Carriage Services Inc (CSV) 2026 Q2 法說會逐字稿

Good day, and thank you for standing by. Welcome to the Carriage Services Q2 2026 earnings call. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Sam Mazzu, Vice President, General Counsel, and Secretary. Please go ahead, sir.

大家好，感謝您稍候。歡迎參加 Carriage Services 2026 年第二季財報電話會議。請注意，今天的會議將會錄音。現在我想把會議交給今天的主講人：副總裁、總法律顧問兼公司秘書 Sam Mazzu。先生，請開始。

Good morning, everyone, and thank you for joining us to discuss our second quarter results for 2026. In addition to myself, on the call this morning from management are Carlos Quezada, Chief Executive Officer and Vice Chairman of the Board of Directors; Steve Metzger, President and Chief Operating Officer; and John Enwright, Chief Financial Officer.

各位早安，感謝各位加入我們，一同討論 2026 年第二季的營運成果。除了我之外，今天早上管理團隊出席的還有：執行長暨董事會副主席 Carlos Quezada；總裁暨營運長 Steve Metzger；以及財務長 John Enwright。

On the Carriage Services website, you can find our earnings press release, which was issued yesterday after the market closed. Our press release is intended to supplement our remarks this morning and include supplemental financial information, including the reconciliation of differences between GAAP and non-GAAP financial measures. Today's call will begin with formal remarks from Carlos and John, and will be followed by a question and answer period.

在 Carriage Services 的網站上，您可以找到我們的財報新聞稿，該新聞稿已於昨日收盤後發布。我們的新聞稿旨在補充今天早上的發言，並包含補充性財務資訊，包括 GAAP 與非 GAAP 財務衡量指標差異的調節表。今天的電話會議將先由 Carlos 與 John 進行正式發言，接著進入問答環節。

Before we begin, I'd like to remind everyone that during this call we'll make some forward-looking statements, including comments about our business, projections, and plans. Forward-looking statements inherently involve risks and uncertainties and only reflect our views as of today.

在開始之前，我想提醒各位，本次電話會議中我們將發表一些前瞻性陳述，包括對我們業務、預測與計畫的評論。前瞻性陳述本質上涉及風險與不確定性，且僅反映我們截至今日的觀點。

These risks and uncertainties include, but are not limited to, factors identified in our earnings release, as well as those in our SEC filings, all of which can be found on our website. Thank you all for joining us this morning. And now I'd like to turn the call over to Carlos.

這些風險與不確定性包括但不限於我們財報新聞稿中所識別的因素，以及我們向 SEC 提交之文件中的因素；上述資料皆可在我們網站上查閱。感謝各位今天早上加入我們。現在我想把電話會議交給 Carlos。

Thank you, Sam. Welcome to everyone joining today's second quarter earnings call. Before discussing our financial performance, I want to begin by thanking the Carriage team. Every day, they serve families during some of the most difficult moments in their lives with compassion, professionalism, and genuine care.

謝謝你，Sam。歡迎各位參加今天的第二季財報電話會議。在討論我們的財務表現之前，我想先感謝 Carriage 團隊。他們每天以同理心、專業精神與真誠關懷，陪伴家庭度過人生中最艱難的時刻。

Their commitment to delivering premier experiences is what defines Carriage, and the results we are sharing today are the direct reflection of their dedication and execution.

他們致力於提供頂級體驗，這正是 Carriage 的核心特質；而我們今天分享的成果，正是他們投入與執行力的直接體現。

This morning, I will discuss our second quarter performance, provide some perspective on the operating environment we experienced during the quarter and first half of this year, share an update on a couple of strategic priorities and then turn the call over to John, who will review our financial results in greater detail.

今天早上，我將說明第二季表現，並就本季及今年上半年所面臨的營運環境提供一些觀點，更新幾項策略重點的進展，接著把電話會議交給 John，由他更詳細地說明我們的財務結果。

Regarding the operating environment, the second quarter unfolded differently than we anticipated at the beginning of the year. Beginning in January, mortality trends softened across much of the country and remained below our historical expectations throughout the first half of the year. During the second quarter, comparable funeral volume declined by 3.5% and for the first 6 months ending June 30 by 4.7%, both compared to last year.

就營運環境而言，第二季的發展與我們年初的預期有所不同。自 1 月起，全國多數地區的死亡率趨勢轉弱，且在上半年期間持續低於我們的歷史預期。第二季同店葬禮量下滑 3.5%；截至 6 月 30 日的前 6 個月同店葬禮量下滑 4.7%，兩者皆與去年同期相比。

As everyone on this call understands, mortality is the primary demand driver for a funeral business. It is also one of the few variables we simply cannot control. What we can control is how we operate our business. I am proud of the way our teams responded. Rather than allowing lower funeral volume to dictate our performance, our field leaders and the support center teams remain focused on execution, operating discipline, and serving families exceptionally well.

在座各位都了解，死亡率是殯葬業務最主要的需求驅動因素。它也是我們少數完全無法控制的變數之一。我們能控制的是我們如何經營業務。我為團隊的應對方式感到自豪。我們的第一線主管與支援中心團隊並未讓較低的葬禮量主導表現，而是持續專注於執行、營運紀律，以及以卓越服務每一個家庭。

The improvements we made over the last three years in our operations, systems, processes, and leadership capability allow us to offset much of the volume pressure through a stronger execution.

過去三年我們在營運、系統、流程與領導能力上的改善，使我們能透過更強的執行力，抵消相當部分的量能壓力。

For example, funeral home comparable average revenue per contract grew by 3.7% compared to the same period last year, while consolidated average price per pre-need interment right grew by 17.3%. Another example is the 21.1% increase in consolidated insurance-funded pre-need funeral contracts sold during the quarter compared to last year. In many ways, the second quarter became a real test of the organization we have been building. I believe our teams demonstrated that Carriage today is a more disciplined, more resilient, and better operated company than ever before.

