneed to in which increase improved which strong related cemetery first XXXX. of revenue it to quarter, on deferred large in growth was seeing XX% gains the a

see core in I preneed our we continue funeral sales to and both programs contributed from marketing production successfully in that to discussion earlier, lead have our our growth my mentioned increase preneed As very production.

profits XXX percentage driving higher to Additionally, about XX.X%. sales gross gross the selling and Recall million the sales, in profit continued compensation metrics costs the number by basis close set declined rates. property in million of dropped Cemetery quarter. we're incremental unconstructed strength primarily appointment about of $XX the that in seeing we $XX revenues deferred key the from such had as quarter effect of still which points an and

the coupled increases, modest with year quarter. experienced also prior to We inflationary compensation compared incentive higher cost

shift to let's discussion our revised Now outlook for XXXX. about

an you from this in $X.XX our of model a of our quarter $X.XX, adjusted base XXXX the midpoint the XXXX we a $X.XX segments. midpoint, earnings midpoint to reflects The range in At primarily increase growth of annual in pre-COVID earnings and both the XX% mentioned our above attributable As or outperformance per range. of $X. over on first the our our guidance The almost rate is compounded represents well to to cemetery historical a midpoint saw previously $X.XX. per release, $X.XX midpoint $X.XX share increase share earnings revised funeral

and a preneed a now expecting year Additionally, sales we show growth for our low have decline mid-single-digit expectation the related favorably to previously revised production to cemetery XXXX. single-digit anticipating

percentages. single-digit Day expectations average or invite and low maintained next effectively our funeral listen for growth presentation to the have the expecting tomorrow. down our percentages We in segment, Investor X sales quarters to you funeral the the into year in in low the volumes mid-teen attend for We

the see will the over operator, discuss some beyond. will We in XXXX, Eric. that, on I'll color coming we exciting years and of to the and and now provide call thinking trends XXXX for our With more turn opportunities

management really time, morning, and years team. all It's hard comments and during only endured serve, teams really we this look this to It's I SCI entire X that times. we during I that put hard into to cemetery other we as the and pandemic. everybody. but good this for each by to not as also funeral and accomplished back really morning as support families words are communities support Thanks, to the amazed Tom, these believe proud unusual be how And us have continue start through serving to we've these our families trying of

message our being some our quarter, walking I'll for this rest then you the of So investments to said, cash XXXX. and for the flow start talking with going cash and I'm results important very on morning comments that increased through provide our outlook capital flow --

history. Tom in to million, cash $XX Operating that $XXX seen the flow our the our our cash decreased on to also well cash this quarter-over-quarter interest as of year. quarter ahead million working the already increase internal lower Year-over-year, Cash reflects $XXX $X floating in morning, rate is million in capital. taxes quarter, and debt. driven was timing due solid also highlighted from to which results, So due million the $XX to expectations. in recent approximately predominantly payments compared were operating This in payments million and flow balances highest as cash lower as grew payments. results flow affected current of interest the significantly we've tax prior this by by declined the quarterly cash The operations favorable

cemetery this Finally, a deferred primarily year. quarter, just revenue we of from later pre construction during mentioned, of source cemetery as associated property net these collections significant which sales. though on And property once we we strong resulted the will complete are amounts of the even we working experienced this capital cash sales recognize

We periods. production also as cash payment had well as cemetery cemetery associated a on in rate down preneed higher from prior receipts installment those sales sales sales higher with elevated

Now talk capital activity. the about investment let's

invested the new $XXX returning and During funeral funeral million into capital and we build our shareholders. categories: really businesses, footprint quarter, enhance opportunities to to cemetery our X cemetery existing and existing

a our existing funeral about So about the we facilities let's of million construction the of talk new From hubs. growth $X deployed capital of and expansion towards perspective, breakdown. several

new We footprint these expect into and low returns with growing builds will attractive desirable also in provide our double-digit us that markets. expand percentage

infrastructure million $XX million funeral spend. our and invested in first also the homes being of businesses quarter and maintenance about our includes $XX with development capital $XX CapEx capital We cemeteries cemetery into during technology of which back and invested million

