SCI Sees Momentum Building After Reporting Second-Quarter Earnings, Confirms Earnings Outlook
After battling softer funeral volumes during the first half of the year, Service Corporation International executives say the company is entering the second half of 2026 with growing momentum, driven by robust preneed sales, improving funeral trends and continued strength in its cemetery business.
SCI reported second-quarter adjusted earnings per share of 90 cents, up from 88 cents a year earlier, while confirming the midpoint of its full-year earnings guidance and raising its cash flow outlook. Management acknowledged that lower funeral case volumes and the timing of some cemetery revenue recognition limited earnings growth during the first six months of the year but expressed confidence that those headwinds are easing.
“Our first and second quarter earnings per share growth was muted by lower funeral case volumes and deferrals of cemetery revenue,” Chairman and CEO Tom Ryan told investors during the company’s earnings call. “We have some very positive momentum to carry into the back half of 2026.”
Funeral Business Shows Signs of Stabilizing
Perhaps the most encouraging trend for funeral professionals was SCI’s improving case-volume performance.
Comparable core funeral volume declined 1.7% during the second quarter, but Ryan said the business steadily improved as the quarter progressed. April and May experienced much smaller declines than the first quarter, while June actually posted slight year-over-year volume growth.
The early third-quarter trend appears similarly encouraging.
“We’re right around kind of flat volume versus last year,” Ryan said of July’s preliminary results. “We feel pretty good that the percentage that we’re at now will continue to shrink as we get to the back half of the year.”
The company attributed much of this year’s funeral volume softness to difficult comparisons following elevated mortality in recent years.
Ryan also suggested that broader societal improvements — including declines in drug overdoses, suicides and automobile fatalities — may modestly influence death rates going forward before long-term demographic trends once again become the dominant driver.
Despite lower case counts, SCI continued to increase revenue per service. Comparable core funeral revenue rose about 1.5%, fueled by a 3.3% increase in average revenue per service, even as the cremation rate increased by 60 basis points.
Non-funeral home revenue also climbed, with average revenue per service increasing approximately 9%. Ryan said older preneed contracts with accumulated trust earnings and newer contracts with higher average values should continue supporting revenue growth.
Cemetery Segment Continues to Outperform
SCI’s cemetery operations remained the company’s strongest performer.
Comparable cemetery revenue increased approximately 5%, driven by higher recognized preneed revenue and stronger trust fund income. Gross profit also improved as the company benefited from favorable investment performance within its cemetery trust funds.
Perhaps most notable was continued strength in future business generation.
Comparable preneed cemetery sales production increased 8%, representing nearly $30 million in additional sales over the prior-year quarter.
Ryan credited the performance to SCI’s four-part sales strategy:
- Expanding the number of preneed sales counselors.
- Improving lead-to-sale conversion rates.
- Increasing educational preneed seminars.
- Growing large-sale opportunities.
Although the company has experienced fewer leads generated through its funeral homes, Ryan said stronger execution has more than offset that challenge.
Comparable preneed funeral sales production also increased 7%, giving SCI high single-digit growth in both major preneed categories.
AI Begins Playing a Role in Sales Training
One of the more interesting developments discussed during the earnings call involved SCI’s growing use of artificial intelligence.
Rather than replacing employees, Ryan said the company is using AI to enhance training for preneed sales counselors through customized coaching and role-playing exercises.
“We’re utilizing AI today to do customized training and feedback for our sales counselors,” Ryan said. “It’s still early days, but it’s just such an incredibly powerful tool to get immediate feedback and be able to role play.”
He added that AI allows SCI to standardize its most effective sales techniques across the organization while giving counselors greater confidence during customer interactions.
Acquisitions Continue
SCI also remained active on the acquisition front.
Chief Financial Officer Eric Tanzberger said the company invested approximately $15 million during the quarter to acquire funeral homes and cemeteries in California, Georgia and Delaware.
That brings SCI’s acquisition spending to nearly $40 million through the first half of 2026. Management said it remains on pace to invest between $75 million and $125 million in acquisitions this year.
Guidance Remains Intact
Management reaffirmed its confidence in the remainder of 2026 by narrowing its adjusted earnings-per-share guidance to a range of $4.10 to $4.30, while maintaining the midpoint at $4.20. The company also raised its cash flow guidance for the year.
Ryan said the improving funeral volume trend, continued strength in preneed cemetery sales, higher average funeral revenue and disciplined expense management provide confidence that SCI will achieve its financial targets despite the slower-than-expected start to the year.