例如，殯儀館同店每份合約平均營收較去年同期成長 3.7%，而合併口徑的預售安葬權平均售價則成長 17.3%。另一個例子是，本季合併口徑的保險資助型預售葬禮合約銷售量較去年增加 21.1%。在許多方面，第二季成為對我們正在打造之組織的一次真正考驗。我相信，我們的團隊證明了今日的 Carriage 比以往任何時候都更具紀律、更具韌性，且營運更為出色。

Turning to our financial results, total revenue for the second quarter was $102.9 million, an increase of $800,000 or 0.8% over the prior year quarter. Funeral comparable revenue was $55.7 million compared to $57 million last year, a decrease of 2.4%.

談到財務結果，第二季總營收為 1.029 億美元，較去年同期增加 80 萬美元或 0.8%。葬禮同店營收為 5,570 萬美元，去年為 5,700 萬美元，下降 2.4%。

As expected, lower funeral volume was driven by reduced mortality rates, creating pressure on revenue during the quarter. While call volume declined year-to-year, our teams remained focused on serving every family with excellence while continuing to improve operational efficiency across the business, partially offsetting the volume decline.

如預期所示，較低的葬禮量主要由死亡率下降所致，對本季營收造成壓力。雖然來電量較去年下降，我們的團隊仍專注於以卓越水準服務每個家庭，同時持續提升全公司營運效率，部分抵消量能下滑的影響。

Cemetery comparable revenue was $33.2 million, essentially flat compared to $33.3 million last year. Our consolidated pre-need cemetery sales production grew by 5% over the previous year's quarter. The timing of pre-need cemetery revenue recognition will push a portion of this production to future periods.

墓園同店營收為 3,320 萬美元，與去年 3,330 萬美元相比基本持平。我們合併口徑的預售墓園銷售產出較去年同期成長 5%。由於預售墓園營收認列時點的影響，其中一部分產出將遞延至未來期間認列。

Consolidated average price per pre-need interment rights sold increased by an impressive 17.3% over the same period last year, highlighting our ability to improve performance despite lower volume that also affected the at-need side of our cemetery business.

合併口徑的預售安葬權平均售價較去年同期大幅提升 17.3%，凸顯即使在量能下降、同樣影響墓園即時需求（at-need）業務的情況下，我們仍具備提升表現的能力。

Financial revenue was $9.3 million, or 14% greater than the previous year's quarter, reflecting that continued contribution of our insurance-funded pre-need strategy and the ongoing efforts of our sales organization to help more families plan ahead.

金融收入為 930 萬美元，較去年同期增加 14%，反映我們保險資助型預售策略的持續貢獻，以及銷售組織持續努力協助更多家庭提前規劃。

Moving to profitability. Despite the revenue headwinds created by lower funeral volume, profitability continued to trend in a positive direction. Adjusted consolidated EBITDA was $33.3 million, a growth of 3.1% representing an adjusted consolidated EBITDA margin of 32.3%, an increase of 70 basis points when compared to the same period last year.

接著談獲利能力。儘管較低的葬禮量帶來營收逆風，獲利能力仍持續呈現正向趨勢。調整後合併 EBITDA 為 3,330 萬美元，成長 3.1%，調整後合併 EBITDA 利潤率為 32.3%，較去年同期提高 70 個基點。

Adjusted diluted EPS for the second quarter ended at $0.78 compared to $0.74 last year, an increase of $0.04 per share or 5.4%. Perhaps more important than the absolute numbers, the quarter demonstrated the operating leverage we have been building into the business.

第二季調整後稀釋每股盈餘（EPS）為 0.78 美元，去年為 0.74 美元，每股增加 0.04 美元或 5.4%。或許比絕對數字更重要的是，本季展現了我們持續在業務中建立的營運槓桿。

Our teams remain disciplined in managing labor, controlling discretionary spending, improving productivity, and executing consistently across the organization. Those efforts allow us to mitigate a meaningful portion of the volume decline while continuing to invest in the business long-term capabilities and performance.

我們的團隊在勞動力管理、控制非必要支出、提升生產力，以及在全組織一致執行方面，仍保持高度紀律。這些努力使我們得以緩解相當程度的量能下滑，同時持續投資於公司長期能力與績效。

Simply put, when external conditions became temporarily more challenging, our operating performance improved. As volume trends returned to a positive position, we believe our focus on operating performance will help drive an even more significant growth story in the quarters and years ahead.

簡而言之，當外部條件暫時變得更具挑戰時，我們的營運表現反而提升。隨著量能趨勢回到正向，我們相信對營運表現的專注將有助於在未來幾季與未來幾年推動更顯著的成長故事。

That is exactly what we would expect from a stronger operating company. John will walk you through the financials in greater detail, but I want to recognize the outstanding work performed by both our field leaders and our support center teams throughout the quarter.

這正是我們對一家營運更強健公司的合理期待。John 將更詳細地帶各位檢視財務數據，但我想先肯定本季我們第一線主管與支援中心團隊所展現的傑出表現。

Looking ahead, as we enter the third quarter, we were encouraged to see funeral volume return to positive growth during the month of July. While one month certainly does not establish a long-term trend, it is an encouraging indicator after a softer first half of the year. Our strategy has never depended on perfectly favorable market conditions. It depends on consistently operating better today than we did yesterday. That philosophy remains unchanged.

展望未來，進入第三季之際，我們很高興看到7月份的喪葬量回到正成長。雖然單月表現當然不足以建立長期趨勢，但在上半年較為疲弱之後，這是一個令人鼓舞的指標。我們的策略從來不依賴完全有利的市場環境。它依賴於我們今天持續比昨天運作得更好。這一理念始終不變。

Operationally, we continue to make meaningful progress across several initiatives that will strengthen Carriage over the long term. Our core line for urns and caskets, as well as our package offerings, are also strategies that continue to gain traction. By simplifying merchandise selections while enhancing quality and consistency, we are improving both the family experience and the economics of our business.

在營運方面，我們持續在多項將於長期強化Carriage的計畫上取得實質進展。我們的骨灰罈與棺木核心產品線，以及我們的套裝方案，也都是持續獲得市場動能的策略。透過簡化商品選擇、同時提升品質與一致性，我們正在改善家屬體驗以及我們業務的經濟效益。

These initiatives represent much more than procurement programs. They are examples of how disciplined operating systems can simultaneously improve service and financial performance. We also continue expanding our Passion for Service program, which will become an important part of how we recognize and reinforce the behaviors that differentiate Carriage.

