Matthews International is a company that in 2025 received over 50% of its revenue from what they call their “Memorialization” segment.  That segment consists of Aurora Casket, Matthews cremation products, and a complete line of cemetery products and markers.  During the past calendar year Matthews International also acquired Death-care oriented Dodge Company to add to its group of operating companies in that segment.

It’s also fair to say that they are a company that has seen transformation in 2025.  Of their three operating units at the beginning of the year, we already told you that they acquired Dodge Company for the Memorialization segment, but they also divested or sold a second operating unit described as the SGK Branding unit, and have seen their Industrial Technologies segment caught up in a lawsuit which has probably diminished sales in that segment.

The results of all of that transformation during their fiscal year resulted in Revenues for the 2025 Fiscal Year which ended on September 30, 2025, coming in at $1.497 billion as compared to the prior fiscal year’s (2024) total Revenue of $1.795 billion — a drop of over 16%.  Of course, the SGK unit did not operate all year, however, Memorialization and Industrial Technology segments also had lower Revenues in FY25 than they did in FY24.

Specific to the Memorialization segment, which we are most interested in, Revenues for FY25 came in at $809.5 million for the year as compared to $829.7 million in FY24 — a drop of about 2.5%.  One positive sign we noticed was that for the company’s 4th Quarter (July, August, and September) Memorialization segment Revenues came in at $209.6 million as compared to FY24’s 4th Quarter of $196.8 million — showing growth of 6.5%.  However, in relation to that increase, we must remember that Matthews International had the Dodge Company product revenue in 4Q25 and not in 4Q24.

Here are some prepared comments from Matthews International CEO and President Joseph C. Bartolacci in the press release (that you can access here) that relate to the Memorializion segment:

“I am pleased to report that we had a strong finish to fiscal 2025 as our consolidated results were ahead of our initial expectations for the fiscal 2025 fourth quarter.  Sales for the Memorialization segment and warehouse automation business outperformed their levels from the same quarter a year ago, and we continued to lower our corporate and other non-operating costs.  Please note that the divestiture of the SGK business was a significant factor in the year-over-year comparability of the Company’s financial results.”

“The Memorialization segment reported higher sales for the current quarter compared to a year ago, primarily reflecting the benefit of its recent acquisition of The Dodge Company.  Higher sales volumes for bronze memorials and inflationary price realization also contributed to the sales increase for the quarter.”

“For fiscal 2026, we expect continued growth in the Memorialization segment, particularly with the full year contribution from the acquisition of The Dodge Company.”

 

Tom Anderson
Funeral Director Daily

Funeral Director Daily take:  Matthews International has been in business for 175 years so the time that they are taking in re-positioning who they are is a small time in that space.  However, for those of us that follow the stock, the re-positioning and strategic moves that coincide with that effort seem to be taking an eternity.

From my point of view the company in Fiscal Year 2025 derived about 54% of its revenues from the Memorialization segment, and with the SGK segment going away, you would think that percentage would increase next year unless the Industrial Technology segment grows rapidly — which they are waiting for.

However, I sometimes wonder if the company is missing the boat by not being more aggressive in the rapidly expanding technology segment of Death Care.  Much of their Memorialization segment revenue comes from “old, historic” Death Care revenue streams such as caskets and monuments.  I think in addition to those streams, a couple of new, faster growing, Death Care revenue streams – such as technology companies might bring – would fit this company very well.

Oh well. . . that is just my opinion.

More news from the world of Death Care:

Enter your e-mail below to join the 3,201 others who receive Funeral Director Daily articles daily

“A servant’s attitude guided by Christ leads to a significant life”

Funeral Service Foundation Receives $217,500 from Service Corporation International (SCI) in 2025

Contributions from SCI will advance programs that strengthen funeral service and support grieving communities

Brookfield, Wis. – The Funeral Service Foundation is proud to announce that longtime supporter Service Corporation International (SCI) has generously contributed $217,500 to the Foundation in 2025, bringing their cumulative giving to more than $2.6 million and solidifying SCI’s position as the Foundation’s top corporate donor. This support enables the Foundation to continue its mission of lifting up grieving communities by investing in people and programs that strengthen funeral service.