closed which you just that last pipeline update quarter. provide On to we acquisition during this our the do the the we we more expected outlook acquisitions, large for course, we presentation We that and about invite transactions webcast. to and of targeted Investor acquisition mentioned, bullish range Day have deployment during that join front, remain due activity discussed for tomorrow, Tom us any about not our on acquisition you acquisition an our excited with very we'll quarter, of a bit

share as capital of to in quarter Finally, shareholders, returned million during of both form dividends as nearly the repurchases. $XXX well we the

few continued per range. terms about outlook of as highlighted flow cash comments at by the first move the from business driving our as segment investments. us in as of $X.XX capital to the now increase midpoint our our our outperformance earnings as Tom Let's after in well our the COVID Earlier, for to well guidance share quarter XXXX to the impacts a cemetery updated

Our similarly $XX of to an cash million $XXX increased representing million, also our previous guidance. $XXX flow outlook to million the increase has midpoint range at from of a

will additional in higher capital which, this to million working higher from $XX $XXX Our taxes positive as offset resulting previous should million by higher-than-expected cash produce cash of $XX about flows compared of well estimates, these cash earnings our contributions be as about earnings. million to

we our again, So, and cash taxes XX% by to $XX an note, February, or expecting expected XXXX. we that in to earnings million guided the year of additional now $XXX XX% in full on this the guidance $XXX over From at an million are in XXXX driven million midpoint the of range of the effective tax to of in continue standpoint, rate you earnings. increase model for we

expectations for cemetery unchanged $XXX remainder at the to Our million million. spending development remain maintenance capital the and for $XXX year of

million the with liquidity credit $XXX very on This shift $XXX million So We of kind cash state. now maturity than hand at bank end almost of to billion of well consists favorable remain positioned more of of approximately $X facility. plus let's financial and profile long-term available on our our quarter. a debt the

leverage of our about X.Xx. end the at quarter remained the Lastly,

effects We targeted repurchase of this program, and the and X.X high waning Xx to of with range expect as net coupled, year. invest the opportunities, we part of to to share COVID acquisitions to year the latter remainder lower for course, as continue return lever towards leverage end the of the our back such to our capital EBITDA of debt of

without every a closing, just stressed let not we're all And been and off great could associates, you these a to in before, results of our and contributions me as better-than-expected thank of I in and one XXXX, each reporting heartfelt to XX,XXX have cash say So results. flow start earnings have of you. the possible

open to concludes questions call call that, now with operator, answers. and turn the We'll back and that So our remarks. prepared to the up over you

[Operator Suisse. question Instructions] from Our Rice with first comes Credit A.J.

year. has like little going to happening the you're something where Or in bigger in saw you activity are there about just on of first, the recognize bigger around Do get ebb a that's flow what sales. part these these rest larger respect a it a and you're of an once that there's the side to Just to you the these you seeing the pickup? you more while think an sounds $XX ask bit maybe over additional a the is that every larger unusual sales, quarter sales? market more first which quarter, cemetery sales in with It that recognize million

A.J., Tom. look Yes, to We today. forward this seeing you is

quarter. a front the liking by the types of for we think, We're the say average, in then we're project is, oaks up is property sales the when gold garden across being Rose is again, is of time, And to about relates have really it come we inventory is the this Hill those projects seeing high offer. lead now the a this, country, same driving at of XX too, real X% end. Angeles, the X I'd that at are country. of country. lot the put As the customer properties through XX of Los that tiered about and our a it's the number that a the that we're and and right particularly. really largest a you constructed, sales -- But have I on up seeing which from sales having But we to in seeing in that really is it's that you into still lot again, separate properties biggest They projects going large which that breadth that's being deferred across core We're understand them. great seeing think strategy the projects and

a Johnson Investor will tomorrow talk our hand So go that Day. they in bit about in hand and kind Michael little of

quarter. know strong thoughts they see quarter Are bolus in probably updated I Obviously, Are little had those acquisitions on And a but a are we how the Okay. of you fourth the of early, tracking part out? coming in they they here. It's any better? contributed expectations? playing