Leverage the Power of Local Services Ads with Ring Ring Marketing
For almost two years, Ring Ring Marketing has been quietly been using Google’s Local Services Ads (LSA) to help funeral homes get more at-need calls, protect their market share, and show up above every competitor on Google.
The company is now making the service available to everyone.
Here is why LSAs are different from anything you’ve tried before:
- Your funeral home appears at the very top of Google.
- Above regular Google Ads.
- Above Google Maps.
- Above organic results.
- You get a green badge that says Google Screened, so families see you as verified, licensed, and trustworthy.
- You only pay for real phone calls.
- You do not pay for clicks or impressions.
- Only when someone calls your funeral home directly from the ad.
- Cost per call is still low right now.
- Very few funeral homes are using LSA.
- Once more join in, the price will go up.
- Now is the best moment to get in early.
This service works perfectly alongside your regular Google Ads. In fact, using both gives you a major advantage.
Funeral Director at the Center of Major Drug Discovery – Again
Most funeral directors worry about misplaced flowers, delayed death certificates or the occasional package delivered to the wrong chapel.
Ernie Heffner, owner of Heffner Funeral Chapels & Crematory with several locations in Pennsylvania, apparently has bigger problems.
For the second time in less than three years, the Pennsylvania funeral director has found himself unexpectedly connected to a massive cache of illegal drugs — first while scuba diving in the Florida Keys and now after nearly $90,000 worth of hashish and marijuana somehow landed at one of his funeral homes via a UPS delivery.
At this point, some of Heffner’s colleagues are wondering if lightning really can strike twice.
“Ernie, you seem to attract illegal drug shipments,” one co-worker joked after this latest incident, after police hauled a 27-pound box of narcotics out of the funeral home’s office.
Former Michigan Funeral Director Accused of Misappropriating $1.1M in Preneed Funds
A former funeral director once regarded as a trusted member of Michigan’s Thumb region is serving a prison sentence after authorities concluded he misappropriated more than $1.1 million intended for prepaid funeral arrangements, MLive.com reported.
Terry Kaufman, formerly associated with Kaufman and Company Funeral Home in Bad Axe, pleaded no contest to numerous felony charges stemming from what prosecutors described as a decade-long scheme involving 204 victims. The case has prompted state officials to reexamine oversight of preneed funeral arrangements and the procedures used by public guardians responsible for protecting vulnerable adults.
For years, Kaufman sold prepaid funeral plans to individuals seeking to relieve their families of future funeral expenses. Those arrangements are generally funded through escrow accounts or specialized insurance policies to ensure the money remains available when needed.
Investigators, however, determined that many of the plans Kaufman sold were never properly funded. Authorities allege he instead diverted much of the money for his own use, affecting elderly customers, families planning ahead and individuals under court-appointed guardianships.
Among the victims were 55 wards represented by the Huron County Public Guardian’s Office. Officials said the office relied on documentation supplied by Kaufman and did not independently confirm that prepaid funds had been deposited into escrow accounts or legitimate insurance policies, allowing the alleged scheme to continue for years without detection.
The investigation began in March 2025 when one of the public guardian’s wards died and family members chose a different funeral home. They produced records showing thousands of dollars had previously been paid to Kaufman for the deceased person’s funeral.
The case has prompted changes in how some Michigan public guardian offices monitor prepaid funeral arrangements. Huron County now verifies the existence of escrow accounts and insurance policies, while other counties have pointed to more rigorous auditing practices already in place.
Houston Funeral Home Operator Accused of Stealing Nearly $2.2 Million From Deceased Man’s Estate
An individual who operated a Houston funeral home has been arrested on multiple felony charges after authorities alleged he fraudulently obtained control of a deceased man’s estate and misappropriated nearly $2.2 million in assets, KPRC Click2Houston reported.
According to court records, Unique Green, who is also identified as Michael Green in some filings, was arrested Tuesday following a lengthy investigation conducted by the Houston Police Department and the Harris County Precinct 1 Constable’s Office. Investigators allege Green operated A Community Funeral Home on Wheeler Avenue without the licenses required by the state.
Green has been charged with multiple felony offenses, including theft, forgery and tampering with government records.
Authorities said the case centers on the death of 78-year-old Lawrence Gammon, who died of natural causes at his Houston home last summer. Police discovered his body after relatives living outside Texas requested a welfare check.
Court documents state that Gammon’s family hired Green to provide funeral services and shared personal information needed to make arrangements. Investigators allege Green later used that information to carry out an extensive fraud without the family’s knowledge.
According to prosecutors, Green filed a fraudulent will within weeks of Gammon’s death, falsely claiming to have been Gammon’s common-law spouse and sole heir. Investigators say the two had no known relationship before Gammon’s death.
