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.

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Matthews Aurora Funeral Solutions to Showcase Innovations and New Products at NFDA  Convention 

(Pittsburgh, PA) Matthews Aurora Funeral Solutions will be exhibiting its industry-leading products and solutions at the National Funeral Directors Association Annual Convention and Expo in Chicago October 27-29. It will be the first NFDA convention since Matthews Aurora acquired The Dodge Company, and both companies look forward to welcoming customers at the show.  

Today’s Funeral Homes are facing urgent business challenges and require proven solutions that deliver tangible results. Matthews Aurora Funeral Solutions is focused on providing the tools and strategies that help Funeral Homes overcome these challenges and meet the expectations of today’s families. Among the solutions to be highlighted at NFDA:  

• Our new FamilyTouch Kiosk showroom tool allows families to find and customize the perfect burial and cremation products to help create a personal and remarkable goodbye. The interactive touchscreen can be tailored with each funeral home’s merchandising and pricing strategies.  

• Among the caskets to be featured at the show are our NEW Nexus casket with sleek lines and contemporary matte finish, as well as the NEW oversized version of our highly popular Barnwood casket. We will also feature four other popular caskets including our Allegiance casket with a dedicated Veterans display. 

• Matthews Technology Solutions will feature our proprietary Arranger, Advisor and Family Connections programs, and we will be demonstrating the new release of our technology solutions suite in our booth. Our technology programs help customers enhance their arrangement process by putting service front and center, simplifying merchandise  selections, and enabling families to make arrangements from the comfort of their own  home. Funeral Homes using Arranger have experienced a 10-30% increase in revenue per call.

• Cherished Memories is Matthews Aurora’s new cremation e-commerce web site designed to help Funeral Homes compete with online retailers and retain more merchandise sales within their firm.  

• Radiance Diamonds by Matthews are stunning lab-created diamonds made from a loved one’s cremated remains, lock of hair, or other carbon. Diamonds are offered in a range of sizes and colors to suit any taste and budget.  

• Matthews Aurora will feature a wide selection of brand NEW urns, memorial jewelry, and gifts as part of our I’ll Remember You® cremation merchandise program. Stop by, see what’s new, and pick up a copy of our new I’ll Remember You® catalog.  

• Matthews Funeral Funding helps Funeral Homes get paid faster by accepting life insurance policies for payment.  

• Matthews Cemetery Products will showcase its innovative cremation memorialization solutions including glass-front niches, Reflection Suites^TM, Cremation Destinations cremation gardens, granite memorialization solutions, and bronze statuary by Caggiati.  

• The Dodge Company will feature its new Green Embalming Solution Kit, among its many other offerings. This highly requested new product is formaldehyde-free, field-tested for over two years, and provides preservation for six weeks or more. Freedom Art and Freedom Cav are both included in the kit and are Green Burial Certified. Stop by Dodge’s booth to  learn more. 

Matthews Aurora and Dodge look forward to welcoming Funeral Homes from across the country to our booths #1542 and #851 at the National Funeral Directors Association Convention and Expo next week!  

About Matthews Aurora Funeral Solutions 

Matthews Aurora™ Funeral Solutions is committed to helping families move from grieving to remembrance by providing products of superior craftsmanship and solutions that meet the needs of every family who wish to honor and remember their loved one. As a leading provider to the funeral home industry, we offer our customers an extensive variety of high-quality wood, metal and cremation caskets, urns, keepsakes, memorial jewelry, stationery, technology solutions, and other products and solutions. We also offer a full suite of embalming products and other solutions via The Dodge Company. The Matthews Aurora™ Funeral Solutions team is focused on providing our funeral home customers with outstanding service and support, helping your firm better serve the families in your community. For more information about how we can help your firm, please contact your Matthews Aurora™ Funeral Service Consultant or call us at 1-800-457-1111.

Matthews International, parent company of Matthews Aurora Casket, Matthews Cremation Solutions, and now Dodge Company, reported its Fiscal Year 3rd Quarter earlier this week.  When you look at the report you have to look at it in somewhat a different way than their report of the 3rd Quarter of 2024.

Since the time of last years 3Q report Matthews has sold the majority of their Brand Solutions segment business SGK into a new entity where Matthews is a minority partner.  They used some of those proceeds to pay down debt of about $120 million, and in 2025 their Memorialization segment purchased the well-known and popular Dodge Company.

