Service Corporation Revenue Mix: What's Powering the Top Line?
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January 09, 2026 — 07:57 am EST Written by Zacks Equity Research for Zacks-> Service Corporation International SCI reported third-quarter 2025 revenue of $1.06 billion, up 4.4% from the prior-year quarter. The increase reflects how the company’s revenue mix is evolving across its cemetery and funeral operations, with certain categories contributing more meaningfully to the top line than others.Cemetery operations were a significant contributor during the third quarter. Cemetery revenue rose to $484.0 million from $448.0 million a year ago. The increase was largely driven by higher recognized preneed cemetery revenue, which totaled $338.5 million compared with $307.0 million in the prior-year period. This included growth in both recognized preneed property revenue and recognized preneed merchandise and service revenue. On a comparable basis, cemetery revenue increased 6.9%, while comparable core cemetery revenue grew 6.7%. Cemetery preneed sales production increased about 10%, supporting higher revenue recognition as contracts matured.Funeral operations showed more mixed trends. Total funeral revenue increased to $574.1 million from $566.0 million in the third quarter of 2024. However, comparable funeral revenue declined 0.3%. Core funeral services performed fell 3.5% on a comparable basis, which weighed on at-need revenue. This decline was partially offset by higher average revenue per service. Comparable total average revenue per service increased 3.1%, reflecting higher pricing and mix across both at-need and matured preneed services.Non-funeral home sales channels also influenced the revenue mix. Comparable non-funeral home revenue increased 12.6%, driven by a 13.4% rise in average revenue per service, despite a slight decrease in services performed. At the same time, comparable non-funeral home preneed sales revenue declined, primarily due to the company’s operational decision to defer delivery of certain merchandise until the time of need. Management stated that this affected the timing of revenue recognition rather than underlying contract values.Overall, the quarter’s revenue growth highlights how Service Corporation’s top line is being shaped by changes in mix. Higher recognized preneed cemetery revenue, rising average revenue per service and growth in non-funeral home revenue helped support the Zacks Rank #3 (Hold) company’s consolidated revenue growth, even as funeral service volumes declined on a comparable basis.Shares of SCI have gained 3.9% in the past year, outperforming the industry’s growth of 2.3%.Image Source: Zacks Investment ResearchMama's Creations, Inc. MAMA manufactures and markets fresh deli-prepared foods in the United States. At present, it sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.The consensus estimate for Mama's Creations’ current fiscal-year sales and earnings implies growth of 39.9% and 44.4%, respectively, from the year-ago figures. MAMA delivered a trailing four-quarter earnings surprise of 133.3%, on average.United Natural Foods, Inc. UNFI engages in the distribution of natural, organic, specialty, produce, and conventional grocery and non-food products. It currently carries a Zacks Rank #1.
United Natural Foods delivered a trailing four-quarter earnings surprise of 52.1%, on average.The Zacks Consensus Estimate for United Natural Foods’ current fiscal-year sales and earnings implies growth of 1% and 187.3%, respectively, from the year-ago figures.McCormick & Company, Incorporated MKC manufactures, markets, and distributes spices, seasoning mixes, condiments and other flavorful products to the food industry. It carries a Zacks Rank #2 (Buy) at present. MKC delivered a trailing four-quarter earnings surprise of 2.2%, on average.
The Zacks Consensus Estimate for McCormick’s current fiscal-year sales and earnings implies growth of 1.6% and 2.4%, respectively, from the year-ago figures. The next phase of the AI explosion is poised to create significant wealth for investors, especially those who get in early. It will add literally trillion of dollars to the economy and revolutionize nearly every part of our lives. Investors who bought shares like Nvidia at the right time have had a shot at huge gains. But the rocket ride in the "first wave" of AI stocks may soon come to an end. The sharp upward trajectory of these stocks will begin to level off, leaving exponential growth to a new wave of cutting-edge companies. Zacks' AI Boom 2.0: The Second Wave report reveals 4 under-the-radar companies that may soon be shining stars of AI’s next leap forward.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free reportMcCormick & Company, Incorporated (MKC) : Free Stock Analysis ReportUnited Natural Foods, Inc. (UNFI) : Free Stock Analysis ReportService Corporation International (SCI) : Free Stock Analysis ReportMama's Creations, Inc. (MAMA) : Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchThe views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.This data feed is not available at this time.