Authorities allege Green then transferred ownership of Gammon’s residence, three vehicles and approximately $2.2 million held in bank accounts. Court records further state that Green gained access to the financial accounts and established an account titled “Estate of Lawrence E. Gammon” using what investigators say was a falsified death certificate.
Prosecutors described the alleged scheme as highly sophisticated and said it deprived the family of the opportunity to properly mourn their loved one while his estate was allegedly being stolen.
Earth Funeral Pushes to Bring Human Composting to North Carolina
A company specializing in natural organic reduction, commonly known as human composting, is working to expand into North Carolina, where the practice remains illegal, the Charlotte Observer reported.
Earth Funeral hopes state lawmakers will approve legislation that would allow it to build a proposed $10 million facility, with Charlotte identified as a leading candidate for the location.
Earth Funeral currently operates facilities in Washington, Nevada and Maryland, while serving families across the country by transporting remains to states where human composting is permitted. The company says North Carolina residents already have access to its services through this arrangement but believes local operations would make the option more accessible.
Natural organic reduction transforms human remains into nutrient-rich soil over a period of roughly 30 to 45 days. The process places the body in a specialized vessel with organic materials such as wood chips, mulch and flowers, allowing naturally occurring microbes to break down the remains. The resulting soil can be used by families for memorial gardens, trees or other plantings. Any portion not retained by the family is typically donated to conservation or reforestation efforts.
Earth Funeral says the process provides an environmentally focused alternative to traditional burial and cremation. Company officials argue that conventional burials often involve embalming chemicals and non-biodegradable materials, while cremation consumes fossil fuels and produces carbon emissions. The company estimates its service costs about $6,500, compared with a national average of roughly $9,500 for a full-service burial.
Earth Funeral plans to pursue legislation in the next session of the North Carolina General Assembly that would legalize natural organic reduction in the state. Even if approved, implementation would likely take time because state agencies would need to establish regulations governing licensing, environmental standards and cemetery oversight.
Oklahoma Judge Allows Challenge to State Law Restricting Casket Sales
An Oklahoma judge has ruled that a Hughes County couple may proceed with a legal challenge to a state law that limits casket sales to licensed funeral directors, Oklahoma Voice reported.
Oklahoma County District Judge Don Andrews denied the state’s request to dismiss the lawsuit, allowing Candice Mentink and Todd Collard, owners of Caskets of Honor in Calvin, to continue arguing that the law is unconstitutional.
The couple filed suit against the Oklahoma Funeral Board after the agency fined their business $4,000 for displaying caskets for sale at the Tulsa Fair in 2021.
Caskets of Honor manufactures specialty caskets featuring customized exterior designs, including religious themes, hunting and fishing scenes, sports colors, military tributes and family photographs. Although the company can ship its products to customers in nearly every other state, Oklahoma law prevents it from selling directly to residents within the state.
Under Oklahoma’s Funeral Services Licensing Act, only licensed funeral directors may sell caskets. To obtain a funeral director’s license, applicants must complete a two-year mortuary science program, serve a one-year apprenticeship under a licensed funeral director, pass two licensing examinations and work from a licensed funeral establishment equipped to provide a full range of funeral services.
Mentink and Collard argue that they do not intend to become funeral directors or operate a funeral home. Instead, they contend they simply want to manufacture and sell customized caskets.
The lawsuit asks the court to declare the law unconstitutional and prohibit its enforcement. The couple turned to the courts after previous attempts to change the law through the Oklahoma Legislature were unsuccessful.
Missouri Funeral Home Honored for Commitment to Disability Inclusion
A funeral home and cemetery in Missouri has received statewide recognition for its efforts to create meaningful employment opportunities for individuals with disabilities, the Muddy River News reported.
Grand View Funeral Home & Burial Park in Hannibal was selected as the recipient of the 2026 Show-Me Disability Inclusion Award, presented by the Missouri Association for People Supporting Employment First. The business was nominated by Learning Opportunities/Quality Works, Inc., a community organization that partners with employers to support inclusive workplaces.
The annual award recognizes employers that move beyond traditional hiring practices by creating meaningful jobs, volunteer opportunities and career exploration experiences for people with disabilities.
Grand View, which handles about 75% of the burials in the Hannibal area, was recognized for demonstrating that a locally owned business can have a significant impact through inclusive employment practices.
Among the initiatives cited in the nomination was the creation of a customized position designed to meet both the company’s operational needs and an employee’s individual abilities. Grand View also invested in adaptive equipment to help the employee perform daily responsibilities independently and efficiently.
