Carriage Services : Q1 (CSV Q1 Investor Presentation)

Published: 2026-05-14 16:42:09 ET CSV

Published on 05/14/2026 at 04:42 pm EDT

M A Y 2 0 2 6

A L L R I G H T S R E S E R V E D

Certain statements made herein or else whereby, or on behalf of, the Company that are not historical facts are intended to be forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements are based on assumptions that the Company believes are reasonable; however, many important factors, as discussed under "Risk Factors" and "Forward-Looking Statements" in the Company's Annual Report on Form 10-K for the year ended December 31, 2025, and in other filings with the SEC could cause the Company's results in the future to differ materially from the forward-looking statements made herein and in any other documents or oral presentations made by, or on behalf of, the Company.

This presentation constitutes the views of the Company at the time they were generated. Any past performance information presented herein is not a guarantee or indication of future results and should not be relied upon for such reason. Forward-looking statements contained herein include any statements regarding any expectations and projections of earnings, revenue, cash flow, adjusted EBITDA, investment returns, capital allocation, debt levels, equity performance, death rates, market share growth, cost inflation, overhead, preneed sales or other financial items. Forward-looking statements contained herein also include any statements of the plans, strategies, objectives, expectations and timing of management for future operations or financing activities, including, but not limited to, capital allocation, organizational performance, execution of our strategic objectives and growth plan, planned acquisitions and divestitures, technology improvements, product development, the ability to obtain credit or financing, anticipated integration, performance and other benefits of recently completed acquisitions, and cost management and debt reductions. We can provide no assurances that these planned activities and objectives will be successfully implemented nor can we provide any assurances that we will generate the revenue growth, free cash flow, market share growth and operational performance referenced herein. We can provide no assurances that our strategic objectives and growth plans will be successfully executed nor can we provide any assurances that we will meet the timing, objectives and expectations related to our capital allocation framework, including our forecasted rates of return, leverage ratio targets, planned uses of free cash flow and future capital allocation, including potential strategic acquisitions, divestiture transactions, internal growth projects, technology improvements, product development, or debt reduction plans. We can provide no assurance that we will meet the expectations related to our ability to generate preneed sales, including implementing our cemetery portfolio sales strategy, product development and optimization plans. We can provide no assurance that we will meet the expectations, timing and plans, if at all, related to the ATM Program, including any potential future sales thereunder, and the expected use of proceeds thereof. These statements are not facts and are made based upon such expectations, assumptions and views as they exist as of the date of this presentation. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks, contingencies and changes in circumstances that are difficult to predict, many of which are beyond the Company's control. The Company's actual results may differ materially from those contemplated by the forward-looking statements. There is no assurance that such views are correct or will prove, with the passage of time, to be correct.

Caution should be taken with respect to such statements and recipients should not place undue reliance on any such statements. The Company assumes no obligation to publicly update or revise any forward-looking statements made herein or any other forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise. In this presentation, the Company relies on and refers to certain information and statistics from third-party sources which they believe to be reliable. The Company has not independently verified the accuracy or completeness of any such third-party information.

This presentation uses Non-GAAP financial measures to present the financial performance of the Company. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, the Company's reported operating results or cash flow from operations or any other measure of performance as determined in accordance with GAAP. We believe the Non-GAAP measures are useful to investors because it allows investors to compare our results to previous periods and provide insights into underlying trends in our business. In addition, the Company's presentation of these measures may not be comparable to similarly titled measures of other companies. Pursuant to the requirements of Regulation G, the Company has provided quantitative reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures within the most current press release and on our Investor Relations page of the website.

A copy of the Company's Annual Report on Form 10-K for the year ended December 31, 2025, our Quarterly Reports on Form 10-Q, and other public filings and news releases, are available at https://www.carriageservices.com

A L L R I G H T S R E S E R V E D 2

Disciplined Capital Allocation Purposeful Growth Relentless Improvement

3.5x - 4.0x long-term leverage target range

Targeted 15 - 20% Return on Invested Capital

10 - 20% targeted CAGR in preneed sales, enabling a stronger pre-need backlog

Active M&A strategy with complimentary assets

Evolution of legacy systems with Trinity

Newly formed departments focused on driving increased market share

Note: "CAGR" defined as compounded annual growth rate.

