Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2019 | Oct. 25, 2019 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | CARRIAGE SERVICES INC | |
Entity Central Index Key | 0001016281 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 17,826,103 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Current Reporting Status | Yes |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 5,812 | $ 644 |
Accounts receivable, net | 17,699 | 18,897 |
Inventories | 6,692 | 6,751 |
Prepaid and other current assets | 1,764 | 3,011 |
Total current assets | 31,967 | 29,303 |
Preneed cemetery trust investments | 68,333 | 62,432 |
Preneed funeral trust investments | 87,059 | 82,074 |
Preneed cemetery receivables, net | 19,467 | 18,441 |
Receivables from preneed trusts | 17,989 | 17,073 |
Property, plant and equipment, net | 258,035 | 260,838 |
Cemetery property, net | 75,064 | 74,958 |
Goodwill | 299,181 | 303,887 |
Intangible and other non-current assets, net | 24,028 | 24,425 |
Operating lease right-of-use assets | 22,628 | 0 |
Cemetery perpetual care trust investments | 48,397 | 44,071 |
Total assets | 952,148 | 917,502 |
Current liabilities: | ||
Current portion of long-term debt | 1,679 | 2,015 |
Current portion of finance lease obligations | 282 | 312 |
Current portion of operating lease obligations | 1,524 | 0 |
Accounts payable | 6,135 | 9,987 |
Accrued and other liabilities | 29,270 | 22,644 |
Total current liabilities | 38,890 | 34,958 |
Long-term debt, net of current portion | 6,135 | 6,925 |
Long-term Line of Credit | 17,099 | 26,145 |
Convertible subordinated notes due 2021 | 5,902 | 5,732 |
Senior notes due 2026 | 319,577 | 319,108 |
Obligations under finance leases, net of current portion | 5,929 | 6,143 |
Obligations under operating leases, net of current portion | 21,758 | 0 |
Deferred preneed cemetery revenue | 45,195 | 45,997 |
Deferred preneed funeral revenue | 29,522 | 28,606 |
Deferred tax liability | 32,533 | 31,263 |
Other long-term liabilities | 1,935 | 3,133 |
Deferred preneed cemetery receipts held in trust | 68,333 | 62,432 |
Deferred preneed funeral receipts held in trust | 87,059 | 82,074 |
Care trusts’ corpus | 47,771 | 43,494 |
Total liabilities | 727,638 | 696,010 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Common stock, $.01 par value; 80,000,000 shares authorized and 25,703,490 and 25,851,442 shares issued at December 31, 2018 and September 30, 2019, respectively | 259 | 257 |
Additional paid-in capital | 242,657 | 243,849 |
Retained earnings | 83,644 | 71,680 |
Treasury stock, at cost; 7,625,339 and 8,025,339 at December 31, 2018 and September 30, 2019, respectively | (102,050) | (94,294) |
Total stockholders’ equity | 224,510 | 221,492 |
Total liabilities and stockholders’ equity | $ 952,148 | $ 917,502 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Sep. 30, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 80,000,000 | 80,000,000 |
Common stock, shares issued | 25,851,442 | 25,703,490 |
Treasury stock, shares | 8,025,339 | 7,625,339 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Segment Reporting Information [Line Items] | ||||
Revenues | $ 66,125 | $ 64,241 | $ 202,958 | $ 201,475 |
Field costs and expenses: | ||||
Cemetery property amortization | 972 | 964 | 2,990 | 2,763 |
Field depreciation expense | 3,106 | 3,047 | 9,250 | 8,925 |
Regional and unallocated funeral and cemetery costs | 3,597 | 2,114 | 10,008 | 8,662 |
Other expenses | 411 | 412 | 1,197 | 1,171 |
Total field costs and expenses | 48,069 | 47,127 | 144,051 | 143,348 |
Gross profit | 18,056 | 17,114 | 58,907 | 58,127 |
Corporate costs and expenses: | ||||
General, administrative and other | 5,755 | 6,344 | 17,059 | 19,342 |
Home office depreciation and amortization | 357 | 505 | 1,115 | 1,412 |
Total corporate costs and expenses | 6,112 | 6,849 | 18,174 | 20,754 |
Operating income | 11,944 | 10,265 | 40,733 | 37,373 |
Interest expense | (6,283) | (6,285) | (18,907) | (14,763) |
Accretion of discount on convertible subordinated notes | (61) | (246) | (178) | (1,961) |
Net loss on early extinguishment of debt | 0 | 0 | 0 | (936) |
Other, net | (4,076) | (347) | (3,914) | (345) |
Income before income taxes | 1,524 | 3,387 | 17,734 | 19,368 |
Provision for income taxes | (930) | (1,028) | (5,551) | (5,423) |
Tax adjustment related to certain discrete items | (17) | (159) | (219) | 358 |
Total provision for income taxes | $ (947) | $ (1,187) | (5,770) | (5,065) |
Net income | $ 11,964 | $ 14,303 | ||
Basic earnings per common share: | ||||
Continuing operations (in dollars per Share) | $ 0.03 | $ 0.11 | $ 0.66 | $ 0.80 |
Continuing operations (in dollars per Share) | 0.03 | 0.11 | 0.66 | 0.78 |
Dividends declared per common share (in dollars per Share) | $ 0.075 | $ 0.075 | $ 0.225 | $ 0.225 |
Weighted average number of common and common equivalent shares outstanding: | ||||
Basic (in Shares) | 17,737 | 19,060 | 17,917 | 17,701 |
Diluted (in Shares) | 17,768 | 19,161 | 17,951 | 18,273 |
Funeral | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | $ 51,517 | $ 49,843 | $ 160,187 | $ 156,969 |
Field costs and expenses: | ||||
Cost of operating | 18,011 | 18,085 | 54,062 | 54,031 |
Corporate costs and expenses: | ||||
Operating income | 14,124 | 13,644 | 46,824 | 45,962 |
Income before income taxes | 9,312 | 13,417 | 41,591 | 45,244 |
Cemetery | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 14,608 | 14,398 | 42,771 | 44,506 |
Field costs and expenses: | ||||
Cost of operating | 21,972 | 22,505 | 66,544 | 67,796 |
Corporate costs and expenses: | ||||
Operating income | 3,932 | 3,470 | 12,083 | 12,165 |
Income before income taxes | 3,885 | 3,560 | 12,324 | 12,406 |
Service Revenue [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 34,133 | 33,003 | 105,444 | 103,660 |
Property and Merchandise [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 28,002 | 27,026 | 85,458 | 84,741 |
Other revenue | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 3,990 | 4,212 | 12,056 | 13,074 |
Other revenue | Funeral | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 2,199 | 2,087 | 6,618 | 6,612 |
Other revenue | Cemetery | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | $ 1,791 | $ 2,125 | $ 5,438 | $ 6,462 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Net income | $ 11,964 | $ 14,303 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 13,355 | 13,100 |
Provision for losses on accounts receivable | 1,188 | 1,511 |
Stock-based compensation expense | 1,616 | 2,924 |
Deferred income tax (benefit) expense | 1,270 | 3,547 |
Amortization of deferred financing costs | 289 | 420 |
Amortization of capitalized commissions on preneed contracts | 417 | 449 |
Accretion of discount on convertible subordinated notes | 178 | 1,961 |
Accretion of debt discount on senior notes | 366 | 154 |
Net loss on early extinguishment of debt | 0 | 936 |
Net loss on sale of business and other assets | 4,067 | 408 |
Gain on insurance reimbursements | (638) | 0 |
Goodwill and other impairments | 730 | 0 |
Other | 121 | 0 |
Changes in operating assets and liabilities that provided (used) cash: | ||
Accounts and preneed receivables | (2,495) | (3,010) |
Inventories, prepaid and other current assets | 1,138 | (1,911) |
Intangible and other non-current assets | (241) | (345) |
Preneed funeral and cemetery trust investments | (4,376) | (6,104) |
Accounts payable | (3,852) | (735) |
Accrued and other liabilities | 6,749 | 3,761 |
Deferred preneed funeral and cemetery revenue | 804 | 6,292 |
Deferred preneed funeral and cemetery receipts held in trust | 3,411 | 1,056 |
Net cash provided by operating activities | 36,061 | 38,717 |
Cash flows from investing activities: | ||
Acquisitions and land for new construction | 0 | (37,970) |
Proceeds from insurance reimbursements | 1,247 | 0 |
Proceeds from the sale of business and other assets | 967 | 0 |
Capital expenditures | (11,479) | (9,037) |
Net cash used in investing activities | (9,265) | (47,007) |
Cash flows from financing activities: | ||
Payments against the term loan | 0 | (127,500) |
Borrowings from the credit facility | 28,200 | 96,000 |
Payments against the credit facility | (37,300) | (188,000) |
Payments of Debt Issuance Costs | (113) | (1,551) |
Redemption of the 2.75% convertible subordinated notes | (27) | (75,229) |
Payment of transaction costs related to the redemption of the 2.75% convertible subordinated notes | 0 | (845) |
Proceeds from the issuance of the 6.625% senior notes | 0 | 320,125 |
Payments on other long-term debt and obligations under finance leases | (1,370) | (1,031) |
Payments on contingent consideration recorded at acquisition date | (162) | (138) |
Proceeds from the exercise of stock options and employee stock purchase plan contributions | 1,155 | 1,075 |
Taxes paid on restricted stock vestings and exercise of non-qualified options | (194) | (651) |
Dividends paid on common stock | (4,061) | (4,076) |
Purchase of treasury stock | (7,756) | 0 |
Net cash provided by (used in) financing activities | (21,628) | 16,812 |
Net increase in cash and cash equivalents | 5,168 | 8,522 |
Cash and cash equivalents at beginning of period | 644 | 952 |
Cash and cash equivalents at end of period | 5,812 | 9,474 |
Senior Notes [Member] | ||
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Amortization of deferred financing costs | 103 | 44 |
Accretion of debt discount on senior notes | 366 | 154 |
Cash flows from financing activities: | ||
Payments of Debt Issuance Costs | $ 0 | $ (1,367) |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common stock | Additional Paid-in Capital | Accumulated Deficit | Treasury Stock |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Effect of adoption of topic 606 | Effect of adoption of topic 606 | $ 2,131 | $ 2,131 | $ 0 | ||
Beginning balance, shares outstanding at Dec. 31, 2017 | 16,098,000 | ||||
Beginning balance, shares outstanding (Effect of adoption of topic 606) at Dec. 31, 2017 | 16,098,000 | ||||
Beginning Balance at Dec. 31, 2017 | 197,656 | $ 226 | $ 216,158 | 57,904 | (76,632) |
Beginning Balance (Effect of adoption of topic 606) at Dec. 31, 2017 | 199,787 | $ 226 | 216,158 | 60,035 | (76,632) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net Income (Loss) | 9,356 | 9,356 | |||
Isuuance of common stock, shares | 91,000 | ||||
Issuance of shares | 308 | $ 1 | 307 | ||
Exercise of stock options, shares | 112,000 | ||||
Exercise of stock options | 320 | $ 1 | 319 | ||
Cancellation and retirement of restricted common stock, shares | (15,000) | ||||
Cancellation and retirement of restricted common stock and stock options | (296) | $ 0 | (296) | ||
Stock-based compensation expense | 1,100 | 1,100 | |||
Dividends on common stock | (1,207) | (1,207) | |||
Other, shares | 6,000 | ||||
Other | 145 | 145 | |||
Ending balance, shares outstanding at Mar. 31, 2018 | 16,292,000 | ||||
Ending Balance at Mar. 31, 2018 | 209,513 | $ 228 | 216,526 | 69,391 | (76,632) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net Income (Loss) | 2,747 | 2,747 | |||
Isuuance of common stock, shares | 13,000 | ||||
Issuance of shares | 220 | 220 | |||
Exercise of stock options, shares | 27,000 | ||||
Exercise of stock options | (196) | $ 1 | (197) | ||
Cancellation and retirement of restricted common stock, shares | (2,000) | ||||
Cancellation and retirement of restricted common stock and stock options | (4) | (4) | |||
Stock-based compensation expense | 909 | 909 | |||
Dividends on common stock | (1,433) | (1,433) | |||
Convertible notes exchange, shares | 2,823,000 | ||||
Convertible notes exchange | 28,222 | $ 28 | 28,194 | ||
Ending balance, shares outstanding at Jun. 30, 2018 | 19,153,000 | ||||
Ending Balance at Jun. 30, 2018 | 239,978 | $ 257 | 244,215 | 72,138 | (76,632) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net Income (Loss) | 2,200 | 2,200 | |||
Isuuance of common stock, shares | 24,000 | ||||
Issuance of shares | 229 | 229 | |||
Cancellation and retirement of restricted common stock, shares | (2,000) | ||||
Cancellation and retirement of restricted common stock and stock options | (156) | (156) | |||
Stock-based compensation expense | 915 | 915 | |||
Dividends on common stock | (1,436) | (1,436) | |||
Convertible notes exchange, shares | 0 | ||||
Convertible notes exchange | 102 | $ 0 | 102 | ||
Ending balance, shares outstanding at Sep. 30, 2018 | 19,175,000 | ||||
Ending Balance at Sep. 30, 2018 | 241,832 | $ 257 | 243,869 | 74,338 | (76,632) |
Beginning balance, shares outstanding at Dec. 31, 2018 | 18,078,000 | ||||
Beginning Balance at Dec. 31, 2018 | 221,492 | $ 257 | 243,849 | 71,680 | (94,294) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net Income (Loss) | 6,525 | 6,525 | |||
Isuuance of common stock, shares | 48,000 | ||||
Issuance of shares | 275 | $ 0 | 275 | ||
Exercise of stock options, shares | 71,000 | ||||
Exercise of stock options | 472 | $ 1 | 471 | ||
Cancellation and retirement of restricted common stock, shares | (9,000) | ||||
Cancellation and retirement of restricted common stock and stock options | (174) | $ 0 | (174) | ||
Stock-based compensation expense | 585 | 585 | |||
Dividends on common stock | (1,360) | (1,360) | |||
Other, shares | 15,000 | ||||
