Fair Value Measures and Disclosures

6 Months Ended

Jun. 30, 2026

Jun. 30, 2025

The cost and market values associated with trust investments recorded at market value are detailed below. Cost reflects the investment of control holders in the trusts. Fair value represents the value of the underlying securities held by the trusts.


		June 30, 2026
	Fair Value Hierarchy Level	Cost		Unrealized Gains		Unrealized Losses		Value
				(In thousands)
Fixed income securities:
U.S. Treasury	2	$	52,580	$	111	$	(604)	$	52,087
Canadian government	2	25,423		—		—		25,423
Corporate	2	9,962		219		(8)		10,173
Residential mortgage-backed	2	1,969		14		(10)		1,973
Asset-backed	2	258		—		(41)		217
Equity securities:
Preferred stock	2	20,002		1,902		(1,406)		20,498
Common stock:
United States	1	2,165,257		859,614		(127,348)		2,897,523
Canada	1	45,652		38,911		(1,888)		82,675
Other international	1	173,969		50,072		(18,347)		205,694
Mutual funds:
Equity	1	980,763		325,519		(10,896)		1,295,386
Fixed income	1	720,560		5,331		(32,358)		693,533

Trust investments, at fair value		4,196,395		1,281,693		(192,906)		5,285,182
Commingled funds
Fixed income		1,465,924		6,012		(60,708)		1,411,228
Equity		375,315		132,081		(1,573)		505,823
Money market funds		427,267		—		—		427,267
Alternative investments		526,974		268,659		(10,116)		785,517
Trust investments, at net asset value		2,795,480		406,752		(72,397)		3,129,835
Trust investments, at market		$	6,991,875	$	1,688,445	$	(265,303)	$	8,415,017

As of June 30, 2026 and December 31, 2025, our unfunded commitment for our private equity investments was $465.3 million and $435.7 million, respectively, which, if called, would be funded by the assets of the trusts.

Preneed Activities

Preneed Receivables, Net and Trust Investments

The components of Preneed receivables, net and trust investments in our unaudited Condensed Consolidated Balance Sheet were as follows:



	June 30, 2026		December 31, 2025
	(In thousands)
Preneed receivables, net	$	1,529,586	$	1,561,836

Trust investments, at fair value	8,415,017		7,965,010

Insurance-backed fixed income securities and other	228,570		232,560
Trust investments	8,643,587		8,197,570
Less: Cemetery perpetual care trust investments	(2,520,779)		(2,398,613)
Preneed trust investments	6,122,808		5,798,957

Preneed receivables, net and trust investments	$	7,652,394	$	7,360,793

Preneed receivables, net comprised the following:


	June 30, 2026
	Funeral		Cemetery		Total
	(In thousands)
Preneed receivables	$	128,003	$	1,478,484	$	1,606,487
Unearned finance charges	(14,943)		(28,033)		(42,976)
Preneed receivables, at amortized cost	113,060		1,450,451		1,563,511
Reserve for credit losses	(20,470)		(13,455)		(33,925)
Preneed receivables, net	$	92,590	$	1,436,996	$	1,529,586

	December 31, 2025
	Funeral		Cemetery		Total
	(In thousands)
Preneed receivables	$	142,485	$	1,482,721	$	1,625,206
Unearned finance charges	(13,486)		(15,204)		(28,690)
Preneed receivables, at amortized cost	128,999		1,467,517		1,596,516
Reserve for credit losses	(20,632)		(14,048)		(34,680)
Preneed receivables, net	$	108,367	$	1,453,469	$	1,561,836

At June 30, 2026, the amortized cost basis of our preneed receivables by year of origination was as follows:



	2026		2025		2024		2023		2022		Prior		Total
	(In thousands)
Preneed receivables, at amortized cost:
Funeral	$	13,693	$	17,805	$	28,065	$	22,086	$	10,929	$	20,482	$	113,060
Cemetery	278,335		492,771		330,369		200,645		96,646		51,685		1,450,451
Total preneed receivables, at amortized cost	$	292,028	$	510,576	$	358,434	$	222,731	$	107,575	$	72,167	$	1,563,511

