Service Corporation International (SCI) reported its financial results for the three and nine months ended September 30, 2026. The company, the largest provider of deathcare products and services in North America, announced that GAAP earnings per share increased 24% to $1.03 for the third quarter of 2026, compared to $0.83 in the prior year period. Adjusted earnings per share, which excludes special items, rose 11% to $0.97 from $0.87 in the third quarter of 2025.
Consolidated revenue for the third quarter of 2026 was $1,107.3 million, representing a $49.2 million increase, or 5%, over the same period in 2025. The company reported that comparable funeral preneed sales production increased 6% and comparable cemetery preneed sales production increased 5% during the quarter. Comparable funeral sales average grew 3% over the prior year.
Net cash provided by operating activities increased 18% to $296.8 million in the third quarter of 2026, compared to $252.3 million in the prior-year quarter. Adjusted cash provided by operating activities increased 11% to $296.9 million.
SCI provided an updated outlook for the fourth quarter of 2026. The company expects diluted earnings per share excluding special items to be between $1.10 and $1.20. Full year adjusted earnings per share are now expected to be between $3.94 and $4.04. The company confirmed its full-year adjusted operating cash flow guidance at a midpoint of $1,085 million and maintained its maintenance capital expenditure outlook of $335 million, resulting in expected adjusted free cash flow of approximately $750 million.
For the nine months ended September 30, 2026, SCI reported revenue of $3,307.0 million and net income attributable to common stockholders of $401.9 million. Diluted earnings per share for the nine-month period were $2.90.
Management noted that margins were pressured by higher healthcare costs, higher selling compensation costs, and increased advertising and marketing expenditures supporting preneed sales growth. These costs are expected to continue into the fourth quarter. However, the company stated that investments in preneed sales will drive revenue and earnings growth as sales are recognized in the future.
SCI also announced that year-to-date, it has returned $464 million to shareholders through dividends and share repurchases. As of September 30, 2026, the company owned and operated 1,491 funeral service locations and 506 cemeteries across 44 states, eight Canadian provinces, the District of Columbia, and Puerto Rico.