Other | 294 | 294 | |||
Ending balance, shares outstanding at Mar. 31, 2019 | 18,203,000 | ||||
Ending Balance at Mar. 31, 2019 | 228,109 | $ 258 | 243,940 | 78,205 | (94,294) |
Beginning balance, shares outstanding at Dec. 31, 2018 | 18,078,000 | ||||
Beginning Balance at Dec. 31, 2018 | $ 221,492 | $ 257 | 243,849 | 71,680 | (94,294) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Treasury stock acquired, shares | (400,000) | ||||
Ending balance, shares outstanding at Sep. 30, 2019 | 17,826,000 | ||||
Ending Balance at Sep. 30, 2019 | $ 224,510 | $ 259 | 242,657 | 83,644 | (102,050) |
Beginning balance, shares outstanding at Mar. 31, 2019 | 18,203,000 | ||||
Beginning Balance at Mar. 31, 2019 | 228,109 | $ 258 | 243,940 | 78,205 | (94,294) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net Income (Loss) | 4,862 | 4,862 | |||
Isuuance of common stock, shares | 17,000 | ||||
Issuance of shares | 197 | 197 | |||
Cancellation and retirement of restricted common stock, shares | (8,000) | ||||
Cancellation and retirement of restricted common stock and stock options | (5) | (5) | |||
Stock-based compensation expense | 518 | 518 | |||
Dividends on common stock | (1,365) | (1,365) | |||
Treasury stock acquired, shares | (400,000) | ||||
Treasury stock acquired | (7,756) | (7,756) | |||
Ending balance, shares outstanding at Jun. 30, 2019 | 17,812,000 | ||||
Ending Balance at Jun. 30, 2019 | 224,560 | $ 258 | 243,285 | 83,067 | (102,050) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net Income (Loss) | 577 | 577 | |||
Isuuance of common stock, shares | 18,000 | ||||
Issuance of shares | 212 | $ 1 | 211 | ||
Cancellation and retirement of restricted common stock, shares | (4,000) | ||||
Cancellation and retirement of restricted common stock and stock options | (16) | (16) | |||
Stock-based compensation expense | 513 | 513 | |||
Dividends on common stock | (1,336) | (1,336) | |||
Ending balance, shares outstanding at Sep. 30, 2019 | 17,826,000 | ||||
Ending Balance at Sep. 30, 2019 | $ 224,510 | $ 259 | $ 242,657 | $ 83,644 | $ (102,050) |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Company Carriage Services, Inc. (“Carriage,” the “Company,” “we,” “us,” or “our”) is a leading U.S. provider of funeral and cemetery services and merchandise. As of September 30, 2019 , we operated 179 funeral homes in 29 states and 29 cemeteries in 11 states. Our operations are reported in two business segments: Funeral Home Operations, which currently account for approximately 80% of our revenue and Cemetery Operations, which currently account for approximately 20% of our revenue. Our funeral homes offer a complete range of high value personal services to meet a family’s funeral needs, including consultation, the removal and preparation of remains, the sale of caskets and related funeral merchandise, the use of funeral home facilities for visitation and remembrance services and transportation services. Our cemeteries provide interment rights (grave sites and mausoleum spaces) and related merchandise, such as markers and outer burial containers. We market funeral and cemetery services and products on both an “atneed” (time of death) and “preneed” (planned prior to death) basis. Principles of Consolidation and Interim Condensed Disclosures Our unaudited consolidated financial statements include the Company and its subsidiaries. All intercompany balances and transactions have been eliminated. Our interim consolidated financial statements are unaudited but include all adjustments, which consist of normal, recurring accruals, that are necessary for a fair presentation of our financial position and results of operations as of and for the interim periods presented. Our unaudited consolidated financial statements have been prepared in a manner consistent with the accounting principles described in our Annual Report on Form 10-K for the year ended December 31, 2018 unless otherwise disclosed herein, and should be read in conjunction therewith. Reclassifications Certain reclassifications have been made to prior period amounts to conform to the current period financial statement presentation with no effect on our previously reported results of operations, consolidated financial position, or cash flows. Cash and Cash Equivalents We consider all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. Use of Estimates The preparation of our Consolidated Financial Statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue and expenses. On an ongoing basis, we evaluate our estimates and judgments, including those related to revenue recognition, realization of accounts receivable, goodwill, intangible assets, property and equipment and deferred tax assets and liabilities. We base our estimates on historical experience, third-party data and assumptions that we believe to be reasonable under the circumstances. The results of these considerations form the basis for making judgments about the amount and timing of revenue and expenses, the carrying value of assets and the recorded amounts of liabilities. Actual results may differ from these estimates and such estimates may change if the underlying conditions or assumptions change. Historical performance should not be viewed as indicative of future performance, as there can be no assurance that our results of operations will be consistent from year to year. Revenue Recognition - Funeral Home Operations Our funeral home operations are principally service businesses that generate revenue from sales of burial and cremation services and related merchandise, such as caskets and urns. Funeral services include consultation, the removal and preparation of remains, the use of funeral home facilities for visitation and remembrance services and transportation services. We provide funeral services and products on both an atneed and preneed basis. Funeral arrangements sold at the time of death are referred to as atneed funeral contracts. The performance obligation on these atneed contracts for both merchandise and services are bundled as a single performance obligation, as the performance of these obligations occur within a short time frame (usually within a few days) from the time of death to the funeral service. Although our performance activities are transferred in sequence such as, embalming the body, delivering the casket, obtaining service related items like flowers and performing the service, these activities are all essential to satisfy our contractual obligation to the customer, thus, bundled into a single performance obligation. Revenue is recognized on the date of funeral service, as all performance obligations have been satisfied. Payment is due at or before time of transfer. Outstanding balances due from customers, if any, on atneed funeral contracts are included in Accounts receivable on our Consolidated Balance Sheet. The performance obligation is satisfied at the date of the service or the delivery of the merchandise as control has transferred to the customer and the benefit has concluded in the following manner: • we have the right to payment; • the customer has title to merchandise; • the deceased has used the merchandise or has been a part of the service; and • the customer directed the use of the merchandise or the plan of the service. Funeral arrangements sold prior to death occurring are referred to as preneed funeral contracts. In many instances, the customer pays for the preneed contract over a period of time. For preneed funeral merchandise and service contracts, the performance obligation occurs at the time of need (when death occurs) and revenue is recognized on the date of delivery of merchandise or performance of service. We do not deliver merchandise on preneed contracts or provide service prior to the time of death. The performance obligation for preneed funeral contracts is similar to the elements of the performance obligation of atneed funeral contracts. For preneed funeral services, all preneed funeral contracts are re-written upon the date of death as an atneed contract. The performance obligation is satisfied at the date of the service. The performance of a preneed funeral contract is secured by placing the funds collected, less amounts that we may retain under state regulations, in trust for the benefit of the customer or by the customer's purchase of a life insurance policy, the proceeds of which will pay for such services at the time of need. These methods are intended to fund preneed funeral contracts, cover the original contract price and generally include an element of growth (earnings) designed to offset future inflationary cost increases. Revenue from preneed funeral contracts, along with accumulated earnings, is deferred until the time the merchandise is delivered or the service is performed. The principal and accumulated earnings of the trusts are withdrawn at maturity (death) or cancellation. The cumulative trust income earned and the increases in insurance benefits on the insurance products are recognized when the service is performed. The amounts deposited in trusts that we control are included in the non-current asset section of our Consolidated Balance Sheet. Balances due on undelivered preneed funeral trust contracts have been reclassified to reduce Deferred preneed funeral revenue on our Consolidated Balance Sheet, as noted in our table of Deferred Revenue in Note 4 to the Consolidated Financial Statements included herein. The earnings from our preneed funeral trust investments, as well as trust management fees charged by our wholly-owned registered investment advisory firm (“CSV RIA”) are recorded as Other revenue , as noted in our table of disaggregated revenue in Note 4 to the Consolidated Financial Statements included herein. As of September 30, 2019 , CSV RIA provided these services to one institution, which has custody of approximately 76% of our trust assets, for a fee based on the market value of trust assets. Under state trust laws, we are allowed to charge the trust a fee for advising on the investment of the trust assets and these fees are recognized as income in the period in which services are provided. When preneed funeral contracts are funded through third-party insurance policies, we earn a commission on the sale of the policies. Insurance commissions are subject to refund (charge-back) if the preneed policy is cancelled within a year or if there is an imminent death of beneficiary before the first year anniversary of the policy. We record these insurance commissions as Other revenue , as noted in our table of disaggregated revenue in Note 5 to the Consolidated Financial Statements included herein, when the commission is no longer subject to refund, which is typically one year after the policy is issued. All selling costs incurred pursuant to the sale of the insurance funded preneed contracts are expensed as incurred. Preneed funeral contracts to be funded at maturity by third-party insurance policies totaled $388.2 million at September 30, 2019 and are not recorded on our Consolidated Balance Sheet. Generally, at the time of the sale of either the preneed insurance or preneed trust contract, the intent is that the beneficiary has made a commitment to assign the proceeds to us for the fulfillment of the service and merchandise obligations on the preneed contract at the time of need. However, this commitment is revocable and the proceeds from the policy are portable, so the customer can choose to use an alternative provider at the time of need. Revenue Recognition - Cemetery Operations Our cemetery operations generate revenue primarily through sales of cemetery interment rights (primarily grave sites, lawn crypts, mausoleum spaces and niches), related cemetery merchandise (such as outer burial containers, memorial markers and floral placements) and services (interments, inurnments and installation of cemetery merchandise). We provide cemetery services and products on both an atneed and preneed basis. Cemetery arrangements sold at the time of death are referred to as atneed cemetery contracts. The performance obligation on these atneed contracts for cemetery property, merchandise and services are distinct. The performance obligations from the time of death to the disposition of the remains, include delivering cemetery property, unearthing the ground, interring remains and installing merchandise on the cemetery grounds. Each item on the contract is recognized as a distinct good or service. The performance obligation is satisfied and revenue is recognized on the purchase date of the interment right, on the date of the cemetery service, and on the date of delivery of the merchandise (set on cemetery grounds). Payment is due at or before time of transfer. Outstanding balances due from customers, if any, on completed atneed contracts are included in Accounts receivable on our Consolidated Balance Sheet. The performance obligation is satisfied at the date of the service, the purchase of the interment right or the delivery of the merchandise as control has transferred to the customer and the benefit has concluded in the following manner: • we have the right to payment; • the customer has title to merchandise; • the deceased