At the Opening Session of the NFDA Convention, attended by more than 1,400 funeral service professionals, SCI’s contributions were recognized by Will Bischoff, Foundation Fund Development Chair, who introduced John Faulk, SCI’s Senior Vice President and Chief Operating Officer and Foundation Trustee and Treasurer, to the stage.

Faulk shared SCI’s commitment, “As a Trustee, I can attest to the positive impact that the Funeral Service Foundation has on our profession. Whether you serve one community or hundreds, we all have a shared purpose — to help families when they need us the most. As a company, we value partnerships and organizations that collaborate across our profession to strengthen it, and that’s why we support the Funeral Service Foundation.”

On behalf of the Foundation, Chair Jeff Smith said, “We are deeply grateful to John Faulk and the leadership team at SCI for their steadfast commitment. Their support enables the Foundation to continue building strong partnerships across the profession, investing in programs and people that make a real difference for grieving families. As our top corporate donor, SCI’s generosity allows us to maximize our impact across funeral service.”

SCI’s 2025 contributions, including support for the 2025 Golf Classic, directly fuel programs and initiatives that enhance education, research, and professional development in funeral service, ensuring every investment creates meaningful impact.

About Service Corporation International (SCI) – https://www.sci-corp.com/ 

Service Corporation International (NYSE: SCI), headquartered in Houston, Texas, is North America’s leading provider of funeral, cemetery and cremation services, as well as final-arrangement planning in advance, serving more than 600,000 families each year.  Our diversified portfolio of brands provides families and individuals a full range of choices to meet their needs, from simple cremations to full life celebrations and personalized remembrances.  Our Dignity Memorial® brand is the name families turn to for professionalism, compassion, and attention to detail that is second to none.  At September 30, 2025, we owned and operated 1,487 funeral service locations and 499 cemeteries (of which 312 are combination locations) in 44 states, eight Canadian provinces, the District of Columbia, and Puerto Rico.  For more information about Service Corporation International, please visit our website at www.sci-corp.com.  For more information about Dignity Memorial®, please visit www.dignitymemorial.com.

About the Funeral Service Foundation – FuneralServiceFoundation.org
Since 1945, the Funeral Service Foundation has served as the philanthropic voice of the funeral profession and has identified as the charitable arm of the National Funeral Directors Association since 1997. Donors and volunteer leaders profession-wide support the Foundation in its mission to lift up grieving communities by investing in people and programs that strengthen funeral service. 

The Funeral Service Foundation Announces New Trustees, Raises Record Funds and Honors Scholarship Recipients at 2025 NFDA International Convention & Expo

Chicago, Illinois — The Funeral Service Foundation celebrated a milestone week during the 2025 National Funeral Directors Association (NFDA) International Convention & Expo, held in Chicago, Illinois. From welcoming new trustees and raising record-breaking funds to honoring outstanding donors and scholarship recipients, the Foundation’s impact was felt throughout the event.

Foundation Welcomes New Trustees and Elects 2025–26 Executive Committee

The Funeral Service Foundation’s Board of Trustees welcomed two new trustees and elected its 2025-26 executive committee at its meeting during the NFDA Convention.

The Foundation’s volunteer board consists of dedicated funeral directors and allied professionals who serve together to advance the Foundation’s mission of lifting up grieving communities by investing in people and programs that strengthen funeral service.

Michael Soper of Legacy Funeral Group was voted onto the board in July and officially began the first of two three-year terms at the Foundation’s Annual Meeting on October 25, 2025. Ellen Wynn McBrayer, NFDA Secretary, also joined the board at the meeting as the NFDA Liaison.

During the meeting, the board elected its executive committee:

• Jeff Smith, President of Smith Family Funeral Homes in Arkansas, will serve as Board Chair.
• Bryant Hightower, Funeral Director at Hightower Family Funeral Homes in Georgia, will serve as Chair-elect.
• John Faulk, Senior Vice President, COO at Service Corporation International, will serve as Treasurer.
• John Heald, Chief Growth Officer at Legacy.com, will serve as Immediate Past Chair.
• Ellen Wynn McBrayer, of Jones Wynn Funeral Homes & Crematory in Georgia assumes the role of NFDA Liaison.

The Foundation extends sincere thanks to Trustees Emeriti David Falconer and Daniel Ford for their years of dedicated service and leadership and congratulates Ford on his installation as the new NFDA President.

