Carriage Services, Inc. · NYSE:CSV
Carriage Services — Investor Presentation (March 2025)
22 slides from Carriage Services's investor presentation, March 2025
Slide 1: Investor Presentation
MARCH 2025 Investor Presentation A L L R I G H T S R E S E R V E D
Slide 2: Notice to Investors
Notice to Investors 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
Slide 3: Key Investment Highlights
Key Investment Highlights ▪ Business model historically generates >30% consolidated EBITDA margins and ample free Attractive EBITDA Margins cash flow and Cash Flow ▪ Disciplined capital allocation strategy focused on enhances shareholder value ▪ Recent history of larger, highly accretive acquisi
Slide 4: Our Long-Term Strategic Framework
Our Long-Term Strategic Framework 1 3 2 Disciplined Capital Allocation Purposeful Growth Relentless Improvement • 3.5x - 4.0x long-term • Evolution of legacy • 5 - 10% targeted CAGR in leverage target range systems with Trinity preneed sales, enabling a • Targeted 15 - 20% ROIC • Newly formed strong
Slide 5: Purpose Statement Framework
Purpose Statement Framework Purpose Statement: Create premier experiences through innovation, empowered partnership, and elevated service. A L L R I G H T S R E S E R V E D 5
Slide 6: Highly Fragmented Industry
Highly Fragmented Industry 23% Public Large Consolidators revenue 77% U.S. Deathcare Independent / Private Consolidator Industry Revenue revenue 100% Carriage continues to have ample opportunity for consolidation Note: Total market size derived from the NFDA (National Funeral Directors Association),
Slide 7: Aging Population Provide Tailwinds
Aging Population Provide Tailwinds United States Aging Population Overview (in millions) 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0 2022 2025 2030 2035 2040 2045 2050 2055 2060 55 to 64 Years 65 to 74 Years 75 to 84 Years 85 Years + The demographics data(1) obtained from the U.S.
Slide 8: Carriage Services at a Glance
Carriage Services at a Glance Company Overview(1) Financial Overview • Ticker: CSV $ in mm, unless per share amounts 2024 2023 Change • Market cap: ~$625 mm(2) NYSE listed Total Revenue $404.2 $382.5 +$21.7 • One of two publicly traded funeral and cemetery services and merchandise companies in the U
Slide 9: Carriage Services Share Performance
Carriage Services Share Performance Total Shareholder Return(1) CSV SCI Russell 3000 91% New Management team in 88% place June 2023 73% 67% 62% 56% 58% 49% 34% 24% 26% 18% 19% 18% CSV Ranked #33 in 2024 (35%) 1-Year Return 2-Year Return 3-Year Return 4-Year Return 5-Year Return (1) Returns are as of
Slide 10: Carriage Operates in Two Primary Segments
Carriage Operates in Two Primary Segments 2024 Operating Segment Overview 5-Year Field Operating Revenue & EBITDA Margins(1) Revenue Mix $253 $251 $249 $248 50% • Burial and cremation $227 $250.0 48% • Arrangements, transfers, sale 46% $200.0 44% of caskets and related funeral ~66% 42% $150.0 mercha
Slide 11: Diverse National Footprint
Diverse National Footprint Established footprint in the most populous states with opportunities to enter new high- growth markets and capitalize on acquisition opportunities that can easily be integrated into existing operations Favorable age demographics within states across the Company’s footprint
Slide 12: Management Team with Industry Expertise
Management Team with Industry Expertise New management team in-place since June 2023 Carlos R. Quezada Steven D. Metzger John Enwright Vice Chairman of the Board & President Senior Vice President, Chief Executive Officer Chief Financial Officer & Treasurer • Named CEO in June 2023 • Named President
Slide 13: Purposeful Growth
Purposeful Growth M&A Strategy Cemetery Development Preneed Sales ▪ Carriage began an new ▪ New cemetery sales team ▪ Cemetery sales team has been approach towards M&A, strategy began in 2H 2022 hyper-focused on pre-need beginning in 2019 ▪ Included additional capital property sales, the largest ▪ C
Slide 14: Historical Growth Profile
Historical Growth Profile Total Revenue & Adjusted Consolidated EBITDA Margin Adjusted Diluted EPS $42 0 $41 5 $41 0 $404 $3.02 $383 $40 5 $40 0 $39 5 $39 0 $38 5 $376 $370 39% $38 0 $37 5 $37 0 $36 5 $36 0 $2.61 $2.65 $35 5 $35 0 $34 5 $34 0 $33 5 $329 $33 0 $32 5 $32 0 $2.19 $31 5 $31 0 $30 5 $30
Slide 15: Favorable Debt Maturity and Deleveraging Profile
Favorable Debt Maturity and Deleveraging Profile Nearest Maturity Not Until 2029 Steady Deleveraging Profile Credit facility availability as of 5.5x CSV remains committed to its 5.4x 5.3x 12/31/24(1) 5.1x deleveraging story for shareholders 5.0x $111 4.6x 4.3x 4.3x Credit facility drawn as of 12/31/
Slide 16: Transformational Initiatives Underway
Transformational Initiatives Underway Implementing changes to enhance our market position and financial performance, while elevating the consumer experience Opportunities to Further Distinguish Carriage from Competitors Pre-need Passion for Enhance Maximize Funeral Continuous Customer- Strategic Ser
Slide 17: Appendix
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 1 7
Slide 18: Appendix: 2025 Outlook
Appendix: 2025 Outlook Full Year 2025 Outlook $ in mm, unless per share amounts 2025 Outlook Total Revenue $400 - $410 Adjusted Consolidated EBITDA $128 - $133 Adjusted Diluted EPS $3.10 - $3.30 Adjusted Free Cash Flow $40 - $50 A L L R I G H T S R E S E R V E D 1 8
Slide 19: Appendix: Reconciliation of non-GAAP measures
Appendix: Reconciliation of non-GAAP measures Cash Provided by Operating Activities to Adjusted Free Cash Flow Components of Total Field EBITDA $ in thousands $ in thousands 2024 2024 Funeral field EBITDA $ 95,113 Cash provided by operating activities $ 51,996 Cemetery field EBITDA 57,233 Cash used
Slide 20: Appendix: Reconciliation of non-GAAP measures
Appendix: Reconciliation of non-GAAP measures Funeral Operating Income to Funeral Field EBITDA(1) $ in thousands 2020 2021 2022 2023 2024 Funeral operating income $ 57,622 $ 88,591 $ 81,043 $ 80,954 $ 84,257 Depreciation & amortization 11,586 11,062 11,591 12,197 11,736 Regional & unallocated Costs
Slide 21: Appendix: Reconciliation of non-GAAP measures
Appendix: Reconciliation of non-GAAP measures Cemetery Operating Income to Cemetery Field EBITDA(1) $ in thousands 2020 2021 2022 2023 2024 Cemetery Operating Income $ 26,859 $ 40,249 $ 36,132 $ 42,276 $ 56,583 Depreciation & amortization 6,376 8,217 7,584 8,008 10,161 Regional & unallocated Costs 3
Slide 22: Appendix: Reconciliation of non-GAAP measures
Appendix: Reconciliation of non-GAAP measures Operating Income to Adjusted Consolidated EBITDA $ in thousands 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Operating income $ 48,648 $ 50,204 $ 48,941 $ 43,307 $ 47,443 $ 57,227 $ 93,660 $ 79,726 $ 80,979 $ 81,799 Depreciation & amortization 13,78
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