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• The Marriott of funeral and cemetery services.
• The Waste Management of end-of-life services.

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• Funeral Services: Provides various options for traditional funeral ceremonies, viewings, and memorial events.
• Cremation Services: Offers cremation processes, urns, and related memorialization services.
• Cemetery Services: Manages burial plots, mausoleums, and other interment solutions within cemeteries.
• Pre-Need Arrangements: Allows individuals to plan and pay for funeral and cemetery services in advance.

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Service Corporation International (symbol: SCI) primarily sells its services directly to individuals and families, rather than to other companies.

The company serves the following categories of individual customers:

1. At-Need Customers: These are individuals and families who require immediate funeral, cremation, or cemetery services following the death of a loved one. These services are typically unplanned and time-sensitive.
2. Pre-Need Customers: These are individuals who proactively plan and purchase future funeral, cremation, or cemetery arrangements for themselves or family members in advance. This allows them to make decisions without the emotional distress of immediate loss and often to lock in current prices.

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Thomas L. Ryan, Chairman of the Board and Chief Executive Officer

Thomas L. Ryan was appointed Chief Executive Officer of Service Corporation International in February 2005 and Chairman of the Board in January 2016. He also serves as President. Mr. Ryan joined SCI in 1996 and served in various financial management roles. From 2000 to 2002, he was the Chief Executive Officer of European Operations, based in Paris, France. Before joining SCI, he spent eight years as a certified public accountant with Coopers & Lybrand LLP.

Eric D. Tanzberger, Executive Vice President, Chief Financial Officer

Eric D. Tanzberger has been the Chief Financial Officer of Service Corporation International since 2006 and Executive Vice President since October 2024. He became an officer of the company in 2000. Prior to joining SCI, he worked as a certified public accountant with Arthur Andersen LLP. Mr. Tanzberger holds a Bachelor of Business Administration degree from the University of Notre Dame. He is also a member of the Board of Directors and Chair of the Audit Committee of Sanara MedTech Inc.

Sumner J. Waring, III, President

Sumner J. Waring, III was named President of Service Corporation International in 2024, where he maintains indirect oversight of operations and is responsible for sales and marketing. He joined SCI in 1996 when the company acquired his family's funeral business. Previously, he held positions as Chief Operating Officer and Senior Vice President. His past roles also include President of the Northeast Region (1999) and President of the Pacific Region (2001). He earned a bachelor's degree in business administration from Stetson University, a degree in mortuary science from Mount Ida College, and an MBA from the University of Massachusetts Dartmouth.

John H. Faulk, Senior Vice President, Chief Operating Officer

John H. Faulk has served as Senior Vice President and Chief Operating Officer of Service Corporation International since October 2024. He first became an officer of the company in 2010.

Lori Spilde, Senior Vice President, General Counsel and Secretary

Lori Spilde holds the title of Senior Vice President, General Counsel and Secretary at Service Corporation International. She was first elected as an officer in 2019.

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The key risks to Service Corporation International's (SCI) business include the continuing shift from traditional burial to cremation, risks associated with its significant preneed business, and the challenges posed by its high fixed-cost structure in an inflationary environment.

• Continuing Shift from Traditional Burial to Cremation: The most significant structural headwind for SCI is the national shift from traditional, full-service burial to cremation, which generates lower average revenue per service and inherently puts pressure on margins. While SCI has adapted, with its comparable cremation rate reaching 63.8% in 2024, this trend could result in lower revenue, operating profit, and cash flows.

• Risks Associated with the Preneed Business: SCI's substantial preneed business, where customers pay for services in advance, carries significant regulatory and investment risks. As of late 2024, the company's unfulfilled preneed backlog was a staggering $16.0 billion, a large portion of which is held in affiliated funeral and cemetery trusts that invest in securities markets. Should these investments experience significant declines, or if inflation drives the cost of future services higher than the trust earnings, SCI may be required to cover the shortfall with cash from operations. The company also faces challenges in converting preneed contracts into recognized revenue, as inflation and interest rate volatility complicate long-term financial planning.

• High Fixed-Cost Structure and Vulnerability to Inflation: The deathcare industry is inherently capital-intensive, meaning a large portion of SCI's operating costs are fixed, including real estate, maintenance for its numerous locations, and permanent staff. While a high fixed-cost structure offers operating leverage when revenue is strong, persistent inflation and rising operating expenses can quickly erode margins. Managing these costs effectively is crucial, particularly in an environment of high interest rates and inflation.

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The increasing market share and technological advancement of direct-to-consumer, online-first cremation and end-of-life planning service providers. These companies offer streamlined, often lower-cost options that leverage digital platforms for arrangements, bypassing many of the traditional, higher-margin services offered by SCI's extensive network of funeral homes.