這些計畫所代表的意義遠不僅是採購方案。它們是紀律化營運系統如何能同時提升服務與財務表現的例證。我們也持續擴展「Passion for Service」服務熱忱計畫，該計畫將成為我們表彰並強化那些使Carriage與眾不同之行為的重要一環。

Creating premier experiences is not simply an objective, it is the way we serve families and one another across organizations. Finally, we continue to evaluate opportunities to deploy capital in ways that create long-term shareholder value.

打造卓越體驗不僅是一個目標，更是我們在各組織之間服務家屬與彼此的方式。最後，我們持續評估以能創造長期股東價值的方式部署資本之機會。

Our balance sheet remains healthy, our strategic acquisition pipeline remains busy and active, and we will continue applying the same disciplined approach to capital allocation that has guided us over the past several years.

我們的資產負債表仍然健康，我們的策略性併購案源管線依然繁忙且活躍，我們也將持續採用過去數年引導我們的同樣紀律化資本配置方法。

As I reflect on the quarter, one takeaway stands out. External conditions have tested our business, but they also validated the progress we have made. We cannot influence mortality trends. We cannot dictate microeconomic conditions, but we can control our culture, our operating discipline, our capital allocation, and the consistency with which we execute.

回顧本季，有一項體會特別突出。外部環境考驗了我們的業務，但也驗證了我們所取得的進展。我們無法影響死亡率趨勢。我們無法左右微觀經濟狀況，但我們可以掌控我們的文化、營運紀律、資本配置，以及我們執行的一致性。

This quarter demonstrated the value of those capabilities. When those capabilities combined with the return of positive volume trends, it truly allows us to optimize the creation of value for our shareholders. For the past three years, we have worked intentionally to build a stronger company, not just one capable of delivering positive results when conditions are favorable, but one capable of performing through changing environments. While there is still work to do and plenty of opportunities in front of us, I believe the foundation we have built is stronger than ever and drives our focus on being an elite operating company supported by consistent performance. I remain confident in the direction of Carriage, confident in our leadership team, and most importantly, confident in the remarkable people across our organization who continue to serve families with compassion and excellence every single day.

本季展現了這些能力的價值。當這些能力與喪葬量趨勢回到正向相結合時，確實使我們能夠最佳化為股東創造價值。過去三年，我們有意識地致力於打造一家更強健的公司，不僅能在環境有利時交出正面成果，也能在環境變動中持續表現。雖然仍有工作要做，且前方仍有許多機會，但我相信我們所建立的基礎比以往任何時候都更強，並推動我們聚焦於成為一家由穩健一致表現所支撐的菁英營運公司。我對Carriage的方向仍充滿信心，對我們的領導團隊充滿信心，而最重要的是，對我們組織中每天持續以同理心與卓越服務家屬的傑出同仁充滿信心。

To our employees, thank you for your commitment. To our shareholders, thank you for your continued trust and support.

致我們的員工，感謝你們的投入與承諾。致我們的股東，感謝你們持續的信任與支持。

With that, I will turn the call over to John.

接下來，我將把電話會議交給John。

Thank you, Carlos, and good morning, everyone. We are pleased with our second quarter results and the continued progress we have made during the first half of 2026, despite the challenging funeral volume declines.

謝謝你，Carlos，各位早安。儘管喪葬量下滑帶來挑戰，我們仍對第二季的業績以及2026年上半年持續取得的進展感到滿意。

Our performance reflects disciplined execution of our strategy, a focus on what we can control, and the dedication of our field and support teams. I would like to thank all of our employees for their continued commitment to serving families with excellence while staying focused on operational execution and disciplined capital allocation. Today, I will focus primarily on second quarter 2026 performance compared to the second quarter of 2025, followed by an update of our outlook for the rest of 2026.

我們的表現反映了對策略的紀律化執行、聚焦於我們可控的事項，以及前線與支援團隊的投入。我要感謝所有員工持續致力於以卓越服務家屬，同時專注於營運執行與紀律化資本配置。今天我將主要聚焦於2026年第二季相較於2025年第二季的表現，接著更新我們對2026年其餘期間的展望。

We reported consolidated adjusted EBITDA of $33.3 million, or 32.3% of revenue, compared to $32.3 million, or 31.6% of revenue in the second quarter of 2025. The year-over-year change was primarily driven by financial income, including funeral trust income and commissions from prearranged funeral contracts, along with disciplined cost management. Together, these items contributed approximately $2.1 million of EBITDA improvement.

我們公布合併調整後EBITDA為3,330萬美元，佔營收32.3%，相較於2025年第二季的3,230萬美元（佔營收31.6%）。年對年變動主要由財務收入所帶動，包括喪葬信託收入以及預先安排喪葬合約的佣金，並搭配紀律化的成本管理。合計而言，這些項目貢獻了約210萬美元的EBITDA改善。

Pre-need cemetery sales production grew 5% on a 17.3% increase in the average interment rights sold. However, the growth resulted in relatively flat revenue and EBITDA compared to the prior year quarter due to timing of revenue recognition.

預售（Pre-need）墓園銷售產出成長5%，主要來自平均售出的安葬權（interment rights）增加17.3%。然而，由於收入認列時點的影響，相較去年同期，本次成長使營收與EBITDA呈現相對持平。

These gains were partially offset by volume impact of our comparable funeral locations, which contributed approximately $1.4 million less in the second quarter of 2026 compared to the prior year quarter. For the second quarter of 2026, adjusted diluted EPS was $0.78 compared to $0.74 in the second quarter of 2025, representing a year-over-year growth of 5.4%.

上述增益部分被可比喪葬據點的量能影響所抵銷；2026年第二季相較去年同期約少貢獻140萬美元。2026年第二季，調整後稀釋每股盈餘（EPS）為0.78美元，相較於2025年第二季的0.74美元，年對年成長5.4%。

Adjusted diluted EPS increased primarily due to the stronger operating results discussed earlier, partially offset by higher depreciation and amortization expense compared to the second quarter of 2025.