“It is with gratitude and appreciation that I step into the role of Chair,” said Jeff Smith. “I’m honored to follow in the footsteps of those who helped shape this Foundation into what it is today and whose leadership has laid a strong foundation for the work ahead.”

25th Annual Funeral Service Foundation Golf Classic Tees Off at Topgolf Schaumburg

On October 26, 2025, more than 160 golfers and spectators gathered at Topgolf Schaumburg for the 25th annual Funeral Service Foundation Golf Classic. Held alongside the NFDA Convention, the event combines friendly competition, networking, and fun – all while supporting the Foundation’s mission to strengthen funeral service and the communities it serves.

“Events like the Golf Classic remind us how special this profession is,” said Will Bischoff, Chair of the Fund Development Committee. “It’s a chance to connect, celebrate and give back, knowing that every dollar raised supports the Foundation’s work to strengthen funeral service and the communities we serve.”

The event featured Topgolf’s Top Contender game with contests such as closest to the pin and longest drive. Winners included:

• Golf Classic Tournament Champions: 1st Place – LPI; 2nd Place – Matthews Aurora
• Closest to the Pin: Men – Steve Feliciano; Women – Candace Aramburu
• Longest Drive: Men – Jake Appleby; Women – Allie McBrayer

Sponsors played a key role in supporting the event, including:

• Major Co-Benefactors ($12,500): Service Corporation International (SCI) and The Foresight Companies
• Premier Sponsors ($5,000): Batesville, Homesteaders Life Company, Matthews Aurora Funeral Solutions, National Guardian Life Insurance Company, Precoa, Regions Funeral and Cemetery Trust and Ring Ring Marketing

Members of Team Foresight and SCI, the Classic’s Major Co-Benefactors, huddle for their team pictures. 

Foundation Highlights Impact and Celebrates 2025’s Major Donors

On Monday, October 27 at the Opening Session of the NFDA Convention, newly inducted Funeral Service Foundation Board Chair Jeff Smith highlighted the Foundation’s expanding impact through scholarships, professional development opportunities and community resources that strengthen the profession and support grieving families.

Joining Smith on stage, Fund Development Committee Chair Will Bischoff recognized the Foundation’s major donors for 2025 who pledged or contributed $100,000 or more:

• John Faulk of Service Corporation International presented a check for $217,500, bringing SCI’s incredible cumulative support to over $2.6 million dollars. 
• Alfred “A.J.” White presented a check for $100,000 on behalf of Carriage Services.
• Curtis Funk presented a check presented a check for $108,500 on behalf of Tukios.

Each representative expressed their organization’s commitment to advancing funeral service and shared why supporting the Foundation’s mission remains central to their values.

Adding to the moment of celebration, Foundation Trustee David Hernandez presented a check for $460,000 on behalf of the 82 IMPACT 1000 Founding Members and Homesteaders Life Company. IMPACT 1000, launched in April, now includes over 100 individual members who have pledged or donated $5,000, demonstrating the extraordinary dedication of the Foundation’s supporters.

Together, these major donations ensure that those who serve grieving families have the education, resources and support they need to thrive today and for generations to come.

Bob Arrington Honored with Foundation’s 2025 Distinguished Service Award; Record Scholarship Funds Raised

On the evening of October 27, more than 350 of the Foundation’s donors, trustees and volunteers attended the invitation-only Donor Reception, underwritten by Global Atlantic Financial Group for the twelfth consecutive year.

Hosted by Immediate Past Chair John Heald, more than 25 major donors were recognized, including Service Corporation International, Carriage Services, Tukios, and the collective Founding Members of IMPACT 1000. Landmark Funeral Group was also honored for their pledge of $50,000 this past year. Donors contributing $10,000 or more were recognized with ceremonial checks displayed throughout the room.

The 2025 Distinguished Service Award was presented to Bob Arrington for his longstanding leadership and dedication to funeral service. Former Chairs John Heald and Mark Krause playfully donned “Dumb and Dumber” attire while leading the paddle raise in loving tribute to Arrington, honoring his longtime tradition of emceeing the paddle raise with humor and heart.

Guests responded generously, pledging more than $225,000, fully endowing the newly established Bob Arrington Scholarship, which will be awarded to students in accredited mortuary science programs beginning in 2026.

