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Service International (SCI) Q3 earnings report preview: what to look for
Service International, a funeral services company, will report quarterly results on Wednesday afternoon. Last quarter it reported revenue of $1.10 billion, up 3.6% from a year earlier, and performed 87,347 funeral services, flat year on year. This quarter, the market expects revenue to grow 4% year on year.
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What happened
Service International, a funeral services company, will report quarterly results on Wednesday afternoon. Last quarter it reported revenue of $1.10 billion, up 3.6% from a year earlier, and performed 87,347 funeral services, flat year on year. This quarter, the market expects revenue to grow 4% year on year.
Confirmed
Global impact / market context
Funeral services are a steady business, but growth is limited. Investors will compare this quarter's 4% expected revenue growth with last year's 4.4% increase and with management's earlier profit guidance that topped expectations, which means how much profit the company expects to earn per share over the full year.
Analyst inference
Service International has missed Wall Street's revenue estimates multiple times over the past two years, so its track record raises caution. Peers such as Pool beat revenue expectations with 3.7% growth and Hasbro also reported. Analysts reconfirmed estimates in the last 30 days, suggesting they expect the business to stay the course.
Analyst inference
What to watch
- Watch whether reported revenue meets the market's expected 4% year-on-year growth, compared with the 3.6% growth and $1.10 billion reported last quarter. Confirmed
- Watch the number of funeral services performed for signs of demand, since it was flat year on year at 87,347 last quarter. Analyst inference
- Watch whether management gives full-year profit guidance that again tops analysts' expectations, which would support investor confidence after past revenue misses. Proposed