We A.J. did,

performing we're your was our against we're forma. the We're comprise anticipate and well. definitely XXXX, because real very I pro you than -- that comparing share seeing impact quarter we're and an the monster but said, they're levels seeing, You such of repurchases volume elevated in acquisitions, unusual noticed year-over-year like it’s

pleased. for see we're first you're a part being acquisition have of them XXXX to didn't while us. activity So activity and topic, closed a great great of the lot quarter excited we the very They're And things on seeing We're lot a good are we businesses, people. a the fourth. year. because got lot a definitely of done we in anticipate But of

extent can some focus price most of maybe labor know through, you're a lot I what more calls, I a increases, labor inflation, you getting you the of to on to on that pass of of front, challenge. and probably there's experiencing what then give efficiencies, on a happening? us respect designed to is And lot have to us that? is sense thoughts do these but extent to flexibility industries just what Okay. CRM and the And labor you challenges, get then that you're than give forth the so updated with know cost lot with a input

blessed our that. Sure, markers, A.J. do you things that our front in caskets, side that. of the things about like happy product we're customers, to business, this. predominantly of in putting the think periods We're When like really

We on that caps them. have long-term inflationary agreements actually have

protected be them. caps more experiencing of the So would while little with some being inflation and may than agreements by we the a industry associated again, these because,

going think today. in So what experiencing that's a net positive we're for we us forward as about

we maintenance ourselves We about markets, and mowing and sometimes you actually the some think are cemetery we or blowing in those of do outsource. certain the seeing if

wage through. we're outsourced definitely that increases on seeing are And so going some inflationary contracts, the

there. take ensuring capture in that, to as responsible decided pockets we've can Operating try Officer’s to our we that manage in and so surely suppliers worked really And labor be seeing internal they anticipated do certain we market to they and time, they down make the and to provide Jay evaluate the where areas, think some and increases. the let And say, managed side. pressure those. let's But through way in certain we to Chief local the what's obviously, our about With plan assistance, here think we us partners our on we to same that the have are you for some adjustments from think is wage our where this them. to sit these at we've with then markets to staff, pay lead and And Waring, need costs risk,

we an idea then up, So going are with wages those we really in pass to if want to along of, consumer. go our the

far, good. so so And

I that. it I'd do isolated it goes the board, think as I on. across we'll the approach call markets, wouldn't year able to and with been we've call that continue again, And

Gajuk Joanna from comes with question Bank America. of next The

I earnings thought. data effect guess call, on pull-forward the suggests you is that the smaller the last said previously than

So view death? terms to and of of what the past this any changes seen quarter of types in based this you've number the deaths on

as going of us I on Again, We're XXXX, tell unfortunately, so compares above opinion, about that would which we down. is first still COVID, the the to the my in in something’s you you of no slight experienced would it market. percentage XX% the excess quarter tells Joanna. continuing There's Sure, see, to decreases that first it. deaths. tell quarter. we're doubt far, I

statistic Investor care, about answer this. doesn't different access for seeing a this repeatable. at we'll could are reasons, medical short We're this tomorrow, Nash But of possibly of is talk of lot you. that through driving little the screenings. Day some Elizabeth debts go you But for bit occurring mean is Now that's to a lack going every to it's unfortunately,

a one really very, talking the But hard. because we citizen, -- line. deaths of a American long it. about again, talk think it's and say to. were been infected we'll the less I which so excess a But aged talk you And person more is bit you I And how we'd you very bottom we pull pull-forward When I has about to lower pull-forward healthy poor, is diminished these effect guess COVID, at if that's that that think say, does by difficult effect think think has somewhat, little about had COVID, a clearly there's the of less which, very harder forward, last? we near-term

very when No, that, comes excess death. emphasize it mark I understand a yes, it's to

the 'XX sounds you different very question, next more difficult bit color, targeting earnings. back to terms guess hear appreciate we it maybe -- talked you're the that. where I Obviously, I like little tomorrow, related come year's forward outperformance of for in a to So guess to QX might I so But somewhat previously, your for year expectations also but being then going long-term accounts year. looking a creates about growth but this