“Watching the room rise in support of the Bob Arrington Scholarship was one of those moments you don’t forget,” said John Heald, Immediate Past Chair of the Funeral Service Foundation. “Bob’s leadership has touched so many of us over the years – his generosity, humor and heart have shaped the Foundation’s spirit. That night was a perfect reflection of his legacy and the difference one person can make.”

Fundraising for this special scholarship continues. To make a donation to the Bob Arrington Scholarship, visit: FuneralServiceFoundation.org/Donate-Now-Bob-Arrington.

Foundation Recognizes 2025 Scholarship Recipients

The Funeral Service Foundation’s investment in funeral service education and professional development was highlighted at the 2025 NFDA All-Star Recognition Ceremony. This year, the Foundation awarded 22 student scholarships covering registration and accommodations to attend the NFDA International Convention & Expo.

Through its academic and professional development scholarships including the David C. Baue NFDA Professional Women’s Conference scholarships, Certified Celebrant Training, Arranger Training, the Embalming & Restorative Arts Seminar, and the national conventions hosted by NFDA, CANA, and NFDMA, the Foundation supports hundreds of individuals each year in advancing their careers and skills in funeral service. 

A few days ago The Pittsburgh Business Times published a feature story on hometown company Matthews International.  It’s a very interesting article that goes back into the history of the company and how it has now expanded into a diversified business that casts a shadow in a lot of industries. . . .including Death Care.

The article, which you can access here, also points out that from the company’s pre-Civil War beginnings to today that “virtually all” the businesses the company is involved in today stem from the same three businesses that they were involved in in the early 1900’s.

Like Death Care, the article states “Pittsburgh knows Matthews primarily for its memorialization business, which contributed $830 million of the $1.8 billion in annual sales in fiscal year 2024, which ended on Sept. 30. This segment includes cast bronze and granite memorials, businesses Matthews has been in since the early 1900s, and also caskets, cremation equipment and, most recently, embalming fluid and other funeral and cemetery supplies. It’s a big producer of cash flow for the company.”

The article also pointed out that “Matthews also continues to move forward in that legacy, especially since the company went public in 1994. Seeing changes in trends around its memorialization business — primarily the increase of cremation over traditional funerals — it moved into the cremation industry in 1996 and, two years later, acquired York to create a position in casket manufacturing. It did the same thing with granite markers when it acquired United Memorial Products Inc. in 2009, Aurora Casket Co. in 2015 and Star Granite & Bronze in 2018. Matthews is now the largest or second-largest in market share in each of these major categories. . . . . It expanded even more recently with May’s acquisition of The Dodge Co., a Massachusetts-based provider of embalming fluids and supplies, for $57 million.”

The complete article also delves into Matthews’ dry electrode battery business in which they have had a disagreement and lawsuit with EV auto maker Tesla.  CEO Joseph Bartolacci makes the point that the Tesla disagreement was less about who holds the patents for the technology (according to the article Matthews does) and more about how long Matthews could be kept from selling the process and equipment to others.

Liam Burke, a managing director of B. Riley Securities is para-phrased in the article with the following “While he doesn’t know the ins and outs of the battery business, Burke said he thinks Tesla’s intense interest in it — as well as the interest shown by competitors in the EV industry — says a lot.”

Another point brought up in the feature article is some dissatisfaction of certain shareholders who “would like to see better performance in the stock”.  That brings about some points on the new businesses that Matthews is trying to develop to compliment the solid earnings of their Memorialization unit.

CEO Bartolacci sums up the process at the end of the article when he says “Matthews strategy over the last two decades has been conscious, not random, and with the evolution of the next 175 years in mind”.

All in all, a really good, in-depth article touching on Matthews success, failures, and aspirations.

Related Article — This article was published July 1, 2025, by Reuters.  “Activist Barrington asks casket maker Matthews for board seats, warns of second battle”.  Reuters

Tom Anderson
Funeral Director Daily

Funeral Director Daily take:  One of the slogans that pops into my head when I read this article is “Jack of all trades, master of none”.  If you read the article you will probably agree with me that Matthews International has a lot of “irons in the fire”.  . . . And, that is great if your company is returning value to your shareholders.

However, when your company stock sold for $54.24 on July 6, 2015, and sells for less than half of that amount a decade later (Matthews sells for $25.44 as of Sunday) it might cause shareholders to pause and wonder if having so many different companies might not allow for a laser-focus on profitability and growth.  In essence, a $1000 investment in Matthews in 2015 is now worth approximately $470.  That may be why some shareholders are unhappy.