At June 30, 2026, the payment status of our preneed receivables was as follows:


	Past Due
	<30 Days		30-90 Days		90-180 Days		>180 Days		Total		Current		Total
	(In thousands)
Preneed receivables, at amortized cost:
Funeral	$	2,617	$	1,813	$	1,098	$	30,848	$	36,376	$	76,684	$	113,060
Cemetery	56,507		45,708		12,520		5,442		120,177		1,330,274		1,450,451
Total preneed receivables, at amortized cost	$	59,124	$	47,521	$	13,618	$	36,290	$	156,553	$	1,406,958	$	1,563,511

The following table summarizes the activity for the reserve for credit losses on preneed receivables for the six months ended June 30, 2026:



	December 31, 2025		Provision for Expected Credit Losses		Write Offs		Effect of Foreign Currency		June 30, 2026
	(In thousands)
Funeral	$	(20,632)	$	(1,637)	$	1,797	$	2	$	(20,470)
Cemetery	(14,048)		39		544		10		(13,455)
Total reserve for credit losses on preneed receivables	$	(34,680)	$	(1,598)	$	2,341	$	12	$	(33,925)

The table below sets forth certain investment-related activities associated with our trusts:


	Three months ended June 30,				Six months ended June 30,
	2026		2025		2026		2025
	(In thousands)
Deposits	$	175,982	$	158,490	$	347,552	$	316,756
Withdrawals	$	173,266	$	133,670	$	324,997	$	276,604
Purchases of securities	$	663,478	$	829,676	$	1,209,124	$	1,385,162
Sales of securities	$	695,941	$	853,100	$	1,158,519	$	1,327,187
Realized gains from sales of securities(1)	$	233,025	$	128,409	$	376,590	$	229,674
Realized losses from sales of securities(1)	$	(46,905)	$	(49,063)	$	(71,829)	$	(75,200)

(1)All realized gains and losses are recognized in Other (expense) income, net for our trust investments and are offset by a corresponding reclassification in Other (expense) income, net to Deferred receipts held in trust and Care trusts’ corpus.


		June 30, 2026
	Fair Value Hierarchy Level	Cost		Unrealized Gains		Unrealized Losses		Value
				(In thousands)
Fixed income securities:
U.S. Treasury	2	$	52,580	$	111	$	(604)	$	52,087
Canadian government	2	25,423		—		—		25,423
Corporate	2	9,962		219		(8)		10,173
Residential mortgage-backed	2	1,969		14		(10)		1,973
Asset-backed	2	258		—		(41)		217
Equity securities:
Preferred stock	2	20,002		1,902		(1,406)		20,498
Common stock:
United States	1	2,165,257		859,614		(127,348)		2,897,523
Canada	1	45,652		38,911		(1,888)		82,675
Other international	1	173,969		50,072		(18,347)		205,694
Mutual funds:
Equity	1	980,763		325,519		(10,896)		1,295,386
Fixed income	1	720,560		5,331		(32,358)		693,533

Trust investments, at fair value		4,196,395		1,281,693		(192,906)		5,285,182
Commingled funds
Fixed income		1,465,924		6,012		(60,708)		1,411,228
Equity		375,315		132,081		(1,573)		505,823
Money market funds		427,267		—		—		427,267
Alternative investments		526,974		268,659		(10,116)		785,517
Trust investments, at net asset value		2,795,480		406,752		(72,397)		3,129,835
Trust investments, at market		$	6,991,875	$	1,688,445	$	(265,303)	$	8,415,017


		December 31, 2025
	Fair Value Hierarchy Level	Cost		Unrealized Gains		Unrealized Losses		Value
				(In thousands)
Fixed income securities:
U.S. Treasury	2	$	50,233	$	305	$	(488)	$	50,050
Canadian government	2	26,086		—		—		26,086
Corporate	2	10,352		310		(7)		10,655
Residential mortgage-backed	2	3,202		68		(28)		3,242
Asset-backed	2	279		—		(41)		238
Equity securities:
Preferred stock	2	13,831		2,428		—		16,259
Common stock:
United States	1	2,071,402		745,982		(95,511)		2,721,873
Canada	1	41,650		34,904		(1,219)		75,335
Other international	1	167,881		43,880		(5,910)		205,851
Mutual funds:
Equity	1	938,778		253,372		(5,546)		1,186,604
Fixed income	1	671,067		8,531		(27,280)		652,318