調整後稀釋EPS的增加主要來自前述較強的營運成果，但部分被相較2025年第二季更高的折舊與攤銷費用所抵銷。

Moving on to cash from operating activities, we generated $22.5 million during the first half of 2026, compared to $21.9 million in the first half of 2025, an increase of $600,000, or 2.7%. Improvement was primarily driven by working capital benefits as growth in pre-need cemetery sales does not immediately impact operating cash flow because payments are collected over the life of the contract.

接著談營業活動現金流量，2026年上半年我們產生2,250萬美元，相較於2025年上半年的2,190萬美元，增加60萬美元或2.7%。改善主要來自營運資金的效益，因為預售墓園銷售的成長不會立即反映在營業現金流中，款項會在合約期間內逐步收取。

These sales generate stable long-term cash flow and build a strong backlog of future revenue. Our adjusted free cash flow for the first half of the year totaled $13.8 million compared to $20.3 million in the prior year. The year-over-year change primarily reflects $3.2 million in incremental planned capital expenditures as we continue investing in our cemeteries and funeral homes to support future growth.

這些銷售可帶來穩定的長期現金流，並建立強勁的未來營收待履行量（backlog）。本年度上半年調整後自由現金流合計為1,380萬美元，相較於前一年度的2,030萬美元。年對年變動主要反映我們在持續投資墓園與殯儀館以支持未來成長之際，新增了320萬美元的計畫性資本支出。

Our disciplined capital allocation strategy continues to strengthen the balance sheet. At quarter end, our bank leverage ratio remained at 4 times, compared to 4.2 times at the end of the second quarter of 2025. Maintaining a lower leverage ratio helped reduce borrowing costs, resulting in an interest expense that was approximately $350,000 lower than the prior year quarter. Our average borrowing rate under the credit facility was approximately 80 basis points lower than in the second quarter of 2025. Capital expenditures for the quarter totaled $5.3 million compared to $2.8 million in the second quarter of 2025.

我們紀律化的資本配置策略持續強化資產負債表。截至季末，我們的銀行槓桿比率維持在4倍，相較於2025年第二季末的4.2倍。維持較低的槓桿比率有助於降低借款成本，使利息費用較去年同期約減少35萬美元。我們在信用額度下的平均借款利率，較2025年第二季約低80個基點。本季資本支出合計為530萬美元，相較於2025年第二季的280萬美元。

Of the total capital expenditures, maintenance capital represented $2.1 million, growth capital represented $3.2 million. The year-over-year increase was primarily driven by cemetery development, which supports continued cemetery pre-need growth, as well as previously deferred maintenance projects.

在資本支出總額中，維護性資本為210萬美元，成長性資本為320萬美元。年對年增加主要由墓園開發所帶動，該開發支持墓園預售持續成長，並包含先前延後的維護專案。

Overhead expenses totaled $12.1 million or 11.8% of revenue compared to $12.5 million or 12.5% of revenue in the second quarter of 2025. The year-over-year change primarily reflects incentive compensation adjustments and a heightened focus on cost management across the organization.

管理費用（Overhead expenses）合計為1,210萬美元，佔營收11.8%，相較於2025年第二季的1,250萬美元（佔營收12.5%）。年對年變動主要反映獎酬性薪酬調整，以及全組織對成本管理的更高度聚焦。

We remain committed to disciplined expense management while continuing to invest appropriately in the people, technology, and infrastructure necessary to support our long-term growth strategy.

我們仍致力於嚴謹的費用管理，同時持續適度投資於支持我們長期成長策略所需的人才、科技與基礎設施。

Turning to our outlook for the remainder of 2026, we are updating our outlook to reflect changes in external demand assumptions, including the lower than anticipated trends in the first half of the year and the revised timing of expected acquisitions.

談到我們對2026年剩餘期間的展望，我們正在更新展望，以反映外部需求假設的變化，包括上半年低於預期的趨勢，以及預期併購時點的調整。

Our outlook now anticipates revenue between $435 million and $445 million, adjusted consolidated EBITDA between $135 million and $140 million, adjusted EBITDA margin between 31% and 31.5%, adjusted diluted EPS between $3.35 and $3.55, overhead expenses between 13.5% and 14% of revenue, adjusted free cash flow between $40 million and $50 million, ending leverage ratio between 3.9 and 4 times.

我們目前的展望預期：營收介於4.35億至4.45億美元；調整後合併EBITDA介於1.35億至1.40億美元；調整後EBITDA利潤率介於31%至31.5%；調整後稀釋每股盈餘（EPS）介於3.35至3.55美元；管理費用（overhead expenses）占營收比重介於13.5%至14%；調整後自由現金流介於4,000萬至5,000萬美元；期末槓桿比率介於3.9至4倍。

Overall, we are pleased with our first half performance and remain focused on executing the strategic initiatives that we believe will create long-term shareholder value. We continue to invest in our people, strengthen our operations, maintain disciplined capital allocation, and position the company for sustainable growth.

整體而言，我們對上半年表現感到滿意，並將持續專注於執行我們相信能創造長期股東價值的策略性舉措。我們持續投資於人才、強化營運、維持嚴謹的資本配置，並讓公司處於可持續成長的有利位置。

That concludes our prepared remarks. I will now turn it back over to the operator to open the line for questions.

以上為我們預先準備的發言。接下來我將把時間交還給主持人，開放電話線供提問。

(Operator Instructions) Liam Burke with B. Riley Securities.

(主持人指示) B. Riley Securities 的 Liam Burke。

In the funeral home area, we're seeing a stability between cremation and traditional burials. There's always been a tradeoff. The cremation was more profitable with a lower ticket, while traditional burials were the opposite, larger ticket, lower margin. I'm looking at your results in the quarter, average price per contract was up 4%, margins were down. Is that any kind of function of the mix between cremation and traditional burial?

在殯儀館業務方面，我們看到火化與傳統土葬之間呈現穩定。一直以來都有取捨。火化的單價較低但獲利較高，而傳統土葬則相反，單價較高但毛利率較低。我看你們本季的結果，每份合約的平均價格上升4%，但利潤率下降。這是否與火化與傳統土葬之間的組合（mix）變化有關？

The mix is stabilizing as well, Liam. It is a great question. To give an example, our cremation rate for the quarter was 60.6% this year, compared to the same quarter last year of 61.2%, actually dropped 60 basis points from a mix perspective.