In addition, Matthews International has been dogged by at least one large stockholder, Barrington Capital, to improve their operations.  Partly because of that, Matthews has embarked on a “Strategic Alternative Evaluation” that is supported by J.P. Morgan and according to the 3rd Quarter report “has identified several alternatives for further evaluation and consideration toward improving shareholder value and better alignment with the underlying value of the organization”.

So, when you look at the sales for 3Q25 as compared to 3Q24 it is difficult to have a comparison because of the changes to Matthews businesses.  With the sale of the SGK unit, sales for the consolidated Matthews International enterprises have dropped over 18% from 3Q24’s number of $427.8 million to this year’s 3Q total sales of $349.3 million.

However, even subtracting the reported $57.1 million gain on the sale of the SGK business in the 3rd Quarter, Operating Profits for Matthews increased for the comparable quarters from $6.7 million in 3Q24 to about $18 million in 3Q25.  And, net income improved from just under 2.0 million in 3Q24 to $15.3 million in 3Q25.

As for the Memorialization segment on its own, Revenue slightly increased from $202.6 million in 3Q24 to $203.7 million in 3Q25.  Here’s what Matthews CEO and President Joseph C. Bartolacci said about the Memorialization segment in prepared statements from the 3Q25 press release which you can read here:

“Sales for the Memorialization segment for the fiscal 2025 third quarter were higher than a year ago primarily reflecting the recent acquisition of The Dodge Company. We expect this acquisition to be nicely accretive to earnings as we leverage the benefits of our Memorialization commercial platform and we have already begun to realize synergies from integration. Sales volumes for caskets and cemetery memorials were modestly lower for the quarter primarily reflecting lower U.S. casketed deaths and the prior year sales benefit of granite backlog reductions. However, the earnings impact of these declines were offset by inflationary price realization and benefits from the segment’s ongoing productivity initiatives, which were significant factors in the segment’s improved operating margins.”

Tom Anderson
Funeral Director Daily

Funeral Director Daily take:  I think the moves Matthews International has been making since shareholders issued some concern are good for the greater well-being of the company.  My personal opinion has been that, like some companies do, Matthews got excited about certain segments of their operation that they believe had or maybe still have great promise.  However, when turning attention to those segments they may have forgotten how the company was built to begin with — with the Memorialization segment.

I now think the Memorialization segment will take on even greater importance with the addition of Dodge Company products to the Matthews toolbox.  The “in” with current Dodge Chemical customers may allow the Matthews Memorialization sales department to make an inroads with caskets, cremation products, and cemetery products of those current Dodge customers who are not current Matthews customers.  The first-year sales trips to see those customers and introduce them to Matthews products will be very important.

When you look at the consolidated sales of the company in 3Q25 you will see that the Memorialization segment of the company now produces 58.3% of their sales.  That is in comparison to a year ago when the Memorialization segment contributed 47.4% to company sales —  that was prior to the SGK sale and the Dodge Company acquisition.

An interesting note about Matthews International stock —  In the past year Matthews International raised their dividend 4 cents per share to an even $1.00 per share on an annual basis.  That increase marks the 30th consecutive year that Matthews raised their dividend payout to shareholders.  With a stock price of $25.52 per share as I write this on Wednesday, August 6, that works out to a dividend yield of 3.92% annually.

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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”.

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Matthews Buys the Dodge Company for $57M — A Big Shift for the Funeral Profession

Matthews Memorialization (a division of Matthews International, NASDAQ: MATW) just acquired The Dodge Company for $57 million. This is a serious move that brings two legacy names under one roof — and it changes the landscape for funeral professionals.

Two Legacy Brands. One Strategy.

Dodge has been a staple in the prep room since 1893. Embalming chemicals, cosmetics, and supplies — they’ve built a name on consistency and quality. If you’ve ever worked a prep table, you know Dodge.

Matthews Memorialization is already one of the profession’s most comprehensive suppliers — caskets, cremation equipment, bronze and granite memorials, and more. This acquisition is about tightening their grip on full-service delivery to funeral homes and cemeteries.

“Our strategy is to be the one-stop partner for the funeral profession,” said Steve Gackenbach, President of Matthews Memorialization. “Dodge is a leader in embalming and brings a loyal customer base we’re excited to serve.”

Here’s What Changes for You:

Nothing.

• You’ll still order from your Dodge sales rep.
• The product line isn’t changing.
• The same team is still running Dodge.

Tim Collison, Dodge CEO, is staying on and committed long-term. Dodge reps will be reaching out to answer questions, but day-to-day — it’s business as usual.

“Selling a 132-year-old family business wasn’t easy,” said Debbie and Kristie Dodge. “But joining Matthews felt like the right move. They care about their people and their customers — same as we always have.”