So year's are to implications And now? willing view were you what what about are yes, the address previously? is thinking how you earnings, next for your

gave bit said this little we it's really probably a to never although I we when like we we think hard guidance, of word before. because a you don't. guidance really We've So lot, -- know feel think given I far we give the color on XXXX out

we've for you guidance. $XXX a been we to he’s guess put But of tell you're -- think don't tomorrow, could it's for love million I So out given but thunder And But at want to this. more, I say Eric's practising right, kind would mirror I'd this XXXX. in there tell way. I for you, I again, I of front it days. steal I'll not

. than better about efficiencies of guess of nonrepeatable We you originally and think But his we really we going he's just with tomorrow. about encourage talk to how for to facts right just tomorrow going And just we've being without tune I presentation this we topic, I again, what see talk It's to know, to I that's in going years. spoiling in we guidance. now XXXX again possibilities and he's that say years also ruin I'd Eric's part as very the not an gained, and this thought outer about we well-done and be all, think is about thunder. it. I be think expanded big of a the going you and a First are that on what refuse cannot discussion coming or covenant presentation, to to the is the learnings

makes No, I that sense. probably understand.

guess, people will in money it try question. it So more much -- tune like, follow-up it's if a have may just discretionary cemetery. side spend that to is like large discussion I'm of we now, I at now that the tomorrow. income last Or Like, I the it. around have to I squeeze do of or guess preneed And whoever definitely would just put savings sales, just and just getting is you kind that and money you how they sustainable? What what of they it? mean because explain the in on does the that's cemetery they kind feels

color cemetery on sales? any large production of reasons So the kind and for demand for the this

Yes.

on about worried is think simplifying we People people's I the things. the of perspective saw of what couple life. the a out side happened. is opposite demand I COVID, celebrating think coming this on And

think I appreciated more. the people celebration

customer willing buy. I think have a to you So that's

aren't, we're prices the feel high-end there think time, cemetery correlates banks. you out you with is -- when that And around because when a right, I've with been I and always you having savings rich, the housing don't. listen there you you're excess you when stock to market and seeing rich somewhat and act sales long

through bit could cycles, go be does down to you it little economic as got it a careful think about you of and I have can back. -- come So dip

you thing things. couldn't now some -- down So think really to is during kind of to I in, focus because but slow get what's some on COVID, recall projects happening for the do we you that workers couldn’t had

had got is product. at the easier want finding some and and out pent-up told now probably that gardens it we operate and are you, to COVID we're I we building really construction what's it, happened busy better these pent-up And like consumers in inventory. there -- we So as some the became

to demand maybe seeing a kind a what's robust or against of half So early activity, I the leading the are you're again, pent-up part revenues, probably in construction to think year XXXX. that's of this back which, recognized going and of deferred this even

The [Operator Oppenheimer. Instructions] next with Scott comes question Schneeberger from

Yes, it same outlook. I in the first next as the about and was Joanna’s, my had year question,

So really looking to forward Eric's presentation.

atneed since you of in to some summarize from funeral just do if I you have and and helpful about for could then first think earlier please trends the to of rating a it the quarter of the guidance preneed the this we funeral those in, be speak cemetery, commentaries think kind year, Tom of over Eric, guess of cemetery. cadence year, just would that balance I metrics I summary X this. the of just kind

Scott, and down of thought mid-teens way, and kind tell I it'd obviously thought start surprised just what we've -- I just are when than before try mortality it for to of be we seeing, you, again, that I'll the think of volume, us. off Well, kind to we even higher to start deaths, reemphasize obviously told mean with as to mean, year, we've you I it going it's that frankly, we back it not are you COVID. did. is excess And levels were COVID that Tom that surprised out upside. we're This And the to expected, was this. these

because So model, into nothing That's volume, terms could percentages the that's be But The the that the be rest digits quarter. better based -- were prudent would I the answer really surprised we course, now so had we're say, built down tougher, terms -- down okay, single yes. than But of to don't down teens into what are just be part, the we could down is on bit call year in the didn't I think of of mid-single be going Of it it, X%, the for took we're -- that to in we're And seeing. and for going of could. upside then X QX? digits, low to, we expecting? think that everything comps, this change were expecting to and though. we to we only $X.XX to what double just we in most take expecting a we X%. we're versus like and we little