Liam，組合也同樣趨於穩定。這是個很好的問題。舉例來說，我們本季的火化率今年為60.6%，去年同季為61.2%，從組合角度來看實際下降了60個基點。

For the full year, it's basically flat 60.5% this year compared to 60.6%, and so it's really not a full influence of the cremation rate. Honestly, it's just the effort we're doing on presenting families with our packages, with our urns, and all cremation related items.

就全年而言，基本持平：今年60.5%對比去年60.6%，因此火化率並不是主要影響因素。坦白說，主要是我們在向家屬呈現我們的方案、骨灰罈以及所有與火化相關的商品上所做的努力。

We have a very specific program. It's one of our core four, which basically focuses on presenting direct cremation families options so they can walk away with something more than just the direct cremation. That's some of the impact that you see on that increase on the revenue per contract. But the margins that you're talking about is really pure impact of the volume we have. When you have negative volumes in a fixed cost business, that really gets a significant impact on your costs.

我們有一個非常明確的計畫。它是我們四大核心之一，主要聚焦於向選擇直接火化（direct cremation）的家庭提供選項，讓他們帶走的不僅僅是直接火化服務。這就是你看到每份合約營收上升的一部分原因。但你提到的利潤率，其實主要是我們的量（volume）所造成的純粹影響。在固定成本的業務中，當量為負成長時，會對成本造成相當顯著的影響。

Great. Staying with the funeral home business, are there any properties that are not performing up to snuff where you're going to have to decide, look, enough is enough and it's time to divest them?

了解。延續殯儀館業務，你們是否有任何資產表現不如預期，必須決定「夠了，就是時候處分」？

Can you repeat the question? I'm sorry.

可以請你重複一下問題嗎？不好意思。

Okay. Staying with the funeral home, as you go through the properties, are there any underperforming ones that are dragging down profitability that you said enough is enough and I want to divest them?

好的。就殯儀館而言，當你們檢視各項資產時，是否有任何表現不佳、拖累獲利的據點，你們會覺得「夠了」，並希望將其處分？

Yes, good morning, Liam. This is Steve. We really, over the past five years, have identified those businesses that didn't really fit our long-term growth model, so yes, we're largely through that process. There are always opportunities with a few businesses to pick that performance back up, but we don't anticipate any divestitures moving forward.

是的，早安，Liam。我是Steve。過去五年我們確實已辨識出那些不太符合我們長期成長模型的業務，所以是的，我們大致已完成那個流程。當然，對於少數業務仍總是有機會把表現拉回來，但我們預期未來不會再有任何處分。

Alex Paris with Barrington Research.

Barrington Research 的 Alex Paris。

First question related to funeral homes. Obviously not a lot you can do about the death rate. You did note in the press release and in your prepared comments, Carlos, that July was encouraging. Does that mean April, May, and June, the months of April, May, and June were down year-over-year in volume? And was there an improving trend before we saw the encouraging positive volume of July?

第一個問題與殯儀館相關。顯然死亡率不是你們能控制的。Carlos，你在新聞稿與事先準備的評論中提到7月令人鼓舞。這是否表示4月、5月與6月這幾個月的量（volume）相較去年同期是下滑的？在7月出現令人鼓舞的正成長之前，是否已經有改善的趨勢？

Yes, so we were negative on volume every month from January through June. Now, it was a declining negative, right? Started on the high single digits. It started to really go down all the way through the end of June. But then as we came into July, it really flipped now into growth on a year-over-year basis on volume, and it is decent growth, so it's encouraging that we see that.

是的，所以從1月到6月我們每個月的量都是負成長。不過負成長幅度是在收斂的，對吧？一開始是高個位數的下滑。之後一路下降，直到6月底。但進入7月後，量在年對年基礎上確實翻正成長，而且成長幅度不錯，所以看到這點令人鼓舞。

Declining of the negative down all the way to the end of the first half and then now going into the positive as we start the second half.

也就是說，上半年負成長幅度一路收斂到期末，而進入下半年後開始轉為正成長。

Historically it's been difficult to predict the death rate from quarter to quarter, but annually it's a little bit more stable. Historically the death rate had been around 100 basis points. What are the national mortality rates looking like today?

歷史上，死亡率在季度之間很難預測，但以年度來看會比較穩定。過去死亡率大約在100個基點左右。目前全國的死亡率看起來如何？

Just on that note, we believe just like you that the full year volume trend should be somewhat similar to last year, and so we believe that the second half should be much better than the first half has been, and that's how we're planning for.

就這點而言，我們跟你的看法一致：全年量的趨勢應該會與去年相近，因此我們認為下半年應該會比上半年好很多，我們也據此進行規劃。

As you have seen from our outlook, we feel pretty confident that we are going to be able to get there. And from a mortality perspective, I think that the percentage, the death rate remains about the same. It's just the amount, right? We haven't seen the baby boomers starting to show up, that's going to impact the number of people dying.

從我們的展望你也可以看到，我們對能達成目標相當有信心。就死亡率的角度來看，我認為比例、也就是死亡率大致維持不變。差別在於總量，對吧？我們尚未看到嬰兒潮世代開始大量進入，這將影響死亡人數的規模。

The CDC, as you know, Alex, is quite behind on the reporting and it's difficult for us to try to guide to even the first half with the data they put out. They do some preliminary work. We look at that. We try to correlate what we see based on that reporting.

如你所知，Alex，CDC 在資料回報上相當落後，我們很難用他們公布的數據來對上半年做出指引。他們會做一些初步估算。我們會參考那些資料。並嘗試將我們看到的情況與該回報做相關性比對。

What I can tell you is that we did some analysis on market share and it's pretty broad, it's not super detailed, but it is enough to know that by state, what was our share of the deaths within each one of the states last year compared to this year, and I can tell you that we're pretty much flat on maybe a few basis points above to what we did last year.