I see certain parallels in this story and the Hillenbrand Industry/Batesville situation.  From my (as a stockholder) point of view with Hillenbrand it always seemed like they wanted to diversify into businesses outside of Death Care even as Death Care brought them solid profits and earnings year after year.  They announced the sale of their Batesville unit on December 15, 2022, and now, not quite three years later, Hillenbrand Industry stock has sank almost 50% since that time. . . . .I find myself questioning if Hillenbrand sold the wrong parts of their company. . . .

One other perspective I have on the Matthews situation is that of the potential in their dry battery business that may be a big help in developing the EV auto industry.  If it is going to become a huge difference maker in that industry, what is keeping Tesla (and their majority owner Elon Musk) from putting in a bid to buy Matthews International and “own” the process?  Matthews has a market capitalization (shares of stock x price of stock) of about $780 million.  That price is more than likely within the reach of the man who once paid $44 billion for Twitter if he sees the value in the battery technology of Matthews going forward.

And, the purchase could be financed by spinning off the Memorial business of Matthews for a simple 1x of Memorialization segment sales. . . about $840 million.  For the record, Batesville had a reported 2022 fiscal year revenue of $625.6 million making its purchase by LongRange Capital for $761 million a multiple of about 1.2 times revenue.

In any regard, that is a “simplistic’ viewpoint that I have on the situation.

Again, a great article on Matthews International and a little tie-in with the historic and generational family-owned funeral homes in that even with longevity, in Matthews case 175 years of operation. . . . “The story is still being written”.

More news from the world of Death Care:

Enter your e-mail below to join the 3,189 others who receive Funeral Director Daily articles daily:

“A servant’s attitude guided by Christ leads to a significant life”

An article was authored by Seeking Alpha contributor Daniel Jones last week about the largest funeral home and cemetery operator in North America — Service Corporation International (SCI).  As our headline mentions, the title of the article, that you can access here, is “SCI:  A stock to take to the grave”.

Jones uses some information and images from SCI’s 1st Quarter presentation, which you can see here, in giving his analysis and opinion.

As with almost all of the articles from another source that give stock information and suggestions, we will quote some of the thoughts from the article but leave the personal opinions of Funeral Director Daily out of the equation.

Here are some of the quotes Jones uses in making his decisions on SCI:

• “Service Corporation International remains a ‘buy’ due to its industry leadership, stable growth, and strong long-term demographic tailwinds.”
• “The company’s asset clustering strategy and fragmented market offer significant acquisition and cost-saving opportunities for continued expansion.”
• Transition to insurance-funded pre-need contracts should improve margins and sales growth, with management guiding for stronger performance in 2026.”
• Since I (Seeking Alpha author Jones) last wrote about the company in January of this year, in an article in which I reaffirmed the business as a ‘buy’ candidate, the stock is up only 3.8% compared to the 4.3% rise that the S&P 500 has enjoyed. But since I originally rated it a ‘buy’ over nine years ago in April 2016, the stock is up an astounding 248.4%. That comfortably outpaces the 188% rise enjoyed by the S&P 500 over the same window of time. 

A couple of different graphics are shared in the report from the SCI 1st Quarter presentation.  Those graphics make these statements:

• “SCI has 1,985 total locations in North America as of March 31, 2025

• “SCI has a 17% market share in North America with other consolidators listed as 9% in total, and independents have a 74% market share.”

Disclaimer — The author of this article for Funeral Director Daily is a stockholder of Service Corporation International

More news from the world of Death Care:

Enter your e-mail below to join the 3,164 others who receive Funeral Director Daily articles daily:

“A servant’s attitude guided by Christ leads to a significant life”

Funeral Director Daily presents you the final report of our hat trick of financial reports this week.  Today we bring you the results of Matthews International’s operations for the period of January thru March 2025 which is the company’s 2nd fiscal quarter of the year.  Earlier this week we reported on the same period of time for Service Corporation International and Carriage Services. . . . It is the first time in my writing of Funeral Director Daily that I can remember having three quarterly reports coming out in the same week. . .