has used the merchandise or has been a part of the service; and • the customer directed the use of the merchandise or the plan of the service. Cemetery arrangements sold prior to death occurring are referred to as preneed cemetery contracts. For preneed cemetery interment rights, the performance obligation is the sale of the interment right and revenue is recognized at the time the contract is signed. Control of cemetery interment rights is transferred to the customer upon execution of the contract as customers select a specific location and space for their interment right, thus, restricting us from other use or transfer of the contracted cemetery property. The interment right is deeded to the customer when the contract is paid in full. For preneed cemetery merchandise and service, the performance obligation occurs at the time of need (when death occurs) and revenue is recognized on the date of delivery of merchandise or performance of service. We do not deliver merchandise on preneed contracts or provide service prior to the time of death. The performance obligation for preneed cemetery merchandise and service is similar to the elements of the performance obligation of atneed cemetery merchandise and service. Preneed cemetery contracts are usually financed through interest-bearing installment sales contracts, generally with terms of up to five years. In substantially all cases, we receive an initial down payment at the time the contract is signed. Earnings on these installment contracts are not recognized until the time the merchandise is transferred or the service is performed and are recorded as Other revenue , as noted in our table of disaggregated revenue in Note 4 to the Consolidated Financial Statements included herein. The performance of the preneed cemetery contracts is secured by placing the funds collected, less amounts that we may retain under state regulations, in trust for the benefit of the customer, the proceeds of which will pay for such services at the time of need. This method is intended to fund preneed contracts, cover the original contract price and generally include an element of growth (earnings) designed to offset future inflationary cost increases. The amounts deposited in trusts that we control are included in the non-current asset section of our Consolidated Balance Sheet. The earnings from preneed cemetery contracts placed in trust, as well as the trust management fees charged by our CSV RIA are recorded as Other revenue , as noted in our table of disaggregated revenue in Note 5 to the Consolidated Financial Statements included herein. Balances due from customers on delivered preneed cemetery contracts are included in Accounts receivable, net and Preneed receivables, net on our Consolidated Balance Sheet. Balances due on undelivered preneed cemetery contracts have been reclassified to reduce Deferred preneed cemetery revenue on our Consolidated Balance Sheet, as noted in our table of Deferred Revenue in Note 5 to the Consolidated Financial Statements included herein. We sell memorialization merchandise and personalized marker merchandise, such as urns and markers that are supplied by a small number of national providers. We order the memorialized merchandise through a third-party on behalf of our customer. The merchandise and its memorialization is provided by the third-party. We deliver the merchandise after the time of death to the customer upon completion of the memorialization or we set the merchandise on our cemetery grounds. Cemetery property was $75.0 million and $75.1 million , net of accumulated amortization of $37.7 million and $40.6 million at December 31, 2018 and September 30, 2019 , respectively. Interment right costs, which include real property and other costs related to cemetery development, are expensed using the specific identification method in the period in which the sale of the interment right is recognized as revenue. We recorded amortization expense for cemetery interment rights of $1.0 million for both the three months ended September 30, 2018 and 2019 and $2.8 million and $3.0 million for the nine months ended September 30, 2018 and 2019 , respectively. See Note 5 to the Consolidated Financial Statements included herein for additional information on our revenue. Arrangements with Multiple Performance Obligations Some of our contracts with customers include multiple performance obligations. For these contracts, we allocate transaction price to each performance obligation based on its relative standalone selling price, which is based on prices charged to customers per our general price list. Packages for service and ancillary items are offered to help the customer make decisions during emotional and stressful times. Package discounts are reflected net in Revenue . We recognize revenue when the merchandise is transferred or the service is performed, in satisfaction of the corresponding performance obligation. Sales taxes collected are recognized on a net basis in our Consolidated Financial Statements. Preneed Funeral and Cemetery Trust Funds Our preneed and perpetual care trust funds are reported in accordance with the principles of consolidating Variable Interest Entities (“VIE’s”). In the case of preneed trusts, the customers are the legal beneficiaries. In the case of perpetual care trusts, we do not have a right to access the corpus in the perpetual care trusts. We have recognized financial interests of third parties in the trust funds in our financial statements as Deferred preneed funeral and cemetery receipts held in trust and Care trusts’ corpus . The investments of such trust funds are classified as available-for-sale and are reported at fair market value; therefore, the unrealized gains and losses, as well as accumulated and undistributed income and realized gains and losses are recorded to Deferred preneed funeral and cemetery receipts held in trust and Care trusts’ corpus on our Consolidated Balance Sheet. Our future obligations to deliver merchandise and services are reported at estimated settlement amounts. Preneed funeral and cemetery trust investments are reduced by the trust investment earnings that we have been allowed to withdraw in certain states prior to maturity. These earnings, along with preneed contract collections not required to be placed in trust, are recorded in Deferred preneed funeral revenue and Deferred preneed cemetery revenue until the service is performed or the merchandise is delivered. In accordance with respective state laws, we are required to deposit a specified amount into perpetual and memorial care trust funds for each interment right and certain memorials sold. Income from the trust funds is distributed to us and used to provide for the care and maintenance of the cemeteries and mausoleums. Such trust fund income is recognized as revenue when realized by the trust and distributable to us. We are restricted from withdrawing any of the principal balances of these funds. An enterprise is required to perform an analysis to determine whether the enterprise’s variable interest(s) give it a controlling financial interest in a VIE. This analysis identifies the primary beneficiary of a VIE as the enterprise that has both the power to direct the activities of the VIE that most significantly impact the entity’s economic performance and the obligation to absorb losses of the entity that could potentially be significant to the VIE or the right to receive benefits from the entity that could potentially be significant to the VIE. Our analysis continues to support our position as the primary beneficiary in the majority of our funeral and cemetery trust funds. We determine whether or not the assets in the preneed trusts have an other-than-temporary impairment on a security-by-security basis. This assessment is made based upon a number of criteria including the length of time a security has been in a loss position, changes in market conditions and concerns related to the specific issuer. If a loss is considered to be other-than-temporary, the cost basis of the security is adjusted downward to its fair market value. Any reduction in the cost basis of the investment due to an other-than-temporary impairment is likewise recorded as a reduction to Deferred preneed funeral and cemetery receipts held in trust and Care trusts’ corpus on our Consolidated Balance Sheet. There will be no impact on earnings unless and until such time that the investment is withdrawn from the trust in accordance with state regulations at an amount that is less than its original basis. See Notes 6, 7 and 9 to the Consolidated Financial Statements herein for additional information related to our trust funds. Allowances for bad debts and customer cancellations Our funeral receivables recorded in Accounts Receivable, net primarily consist of amounts due for funeral services already performed which were $8.5 million and $7.9 million at December 31, 2018 and September 30, 2019 , respectively. We estimate an allowance for doubtful accounts on these receivables based on our historical experience, which amounted to 2.2% and 2.6% of funeral receivables at December 31, 2018 and September 30, 2019 , respectively. In addition, our other funeral receivables not related to funeral services performed were $0.7 million and $0.6 million at December 31, 2018 and September 30, 2019 , respectively. Our cemetery financed receivables totaled $37.2 million and $39.5 million at December 31, 2018 and September 30, 2019 , respectively. The unearned finance charges associated with these receivables were $4.6 million and $4.5 million at December 31, 2018 and September 30, 2019 , respectively. If a preneed contract is canceled prior to delivery, state law determines the amount of the refund owed to the customer. Allowances for bad debts and customer cancellations on cemetery financed receivables are provided at the date that the sale is recognized as revenue and are based on our historical experience. We also monitor changes in delinquency rates and provide additional bad debt and cancellation reserves when warranted. We have a collections policy where past due notifications are sent to the customer beginning at 15 days past due and periodically thereafter until the contract is cancelled or payment is received. We reserve 100% of the receivables on contracts in which the revenue has been recognized and payments are 90 days past due or more, which was 4.6% and 4.2% of the total receivables at December 31, 2018 and September 30, 2019 , respectively. See Note 7 to the Consolidated Financial Statements included herein for additional information on cemetery financed receivables. Our cemetery receivables recorded in Accounts Receivable, net also include $1.8 million and $0.1 million related to perpetual care income receivables at December 31, 2018 and September 30, 2019 , respectively. See Note 9 to the Consolidated Financial Statements included herein for additional information on our perpetual care trust investments. Accounts receivable is comprised of the following at December 31, 2018 and September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Funeral receivables, net of allowance for bad debt of $189 and $206, respectively $ 9,002 $ 8,342 Cemetery receivables, net of allowance for bad debt of $580 and $596, respectively 9,688 9,144 Other receivables 207 213 Accounts receivable, net $ 18,897 $ 17,699 Preneed cemetery receivables represent payments expected to be received beyond one year from the balance sheet date. Preneed cemetery receivables, net are comprised of the following at December 31, 2018 and September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Preneed cemetery receivables $ 25,568 $ 26,618 Less: unearned finance charges (2,821 ) (2,712 ) Less: allowance for bad debt and contract cancellation (1,228 ) (1,225 ) Less: balances due on undelivered cemetery preneed contracts (3,078 ) (3,214 ) Preneed cemetery receivables, net $ 18,441 $ 19,467 Bad debt expense totaled $0.6 million and $0.5 million for the three months ended September 30, 2018 and 2019 , respectively and $1.5 million and $1.2 million for the nine months ended September 30, 2018 and 2019 , respectively. Capitalized Commissions on Preneed Contracts We capitalize sales commissions and other direct selling costs related to preneed cemetery merchandise and services and preneed funeral trust contracts as these costs are incremental and recoverable costs of obtaining a contract with a customer. Our capitalized commissions on preneed contracts are amortized on a straight-line basis over the average maturity period for our preneed cemetery merchandise and services contracts and preneed funeral trust contracts, of eight and ten years, respectively. Amortization expense totaled $156,000 and $140,000 for the three months ended September 30, 2018 and 2019 , respectively and $449,000 and $417,000 for the nine months ended September 30, 2018 and 2019 , respectively. The selling costs related to the sales of cemetery interment rights, which include real property and other costs related to cemetery development activities, continue to be expensed using the specific identification method in the period in which the