我可以告訴你的是，我們做了一些市占分析，範圍很廣、不是非常細，但足以讓我們知道：以州別來看，去年各州死亡人數中我們的占比與今年相比如何；我可以說我們大致持平，甚至可能比去年高出幾個基點。

So that gives us confidence that it is not losing market share, but it is just a number of deaths coming down.

因此這讓我們有信心：問題不在於市占流失，而是死亡人數的總量在下降。

Great. And then regarding your guidance, you basically reaffirmed all the profitability numbers. You actually brought down CapEx a bit for the full year. The revision was really on revenue and you attributed it to a couple of things. I wonder if you can go over that with us again.

很好。接著關於你們的指引，你們基本上重申了所有獲利相關數字。你們其實把全年資本支出（CapEx）稍微下修。調整主要是在營收，你們把原因歸因於幾個因素。想請你再為我們說明一次。

One thing being the first half performance and the other thing that timing of expected acquisitions because as I recall I think there was an assumption that you'd have a $5 million to $10 million contribution from acquisitions made during 2026 and we've only made one acquisition so far and that'll be my follow-up question I want to talk a little bit about McCammon.

一個因素是上半年表現，另一個因素是預期併購的時點；因為如我記得，原本假設在 2026 年期間完成的併購可貢獻 500 萬到 1,000 萬美元，但到目前為止我們只做了一筆併購。這也會是我的追問：我想再多談一點 McCammon。

Yes, Alex, this is John. I'll handle the outlook, and I'm sure Steve will talk about the acquisition. So from the outlook, yes, you're right. We adjusted our revenue down from down $5 million, and that really is mostly attributable to basically the timing of acquisitions.

是的，Alex，我是 John。我來說明展望，我相信 Steve 會談併購。就展望而言，是的，你說得對。我們把營收指引下修了 500 萬美元，而這主要基本上是因為併購時點的影響。

To Carlos point he just made, we believe the death rate over the full year is going to come back to be a little bit more normalized, so some of the volume that we missed in the first half, we're going to gain back in the second half, so that gave us a little bit of confidence to say, okay, we're going to take it down about $5 million associated with the acquisition.

呼應 Carlos 剛才提到的觀點，我們認為全年死亡率會回到較為正常化的水準，因此上半年少掉的一些量，我們會在下半年補回來；這讓我們更有信心說，好，我們會把與併購相關的部分下修約 500 萬美元。

So before we were $5 million to $10 million, call it, $0 million to $5 million. Obviously we're going to have more than zero because we have an acquisition.

所以先前是 500 萬到 1,000 萬美元，現在就算是 0 到 500 萬美元。當然不會是零，因為我們已經完成了一筆併購。

From a profitability perspective, the first half of the year, we've been a little bit more profitable than where we were initially from a range perspective. If you remember, we were 30.5% to 31.5% kind of EBITDA margin range. We've been above that in the first half of the year. So we adjusted our guide to be 31% to 31.5%, so we're going to be able closer to -- well, our expectations be closer to the last two years, which was 31.2% to 31.3%, so right now we're doing a good job from an expense management perspective both in the field as well as in the HSC, so we feel confident we can hit the mid of our EPS guidance.

從獲利能力的角度來看，今年上半年我們的獲利表現比起原先區間預期要更好一些。如果你還記得，我們原本的 EBITDA 利潤率區間大約是 30.5% 到 31.5%。上半年我們高於該區間。因此我們把指引調整為 31% 到 31.5%；我們的預期會更接近過去兩年的水準，也就是 31.2% 到 31.3%。目前我們在費用管理方面做得很好，無論是一線現場或是 HSC，因此我們有信心能達成 EPS 指引的中位數。

Yes, as it relates to the acquisitions, Alex, it really is all around timing. So the activity remains as active as I've seen during my time with Carriage. And a lot of the focus is on the valuations and bridging any gaps there might be on expectation and kind of where we think that valuation should land, so those conversations are ongoing right now. We had mentioned in the last quarter's call that we really thought there'd be more activity that we'd be in a position to discuss in the back half of the year. We continue to think that's going to be the case and so over the next five months we believe that the conversations we're having are going to progress to a stage where we can provide some more detail, but we're very bullish and excited about the opportunity.

是的，至於併購方面，Alex，主要就是時點問題。所以目前的活動度仍然跟我在 Carriage 任職期間所見一樣活躍。而很多重點在於估值，以及彌合在預期與我們認為合理估值落點之間可能存在的差距；這些對話目前仍在進行中。我們在上一季的電話會議提到，我們確實認為下半年會有更多進展，讓我們能夠討論。我們仍然認為會是如此，因此在接下來五個月，我們相信目前進行中的對話會推進到我們可以提供更多細節的階段；我們對這個機會非常看多，也很興奮。

But as you know, you've been following us for a while, we're pretty selective and we want to remain disciplined, so when we're looking at valuations and we're looking at properties, we've got to make sure there's a path for us to help grow those through our leadership. We've got to make sure that the valuation makes sense, not only for the seller, but also for Carriage and our shareholders.

但如你所知，你追蹤我們一段時間了，我們相當挑選標的，也希望維持紀律；因此在看估值、看資產時，我們必須確保有一條路徑，能透過我們的領導力協助其成長。我們也必須確保估值合理，不僅對賣方合理，對 Carriage 以及我們的股東也合理。

Great. And what can you tell us about the McCammon acquisition in late May? It's in the greater Knoxville area. It's a new market, I believe, for Carriage Services. I'm trying to size it a little bit, either by number of calls per year, revenue, EBITDA, price paid. I'm sure that will be in the queue.

很好。那你們能談談 5 月下旬的 McCammon 併購嗎？它位於大 Knoxville 地區。我相信這對 Carriage Services 來說是一個新市場。我想大概估算一下規模，例如每年的服務件數、營收、EBITDA、支付價格。我相信這些之後也會在待辦事項中披露。

Yes, you bet. So we're obviously really excited about McCammon, primarily because Knoxville is a growing market and McCammon has been around for a long time, has a great reputation. And the opportunity that we just talked about with McCammon is we think with our leadership and some of the things that we can do to support that business, there's opportunity with pricing, there's opportunity on market share.