Why This Matters

If you’re a funeral home looking to simplify vendors or streamline operations, this opens the door. Dodge and Matthews under one roof means more of what you need from a single source — without losing the legacy quality you rely on.

This is consolidation done right: smart, strategic, and built around continuity.

Quick Recap on Who’s Who

• The Dodge Company: North America’s largest embalming chemical supplier. Family-owned since 1893. Trusted by embalmers for over a century.
• Matthews Memorialization: Major player in funeral and cemetery supply. Known for innovation in cremation systems, memorials, and merchandising.

Legal Talk (Because We Have To)

Yes, there are forward-looking statements. No, you don’t need to read them unless that’s your thing. Scroll if you want the SEC-safe version of this announcement.

OFFICIAL RELEASE: MATTHEWS INTERNATIONAL ANNOUNCES ACQUISITION OF THE DODGE COMPANY

PITTSBURGH, May 12, 2025 (GLOBE NEWSWIRE) – Pittsburgh, PA – Matthews Memorialization, a division of Matthews International Corporation (NASDAQ GSM: MATW) (“Matthews”), today announced it has acquired The Dodge Company (“Dodge”). Dodge is a leading supplier of embalming chemicals and supplies in North America and sells a variety of other related products to Funeral Homes. Matthews Memorialization is a leading supplier to Funeral Homes and Cemeteries in North America, selling a broad range of products including caskets, bronze and granite memorials, and cremation equipment. The acquisition advances Matthews’ strategy of providing a comprehensive product offering to its death care industry customers.

“We are excited to welcome Dodge and its employees to the Matthews Memorialization family,” said Steve Gackenbach, Matthews Memorialization Group President. “As a leading supplier to Funeral Homes and Cemeteries, our strategy is to offer customers a full range of products and solutions. Dodge is a market leader and most recognized provider of embalming solutions and is an ideal addition to our suite of offerings. Our goal is to provide seamless service and continuity for Dodge customers, ensuring they continue to receive the same great products from the same Dodge team. Dodge has a long history of strong customer relationships and providing leading embalming offerings to the Funeral Profession. We intend to continue that tradition.”

“The thought of selling our 132-year-old family business was very difficult, but the decision to join Matthews was the easy part; it felt right,” said Debbie and Kristie Dodge. “We’re confident they’ll continue our tradition of providing customers with outstanding service and products and know from friends who are part of Matthews that they value and respect employees – something very important to generations of Dodges.”

For Dodge customers, it is business as usual; essentially nothing will change for customers as a result of the acquisition. Dodge customers will continue to partner with their Dodge sales and customer service representatives to order the same products they do today. Purchasing processes will remain the same. Tim Collison, Dodge CEO, has made a long-term commitment to continue to lead Dodge as part of Matthews. Dodge sales representatives will proactively contact customers with information about the acquisition and to answer any questions. In the meantime, customers with questions may contact their Dodge sales representative.

About Matthews International
Matthews International Corporation operates through two core global businesses – Industrial Technologies and Memorialization. Both are focused on driving operational efficiency and long-term growth through continuous innovation and strategic expansion. The Industrial Technologies segment evolved from our original marking business, which today is a leading global innovator committed to empowering visionaries to transform industries through the application of precision technologies and intelligent processes. The Memorialization segment is a leading provider of memorialization products, including memorials, caskets and cremation and incineration equipment, primarily to cemetery and funeral home customers that help families move from grief to remembrance. The Company has over 5,400 employees in 19 countries on four continents that are committed to delivering the highest quality products and services.

About The Dodge Company
The Dodge Company is the largest supplier of embalming chemicals and cosmetics in North America and provides a vast array of other products for Funeral Service Providers. Since 1893 when A. Johnson Dodge founded The Dodge Company, its goal has been to help embalmers and Funeral Directors do the best work they are capable of doing. Visit Dodge online at shop.dodgeco.com.

Forward Looking Statements
Any forward-looking statements contained in this release are included pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements regarding the expectations, hopes, beliefs, intentions or strategies of the Company regarding the future, including statements regarding the anticipated timing and benefits of the proposed joint venture transaction, and may be identified by the use of words such as “expects,” “believes,” “intends,” “projects,” “anticipates,” “estimates,” “plans,” “seeks,” “forecasts,” “predicts,” “objective,” “targets,” “potential,” “outlook,” “may,” “will,” “could” or the negative of these terms, other comparable terminology and variations thereof.