sale of the cemetery interment right is recognized as revenue. The selling costs related to preneed funeral insurance contracts continue to be expensed in the period incurred as these contracts are not included on our Consolidated Balance Sheet. See Note 11 to the Consolidated Financial Statements included herein for additional information related to our capitalized commissions on preneed contracts. Leases We have operating and finance leases. We lease certain office facilities, certain funeral homes and equipment under operating leases with original terms ranging from one to nineteen years. Many leases include one or more options to renew, some of which include options to extend the leases for up to 26 years. We lease certain funeral homes under finance leases with original terms ranging from ten to forty years. We do not have lease agreements with residual value guarantees, sale-leaseback terms, material restrictive covenants or related parties. We do not have any material sublease arrangements. We determine if an arrangement is a lease at inception based on the facts and circumstances of the agreement. A right-of-use (“ROU”) asset represents our right to use the underlying asset for the lease term and the lease liability represents our obligation to make lease payments arising from the lease. ROU assets and lease liabilities are recognized on our Consolidated Balance Sheet at the lease commencement date based on the present value of lease payments over the lease term. As our leases do not provide an implicit interest rate, we use our incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. The lease terms used to calculate the ROU asset and related lease liability include options to extend the lease when it is reasonably certain that we will exercise that option. Lease expense for operating leases is recognized on a straight-line basis over the lease term as an operating expense, while the expense for finance leases (formerly capital leases) is recognized as depreciation expense and interest expense using the accelerated interest method of recognition. Variable lease payment amounts that cannot be determined at the commencement of the lease such as increases in lease payments based on changes in index rates or usage, are not included in the ROU assets or liabilities. These are expensed as incurred and recorded as variable lease expense. We have real estate lease agreements which require payments for lease and non-lease components and account for these as a single lease component. Leases with an initial term of 12 months or less, that do not include an option to renew the underlying asset, are not recorded on our Consolidated Balance Sheet and expense is recognized on a straight-line basis over the lease term. Operating lease ROU assets are included in Operating lease right-of-use assets and operating lease liabilities are included in Current portion of operating lease obligations and Obligations under operating leases, net of current portion on our Consolidated Balance Sheet. Finance lease ROU assets are included in Property, plant and equipment, net and finance lease liabilities are included in Current portion of finance lease obligations and Obligations under finance leases, net of current portion on our Consolidated Balance Sheet. See Notes 2 and 15 to the Consolidated Financial Statements included herein for additional information related to our leases. Property, Plant and Equipment Property, plant and equipment (including equipment under finance leases ) are stated at cost. The cost of ordinary maintenance and repairs are charged to operations as incurred, while renewals and major replacements that extend the useful economic life of the asset are capitalized. Depreciation of property, plant and equipment (including equipment under finance leases) is computed based on the straight-line method. Property, plant and equipment is comprised of the following at December 31, 2018 and September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Land $ 81,012 $ 80,801 Buildings and improvements 223,646 226,290 Furniture, equipment and automobiles 81,125 84,002 Property, plant and equipment, at cost 385,783 391,093 Less: accumulated depreciation (124,945 ) (133,058 ) Property, plant and equipment, net $ 260,838 $ 258,035 We recorded depreciation expense of $3.6 million and $3.5 million for the three months ended September 30, 2018 and 2019 , respectively and $10.3 million and $10.4 million for the nine months ended September 30, 2018 and 2019 , respectively. Goodwill The excess of the purchase price over the fair value of identifiable net assets of funeral home businesses acquired is recorded as goodwill. Goodwill has primarily been recorded in connection with the acquisition of funeral home businesses. Goodwill has an indefinite life and is not subject to amortization. As such, we test goodwill for impairment on an annual basis. Our intent is to perform a quantitative impairment test at least once every three years unless certain indicators or events suggest otherwise and perform a qualitative assessment during the remaining two years. We perform our annual goodwill impairment test as of August 31 st each year. Under current guidance, we are permitted to first assess qualitative factors to determine whether it is more-likely-than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform a quantitative goodwill impairment test. We conducted qualitative assessments in 2017 and 2018; however, we performed a quantitative assessment in 2019 . In addition to our annual test, we assess the impairment of goodwill whenever events or changes in circumstances indicate that the carrying value of a reporting unit may be greater than fair value. Factors that could trigger an interim impairment review include, but are not limited to, significant adverse changes in the business climate, which may be indicated by a decline in our market capitalization or decline in operating results. Our quantitative goodwill impairment test involves estimates and management judgment. In the quantitative analysis, we compare the fair value of each reporting unit to its carrying value, including goodwill. If the fair value of the reporting unit exceeds its carrying amount, the goodwill of that reporting unit is not considered impaired. We determine fair value for each reporting unit using both an income approach, weighted 90% , and a market approach, weighted 10% . Our methodology for determining an income-based fair value is based on discounting projected future cash flows. The projected future cash flows include assumptions concerning future operating performance and economic conditions that may differ from actual future cash flows discounted at our weighted average cost of capital based on market participant assumptions. Our methodology for determining a market approach fair value utilizes the guideline public company method, in which we rely on market multiples of comparable companies operating in the same industry as the individual reporting units. In accordance with the guidance, if the fair value of the reporting unit is less than its carrying amount an impairment charge is recorded in an amount equal to the difference. For our 2019 quantitative assessment, there was no impairment to goodwill as the fair value of our reporting units was greater than the carrying value. However, we recorded a goodwill impairment of $0.5 million during the three and nine months ended September 30, 2019 related to a funeral home business (at a leased facility) that we intend to cease operating in the fourth quarter of 2019. No impairments were recorded to our goodwill during the three and nine months ended September 30, 2018 . Intangible Assets Our intangible assets include tradenames resulting from acquisitions and are included in Intangible and other non-current assets, net on our Consolidated Balance Sheet. Our tradenames are considered to have an indefinite life and are not subject to amortization. As such, we |
Recently Issued Accounting Stan
Recently Issued Accounting Standards | 9 Months Ended |
Sep. 30, 2019 | |
Accounting Changes and Error Corrections [Abstract] | |
RECENTLY ISSUED ACCOUNTING STANDARDS | RECENTLY ISSUED ACCOUNTING STANDARDS Leases In February 2016, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (“ASU”) related to Leases (Topic 842) and subsequent amendments, collectively referred to as (“Topic 842”) to increase transparency and comparability among organizations by requiring the recognition of ROU assets and lease liabilities on the balance sheet for all leases, including operating leases. The ROU asset represents the right to use the underlying asset for the lease term and the lease liability represents the obligation to make lease payments arising from the lease. Finance leases were not impacted by Topic 842, as finance lease liabilities and the corresponding ROU assets were already recorded on the balance sheet under the previous guidance Topic 840, Leases . On January 1, 2019, we adopted Topic 842 using the modified retrospective method for all lease arrangements at the beginning of the period of adoption. Results for reporting periods beginning January 1, 2019 are presented under Topic 842, while prior period amounts have not been adjusted and continue to be reported in accordance with Topic 840. While Topic 842 had a material impact on our Consolidated Balance Sheet, it did not have an impact on our Consolidated Statements of Operations or Cash Flows, or liquidity measures, such as debt covenant ratios. It also did not have a material impact on our effective tax rate for the reporting period. The most significant impact was the recognition of ROU assets and lease liabilities for operating leases. For leases that commenced before the effective date of Topic 842, we elected the permitted practical expedients to not reassess the following: (i) whether any expired or existing contracts contain leases; (ii) the lease classification for any expired or existing leases; and (iii) initial direct costs for any existing leases. We also elected to exclude leases with a term of 12 months or less in the recognized ROU assets and lease liabilities. We have real estate lease agreements which require payments for lease and non-lease components and have elected to account for these as a single lease component. We have elected the short-term lease recognition exemption for all applicable classes of underlying assets. On January 1, 2019, we recorded operating lease ROU assets of $16.5 million and operating lease liabilities of $17.3 million , related to our real estate and equipment leases, based on the present value of the future lease payments on the date of adoption. Our opening operating lease ROU asset balance included prepaid lease expense and lease incentives on our Consolidated Balance Sheet at December 31, 2018. The cumulative effect of changes made to our opening Consolidated Balance Sheet on January 1, 2019 for the adoption of Topic 842 is as follows (in thousands): December 31, 2018 Effect of Adoption of January 1, 2019 Assets Prepaid expenses $ 1,456 $ (148 ) $ 1,308 Operating lease right-of-use assets — 16,470 16,470 $ 16,322 Liabilities Accrued and other liabilities $ 22,644 $ (274 ) $ 22,370 Other long-term liabilities 3,133 (692 ) 2,441 Current portion of operating lease obligations — 2,633 2,633 Obligations under operating leases, net of current portion — 14,655 14,655 $ 16,322 See Note 15 to the Consolidated Financial Statements included herein for the additional disclosures required by Topic 842. We have no material leases in which we are the lessor. Accounting Pronouncements Not Yet Adopted Financial Instruments - Credit Losses In June 2016, the FASB issued ASU, Financial Instruments – Credit Losses: Measurement of Credit Losses on Financial Instruments and subsequent amendments collectively known as (Topic 326). This ASU applies to all entities holding financial assets measured at amortized cost, including loans, trade and financed receivables and other financial instruments. The guidance introduces a new credit reserving model known as Current Expected Credit Loss (“CECL”), which requires earlier recognition of credit losses, while also providing additional transparency about credit risk. The CECL model utilizes a lifetime expected credit loss measurement objective for the recognition of credit losses at the time the financial asset is originated or acquired. The CECL model requires all expected credit losses to be measured based on historical experience, current conditions and reasonable and supportable forecasts about collectability. This ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years, with earlier application permitted for all entities. We plan to adopt the provisions of this ASU for our fiscal year beginning January 1, 2020 using the modified retrospective approach. We are in the process of implementing changes to our accounting policies and procedures for this ASU and believe the most notable impact will relate to our processes around the assessment of the adequacy of our allowance for doubtful accounts on trade receivables and the allowance for contract cancellations on financed receivables and the recognition of credit losses. We do not expect the adoption of this ASU to have a material impact on our consolidated financial statements. In addition, for available-for-sale debt securities, the new guidance prospectively replaces the other-than-temporary impairment model and requires the recognition of an allowance for reductions in a security's fair value attributable to declines in credit quality, instead of a direct write-down of the security, when a valuation decline is determined to be other-than-temporary. We do not expect the impact of the new guidance on available-for-sale securities to be material to our consolidated financial statements upon adoption. |