是的，當然。我們顯然對 McCammon 非常興奮，主要因為 Knoxville 是一個成長中的市場，而 McCammon 經營已久、口碑很好。而我們剛才談到的 McCammon 機會在於，我們認為透過我們的領導力以及我們能提供的一些支援，定價上有機會、市占率上也有機會。

Right now it's just under 300 calls a year, and we think we can continue to drive that up as we get into the community a little bit more and present our value proposition, so excited about that. And ultimately we'd love to grow in Knoxville and throughout Tennessee. We've got a really great presence over in Chattanooga, as you know, and we'll continue to focus on that area.

目前每年略低於 300 件服務量，我們認為隨著我們更深入社區、呈現我們的價值主張，還能持續把這個數字往上推，所以對此很期待。最終我們也希望在 Knoxville 以及整個田納西州擴張。如你所知，我們在 Chattanooga 那邊有很好的據點，我們也會持續聚焦該區域。

Parker Snure with Raymond James.

Raymond James 的 Parker Snure。

I was just curious on the funeral volume trend, were there any markets that were better or worse than your kind of average results, particularly focusing on some of your larger markets like California, Florida, Texas?

我只是好奇，關於喪葬服務量的趨勢，有沒有任何市場表現比你們的平均結果更好或更差？特別是一些較大的市場，例如加州、佛州、德州？

One thing that I could tell you stands out was Florida, but Florida is highly cremation. There's a lot of direct cremation businesses that are established in Florida, and they continue to pop up more and more in that state. We haven't lost market share, but we do see the most significant volume decline from a state perspective. Florida would be one.

有一點比較突出的是佛州，但佛州的火化比例非常高。佛州已經有很多直接火化（direct cremation）業者，而且在該州仍持續越來越多地出現。我們沒有流失市占率，但就州別來看，我們確實看到最顯著的量下滑。佛州會是一個例子。

Okay. And then in the press release you talked about disciplined cost management as a driver for your adjusted EBITDA performance in the quarter. Just curious if you can provide more detail there. Were these pure cost cuts? Was it just like labor management, better cost management, was this delaying some investments that maybe will just come back later in the year? Just curious on more detail there.

了解。另外，在新聞稿中你們提到「嚴謹的成本管理」是本季調整後 EBITDA 表現的驅動因素。想請你們提供更多細節。這些是純粹的成本削減嗎？還是像人力管理、更好的成本控管？或是延後了一些投資，可能在今年稍晚又會回來？想多了解一些細節。

Great question, Parker. If you go back to three years, we started with a plan, right? Part of that plan, if you take a picture of Carriage back then, and then compare a new picture of Carriage today, there's a lot of systems, process, talent that we have put in place that has led to now been able to have a much better operating leverage. It is not that we decided we're going to cut here, we're going to eliminate that and really compromise the service quality of delivery of excellence we're trying to provide, not just to the families we serve, but also to the employees. It is just the results of the systems and people and systems we put in place and that it seems like it's really starting to kick in.

好問題，Parker。如果你回到三年前，我們是從一個計畫開始的，對吧？那個計畫的一部分是：如果你把當時的 Carriage 拍一張照片，再跟今天的 Carriage 新照片相比，我們已經建立了很多系統、流程與人才配置，讓我們現在能有更好的營運槓桿。並不是我們決定要在這裡砍、在那裡刪，然後犧牲我們想提供的卓越服務品質——不只是對我們服務的家庭，也包括對員工。這只是我們所建立的系統與團隊所帶來的成果，而且看起來它真的開始發揮效果了。

We have for a long time now held some pretty decent margins from an EBITDA perspective, and this quarter does really show up in a much better form than we were expecting, and it's great to see. And we believe, as John stated on his comments, that we should be able to sustain a pretty nice range between 31% and 31.5% for the remaining of the year.

我們在 EBITDA 的角度，長期以來都維持了相當不錯的利潤率，而本季的表現以比我們預期更好的形式呈現，看到這點很棒。而且我們相信，如同 John 在評論中所說，我們應該能在今年剩餘期間維持約 31% 到 31.5% 的不錯區間。

George Kelly with ROTH Capital Partners.

ROTH Capital Partners 的 George Kelly。

A few for you. First, can you be more specific about the volume growth that you saw in July?

我有幾個問題。首先，您能否更具體說明一下您在 7 月看到的量的成長情況？

Yes, I can't give you a specific number, but I would say strong low single-digit.

是的，我無法給出具體數字，但我會說是強勁的低個位數成長。

Okay. Understood. And then second question is, with respect to your updated guide, so it sounds like, most of it has to do with that kind of reset expectation about M&A. So I'm curious, what's baked into your guide with respect to volume growth in the back half? I don't know how specific you can be there, but just trying to better understand, like, what needs to happen for this kind of catch up in volumes in the back half.

好的。了解。第二個問題是，關於您更新後的指引，聽起來大部分是因為對併購（M&A）的預期做了某種重設。所以我想了解，在下半年量的成長方面，您的指引中已經納入了哪些假設？我不確定您能說得多具體，但只是想更好理解，例如，下半年要出現這種量的追趕，需要發生什麼情況。

Yes, it would be kind of low single-digit growth in volume, right? And that can be attributed to -- it can be calls, right? So calls can go back to kind of low single-digit and we continue to see the benefit associated with the ARPC that we've seen in the first half of the year.

是的，量大概會是低個位數成長，對吧？而這可以歸因於——可以是來電量（calls），對吧？所以來電量可以回到低個位數左右，而我們也持續看到與 ARPC 相關的效益，這些效益我們在上半年已經看到了。

And so how much of that is the pre-need timing that you talked to? Maybe that's what you were just alluding to, but the pre-need timing is, do you anticipate a lot of productivity that's been sold to kind of lands because projects are getting completed or whatnot in the back half of the year? Is that a big aspect?

那其中有多少是您提到的預售（pre-need）時點因素？也許您剛剛就是在暗示這點，但預售時點是指，您是否預期下半年會有很多已售出的產能/業績開始落地，因為專案完工之類的？這是很重要的一部分嗎？

No, that comment was -- that I made that comment, George, and the reason why I made it is because you saw a growth of pre-need production of 5%, but the revenue was flat, so there's a variance between how you sell pre-need and how you recognize the revenue as you know. So I was just trying to make the point of pointing out that there will be a delay of some of that production into future periods.