Cemetery

Other

Funeral

1.7% growth in comparable average revenue per contract

(1) Q1 2026 vs. Q1 2025

21.0% growth in Financial Revenue primarily on higher Commission Income in Q1

2026 vs Q1 2025

9.0% growth in Q1 2026 vs. Q1 2025 comparable cemetery preneed sales driven by strong

sales production

12.6% growth in comparable EBITDA on margin

optimization in Q1 2026 vs Q1 2025

Project Trinity underway with testing of contract and tracking

functionalities

Strategic execution of debt paydown driving our leverage

ratio down to 4.0x

Average per contract excludes Preneed Interest for Matured Preneed contracts.

A L L R I G H T S R E S E R V E D 4

Q1 Financial Highlights

Q1 2026 Company Overview

NYSE listed

Ticker: CSV (NYSE)

Market cap: ~$781 mm(1)

One of two publicly traded funeral and cemetery services and merchandise companies in the United States

Asset Base(4)

Operations in United States only

155 funeral homes in 24 states

28 cemeteries in 9 states

$ in mm, unless per share amounts

YTD Q1

2026

YTD Q1

2025

Total Revenue

$106.1

$107.1

Total Field EBITDA

$48.4

$48.2

% Margin

45.6%

45.0%

Overhead(2)

$14.8(3)

$15.3

As % of Total revenue

14.0%(3)

14.3%

Adjusted Consolidated EBITDA

$33.8

$32.9

% Margin

31.8%

30.8%

Adjusted Diluted EPS

$0.86

$0.96

Adjusted Free Cash Flow

$11.2

$13.4

As of market close on May 1,2026. Calculated using basic outstanding shares.

Defined as regional and unallocated funeral and cemetery costs and general, administrative and other costs, excluding home office depreciation and non-cash stock compensation.

Inclusive of non-recurring items used in Adjusted Consolidated EBITDA. Adjusted for Special Items used in Adjusted Consolidated EBITDA, Overhead was $14.7 million, or 13.9% of Total Revenue.

Asset Base overview as of March 31, 2026.

A L L R I G H T S R E S E R V E D 5

$ in 000s

Cash flow returned to shareholders

$16

($9,727)

($3,896)

($6,314)

$1,688

($1,772)

($1,712)

$2,908

$24,625

YE 2025 Cash

Operating Cash Flow excluding Working Capital

Working Capital

Proceeds from divestitures Capital Expeditures

Net Movement in Outstanding Debt

Dividends

Other Investing/Financing (1) Q1 2026 YTD Cash

Other Investing/Financing primarily includes a one-time vesting of our Good to Great Award, which had a five-year cliff vesting period.

A L L R I G H T S R E S E R V E D 6

Total Revenue & Adjusted Consolidated EBITDA Margin Adjusted Diluted EPS

$ in millions

$243 $248

30%

$258 $268 $274

$329

32%

$376 $370 $383

34%

$404 $417

31% 31%

COVID PEAK

$1.48

$1.62

$1.39

$1.17

$1.25

$1.86

$3.02

$2.61

$2.19

$2.65

$3.20

29%

27%

26%

28%

30%

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

8.0% Adjusted Diluted EPS CAGR(2) over the last ten years

5.5% Total Revenue CAGR(1) over the last ten years

Total Revenue CAGR 2015 base year is $243 mm.

Adjusted Diluted EPS 2015 base year is $1.48 per share.

A L L R I G H T S R E S E R V E D 7

Appendix

A L L R I G H T S R E S E R V E D

D E P A R T M E N T 8

Full Year 2026 Outlook

$ in mm, unless per share amounts

2026 Outlook(1)

Total Revenue

$440 - $450

Adjusted Consolidated EBITDA(2)

$135 - $140

Adjusted Diluted EPS(2)

$3.35 - $3.55

Adjusted Free Cash Flow(2)(3)

$40 - $50

Capital Expenditures

$25 - $30

Includes the expected impact of acquisitions and divestitures of certain non-core assets.

Adjusted consolidated EBITDA, adjusted diluted EPS, and adjusted free cash flow are non-GAAP financial measures. We normally reconcile these non-GAAP financial measures from operating income, diluted earnings per share, and cash provided by operating activities; however, these measures calculated in accordance with GAAP are not currently accessible on a forward-looking basis. Our outlook for 2026 excludes the following: Gains or losses associated with divestitures, acquisition costs, severance and separation costs, impairment of goodwill, intangibles, and property, plant, and equipment, special vendor incentives, potential tax reserve adjustments and IRS payments and/or refunds, and other special items. The foregoing items could materially impact our forward-looking diluted earnings per share and/or our net cash provided by operating activities calculated in accordance with GAAP.

Includes the expected impact of total capital expenditures (growth and maintenance).