Revenue From Contracts With Cus
Revenue From Contracts With Customers (Notes) | 9 Months Ended |
Sep. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue From Contracts With Customers | REVENUE FROM CONTRACTS WITH CUSTOMERS Revenue Our operations are reported in two business segments: Funeral Home Operations and Cemetery Operations. Revenue, disaggregated by major source for each of our reportable segments is as follows (in thousands): Three Months Ended September 30, 2019 Funeral Cemetery Total Services $ 31,400 $ 2,733 $ 34,133 Merchandise 17,918 2,060 19,978 Cemetery property — 8,024 8,024 Other revenue 2,199 1,791 3,990 Total $ 51,517 $ 14,608 $ 66,125 Three Months Ended September 30, 2018 Funeral Cemetery Total Services $ 30,231 $ 2,774 $ 33,005 Merchandise 17,525 2,064 19,589 Cemetery property — 7,435 7,435 Other revenue 2,087 2,125 4,212 Total $ 49,843 $ 14,398 $ 64,241 Nine Months Ended September 30, 2019 Funeral Cemetery Total Services $ 97,308 $ 8,136 $ 105,444 Merchandise 56,261 5,791 62,052 Cemetery property — 23,406 23,406 Other revenue 6,618 5,438 12,056 Total $ 160,187 $ 42,771 $ 202,958 Nine Months Ended September 30, 2018 Funeral Cemetery Total Services $ 94,818 $ 8,850 $ 103,668 Merchandise 55,539 6,386 61,925 Cemetery property — 22,808 22,808 Other revenue 6,612 6,462 13,074 Total $ 156,969 $ 44,506 $ 201,475 Deferred Revenue Deferred revenue is presented net of amounts due on undelivered preneed contracts shown below as of December 31, 2018 and September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Contract liabilities: Deferred preneed cemetery revenue $ 50,445 $ 49,903 Less: Balances due on undelivered cemetery preneed contracts (1) (4,448 ) (4,708 ) Deferred preneed cemetery revenue, net $ 45,997 $ 45,195 Deferred preneed funeral revenue $ 36,912 $ 37,973 Less: Balances due on undelivered funeral preneed contracts (2) (8,306 ) (8,451 ) Deferred preneed funeral revenue, net $ 28,606 $ 29,522 (1) $1.4 million and $1.5 million of cemetery accounts receivables have been reclassified to reduce deferred preneed cemetery revenue at December 31, 2018 and September 30, 2019, respectively and $3.1 million and $3.2 million of preneed cemetery receivables have been reclassified to reduce deferred preneed cemetery revenue at December 31, 2018 and September 30, 2019, respectively. (2) $8.3 million and $8.5 million of preneed funeral receivables have been reclassified to reduce deferred preneed funeral revenue at December 31, 2018 and September 30, 2019, respectively. Our merchandise and service performance obligations related to our preneed contracts are considered fulfilled at the point in time the merchandise is delivered or the burial, cremation or interment service is performed. The transaction price allocated to preneed merchandise and service performance obligations that were unfulfilled at December 31, 2018 and September 30, 2019 was $4.4 million and $4.7 million for preneed cemetery contracts and $8.3 million and $8.5 million for preneed funeral contracts, respectively. As these performance obligations are to be completed after the date of death, we cannot quantify the recognition of revenue for any given period. However, we estimate an average maturity period of eight years for preneed cemetery contracts and ten years for preneed funeral contracts. |
Goodwill (Notes)
Goodwill (Notes) | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | GOODWILL Many of the former owners and staff of our acquired funeral homes and certain cemeteries have provided high quality service to families for generations, which often represents a substantial portion of the value of a business. The excess of the purchase price over the fair value of identifiable net assets of funeral home businesses acquired is recorded as goodwill. Goodwill has primarily been recorded in connection with the acquisition of funeral home businesses. See Note 1 to the Consolidated Financial Statements included herein, for a discussion of the methodology used for our annual goodwill impairment test. The following table presents changes in goodwill in the accompanying Consolidated Balance Sheet for the year ended December 31, 2018 and period ended September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Goodwill at the beginning of the period $ 287,956 $ 303,887 Increase in goodwill related to acquisitions 16,777 — Decrease in goodwill related to divestitures — (4,197 ) Decrease in goodwill related to impairments (846 ) (509 ) Goodwill at the end of the period $ 303,887 $ 299,181 During the three months ended September 30, 2019 , we sold a funeral home business with a $4.2 million carrying value of goodwill for a loss recorded in Other, net . See Note 4 to the Consolidated Financial Statements included herein, for a discussion of our divested businesses. We also recorded a goodwill impairment of $0.5 million in Other, net , related to a funeral home business (at a leased facility) that we intend to cease operating in the fourth quarter of 2019. |
DIVESTED OPERATIONS
DIVESTED OPERATIONS | 9 Months Ended |
Sep. 30, 2019 | |
Discontinued Operations and Disposal Groups [Abstract] | |
DIVESTED OPERATIONS | DIVESTED OPERATIONS During 2019, we ceased to operate a funeral home business whose lease expired and sold a funeral home business for $0.9 million . In addition, we merged a funeral home business with a business in an existing market. During 2018, our management agreement with a Florida municipality expired and, as a result, we ceased to operate three of our cemetery businesses. We continually review locations to optimize the sustainable earning power and return on our invested capital. We may decide to sell certain non-strategic businesses as a result of these reviews. The operating results of these divested businesses are reflected in our Consolidated Statements of Operations as shown in the table below (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Revenue $ 1,478 $ 108 $ 4,712 $ 471 Operating income (loss) 345 (31 ) 1,130 4 Other, net (1) (349 ) (3,863 ) (349 ) (3,874 ) Income tax benefit (provision) 1 1,149 (219 ) 1,211 Net income (loss) from divested operations $ (3 ) $ (2,745 ) $ 562 $ (2,659 ) (1) Reflects the net loss on disposal of divested businesses. |
Preneed Trust Investments
Preneed Trust Investments | 9 Months Ended |
Sep. 30, 2019 | |
Preneed Trust Investments [Abstract] | |
PRENEED TRUST INVESTMENTS | PRENEED TRUST INVESTMENTS Preneed Cemetery Trust Investments Preneed cemetery trust investments represent trust fund assets that we are permitted to withdraw as merchandise and services are provided to customers. Preneed cemetery contracts are secured by payments from customers, less retained amounts not required to be deposited into trust. Preneed cemetery trust investments can be reduced by the trust earnings we have been allowed to withdraw in certain states prior to our performance. The components of Preneed cemetery trust investments on our Consolidated Balance Sheet at December 31, 2018 and September 30, 2019 are as follows (in thousands): December 31, 2018 September 30, 2019 Preneed cemetery trust investments, at market value $ 64,549 $ 70,503 Less: allowance for contract cancellation (2,117 ) (2,170 ) Preneed cemetery trust investments, net $ 62,432 $ 68,333 Upon cancellation of a preneed cemetery contract, a customer is generally entitled to receive a refund of the corpus, and in some instances, a portion of all of the earnings held in trust. In certain jurisdictions, we may be obligated to fund any shortfall if the amounts deposited by the customer exceed the funds in trust, including investment income. As a result, when realized or unrealized losses of a trust result in the trust being underfunded, we assess whether we are responsible for replenishing the corpus of the trust, in which case a loss provision is recorded. At September 30, 2019 , none of our preneed cemetery trust investments were underfunded. Earnings from our preneed cemetery trust investments are recognized as revenue when a service is performed or merchandise is delivered. Trust management fees charged by CSV RIA are included in revenue in the period in which they are earned. Where quoted prices are available in an active market, investments held by the trusts are classified as Level 1 investments pursuant to the three-level valuation hierarchy. Our Level 1 investments include cash and common stock. Where quoted market prices are not available for the specific security, fair values are estimated by using quoted prices of similar securities in active markets or other inputs other than quoted prices that can corroborate observable market data. These investments are fixed income securities, including foreign debt, corporate debt, preferred stocks, mortgage-backed securities and fixed income mutual funds, all of which are classified within Level 2 of the valuation hierarchy. We review and update our fair value hierarchy classifications quarterly. There were no transfers between Levels 1 and 2 in the three and nine months ended September 30, 2019 . There are no Level 3 investments in the preneed cemetery trust investment portfolio. See Note 10 to the Consolidated Financial Statements included herein for further information on the fair value measurement and the three-level hierarchy. The cost and fair market values associated with preneed cemetery trust investments at September 30, 2019 are detailed below (in thousands, except percentages): Fair Value Hierarchy Level Cost Unrealized Gains Unrealized Losses Fair Market Value Cash and money market accounts 1 $ 7,657 $ — $ — $ 7,657 Fixed income securities: Foreign debt 2 6,380 125 (471 ) 6,034 Corporate debt 2 17,404 812 (660 ) 17,556 Preferred stock 2 13,193 1,000 (137 ) 14,056 Mortgage-backed securities 2 567 — (210 ) 357 Common stock 1 25,679 1,169 (4,231 ) 22,617 Mutual funds: Fixed Income 2 1,462 36 (69 ) 1,429 Trust securities $ 72,342 $ 3,142 $ (5,778 ) $ 69,706 Accrued investment income $ 797 $ 797 Preneed cemetery trust investments $ 70,503 Market value as a percentage of cost 96.4 % The estimated maturities of the fixed income securities included above are as follows (in thousands): Due in one year or less $ — Due in one to five years 2,582 Due in five to ten years 12,924 Thereafter 22,497 Total $ 38,003 The cost and fair market values associated with preneed cemetery trust investments at December 31, 2018 are detailed below (in thousands, except percentages): Fair Value Hierarchy Level Cost Unrealized Gains Unrealized Losses Fair Market Value Cash and money market accounts 1 $ 16,194 $ — $ — $ 16,194 Fixed income securities: Foreign debt 2 3,802 43 (511 ) 3,334 Corporate debt 2 13,987 362 (1,026 ) 13,323 Preferred stock 2 11,068 54 (1,146 ) 9,976 Mortgage-backed securities 2 666 161 (14 ) 813 Common stock 1 24,867 903 (5,436 ) 20,334 Trust securities $ 70,584 $ 1,523 $ (8,133 ) $ 63,974 Accrued investment income $ 575 $ 575 Preneed cemetery trust investments $ 64,549 Market value as a percentage of cost 90.6 % We determine whether or not the assets in the preneed cemetery trust investments have an other-than-temporary impairment on a security-by-security basis. This assessment is made based upon a number of criteria, including the length of time a security has been in a loss position, changes in market conditions and concerns related to the specific issuer. If a loss is considered to be other-than-temporary, the cost basis of the security is adjusted downward to its fair market value. Any reduction in the cost basis of the investment due to an other-than-temporary impairment is likewise recorded as a reduction in Deferred preneed cemetery receipts held in trust on our Consolidated Balance Sheet. In the three and nine months ended September 30, 2018 and 2019 , we did not record any impairments for other-than-temporary declines in the fair value related to unrealized losses on certain investments. There is no impact on earnings until such time that the loss is realized in the trusts, allocated to preneed contracts and the services are performed or the merchandise is delivered, causing the contract to be withdrawn from the trust in accordance with state regulations. At September 30, 2019 , we had certain investments within our preneed cemetery trust investments that had tax lots in loss positions for more than one year. Based on our analyses of these securities, the companies’ businesses and current market conditions, we determined that these investment losses were temporary in nature. Our preneed