In any regards, there is a lot to digest in the Matthews International report.  As we always point out, Matthews is a diversified company with one of their three segments involved in Death Care.  That segment includes a cremation business that builds crematories, a wholesale casket business known as Matthews Aurora, and a segment dedicated to cemetery memorials and markers, as well as a complete line of cremation products.

For the 2nd Quarter of 2025 Matthews reported that their Memorialization Segment had revenues of $205.6 million which is down about 7.5% from the same period in 2024.  Furthermore, the company states that the Memorialization Segment has 6-month sales revenue of $396.1 million as compared to sales of $430.2 million for the first six months of fiscal 2024 — that is a drop of about 8.0%.

Here’s how Matthews International explained that sales slide in prepared remarks in a press release, that you can access here, on the company’s 2nd Quarter, “The Memorialization segment decline primarily resulted from lower unit volumes of caskets, cemetery memorials, and cremation equipment, partially offset by improved price realization. Lower casketed deaths resulting from the continued normalization of death rates post-pandemic impacted the segment’s sales compared to a year ago.”

In essence, it seems to me that, first of all, there were less casketed deaths in the quarter, but it also seems to say, “We raised prices and then sold less”.  In my opinion, that is probably a strategy that will not play well in today’s market.

The Matthews Dilemma:  In the press release about the 2nd Quarter 2025 results Matthews CEO Joseph Bartolacci also makes this comment, “The Company’s comprehensive evaluation of strategic alternatives for our entire portfolio remains ongoing. The Board and I firmly believe the inherent value of the Company is well above current trading levels and, over the next several months, we intend to identify the appropriate path to unlock this shareholder value. . ”

Matthews International, in the latest report, state a 6-month Net Loss before Income Taxes of over $17 million as compared to the same period of 2024 when they reported a $4.8 million positive income in the same category.

In getting to that equation, not only has the Memorialization Segment seen reduced year-over-year sales in 2Q25 but so has the Industrial Technologies Segment of the business — which had a sales decrease of 30.4%.  The only segment that had an increase was the SGK Brand Solutions Segment, which increased sales by about 6.2% year over year.

However, as this recent press release indicates, Matthews International has recently sold what appears to be about a 60% equity interest in the SGK Brand Solutions Segment of the company.

Related Article —  “Matthews International sells SGK Brand Solutions”.  Pennsylvania Business Report (PA)

Tom Anderson
Funeral Director Daily

Funeral Director Daily take:  As a Death Care publication I look at the business situation at Matthews International with a wonder of how will it all turn out.  The SGK Brand Solutions Segment sale should bring in some much needed capital which one would expect would be used to turn around the revenue declines at the Memorialization and Industrial Technologies segments.

It should also be noted that CEO Bartolacci made this comment about the sales in the Industrial Technologies Segment, “. . .demand and interest in our energy storage solutions are regaining strength as customer quotes since early February 2025 have exceeded $100 million.”   That fact would also be a positive development in getting the company back on track.

With total company sales down about 10% for the first six months of Fiscal Year 2025 ($829.4 million as compared to $921.2 million for the first six month os FY2024) I would expect that there is some pressure from stockholders to turn things around.

In my opinion there is a hope that the energy storage solutions that Matthews has invested in turns out to be a viable winning product and I would also expect some type of move to regain positive momentum in the Death Care/Memorialization segment as well.

I expect the 2nd half of Matthews International’s 2025 fiscal year, and the decisions made in that time period, to quite  possibly be the most significant and decisive six months in charting the future plans and strategies for the company’s next decade.

More news from the world of Death Care:

Enter your e-mail below to join the 3,147 others who receive Funeral Director Daily articles daily:

“A servant’s attitude guided by Christ leads to a significant life”

Yesterday Funeral Director Daily’s feature article was about Matthews International and its 1st Quarter 2025 Fiscal Year results press release.  As we digested that report, which like many public company reports, is big on numbers and sometimes small on the underlying issues and causes, we were informed that Matthews International had suffered a 10.7% loss in total sales and a 8.5% percent loss in sales of their Memorialization segment.

Many of those underlying causes that might cause the declines are left to speculation.  After reading the company’s Earnings Call transcript with those that follow the company in the securities business, more information becomes available and a better total picture of what is happening within the company comes to light.

Here’s what we learned about the Memorialization segment when we read Chief Financial Officer Steve Nicola’s statements from the Earnings Call:

” . . .sales for the Memorialization segment declined for the current quarter compared to a year ago, primarily due to lower unit volumes.”