really but activity, is preneed sales. seen thing a about in a more I talked type the in -- which to into a the tomorrow, lot the this the as about conversations other the that cetera, some the we things And have digital leads of the hear lead great Scott, that have, lot rates, really press we've et of et such using systems utilizing terms technology leads we're of type you've release, you close and cetera. The of cemetery as manage driver the of how visibility are lot of visibility seen and to technology we've that seen the related related in our second that property drivers, area you'll have, we in in to our we type is CRM able it's already to

about get larger also type going cemeteries of some activity and inventory hear You're these lot tier continue the a of the we to continue invest to into run. to as sales capital the to to cemeteries

hasn't backwards the a And obviously. of the quarter preneed the management they'll to gives from independent that be mid-single do happened to necessarily we will for believe the think just to think from I perspective. an digits, to credit I mid-single of we're I you of a giving lot some sales down perspective, And be to cemetery which going all that other percentage So quarter, even excess digits sales we told about low rest obviously bit think cemetery, a up mid-single-digit perhaps things death, process year. the last range. from of of that, in think That kind for described cemetery I you don't flow little lead this

X what which sort Scott, because from perspective, is that in we of a predict So than change, ago, deaths COVID. talked the different these excess harder about months volume to of is

So described main I that's how X kind of metrics. those

answered to think, of -- you and just a I clear up couple think asked of you misspoke other Scott, that Eric something. said, I -- pieces something, think I

low growth for year. we the preneed sales, expect cemetery On single-digit the

first strong had quarter. slightly down we means So that could remaining X months a because be the such

we it and opinion. we're may have a elevated is to will then still quarter get again, year, cemetery. going not atneed So strong And last back but on be our where to

year. of should large but between But just for to because effect of Scott, I in close think comparisons get from velocity a good got great somewhat. almost then goes the mute average, the in the you've year a harder sales, that it it average, act decline funeral I preneed, funeral because got on of for it the funeral kind you've comparisons and because the lot that think we're growth like these volume perspective. volume should on, out, sales the low single-digit as still And as

activity funeral. like that. just higher -- per from haven't and I appreciate per last that revenue funeral -- with, a this funeral really obviously, inquire going there think to a ask atneed ask been COVID seen I'm Policy. the think you've with the very so. was to back you then said on want back much here FEMA to amended up -- with revenue And looks did you're and would quarter, that. It I -- And Funeral be do you guess we're pre-COVID then well. I and and doing follow again stay why you to I levels I Assistance question

answer surprised the seeing in life what -- in my people people it on which people I a some increases Yes, through celebrate slightly stay And to I wanting lot in seeing of side, crisis, the celebrations. learned higher more probably particularly on industry think lived. is important. we're became we're think a we want is the And cases, burial this

about it's Scott, think, and this, The about and Eric’s good. keep I We're presentation, to a bit ancillary talk I talk understand, I this, a again little hope thing, going to things. promoting we'll little other bit

So with again, the leveraging our by and to of increases selling as seeing flowers, on particularly leveraging it have, the Internet. technology tools scale, we're relates pretty that robust some we technology

we're which think are fixed shares dollars So different margins there's we we have that impressive system. in think friends seeing And additional which, these the traditional then capturing that put cost products, share growth there. consumer, we're of really of are the wallet, you about of this same the nature. a than going very of as consumer, but know, not to But of some margins can incremental the through high things funeral, leveraging and catering as you only of family

do, we'll go I growth. a funeral single-digit increases low pretty we that, about again, for we be little be And with, couple then a it's experience appreciation we inflation an is good little in higher forward. that price rocket higher too. So going to probably as think, what and feel to And averages going not but consistent if ship, it's

the would over closing question-and-answer the like the to to management concludes conference This remarks. turn SCI I session. for any back

call be you. And We want everybody show. or practicing person it's in for on a to can going being great the in to Remember, week. hard. very tune Have again, be for nice is appreciate appreciate We Eric thank if today. you tomorrow, We a you.

Thank has conference today's also for you The attending now concluded. presentation.

disconnect. now You may