不是，那個評論是——George，我之所以那樣說，是因為你看到預售產出成長了 5%，但營收是持平的，所以如你所知，預售的銷售方式與營收認列之間會有差異。所以我只是想指出，其中一部分產出會延後到未來期間才反映出來。

Okay. And then two last ones for me. The first one is just on the current status of Trinity. The timing of the pilots and rollout, et cetera, if you can talk to that. And then the second question is on, John, you mentioned in your prepared remarks that there was an incentive comp adjustment, and so I'm just wondering how material that was and was it some kind of reversal that benefited the quarter?

好的。最後兩個問題。第一個是關於 Trinity 目前的狀態。如果可以的話，請談談試點（pilot）與推廣（rollout）的時程等等。第二個問題是，John，你在事先準備的發言中提到有一項激勵薪酬（incentive comp）調整，我想了解那有多重大？是否是某種回轉（reversal）而對本季有利？

Just if you could be more specific about that.

如果你能更具體說明就好了。

Yes, so I'll start with Trinity. So Trinity, we rolled out to 15 more locations on July 1, so right now, we're in the pilot phase of first 17 locations in total. We're learning a lot through that phase as we rolled it out to more locations, so we're going to assess the data that we get back. And ultimately, that may influence how we roll it out to the rest of the network. In regards to the incentive compensation.

好的，我先從 Trinity 開始。Trinity 我們在 7 月 1 日又推廣到另外 15 個據點，所以目前我們仍在試點階段，總共 17 個據點。隨著推廣到更多據點，我們在這個階段學到很多，因此我們會評估回收的數據。最終，這可能會影響我們如何推廣到其餘的網路。至於激勵薪酬。

There was a couple of different plans that we, based on performance and based on how we're being measured that we took down a little bit of an accrual associated with that, so that was -- as we factor in the full year number, there's an opportunity for us to bring that back. But based on the first half and some of the measurement is based on EBITDA, some of the measurement is based on kind of where revenue is, and ultimately we just need to make a little adjustment to our accrual.

我們有幾個不同的方案，基於績效以及我們被衡量的方式，我們把與此相關的一部分應計（accrual）稍微下調了一點，所以——當我們把全年數字納入考量時，未來也有機會把它加回來。但基於上半年的表現，以及部分衡量是以 EBITDA 為基礎、部分衡量是以營收大致落點為基礎，最終我們只是需要對應計做一點調整。

Alex Paris with Barrington Research.

Barrington Research 的 Alex Paris。

I just had a quick follow-up. I forgot to ask about overhead. Overhead was significantly below my expectations, and I'm assuming that was because of lower variable costs associated with the lower revenue and disciplined cost management.

我只有一個簡短的追問。我忘了問管理費用（overhead）。管理費用明顯低於我的預期，我猜是因為營收較低導致的較低變動成本，以及嚴格的成本管理。

That implies an increase in total overhead as a percentage of revenue in the third and fourth quarters to get into that range of, did you say 13.5% to 14%? Because I had down 13.5% to 14.5%. Did you bring that down a little bit, or was I mistaken previously?

這意味著第三、第四季管理費用占營收比重會上升，才能回到你說的 13.5% 到 14% 的區間，對嗎？因為我原本估的是 13.5% 到 14.5%。你們是把區間稍微下調了，還是我之前理解錯了？

No, so you're right, Alex. So ultimately our initial guide was 13.5% to 14.5%. We did take that down based on the first half results. And in the second quarter, you're right, it was about $400,000 if you look on an absolute term year-over-year savings and some of that has to do with just good cost management. Some of that has to do with some of the accrual that I just mentioned that we took a little bit down associated with that ultimately.

沒有，你說得對，Alex。我們最初的指引確實是 13.5% 到 14.5%。我們根據上半年的結果把它下調了。而在第二季，如果你看絕對金額的年對年節省，大約是 40 萬美元，其中一部分就是良好的成本管理。另一部分則與我剛提到的那項應計有關，我們把相關應計稍微下調了一點。

And then some of it is some costs that will trail into the third and fourth quarter that we initially expected in the second quarter.

另外還有一部分是一些成本會遞延到第三、第四季，而我們原本預期會在第二季發生。

Okay. And then lastly, the $5 million reduction in revenue guidance midpoint to midpoint. Will that affect Q3 or Q4 more than the other or kind of level loaded?

好的。最後，營收指引中位數到中位數下調了 500 萬美元。這會對第三季或第四季影響更大，還是大致平均分攤？

Yes, so we would expect Q4 to be a little bit -- to absorb some of that higher end -- let me say it the right way. As you look at kind of your model in third and fourth quarter, we would expect fourth quarter to have a little bit higher revenue, so to sustain some of that volume associated with maybe acquisitions.

是的，我們預期第四季會稍微——會承擔其中較大的一部分——讓我用正確的方式說。當你看第三、第四季的模型時，我們預期第四季的營收會稍微高一些，以支撐一些可能與併購相關的量。

So more of that $5 million reduction is in the fourth quarter than in the third quarter.

所以這 500 萬美元下調中，第四季的占比會高於第三季。

Yes. We would expect that Q4 performs as all other Q4s have performed in the past, and so it should be better than Q3. Therefore, it would absorb more of that $5 million.

是的。我們預期第四季的表現會和過去其他第四季一樣，因此應該會優於第三季。因此，它會吸收更多那 500 萬美元的影響。

Carlos Quezada for closing remarks.

Carlos Quezada 作結語。

Thank you for joining us today. We remain focused on executing our strategy, serving families with excellence, and creating long-term shareholder value. We appreciate your continued support and look forward to updating you on our progress next quarter. Thank you, everybody.

感謝各位今天加入我們。我們仍專注於執行我們的策略、以卓越服務家庭，並創造長期股東價值。感謝各位持續的支持，我們期待在下個季度向各位更新我們的進展。謝謝大家。

And this concludes our call today. Thank you for your participation. You may now disconnect.

今天的電話會議到此結束。感謝各位的參與。您現在可以掛線。