Tag: cremation business

Afternoon Edition

How does your firm view Preneed?

I have a son that works in the automotive industry and we’ve discussed their lines of revenue quite often.  For instance the average dealership has about six primary lines of revenue – new car sales, used car sales, the service or repair center, a collision repair center, a leasing center, and a financing center.  At any given time some of those lines may be bringing in revenue. . sometimes dependent on the economy and supply chain. In the funeral home […]

Finance

Service Corporation International opinion from Seeking Alpha

Last week the Valkyrie Trading Society wrote an article for Seeking Alpha entitled “Service Corporation International:  Feeling minimal pressures”.  You can access the article here. Here are three take-aways from that article: The themes are that COVID-19 pulled forward mortality, making 2020 and 2021 strong years for Service Corporation International. There is also commentary around reduced discretionary spending, which is affecting the very cash and margin generative pre-need business and merchandise and services. Nonetheless, the pressures are quite small and […]

Business

The succession dilemma of rural funeral home ownership

Over the past several weeks I’ve had several instances which caused me to wonder “What is going to happen to rural America’s home town, home-owned, funeral homes.”  Again, it has not been one thing, but a string of instances that have made me wonder about that. For instance, I know of firms in my state of Minnesota, especially in smaller communities, that are having a hard time finding licensed staff.  And, just last week I served on a panel at […]

Business Cemetery Cremation Products

The consumer choice for cremation is not always financial

Over the years I’ve heard from many consumers that their choice for a cremation disposition had nothing to do with price.  Even though I heard that often, and believed the people that told me that, as a funeral professional it was always hard to fathom when it seemed that everywhere you turned you saw cremations advertised using “price point” philosophy. By “price point” philosophy I mean billboards, newspaper, or yellow page advertising by those in the cremation business stating “Complete […]

Preneed

Will Aflac change preneed?

Earlier in August, partly through this press release, Aflac announced that they will be entering the “Final Expense” insurance market and made a point of detailing a strategy aiming consumer directed products at the Senior insurance market.  Not only will Aflac offer a Final Expense product but they will also be rolling out a Medicare supplement product. Here’s what Aflac Deputy U.S. President Virgil Miller says of the product roll-out, “This product expansion represents not only new offerings, but a […]

Finance

It’s a common theme — Park Lawn reports higher sales, lower margins in 2Q 2022 report

Park Lawn Corporation (PLC) reported their financial results for the 2nd Quarter of 2022 (April thru June) last week and their report was like many others we have seen  — higher revenues, lower margins.  You can see the press release here. For the quarter PLC reported Net Revenue of $75.9 million as compared to last year’s 2nd Quarter Net revenue of $72.0 million — a 5.4% increase.  That increase, however, relied on new acquisition revenue because revenue from “comparable operations” […]

Finance

Park Lawn makes earning season splash with large aquisition

Park Lawn Corporation announced yesterday in this press release that they have acquired substantially all of the assets of the Schackelford Corporation based in Western Tennessee.  The Schackelford Corporation encompasses a fifth-generation company that has served Western Tennessee for 90 years.  According to the press release the acquisition includes eight stand-alone funeral homes, two stand-alone cemeteries, and one on-site funeral home and cemetery. The release also indicates that the acquisition will bring an approximate 1,577 calls per year and 152 […]

Business

Will Millennials change death care purchasing?

That age group in the United States termed “Millennials” was born from 1981 to 1994 which makes their ages today range from about 28 years of age to about 41 years of age.  According to one source there are about 72 million of that age group in the United States which represents about 22% of the population. There are some that are arguing that this “Millennial” group of people has, or will, change death care.  According to this article from […]

Afternoon Edition

CANA, NFDA offer valuable insights with conventions, programming

The Cremation Association of North America (CANA) is getting ready to host its 104th Annual Cremation Innovation Convention in Atlanta, Georgia, from August 17-19.  The event will have some of the most powerful speakers in the death care industry involved and on hand for operators to learn from. Brian Waters, funeral director, embalmer and host of Undertaking: The Podcast, kicks off CANA’s 104th Cremation Innovation Convention by questioning industry trends, ideas, best practices, and pretty much everything we do. According […]

Finance

Park Lawn makes acquisition, enters the state of Virginia

This press release issued last week by Park Lawn Corporation (PLC) will tell you of their acquisition of Farris Funeral Service, Inc. and Affiliated Service Group, Inc. (collectively known as “Farris”).  The businesses acquired include one stand-alone funeral home and one on-site funeral home and cemetery located in Abingdon, Virginia. Here’s what Park Lawn Corporation CEO J. Bradley Green said of the transaction, “We are excited to continue our strategic growth in the southeast by entering into the Virginia market […]