cemetery trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses as of September 30, 2019 are shown in the following table (in thousands): September 30, 2019 In Loss Position Less than 12 months In Loss Position Greater than 12 months Total Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fixed income securities: Foreign debt $ 1,824 $ (130 ) $ 1,057 $ (341 ) $ 2,881 $ (471 ) Corporate debt 3,465 (434 ) 4,777 (226 ) 8,242 (660 ) Preferred stock 2,282 (26 ) 2,477 (111 ) 4,759 (137 ) Mortgage-backed securities — — 357 (210 ) 357 (210 ) Common stock 12,130 (2,791 ) 2,970 (1,440 ) 15,100 (4,231 ) Mutual Funds: Fixed Income 662 (69 ) — — 662 (69 ) Total temporary impaired securities $ 20,363 $ (3,450 ) $ 11,638 $ (2,328 ) $ 32,001 $ (5,778 ) Our preneed cemetery trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses as of December 31, 2018 are shown in the following table (in thousands): December 31, 2018 In Loss Position Less than 12 months In Loss Position Greater than 12 months Total Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fixed income securities: Foreign debt $ 2,140 $ (245 ) $ 895 $ (266 ) $ 3,035 $ (511 ) Corporate debt 9,918 (813 ) 443 (213 ) 10,361 (1,026 ) Preferred stock 5,253 (399 ) 3,767 (747 ) 9,020 (1,146 ) Mortgage-backed securities — — 51 (14 ) 51 (14 ) Common stock 14,191 (4,012 ) 1,190 (1,424 ) 15,381 (5,436 ) Total temporary impaired securities $ 31,502 $ (5,469 ) $ 6,346 $ (2,664 ) $ 37,848 $ (8,133 ) Preneed cemetery trust investment security transactions recorded in Other, net on our Consolidated Statements of Operations for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Investment income $ 315 $ 323 $ 1,214 $ 1,308 Realized gains 1,376 1,180 2,247 5,001 Realized losses (1,141 ) (1,527 ) (2,498 ) (3,163 ) Expenses and taxes (365 ) (396 ) (637 ) (1,081 ) Net change in deferred preneed cemetery receipts held in trust (185 ) 420 (326 ) (2,065 ) $ — $ — $ — $ — Purchases and sales of investments in the preneed cemetery trusts for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Purchases $ (8,165 ) $ (13,488 ) $ (18,423 ) $ (33,299 ) Sales 8,878 11,672 22,776 24,690 Preneed Funeral Trust Investments Preneed funeral trust investments represent trust fund assets that we are permitted to withdraw as services and merchandise are provided to customers. Preneed funeral contracts are secured by payments from customers, less retained amounts not required to be deposited into trust. Preneed funeral trust investments are reduced by the trust earnings we have been allowed to withdraw in certain states prior to our performance. The components of Preneed funeral trust investments on our Consolidated Balance Sheet at December 31, 2018 and September 30, 2019 are as follows (in thousands): December 31, 2018 September 30, 2019 Preneed funeral trust investments, at market value $ 84,803 $ 89,802 Less: allowance for contract cancellation (2,729 ) (2,743 ) Preneed funeral trust investments, net $ 82,074 $ 87,059 Upon cancellation of a preneed funeral contract, a customer is generally entitled to receive a refund of the corpus and in some instances, a portion of all earnings held in trust. In certain jurisdictions, we may be obligated to fund any shortfall if the amounts deposited by the customer exceed the funds in trust, including investment income. As a result, when realized or unrealized losses of a trust result in the trust being underfunded, we assess whether we are responsible for replenishing the corpus of the trust, in which case a loss provision is recorded. At September 30, 2019 , none of our preneed funeral trust investments were underfunded. Earnings from our preneed funeral trust investments are recognized as revenue when a service is performed or merchandise is delivered. Trust management fees charged by CSV RIA are included in revenue in the period in which they are earned. Where quoted prices are available in an active market, investments held by the trusts are classified as Level 1 investments pursuant to the three-level valuation hierarchy. Our Level 1 investments include cash, U.S. treasury debt and common stock. Where quoted market prices are not available for the specific security, then fair values are estimated by using quoted prices of similar securities in active markets or other inputs other than quoted prices that can corroborate observable market data. These investments are fixed income securities, including foreign debt, corporate debt, preferred stocks, mortgage-backed securities and fixed income mutual funds and other investments, all of which are classified within Level 2 of the valuation hierarchy. We review and update our fair value hierarchy classifications quarterly. There were no transfers between Levels 1 and 2 for the three and nine months ended September 30, 2019 . There are no Level 3 investments in the preneed funeral trust investment portfolio. See Note 10 to the Consolidated Financial Statements included herein for further information on the fair value measurement and the three-level hierarchy. The cost and fair market values associated with preneed funeral trust investments at September 30, 2019 are detailed below (in thousands, except percentages): Fair Value Hierarchy Level Cost Unrealized Gains Unrealized Losses Fair Market Value Cash and money market accounts 1 $ 24,535 $ — $ — $ 24,535 Fixed income securities: U.S treasury debt 1 822 — — 822 Foreign debt 2 6,371 122 (455 ) 6,038 Corporate debt 2 16,774 799 (649 ) 16,924 Preferred stock 2 13,002 993 (140 ) 13,855 Mortgage-backed securities 2 645 — (217 ) 428 Common stock 1 24,960 1,125 (3,979 ) 22,106 Mutual funds: Fixed income 2 1,415 37 (54 ) 1,398 Other investments 2 2,913 — — 2,913 Trust securities $ 91,437 $ 3,076 $ (5,494 ) $ 89,019 Accrued investment income $ 783 $ 783 Preneed funeral trust investments $ 89,802 Market value as a percentage of cost 97.4 % The estimated maturities of the fixed income securities included above are as follows (in thousands): Due in one year or less $ — Due in one to five years 3,480 Due in five to ten years 12,483 Thereafter 22,104 Total $ 38,067 The cost and fair market values associated with preneed funeral trust investments at December 31, 2018 are detailed below (in thousands, except percentages): Fair Value Hierarchy Level Cost Unrealized Gains Unrealized Losses Fair Market Value Cash and money market accounts 1 $ 31,375 $ — $ — $ 31,375 Fixed income securities: U.S. treasury debt 1 1,319 3 (19 ) 1,303 Foreign debt 2 3,748 44 (503 ) 3,289 Corporate debt 2 14,195 294 (1,025 ) 13,464 Preferred stock 2 11,500 54 (1,194 ) 10,360 Mortgage-backed securities 2 772 168 (18 ) 922 Common stock 1 24,803 887 (5,389 ) 20,301 Mutual funds: Fixed income 2 275 — (29 ) 246 Other investments 2 3,006 — — 3,006 Trust securities $ 90,993 $ 1,450 $ (8,177 ) $ 84,266 Accrued investment income $ 537 $ 537 Preneed funeral trust investments $ 84,803 Market value as a percentage of cost 92.6 % We determine whether or not the assets in the preneed funeral trust investments have other-than-temporary impairments on a security-by-security basis. This assessment is made based upon a number of criteria including the length of time a security has been in a loss position, changes in market conditions and concerns related to the specific issuer. If a loss is considered to be other-than-temporary, the cost basis of the security is adjusted downward to its fair market value. Any reduction in the cost basis of the investment due to an other-than-temporary impairment is likewise recorded as a reduction to Deferred preneed funeral receipts held in trust on our Consolidated Balance Sheet. In the three and nine months ended September 30, 2018 and 2019 , we did not record any impairments for other-than-temporary declines in the fair value related to unrealized losses on certain investments. There is no impact on earnings until such time that the loss is realized in the trusts, allocated to preneed contracts and the services are performed or the merchandise is delivered, causing the contract to be withdrawn from the trust in accordance with state regulations. At September 30, 2019 , we had certain investments within our preneed funeral trust investments that had tax lots in loss positions for more than one year. Based on our analyses of these securities, the companies’ businesses and current market conditions, we determined that these investment losses were temporary in nature. Our preneed funeral trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses as of September 30, 2019 are shown in the following table (in thousands): September 30, 2019 In Loss Position Less than 12 months In Loss Position Greater than 12 months Total Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fixed income securities: U.S. treasury debt $ 822 $ — $ — $ — $ 822 $ — Foreign debt 1,878 (133 ) 1,015 (322 ) 2,893 (455 ) Corporate debt 2,908 (424 ) 4,702 (225 ) 7,610 (649 ) Preferred stock 2,077 (26 ) 2,550 (114 ) 4,627 (140 ) Mortgage-backed securities 4 — 395 (217 ) 399 (217 ) Common stock 11,736 (2,687 ) 2,848 (1,292 ) 14,584 (3,979 ) Mutual Funds: Fixed income 345 (43 ) 264 (11 ) 609 (54 ) Total temporary impaired securities $ 19,770 $ (3,313 ) $ 11,774 $ (2,181 ) $ 31,544 $ (5,494 ) Our preneed funeral trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses as of December 31, 2018 are shown in the following table (in thousands): December 31, 2018 In Loss Position Less than 12 months In Loss Position Greater than 12 months Total Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fixed income securities: U.S. treasury debt $ — $ — $ 1,181 $ (19 ) $ 1,181 $ (19 ) Foreign debt 2,180 (251 ) 850 (252 ) 3,030 (503 ) Corporate debt 9,990 (814 ) 434 (211 ) 10,424 (1,025 ) Preferred stock 5,967 (460 ) 3,673 (734 ) 9,640 (1,194 ) Mortgage-backed securities 11 — 120 (18 ) 131 (18 ) Common stock 14,327 (4,035 ) 1,155 (1,354 ) 15,482 (5,389 ) Mutual funds: Fixed income — — 246 (29 ) 246 (29 ) Total temporary impaired securities $ 32,475 $ (5,560 ) $ 7,659 $ (2,617 ) $ 40,134 $ (8,177 ) Preneed funeral trust investment security transactions recorded in Other, net on the Consolidated Statements of Operations for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Investment income $ 362 $ 328 $ 1,253 $ 1,310 Realized gains 1,425 1,114 4,332 4,920 Realized losses (1,232 ) (1,540 ) (2,623 ) (1,964 ) Expenses and taxes (190 ) (226 ) (668 ) (511 ) Net change in deferred preneed funeral receipts held in trust (365 ) 324 (2,294 ) (3,755 ) $ — $ — $ — $ — Purchases and sales of investments in the preneed funeral trusts for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Purchases $ (9,144 ) $ (12,129 ) $ (19,584 ) $ (31,325 ) Sales 9,424 11,393 23,636 24,994 |
Preneed Cemetery Receivables
Preneed Cemetery Receivables | 9 Months Ended |
Sep. 30, 2019 | |
Preneed Cemetery Receivables [Abstract] | |
PRENEED CEMETERY RECEIVABLES | PRENEED CEMETERY RECEIVABLES Preneed sales of cemetery interment rights and related products and services are usually financed through interest-bearing installment sales contracts, generally with terms of up to five years , with such interest income reflected as Other revenue . In substantially all cases, we receive an initial down payment at the time the contract is signed. Our cemetery financed receivables at December 31, 2018 and September 30, 2019 are as follows (in thousands): December 31, 2018 September 30, 2019 Accounts receivable, including unearned finance charges and allowance for contract cancellations of $2,405 and $2,412, respectively $ 11,676 (1) $ 12,903 (1) Preneed receivables , including unearned finance charges and allowance for contract cancellations of $4,049 and $3,937, respectively 25,568 (2) 26,618 (2) Preneed cemetery financed receivables $ 37,244 $ 39,521 (1) $1.4 million and $1.5 million of cemetery accounts receivables have been reclassified to reduce deferred preneed cemetery revenue at December 31, 2018 and September 30, 2019, respectively. (2) $3.1 million and $3.2 million of preneed cemetery receivables have been reclassified to reduce deferred preneed cemetery revenue at December 31, 2018 and September 30, 2019, respectively. The unearned finance charges associated with these receivables are $4.6 million and $4.5 million at December 31, 2018 and September 30, 2019 , respectively. We determine an allowance for customer cancellations and refunds on contracts in which revenue has been recognized on sales of cemetery interment rights. We have a collections policy where past due notifications are sent to the customer beginning at 15 days past due and periodically thereafter until the contract is cancelled or payment is received. We reserve 100% of the receivables on contracts in which the revenue has been recognized and payments are 90 days past due or more, which was 4.2% of the total receivables on recognized sales at September 30, 2019 . An allowance is recorded at the date that the contract is executed and periodically adjusted thereafter based upon actual collection experience at the business level. For the nine months ended September 30, 2019 , the change in the allowance for contract cancellations is as follows (in thousands): September 30, 2019 Beginning balance $ 1,808 Write-offs and cancellations (598 ) Provision 611 Ending balance $ 1,821 The aging of preneed cemetery financed receivables as of September 30, 2019 is as follows (in thousands): 31-60 Past Due 61-90 Past Due 91-120 Past Due >120 Past Due Total Past Due Current Total Financed Receivables Recognized revenue $ 510 $ 288 $ 101 $ 1,151 $ 2,050 $ 27,676 $ 29,726 Deferred revenue 203 81 63 279 626 9,169 9,795 Total $ 713 $ 369 $ 164 $ 1,430 $ 2,676 $ 36,845 $ 39,521 |
