Page 1

& Service Corporation International Service Corporation International Announces Third Quarter 2021 Financial Results And Increases 2021 Guidance Conference call on Thursday , October 28 , 2021 , at 8:00 a.m. Central Time . HOUSTON , Oct. 27 , 2021 / PRNewswire / -- Service Corporation International ( NYSE : SCI ) , the largest provider of death care products and services in North America , today reported results for the third quarter of 2021 . Tom Ryan , the Company's Chairman and CEO , commented on third quarter results : " Today we are reporting another strong quarter with earnings per share of $ 1.23 and net cash provided by operating activities of $ 241 million for the third quarter . Adjusted earnings per share of $ 1.16 grew 47 % over the prior year quarter . The $ 0.37 growth in adjusted earnings per share is primarily driven by significant increases in the revenues and gross profits of both our funeral and cemetery operating segments . Based on our continued outperformance , we are raising the midpoint of our full year 2021 adjusted earnings per share guidance by 95 cents to $ 4.30 and the midpoint of our adjusted operating cash flow guidance by $ 150 million to $ 888 million . This is the result of the increased funeral services performed and continued strong performance of preneed cemetery property sales that we expect to continue for the remainder of 2021 . Our associates dedication and focus during these difficult times continues to impress me as the results we are reporting today could not be achieved without their efforts . I would like to thank each and every one of you for continuing to do what you do best , which is helping our client families gain closure and healing through the process of grieving , remembrance , and celebration . " Third Quarter Highlights : Revenue grew $ 116 million over the prior year quarter to $ 1.03 billion . Gross profit grew almost $ 69 million over the prior year quarter . GAAP earnings per share were $ 1.23 . • Adjusted earnings per share grew $ 0.37 , or 47 % , over the prior year quarter to $ 1.16 . • Comparable funeral gross profit improved 400 bps to 28.1 % . Comparable preneed funeral sales production grew $ 50 million , or 22 % . Comparable cemetery gross profit improved 300 bps to 38.0 % . • Comparable preneed cemetery sales production grew $ 25 million , or 8 % . THIRD QUARTER SUMMARY Details of our third quarter 2021 financial results and the unaudited consolidated financial statements can be found in the Appendix at the end of this press release . The table below summarizes our key financial results . ( Dollars in millions , except for per share amounts ) Revenue Operating income Net income attributable to common stockholders Diluted earnings per share Earnings excluding special items ( 1 ) Diluted earnings per share excluding special items ( 1 ) Diluted weighted average shares outstanding Net cash provided by operating activities ( 1 ) Net cash provided by operating activities excluding special items ' Three months ended September 30 , $ $ $ 2021 $ 1,034.4 304.3 209.9 1.23 197.7 1.16 170.0 240.6 232.3 $ $ $ $ 2020 $ 918.2 $ 223.2 $ 127.4 $ 0.72 $ 140.6 $ 0.79 178.1 $ 195.1 $ 195.1 Nine months ended September 30 , $ $ $ $ $ $ 2021 3,099.9 892.2 596.4 3.49 583.0 3.41 171.1 $ 730.4 $ 722.1 $ 2020 $ 2,541.2 $ 557.3 $ 314.9 1.74 324.1 1.80 180.5 $ 559.4 $ 559.4 $ $ ( 1 ) Earnings excluding special items , diluted earnings per share excluding special items , and net cash provided by operating activities excluding special items are non - GAAP financial measures . These items are also referred to as " adjusted earnings per share " and " adjusted operating cash flow " . A reconciliation from net income attributable to common stockholders , diluted earnings per share , and net cash provided by operating activities in accordance with generally accepted accounting principles in the United States ( GAAP ) can