The funeral home was further recognized for its commitment to long-term employment, retaining workers referred through Missouri Vocational Rehabilitation and the Department of Mental Health as valued members of its cemetery maintenance staff.
NFDA and Selected Independent Funeral Homes Announce Intent to Combine Organizations
The National Funeral Directors Association and Selected Independent Funeral Homes have announced that their boards of directors have signed a letter of intent to pursue the merger of the two organizations, creating a unified association designed to offer leadership development, professional education and peer engagement while preserving the unique strengths that have defined each organization.
The proposed merger reflects a shared commitment to the future of funeral service. For generations, NFDA has advanced the profession through advocacy, education, research and professional development, while Selected has fostered excellence among independently owned funeral homes through trusted peer relationships, leadership development and collaboration. Together, the associations seek to build on those legacies to better support funeral professionals, strengthen their members, and serve families and communities for generations to come.
The merger is intended to create new opportunities for learning, leadership and professional engagement while preserving trusted peer connections, and ensuring the long-term sustainability of the programs and services members value most.
The associations also believe they will be better positioned to respond to the challenges facing funeral service such as economic turbulence, increasing regulatory complexity, workforce shortages and changing consumer expectations.
If approved by the memberships of both associations, Selected would eventually become a distinct designation and community within a unified NFDA association. The Selected Designation is intended to recognize funeral homes that meet the association’s longstanding standards of excellence while preserving the trusted peer community that has defined Selected for more than a century.
Throughout 2027, both associations would continue operating under their existing membership structures and program offerings while leaders and staff work together to design the integrated organization. A unified membership structure that maintains what members value while building for the future is anticipated to launch in 2028.
Eligible members of both associations will be asked to vote on the proposed merger later this year, in accordance with their governing documents, prior to an official agreement being signed.
Additional information, including frequently asked questions, is available at nfda.org/better-together.
Virginia Funeral Home Plans $1M Rebuild After Fire
The owners of a Virginia funeral home are preparing to begin rebuilding seven months after a fire destroyed most of their facility, ABC 8 News (WRIC), reported.
Hillsman-Hix Funeral Home in Amelia Court House is expected to begin construction within the next two weeks on a $1 million rebuilding project. The funeral home was heavily damaged on Dec. 30, 2025, as the result of a fire that destroyed nearly the entire building in about an hour.
The blaze left only the preparation room intact, while the chapel, flower shop, multimedia center and aquarium were all lost.
Construction is already underway, with crews installing underground plumbing and other infrastructure in preparation for pouring the foundation. The new facility, designed by Douglas Bollinger and Associates Architecture, will replace the destroyed spaces while expanding the chapel’s seating capacity from approximately 150 to about 200 people.
Owner Jim Hix said the rebuilding effort marks an important milestone after months of recovery. While looking ahead to the future, he also reflected on the many families who have relied on the funeral home over the years and the emotional impact of losing the longtime community landmark.
Throughout the past seven months, local churches have helped the funeral home continue serving families by making their facilities available for funeral services. Hix also credited the broader community for providing encouragement, assistance and support during the recovery process.
The Hix family expects to dedicate the new funeral home by the end of the year.
Chptr Partners with iHeartMedia on Radio Obituaries
Chptr has announced the launch of Radio Obits, the first audio offering in its Broadcast platform, giving funeral homes access to one of the nation’s largest audio distribution networks through its expanding relationship with iHeartMedia. More than 100 funeral homes nationwide have already signed up for the service, reflecting strong early interest in bringing professionally produced audio memorials to local broadcast radio.
For generations, local radio has been a trusted source for community news and information. Radio Obits enables funeral homes to deliver professionally produced memorial announcements through leading local radio stations, helping families learn about services while extending the reach of remembrance beyond funeral home websites and social media.
The new service reaches a quarter of a billion monthly listeners through more than 90 percent of U.S. radio stations. More importantly for funeral homes, it makes broadcast media accessible without the cost, complexity, or expertise traditionally required to produce commercials, purchase airtime, and manage relationships with local stations.
Several funeral homes across the country are already using Chptr’s audio platform to create locally focused broadcasts featuring the trusted voices of their funeral directors. In addition to helping families receive timely funeral information, these broadcasts increase community familiarity with the funeral home’s staff and reinforce its role as a trusted local resource.
While Radio Obits is the first audio offering, it represents the beginning of a broader opportunity for funeral homes. Future offerings will allow firms to share educational messages, community stories, and other locally relevant content through podcasts, streaming audio, and additional formats as they become available.
Robert Heins and Tim Fish Promoted to Vice President, Sales & Business Development at NGL
NGL Insurance Company is pleased to announce two promotions on the preneed sales team. Robert Heins and Tim Fish have been promoted to vice president, sales and business development at NGL.