Receivables from Preneed Trusts
Receivables from Preneed Trusts | 9 Months Ended |
Sep. 30, 2019 | |
Receivables From Preneed Trusts [Abstract] | |
RECEIVABLES FROM PRENEED TRUSTS | RECEIVABLES FROM PRENEED TRUSTS The receivables from preneed trusts represent assets in trusts which are controlled and operated by third parties in which we do not have a controlling financial interest ( less than 50% ) in the trust assets. We account for these investments at cost. As of December 31, 2018 and September 30, 2019 , receivables from preneed trusts are as follows (in thousands): December 31, 2018 September 30, 2019 Preneed trust funds, at cost $ 17,601 $ 18,545 Less: allowance for contract cancellation (528 ) (556 ) Receivables from preneed trusts, net $ 17,073 $ 17,989 The following summary reflects the composition of the assets held in trust and controlled by third parties to satisfy our future obligations under preneed arrangements related to the preceding contracts at September 30, 2019 and December 31, 2018 . The cost basis includes reinvested interest and dividends that have been earned on the trust assets. Fair value includes the unrealized gains and losses on trust assets. The composition of the preneed trust funds at September 30, 2019 is as follows (in thousands): Historical Cost Basis Fair Value Cash and cash equivalents $ 4,443 $ 4,443 Fixed income investments 11,558 11,558 Mutual funds and common stocks 2,539 2,618 Annuities 5 5 Total $ 18,545 $ 18,624 The composition of the preneed trust funds at December 31, 2018 is as follows (in thousands): Historical Cost Basis Fair Value Cash and cash equivalents $ 4,172 $ 4,172 Fixed income investments 10,668 10,668 Mutual funds and common stocks 2,755 2,709 Annuities 6 6 Total $ 17,601 $ 17,555 |
Cemetery Perpetual Care Trust I
Cemetery Perpetual Care Trust Investments | 9 Months Ended |
Sep. 30, 2019 | |
Cemetery Perpetual Care Trust Investments [Abstract] | |
CEMETERY PERPETUAL CARE TRUST INVESTMENTS | CEMETERY PERPETUAL CARE TRUST INVESTMENTS Care trusts’ corpus on our Consolidated Balance Sheet represents the corpus of those trusts plus undistributed income. The components of Care trusts’ corpus as of December 31, 2018 and September 30, 2019 are as follows (in thousands): December 31, 2018 September 30, 2019 Trust assets, at market value $ 44,071 $ 48,397 Obligations due from trust (577 ) (626 ) Care trusts’ corpus $ 43,494 $ 47,771 We are required by various state laws to pay a portion of the proceeds from the sale of cemetery property interment rights into perpetual care trust funds. The income earned from these perpetual care trusts offsets maintenance expenses for cemetery property and memorials. This trust fund income is recognized, as earned, in Other revenue. Trust management fees charged by CSV RIA are included in revenue in the period in which they are earned. At September 30, 2019 , none of our cemetery perpetual care trust investments were underfunded. Where quoted prices are available in an active market, investments held by the trusts are classified as Level 1 investments pursuant to the three-level valuation hierarchy. Our Level 1 investments include cash and common stock. Where quoted market prices are not available for the specific security, then fair values are estimated by using quoted prices of similar securities in active markets or other inputs other than quoted prices that can corroborate observable market data. These investments are fixed income securities, including foreign debt, corporate debt, preferred stock, mortgage-backed securities and fixed income mutual funds, all of which are classified within Level 2 of the valuation hierarchy. We review and update our fair value hierarchy classifications quarterly. There were no transfers between Levels 1 and 2 in the three and nine months ended September 30, 2019 . There are no Level 3 investments in the cemetery perpetual care trust investment portfolio. See Note 10 to the Consolidated Financial Statements included herein for further information of the fair value measurement and the three-level valuation hierarchy. The following table reflects the cost and fair market values associated with the trust investments held in perpetual care trust funds at September 30, 2019 (in thousands, except percentages): Fair Value Hierarchy Level Cost Unrealized Gains Unrealized Losses Fair Market Value Cash and money market accounts 1 $ 4,182 $ — $ — $ 4,182 Fixed income securities: Foreign debt 2 4,683 98 (336 ) 4,445 Corporate debt 2 11,935 654 (500 ) 12,089 Preferred stock 2 10,191 708 (94 ) 10,805 Mortgage-backed securities 2 355 — (132 ) 223 Common stock 1 16,101 687 (2,577 ) 14,211 Mutual funds: Fixed Income 2 1,901 63 (77 ) 1,887 Trust securities $ 49,348 $ 2,210 $ (3,716 ) $ 47,842 Accrued investment income $ 555 $ 555 Cemetery perpetual care investments $ 48,397 Market value as a percentage of cost 96.9 % The estimated maturities of the fixed income securities included above are as follows (in thousands): Due in one year or less $ — Due in one to five years 1,710 Due in five to ten years 8,600 Thereafter 17,252 Total $ 27,562 The following table reflects the cost and fair market values associated with the trust investments held in perpetual care trust funds at December 31, 2018 (in thousands, except percentages): Fair Value Hierarchy Level Cost Unrealized Gains Unrealized Losses Fair Market Value Cash and money market accounts 1 $ 11,144 $ — $ — $ 11,144 Fixed income securities: Foreign debt 2 2,872 27 (385 ) 2,514 Corporate debt 2 9,956 227 (730 ) 9,453 Preferred stock 2 8,141 37 (820 ) 7,358 Mortgage-backed securities 2 417 101 (9 ) 509 Common stock 1 15,562 542 (3,395 ) 12,709 Trust securities $ 48,092 $ 934 $ (5,339 ) $ 43,687 Accrued investment income $ 384 $ 384 Cemetery perpetual care investments $ 44,071 Market value as a percentage of cost 90.8 % We determine whether or not the assets in the cemetery perpetual care trusts have an other-than-temporary impairment on a security-by-security basis. This assessment is made based upon a number of criteria including the length of time a security has been in a loss position, changes in market conditions and concerns related to the specific issuer. If a loss is considered to be other-than-temporary, the cost basis of the security is adjusted downward to its fair market value. Any reduction in the cost basis due to an other-than-temporary impairment is also recorded as a reduction to Care trusts’ corpus . In the three and nine months ended September 30, 2018 and 2019 , we did not record any impairments for other-than-temporary declines in the fair value related to unrealized losses on certain investments. There is no impact on earnings until such time that the loss is realized in the trusts, allocated to preneed contracts and the services are performed or the merchandise is delivered, causing the contract to be withdrawn from the trust in accordance with state regulations. At September 30, 2019 , we had certain investments within our perpetual care trust investments that had tax lots in loss positions for more than one year. Based on our analyses of these securities, the companies’ businesses and current market conditions, we determined that these investment losses were temporary in nature. Our perpetual care trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses for the periods ended September 30, 2019 are shown in the following table (in thousands): September 30, 2019 In Loss Position Less than 12 months In Loss Position Greater than 12 months Total Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fixed income securities: Foreign debt $ 1,368 $ (88 ) $ 734 $ (248 ) $ 2,102 $ (336 ) Corporate debt 1,971 (342 ) 3,425 (158 ) 5,396 (500 ) Preferred stock 2,542 (25 ) 1,549 (69 ) 4,091 (94 ) Mortgage-backed securities — — 223 (132 ) 223 (132 ) Common stock 7,753 (1,703 ) 1,885 (874 ) 9,638 (2,577 ) Mutual Funds: Fixed Income 601 (77 ) — — 601 (77 ) Total temporary impaired securities $ 14,235 $ (2,235 ) $ 7,816 $ (1,481 ) $ 22,051 $ (3,716 ) Our perpetual care trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses for the periods ended December 31, 2018 are shown in the following table (in thousands): December 31, 2018 In Loss Position Less than 12 months In Loss Position Greater than 12 months Total Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fixed income securities: Foreign debt $ 1,619 $ (189 ) $ 639 $ (196 ) $ 2,258 $ (385 ) Corporate debt 7,006 (587 ) 301 (143 ) 7,307 (730 ) Preferred stock 3,586 (279 ) 2,787 (541 ) 6,373 (820 ) Mortgage-backed securities — — 32 (9 ) 32 (9 ) Common stock 9,010 (2,557 ) 733 (838 ) 9,743 (3,395 ) Total temporary impaired securities $ 21,221 $ (3,612 ) $ 4,492 $ (1,727 ) $ 25,713 $ (5,339 ) Perpetual care trust investment security transactions recorded in Other, net on our Consolidated Statements of Operations for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Realized gains $ 435 $ 291 $ 739 $ 1,315 Realized losses (363 ) (414 ) (889 ) (855 ) Net change in care trusts’ corpus (72 ) 123 150 (460 ) Total $ — $ — $ — $ — Perpetual care trust investment security transactions recorded in Other revenue for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Investment income $ 1,158 $ 1,220 $ 3,749 $ 3,414 Realized loss, net (241 ) (232 ) (955 ) (512 ) Total $ 917 $ 988 $ 2,794 $ 2,902 Purchases and sales of investments in the perpetual care trusts for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Purchases $ (5,185 ) $ (7,680 ) $ (11,856 ) $ (21,954 ) Sales 6,149 6,599 15,545 14,578 |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS We evaluate our financial assets and liabilities for those financial assets and liabilities that meet the criteria of the disclosure requirements and fair value framework. The carrying values of cash and cash equivalents, trade receivables and trade payables approximate the fair values of those instruments due to the short-term nature of the instruments. The fair values of receivables on preneed funeral and cemetery contracts are impracticable to estimate because of the lack of a trading market and the diverse number of individual contracts with varying terms. Our long-term debt is classified within Level 2 of the Fair Value Measurement hierarchy. The fair values of our long-term debt approximate the carrying values of these instruments based on the index yields of similar securities compared to U.S. Treasury yield curves. The fair value of the 2.75% convertible subordinated notes due 2021 was $7.1 million at September 30, 2019 based on the last traded or broker quoted price. The fair value of the 6.625% senior notes due 2026 was $334.0 million at September 30, 2019 based on the last traded or broker quoted price. We identified investments in fixed income securities, common stock and mutual funds presented within the preneed and perpetual care trust investment categories on our Consolidated Balance Sheet as having met the criteria for fair value measurement. As of September 30, 2019 , we did not have any assets that had fair values determined by Level 3 inputs and no liabilities measured at fair value. We account for our investments as available-for-sale and measure them at fair value under the standards of financial accounting and reporting for investments in equity instruments that have readily determinable fair values and for all investments in debt securities. See Notes 6 and 9 to our Consolidated Financial Statements included herein for the fair value hierarchy levels of our trust investments. |
Intangible and Other Non-Curren
Intangible and Other Non-Current Assets | 9 Months Ended |
Sep. 30, 2019 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Intangible and Other Non-Current Assets | INTANGIBLE AND OTHER NON-CURRENT ASSETS Intangibles and other non-current assets at December 31, 2018 and September 30, 2019 are as follows (in thousands): December 31, 2018 September 30, 2019 Prepaid agreements not-to-compete, net of accumulated amortization of $6,672 and $7,185, respectively $ 4,048 $ 3,631 Tradenames 17,635 17,414 Capitalized commissions on preneed contracts, net of accumulated amortization of $569 and $986, respectively 2,717 2,805 Other 25 178 Intangible and other non-current assets, net $ 24,425 $ 24,028 Prepaid agreements not-to-compete are amortized over the term of the respective agreements, ranging generally from one to ten years. Amortization expense for our prepaid agreements not-to-compete was $160,000 and $177,000 for the three months ended September 30, 2018 and 2019 , respectively and $452,000 and $513,000 for the nine months ended September 30, 2018 and 2019 , respectively. Our tradenames have indefinite lives and therefore are not amortized. For our 2019 quantitative assessment, we recorded an impairment for tradenames of $0.2 million for the three and nine months ended September 30, 2019 , as the fair value of the tradenames of certain businesses was greater than the carrying value. We capitalize sales commissions and other direct selling costs related to preneed cemetery merchandise and services and preneed funeral trust contracts as these costs are incremental and recoverable costs of obtaining a contract with a customer. Our capitalized commissions on preneed contracts are amortized on a straight-line basis over the average maturity period for our preneed cemetery merchandise and services contracts and preneed funeral trust contracts, of eight and ten years, respectively. Amortization expense totaled $156,000 and $140,000 for the three months ended September 30, 2018 and 2019 , respectively and $449,000 and $417,000 for the nine months ended September 30, 2018 and 2019 , respectively. |