Such forward-looking statements involve known and unknown risks and uncertainties that may cause the Company’s actual results in future periods to be materially different from management’s expectations, and no assurance can be given that such expectations will prove correct.

Factors that could cause the Company’s results to differ materially from the results discussed in such forward-looking statements principally include our ability to achieve the anticipated benefits of the joint venture transaction that recently closed, changes in domestic or international economic conditions, changes in foreign currency exchange rates, changes in interest rates, changes in the cost of materials used in the manufacture of the Company’s products, including changes in costs due to adjustments to tariffs, any impairment of goodwill or intangible assets, environmental liability and limitations on the Company’s operations due to environmental laws and regulations, disruptions to certain services, such as telecommunications, network server maintenance, cloud computing or transaction processing services, provided to the Company by third-parties, changes in mortality and cremation rates, changes in product demand or pricing as a result of consolidation in the industries in which the Company operates, or other factors such as supply chain disruptions, labor shortages or labor cost increases, changes in product demand or pricing as a result of domestic or international competitive pressures, ability to achieve cost-reduction objectives, unknown risks in connection with the Company’s acquisitions, divestitures, and business combinations, cybersecurity concerns and costs arising with management of cybersecurity threats, effectiveness of the Company’s internal controls, compliance with domestic and foreign laws and regulations, technological factors beyond the Company’s control, impact of pandemics or similar outbreaks, or other disruptions to our industries, customers, or supply chains, the impact of global conflicts, such as the current war between Russia and Ukraine, the Company’s plans and expectations with respect to its exploration, and contemplated execution, of various strategies with respect to its portfolio of businesses, the Company’s plans and expectations with respect to its Board, and other factors described in the Company’s Annual Report on Form 10-K and other periodic filings with the U.S. Securities and Exchange Commission.

On May 1 of this year Matthews International announced the closing of the sale of their SGK Brand Solutions Segment in this press release.

According to this press release that was posted yesterday from Matthews International it didn’t take long to put some of those proceeds to work as they announced the acquisition of the Dodge Company for a reported $57 million.  Again, according to that press release:

“Dodge is a leading supplier of embalming chemicals and supplies in North America and sells a variety of other related products to Funeral Homes. Matthews Memorialization is a leading supplier to Funeral Homes and Cemeteries in North America, selling a broad range of products including caskets, bronze and granite memorials, and cremation equipment. The acquisition advances Matthews’ strategy of providing a comprehensive product offering to its death care industry customers.”

Tom Anderson
Funeral Director Daily

Funeral Director Daily take:  This acquisition will broaden Matthew’s product line for funeral homes.  We mentioned in our article published last week about Matthews 2nd Quarter Earnings Report that the next six months will be very important in charting the future of Matthews International and this acquisition points in the direction that the company will continue to be a major force in the Death Care profession and industry.

As an aside it is interesting to note that this sale/acquisition is being conducted by two of the oldest businesses in the profession.  Dodge Company is a 132-year old family company and Matthews International is celebrating their 175th year in business during 2025.

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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.

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

John B Matthews Jr. went to be with the Lord on March 12, 2025. A memorial service will be held at his daughter’s farm in Millsap, Tx at a later date. John grew up in Houston, Tx and attended Aldine HS. He earned a Bachelor’s degree in Economics from Sam Houston State and was a member of the Pi Kappa Alpha fraternity. He earned his Master’s degree from Texas Christian University in 1978. John served 38 years as a high school economics and government teacher and coached baseball, football and track. In the late 80s, John started his beloved 76 Ranch where he raised Longhorn cattle, Herefords and had a slew of horses, donkeys and dogs. John loved the Texas A&M Aggies and was most proud when his daughter Kimmie graduated from there in 1991 and then his granddaughter Emma in 2018. Every November John swore he would never watch another Aggie football game, but by December, he was giving a daily report of their recruiting class. John loved spending time with his family, but mostly, he loved being outdoors with a horse, his dogs and his cattle. John was preceded in death by his parents John & Pauline Matthews. He is survived by his brother Raymond Matthews and wife Mary Francis of Houston, his nephew Chad Matthews and wife Renee of Austin, his cousins Judy, Cheryl, Susie, Rickey, and Chuck, his daughter Kimmie Murphy and husband Shawn, grandchildren Patric Murphy and wife Jenny, Christopher Murphy, Emma Burrows and husband Beau, his 4 great grandchildren: Levi, Ava, Miller & Brett, his ex-wife Nicki Matthews and dear friend, Anne Land.

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).

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“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:

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