In their new leadership roles, they are responsible for the strategic direction and success of the Preneed Sales team, as well as working closely with existing partners to develop and optimize their sales plans to drive growth. Heins and Fish will collaborate with internal and external stakeholders to identify and onboard new partners and ensure product alignment based on market needs.
Since joining NGL in 2006, Heins has progressively advanced through the organization, combining extensive insurance product knowledge with firsthand insight into partner, agent and policyholder needs to become a resourceful, trusted leader. He has a reputation for cultivating lasting partnerships and a commitment to operational excellence.
Fish joined NGL in 2023 with more than 25 years of sales and marketing experience in the funeral and cemetery profession. With an extensive background in sales leadership, Fish has consistently delivered strong results by fostering collaboration and identifying opportunities to further enhance and meet the needs of partners.
“These promotions recognize the exceptional contributions Rob and Tim have made throughout their careers,” said Jeremy Ragsdale, executive vice president, chief marketing officer and chief growth officer at NGL. “Their deep industry knowledge, strong relationship-building skills and proven ability to drive sales growth will help to shape the future of NGL. I’m excited to see the impact they will make in their expanded roles.”
“I’m thrilled to move into this new role as vice president, sales and business development,” shared Heins. “Throughout my career with NGL, I’ve had the privilege of working alongside an exceptional Preneed Sales team and building strong relationships. I look forward to continuing to support our partners’ success, driving growth and helping advance NGL’s long-term strategic growth objectives.”
“I’m grateful for the opportunities I’ve had to grow with NGL and learn from my colleagues and partners,” said Fish. “This promotion is an exciting new chapter, and I look forward to continue delivering value to our partners, enhancing relationships and pursuing new opportunities for growth.”
Afterword Launches ‘Essential’ Software for Independent Funeral Homes
Afterword, the funeral technology company behind its all-in-one funeral home operating system and AI assistant Grace, has launched Afterword Essential, a new self-serve platform designed specifically for independent funeral homes.
At $79 per month, Afterword Essential gives funeral directors a simple way to move away from handwritten contracts, manual invoices and repetitive data entry without taking on the cost, complexity or onboarding process of a traditional funeral home management system.
“Some of the most important funeral homes in this profession are independent firms serving 50 or 150 families a year,” said Effie Anolik, founder and CEO of Afterword. “They shouldn’t have to choose between running their business on paper and buying software built for a much larger operation. We built Essential for them.”
Afterword Essential is built around a simple idea: enter information once and have it everywhere it needs to be.
Funeral directors can manage cases and contacts, enter vital information, create statements and invoices, upload documents and access case information from any device.
Case information can also be sent to tools funeral homes already use, including ASD and Tukios, reducing the need to copy the same information from paper files into multiple systems.
Afterword is SOC 2 Type II certified, an independent validation of the security controls the company uses to protect sensitive business and family information over time.
Afterword Essential is available for $79 per month, with a one-week free trial.
ASD Introduces ASD Mobile 6 with New Tools to Streamline Funeral Home Communication
ASD – Answering Service for Directors has announced the release of ASD Mobile 6, the latest version of its mobile application for Apple devices.
The update introduces several new features designed to help funeral professionals manage their businesses more efficiently while away from the office. Android support is planned for a future release. Apple users can access the new features by updating the ASD Mobile App through the App Store.
Among the most significant enhancements is expanded billing functionality, allowing ASD clients to securely add and manage payment methods directly within the mobile app. The new capability enables funeral directors to conveniently manage their ASD account from virtually anywhere, reducing the need to log into the desktop client portal and making routine account management more accessible while on the go.
ASD Mobile 6 also introduces several new tools aimed at improving communication and collaboration. A new Cremation Air button allows users to quickly create a Cremation Air account directly within the app, providing an easy way to begin offering aerial scattering services while taking advantage of exclusive ASD client pricing. In addition, a new Out-of-Area Lookup Tool enables funeral professionals to locate ASD funeral homes when coordinating out-of-area services, helping connect firms with funeral homes known for responsive communications.
The update also includes enhancements to CareTracker, ASD’s client feedback system. The redesigned interface makes it easier for funeral homes to submit feedback and communicate service preferences to ASD’s Customer Service team, helping ensure future calls are handled according to each firm’s individual expectations.
The release of ASD Mobile 6 reflects the company’s ongoing commitment to developing technology that helps funeral professionals communicate more effectively while remaining connected to their businesses wherever they are. Funeral directors using Apple devices are encouraged to update to the latest version of the ASD Mobile App to begin taking advantage of the new features.