“Estimated US casketed deaths declined from the same quarter a year ago.”

“The (Memorialization segment) decrease primarily reflected lower granite memorial sales and a decline in casket unit volumes.”

” Granite sales were higher last year as, in addition to regular volume, the business was working down backlogs, which had built up during the pandemic. “

“Bronze memorial sales were also lower for the quarter.”  

“Memorialization (segment) sales for the current quarter were unfavorably impacted by the disposal of the company’s unprofitable European cremation and incineration equipment operations.”

“. . . decreases were partially offset by higher price realization and incremental sales from the acquisition of a casket distributor in January 2024.”

In order to bring the sales decline into more focus, CEO Nicola made this comment in the Q & A portion of the Earnings Call transcript, “So the decline in (Memorialization) revenues was actually more weighted to the granite. . . . . .But again, the European cremation and incineration business, which was an unprofitable business for us, also was a significant contributor to that decline. So those two were the more significant pieces.”

You can read the entire Earnings Call transcript here.

You can read a summery of the Earnings Call here.

Funeral Director Daily take:  According to the latest Quarterly results for Matthews International the Memorialization segment contributed 47.4% of the total 1st Quarter revenue to the company.  ($190.5 million of revenue out of a total of $401.8 million total revenue).

Enter your e-mail below to join the 3,120 others who receive Funeral Director Daily articles daily:

“A servant’s attitude guided by Christ leads to a significant life”

Suffice it to say that if you are in a C-Suite office at Matthews International you probably have a lot on your plate right now.  Amidst other items that we will report on later including a large shareholder’s discontent leading to Board member nominations, the sale process of the SGK Brand segment, and an on-going dispute with Tesla in the company’s Industrial Technologoy segment the company reported their Fiscal Year 2025 1st Quarter report last Thursday.

In general, total sales for Matthews International dropped 10.7% in comparison to the 1st Quarter of Fiscal Year 2024.  According to the press release of the company’s 1st Quarter, which you can access here, total sales for 1Q2025 came in at $401.8 million as compared $450.0 million in 1Q2024 — that’s a dollar volume drop of $48.2 million.

The company’s Memorialization segment registered sales of $190.5 million for the 1st Quarter of 2025 as compared to recorded sales of $208.1 million for the same period of FY2024 — a drop of about 8.5% for the segment.  It should also be noted that Matthews International operates on a Fiscal Year calendar in which their first quarter reports results of October thru December 2024.

The company was able to hold up their Memorialization segment EBITDA for 1Q25 as they registered an EBITDA of $36.6 million on those sales of $190.5 million which is a better percentage (19.2%) than that of 1Q2024 where they recorded an EBITDA of $36.7 million (17.6%) on Memorialization segment sales of $208.1 million.

In prepared statements in the press release about the Memorialization segment Matthews International CEO Joseph Bartolacci made these comments, “Adjusted EBITDA for the Memorialization segment was relatively unchanged compared to the first quarter last year. The segment reported lower sales compared to last year primarily reflecting the impact of lower U.S. deaths and the prior year included sales in connection with a reduction in backlog of granite memorials. However, the impact of these declines on adjusted EBITDA for the current quarter was mitigated by the benefits from ongoing productivity and cost reduction initiatives and improved price realization.”

Other company news from Matthews International:

February 6 — “Matthews International announces positive ruling in arbitration with Tesla”.  Press Release

February 3 — “Matthews highlights significant shareholder support and underscores Board’s commitment to Long-term value creation.”  Press Release

More news from the world of Death Care:

Enter your e-mail below to join the 3,120 others who receive Funeral Director Daily articles daily:

“A servant’s attitude guided by Christ leads to a significant life”

We found a recent investment article by Seeking Alpha author Daniel Jones that was published on Sunday, January 12.  When you are in this business as I have been for over 40 years, it is always interesting to see what others have to say about the investment opportunities available in the business’ public markets.

Without an opinion by me, I present this article from Seeking Alpha titled “Service Corporation International remains attractive, in spite of recent underperformance” for your enjoyment and knowledge.

Enter your e-mail below to join the 3,120 others who receive Funeral Director Daily articles daily:

“A servant’s attitude guided by Christ leads to a significant life”