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Service Corporation International (SCI) operates primarily in the death care industry, offering funeral and cremation services, as well as cemetery products and services. Its main markets are the United States and Canada, with some presence in Europe and Singapore.

Addressable Markets for SCI's Main Products and Services:

Global Death Care Services Market:

• The global death care services market was valued at approximately USD 107 billion in 2024 and is projected to grow to USD 193.44 billion by 2033.
• Another estimate places the global death care services market at USD 147.1 billion in 2024, with a projected increase to USD 209.6 billion by 2030.
• A conservative estimate for the global funeral and cemetery services market in 2025 is in the range of USD 100 billion to USD 150 billion.

U.S. Death Care Services Market:

• The U.S. death care industry, which encompasses funeral services, cremation, and memorial products, is estimated at about $75 billion in 2025 and is expected to reach approximately $103.5 billion by 2030.
• Other reports indicate the U.S. death care market was valued at USD 44.9 billion in 2024.
• The U.S. death care market was valued at USD 27.2 billion in 2022 and is projected to reach USD 40.7 billion by 2032.

U.S. Funeral Services Market:

• The U.S. funeral homes market size was valued at USD 13.03 billion in 2024 and is projected to reach USD 13.72 billion in 2025. It is expected to grow to USD 23.7 billion by 2034.

U.S. Cemetery Services Market:

• The cemetery services market in the U.S. was valued at USD 6.4 billion in 2024 and is estimated to remain at USD 6.4 billion in 2025.

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Service Corporation International (SCI) is anticipated to drive future revenue growth over the next two to three years through several key strategies and market dynamics:

1. Favorable Demographic Trends: SCI benefits significantly from the aging of the baby boomer generation, which is leading to a structural increase in demand for funeral and cemetery services. This long-term demographic shift serves as a powerful tailwind for the company's growth.

2. Growth in Preneed Sales: The company expects low to mid-single-digit growth in preneed sales across both its funeral and cemetery segments. This includes an anticipated year-over-year sales production growth for SCI Direct in early 2026. Notably, comparable preneed cemetery sales production increased by 9.6% in the third quarter of 2025.

3. Strategic Acquisitions and Capital Investments: SCI is actively pursuing growth through disciplined capital deployment, including strategic acquisitions and investments in real estate for future expansion. The company also focuses on facility upgrades and cemetery development to enhance its offerings and market presence.

4. Increased Average Revenue Per Funeral Service: The funeral segment has experienced growth driven by rising average revenue per service. This is partly due to older preneed contracts maturing with higher cumulative trust earnings and a 2024 operational decision to no longer deliver preneed merchandise at the time of sale, which is expected to continue this impressive growth.

5. Transition to Insurance-Funded Preneed Products: A strategic initiative involves transitioning to insurance-funded preneed products, particularly within SCI Direct. While this has led to some initial declines in production during the phased rollout, it is expected to contribute to year-over-year sales production growth again for SCI Direct as a whole in early 2026.

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Share Repurchases

• Service Corporation International (SCI) repurchased $660.85 million in shares in 2022, $544.844 million in 2023, and $253.733 million in 2024.
• For the first half of 2025, SCI returned $320 million of capital to shareholders through the repurchase of 4.1 million shares at an average price of approximately $78 per share.
• As of May 6, 2025, SCI's Board of Directors increased the share repurchase authorization by $528 million, bringing the total current authorization to $600 million.

Share Issuance

• SCI has consistently decreased its total share count through its share repurchase program, having repurchased approximately 57% of total shares outstanding since 2004, reducing the share count from nearly 350 million to around 147 million.
• The number of shares outstanding was reduced to just over 140 million shares by the end of the second quarter of 2025 due to repurchases.

Outbound Investments

• In 2024, SCI invested $181 million in the acquisition of 26 funeral homes and 6 cemeteries, including Glueckert Funeral Home in Illinois, Brown Funeral Home in Kentucky, Pinette Dillingham & Lynch Funeral Home in Maine, and Salon Funéraire Savoie Funeral Homes in Canada.
• The company acquired Fairway Memorial Gardens in Deerfield Beach, Florida, in 2023.
• SCI's strategy includes growing earnings through acquisitions and divesting non-strategic assets.

Capital Expenditures

• Total capital expenditures for maintenance, cemetery development, and other capital projects were $334.6 million in 2023 and $315 million in 2024.
• Growth capital expenditures in 2024 were just over $100 million, including $62 million for real estate acquisitions to expand existing funeral homes and cemeteries.
• For the full year 2025, expected maintenance capital expenditures are $315 million. These expenditures are focused on reinvesting in the business, developing high-quality cemetery inventory, and improving digital technologies.