A L L R I G H T S R E S E R V E D 9

Operating Income to Adjusted Consolidated EBITDA and Adjusted Consolidated EBITDA Margin

$ in thousands

Cash Provided by Operating Activities to Adjusted Free Cash Flow

$ in thousands

Operating income

YTD Q1 2026

$ 25,277

YTD Q1 2025

$ 31,564

Cash provided by operating activities

YTD Q1 2026

$ 14,898

YTD Q1 2025

$ 13,792

Depreciation & amortization

5,955

5,401

Cash used for maintenance capital expenditures

(3,896)

(3,163)

Non-cash stock compensation

2,096

1,753

Free cash flow

$ 11,002

$ 10,629

Net loss on divestitures, disposals and impairment

charges

278

(5,770)

Severance and separation costs

173

1,474

Consolidated EBITDA

Adjusted for:

$ 33,606

$ 32,948

Other special items

Adjusted free cash flow

$ 11,175

1,250

$ 13,353

Other special items 147 -

Adjusted consolidated EBITDA $ 33,753 $ 32,948

Total revenue

$ 106,120

$ 107,069

Operating income margin

23.8%

29.5%

Adjusted consolidated EBITDA margin

31.8%

30.8%

GAAP Diluted Earnings per Share to Adjusted Diluted Earnings per Share

YTD Q1 2026 YTD Q1 2025

GAAP diluted earnings per share

$ 0.84

$ 1.34

Special items

0.02

(0.38)

Adjusted diluted earnings per share

$ 0.86

$ 0.96

For additional detail, see the Reconciliation of Non-GAAP Financial Measures from our Q1 2026 Earnings Release.

A L L R I G H T S R E S E R V E D 1 0

Operating Income to Adjusted Consolidated EBITDA and Adjusted Consolidated EBITDA Margin(2)

2015

2016

2017

2018

2019

2021

2022

2023

2024

2025

Operating income

$ 48,648

$ 50,204

$ 48,941

$ 43,307

$ 47,443

$ 93,660

$ 79,726

$ 80,979

$ 81,799

$ 97,657

Depreciation & amortization

13,780

15,421

15,979

17,430

17,771

20,520

19,799

21,117

22,890

24,507

Non-cash stock compensation

Net loss on divestitures, disposals and

4,444

2,890

3,162

6,583

2,153

5,513

5,959

7,703

6,520

7,806

impairment charges - - - - 4,846

4,846

666

2,029

1,191

2,580

371

Consolidated EBITDA $ 66,872 $ 68,515 $ 68,082 $ 67,320 $ 72,213

$ 72,213

$ 120,359

$ 107,513

$ 110,990

$113,789

$ 130,341

Adjusted for:

Withdrawable trust income

$ 555

$ -

Acquisition and divestiture expenses

614

701

2,083

$ 349

Severance and separation costs

959

3,979

1,435

1,205

1,575

1,431

6,228

Consulting fees

1,913

496

Litigation reserve

1,000

750

1,050

200

Disaster recovery and pandemic costs

620

437

2,157

Other special items

220

336

1,020

168

2,192

6,228

Adjusted consolidated EBITDA $ 71,133 $ 73,691 $ 68,702 $ 70,192 $ 76,587 $ 76,587 $ 126,161 $ 109,312 $ 113,182 $126,245 $ 130,690

Total revenue

$ 242,502

$ 248,200

$ 258,139

$ 267,992

$ 274,107

$ 375,886

$ 370,174

$ 382,520

$404,198

$ 417,440

Adjusted consolidated EBITDA margin

29.3%

29.7%

26.6%

26.2%

27.9%

33.6%

29.5%

29.6%

31.2%

31.3%

$ in thousands

GAAP Diluted Earnings per Share to Adjusted Diluted Earnings per Share(2)

2015

2016

2017

2018

2019

2021

2022

2023

2024

2025

GAAP diluted earnings per share

$ 1.12

$ 2.09

$ 0.63

$ 0.80

$ 1.81

$ 2.63

$ 2.14

$ 2.10

$ 3.25

Special items

0.36

0.50

(0.70)

0.54

0.45

1.21

(0.02)

0.05

0.55

(0.05)

Adjusted diluted earnings per share

$ 1.48

$ 1.62

$ 1.39

$ 1.17

$ 1.25

$ 3.02

$ 2.61

$ 2.19

$ 2.65

$ 3.20

For additional detail, see the Reconciliation of Non-GAAP Financial Measures from our Q4 2025 Earnings Release.

Figures as reported each year.

A L L R I G H T S R E S E R V E D 1 1

Disclaimer

Carriage Services Inc. published this content on May 14, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 14, 2026 at 20:40 UTC.