Trust investments, at fair value		3,994,761		1,089,780		(136,030)		4,948,511
Commingled funds
Fixed income		1,387,350		14,443		(50,208)		1,351,585
Equity		362,862		155,590		—		518,452
Money market funds		423,957		—		—		423,957
Alternative investments		503,898		228,320		(9,713)		722,505
Trust investments, at net asset value		2,678,067		398,353		(59,921)		3,016,499
Trust investments, at market		$	6,672,828	$	1,488,133	$	(195,951)	$	7,965,010

Our alternative investments include funds invested in limited partnerships with interests in private equity, private market real estate, energy and natural resources, infrastructure, transportation, and private debt including both distressed debt and mezzanine financing. These investments can never be redeemed by the funds. Instead, due to the nature of the investments in this category, distributions are received through the liquidation of the underlying assets of the funds. The funds' managers have not communicated the timing of any liquidations.

Maturity dates of our fixed income securities range from 2026 to 2044. Maturities of fixed income securities (excluding mutual funds) at June 30, 2026 are estimated as follows:


	Fair Value
	(In thousands)
Due in one year or less	$	50,455
Due in one to five years	33,769
Due in five to ten years	5,621
Thereafter	28
Total estimated maturities of fixed income securities	$	89,873

Recognized trust fund income (realized and unrealized) related to our preneed trust investments was $62.6 million and $47.7 million for the three months ended June 30, 2026 and 2025, respectively. Recognized trust fund income (realized and unrealized) related to our cemetery perpetual care trust investments was $34.6 million and $27.0 million for the three months ended June 30, 2026 and 2025, respectively.

Recognized trust fund income (realized and unrealized) related to our preneed trust investments was $118.8 million and $95.9 million for the six months ended June 30, 2026 and 2025, respectively. Recognized trust fund income (realized and unrealized) related to our cemetery perpetual care trust investments was $65.5 million and $53.1 million for the six months ended June 30, 2026 and 2025, respectively.

Deferred Revenue, Net

Deferred revenue, net represents future revenue, including distributed trust investment earnings associated with unperformed trust-funded preneed contracts that are not held in trust accounts. Future revenue and net trust investment earnings that are held in trust accounts are included in Deferred receipts held in trust.

The components of Deferred revenue, net in our unaudited Condensed Consolidated Balance Sheet were as follows:


	June 30, 2026		December 31, 2025
	(In thousands)
Deferred revenue	$	2,832,863	$	2,790,149
Amounts due from customers for unfulfilled performance obligations on cancelable preneed contracts	(1,009,236)		(1,010,883)
Deferred revenue, net	$	1,823,627	$	1,779,266

The following table summarizes the activity for our contract liabilities, which are reflected in Deferred revenue, net and Deferred receipts held in trust:


	Six months ended June 30,
	2026		2025
	(In thousands)
Beginning balance — Deferred revenue, net and Deferred receipts held in trust	$	7,563,664	$	6,917,695
Net preneed contract sales	684,646		653,502
Acquisitions of businesses, net	2,191		3,095
Net investment gains (losses)(1)	315,114		295,163
Recognized revenue from backlog(2)	(340,324)		(317,131)
Recognized revenue from current period sales	(270,870)		(268,506)
Change in amounts due on unfulfilled performance obligations	683		(15,694)
Change in cancellation reserve	(576)		(117)
Effect of foreign currency and other	(14,283)		8,257
Ending balance — Deferred revenue, net and Deferred receipts held in trust	$	7,940,245	$	7,276,264

(1)Includes both realized and unrealized investment gains (losses)

(2)Includes current year trust fund income through the date of performance