Long-Term Debt
Long-Term Debt | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
LONG-TERM DEBT | LONG-TERM DEBT On May 31, 2018, we completed the issuance of $325.0 million in aggregate principal amount of our 6.625% Senior Notes due 2026 (the “Senior Notes”) and related guarantees in a private offering under Rule 144A and Regulation S of the Securities Act. See Note 13 to the Consolidated Financial Statements included herein for further discussion of our Senior Notes. On May 31, 2018, we used $291.4 million of the net proceeds from the sale of the Senior Notes to repay all amounts outstanding under our former secured credit facility, dated as of August 20, 2012 (as amended, the “Former Credit Agreement”). In connection with the repayment in full of all amounts due thereunder, the Former Credit Agreement was retired. On May 31, 2018, we entered into a $150.0 million senior secured revolving credit facility (the “Credit Facility”) with the financial institutions party thereto, as lenders, and Bank of America, N.A., as administrative agent. Our obligations under the Credit Facility are unconditionally guaranteed on a joint and several basis by the same subsidiaries which guarantee the Senior Notes and certain of our subsequently acquired or organized domestic subsidiaries (collectively, the “Credit Facility Guarantors”). The Credit Facility also contains an accordion provision feature allowing for future increases in the facility size by an additional amount of up to $75.0 million . The Credit Facility matures on May 31, 2023. Our long-term debt consisted of the following at December 31, 2018 and September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Credit Facility $ 27,100 $ 18,000 Acquisition debt 8,940 7,813 Debt issuance costs, net of accumulated amortization of $109 and $276, respectively (955 ) (900 ) Less: current portion (2,015 ) (1,679 ) Total long-term debt $ 33,070 $ 23,234 As of September 30, 2019 , we had outstanding borrowings under the Credit Facility of $18.0 million . We had one letter of credit issued on November 30, 2018 and outstanding under the Credit Facility for $2.0 million , which bears interest at 2.125% and will expire on November 25, 2019. The letter of credit automatically renews annually and secures our obligations under our various self-insured policies. Outstanding borrowings under our Credit Facility bear interest at either a prime rate or a LIBOR rate, plus an applicable margin based upon our leverage ratio. As of September 30, 2019 , the prime rate margin was equivalent to 1.00% and the LIBOR margin was 2.00% . The weighted average interest rate on our Credit Facility was 3.9% and 4.0% for the three and nine months ended September 30, 2019 , respectively. The weighted average interest rate on our Former Credit Agreement was 4.0% for the six months ended June 30, 2018. We have no material assets or operations independent of our subsidiaries. All assets and operations are held and conducted by subsidiaries, each of which have fully and unconditionally guaranteed our obligations under the Credit Facility. Additionally, we do not currently have any significant restrictions on our ability to receive dividends or loans from any Credit Facility Guarantors. We were in compliance with the covenants contained in the Credit Facility as of September 30, 2019 , with a leverage ratio of 4.89 to 1.00 and a fixed charge coverage ratio of 2.20 to 1.00 . Amortization of debt issuance costs related to our Credit Facility was $59,000 and $167,000 for the three and nine months ended September 30, 2019 , respectively and amortization of debt issuance costs related to our Former Credit Agreement was $41,000 and $172,000 for the three and six months ended June 30, 2018, respectively. Acquisition debt consisted of deferred purchase price and promissory notes payable to sellers. Imputed interest expense related to our acquisition debt was $191,000 and $152,000 for the three months ended September 30, 2018 and 2019 , respectively and $616,000 and $481,000 for the nine months ended September 30, 2018 and 2019 , respectively. |
Convertible Subordinated Notes
Convertible Subordinated Notes | 9 Months Ended |
Sep. 30, 2019 | |
Convertible Subordinated Notes [Abstract] | |
Convertible Subordinated Notes | CONVERTIBLE SUBORDINATED NOTES On March 19, 2014, we issued $143.75 million aggregate principal amount of our 2.75% convertible notes due March 15, 2021 (the “Convertible Notes”). The Convertible Notes have not been registered under the Securities Act of 1933, as amended (the “Securities Act”), and were offered only to “qualified institutional buyers” in compliance with Rule 144A under the Securities Act. The Convertible Notes are governed by an indenture dated as of March 19, 2014 between Wilmington Trust, National Association, as Trustee, and us. The Convertible Notes bear interest at 2.75% per year. Interest on the Convertible Notes began to accrue on March 19, 2014 and is payable semi-annually in arrears on March 15 and September 15 of each year. On May 7, 2018, we completed privately-negotiated exchanges (the “Exchange”) of $115.0 million in aggregate principal amount of Convertible Notes, which represented 80% of the aggregate principal amount of our Convertible Notes then outstanding, with a limited number of convertible noteholders, for $74.8 million in cash (plus accrued interest of $0.4 million totaling $75.2 million ) and 2,822,859 newly issued shares of our common stock, par value $.01 per share, pursuant to a private placement in reliance on Section 4(a)(2) of the Securities Act. The cash portion of the exchange consideration was funded from our Former Credit Agreement. Following the settlement of the Exchange, the aggregate principal amount of our Convertible Notes outstanding was reduced to $28.8 million . See Note 12 to the Consolidated Financial Statements included herein for further discussion of our Former Credit Agreement. On December 24, 2018, we completed privately-negotiated repurchases of an additional $22.4 million in aggregate principal amount of Convertible Notes, which represented 78% of the aggregate principal amount of our Convertible Notes then outstanding for $22.9 million in cash (plus accrued interest of approximately $0.2 million totaling $23.0 million ). The consideration for the repurchases was funded from our Credit Facility. Following these repurchases, the aggregate principal amount of our Convertible Notes outstanding was reduced to $6.3 million . On April 4, 2019, we completed a privately-negotiated repurchase of an additional $25,000 in aggregate principal amount of Convertible Notes then outstanding for $27,163 . The Convertible Notes are general unsecured obligations and are subordinated in the right of payment to all of our existing and future senior indebtedness and equal in right of payment with our other existing and future subordinate indebtedness. The initial conversion rate of the Convertible Notes, as of March 19, 2014, was 44.3169 shares of our common stock per $1,000 principal amount of Convertible Notes, equivalent to an initial conversion price of $22.56 per share of common stock. The adjusted conversion rate of the Convertible Notes, in effect at September 30, 2019 , is 45.3695 shares of our common stock per $1,000 principal amount of Convertible Notes, equivalent to an adjusted conversion price of $22.04 per share of common stock. The carrying values of the liability and equity components of the Convertible Notes at December 31, 2018 and September 30, 2019 are reflected on our Consolidated Balance Sheet as follows (in thousands): December 31, 2018 September 30, 2019 Long-term liabilities: Principal amount $ 6,346 $ 6,319 Unamortized discount of liability component (560 ) (382 ) Convertible Notes issuance costs, net of accumulated amortization of $106 and $125, respectively (54 ) (35 ) Carrying value of the liability component $ 5,732 $ 5,902 Carrying value of the equity component $ 789 $ 789 The Carrying value of the liability component and the Carrying value of the equity component are recorded in Convertible subordinated notes due 2021 and Additional paid-in capital , respectively, on our Consolidated Balance Sheet at December 31, 2018 and September 30, 2019 . The fair value of the Convertible Notes, which are Level 2 measurements, was $7.1 million at September 30, 2019 . Interest expense on the Convertible Notes included contractual coupon interest expense of $198,000 and $43,000 for the three months ended September 30, 2018 and 2019 , respectively and $1,700,000 and $131,000 for the nine months ended September 30, 2018 and 2019 , respectively. Accretion of the discount on the Convertible Notes was $246,000 and $61,000 for the three months ended September 30, 2018 and 2019 , respectively and $1,961,000 and $178,000 for the nine months ended September 30, 2018 and 2019 , respectively. Amortization of debt issuance costs related to our Convertible Notes was $27,000 and $6,000 for the three months ended September 30, 2018 and 2019 , respectively and $221,000 and $19,000 for the nine months ended September 30, 2018 and 2019 , respectively. The remaining unamortized debt discount and the remaining unamortized debt issuance costs are being amortized using the effective interest method over the remaining term of 17 months of the Convertible Notes. The effective interest rate on the unamortized debt discount for both the three and nine months ended September 30, 2018 and 2019 was 11.4% . The effective interest rate on the unamortized debt issuance costs for both the three and nine months ended September 30, 2018 and 2019 was 3.2% . |
Senior Notes (Notes)
Senior Notes (Notes) | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | SENIOR NOTES On May 31, 2018, we completed the issuance of $325.0 million in aggregate principal amount of our Senior Notes and related guarantees in a private offering under Rule 144A and Regulation S of the Securities Act. We received proceeds of $320.1 million , net of a 1.5% debt discount of $4.9 million , of which we used $291.4 million to repay our existing indebtedness under our Former Credit Agreement. We incurred $1.4 million in transaction costs related to the Senior Notes. See Note 12 to the Consolidated Financial Statements included herein for further discussion of the repayment of our Former Credit Agreement. The Senior Notes bear interest at 6.625% per year. Interest on the Senior Notes began to accrue on May 31, 2018 and is payable semi-annually in arrears on June 1 and December 1 of each year, beginning on December 1, 2018 to holders of record on each May 15 and November 15 preceding an interest payment date. The Senior Notes mature on June 1, 2026, unless earlier redeemed or purchased. The Senior Notes are unsecured, senior obligations and are fully and unconditionally guaranteed on a senior unsecured basis, jointly and severally, by certain of our existing subsidiaries. The debt discount of $4.9 million and the debt issuance costs of $1.4 million are being amortized using the effective interest method over the remaining term of 80 months of the Senior Notes. The effective interest rate on the unamortized debt discount for both the three and nine months ended September 30, 2018 and 2019 was 6.87% . The effective interest rate on the unamortized debt issuance costs for both the three and nine months ended September 30, 2018 and 2019 was 6.69% . The carrying value of the Senior Notes at December 31, 2018 and September 30, 2019 is reflected on our Consolidated Balance Sheet as follows (in thousands): December 31, 2018 September 30, 2019 Long-term liabilities: Principal amount $ 325,000 $ 325,000 Debt discount, net of accumulated amortization of $273 and $639, respectively (4,602 ) (4,236 ) Debt issuance costs, net of accumulated amortization of $77 and $180, respectively (1,290 ) (1,187 ) Carrying value of the Senior Notes $ 319,108 $ 319,577 The fair value of the Senior Notes, which are Level 2 measurements, was $334.0 million at September 30, 2019 . Interest expense on the Senior Notes included contractual coupon interest expense of $5.4 million for both the three months ended September 30, 2018 and 2019 and $7.2 million and $16.1 million for the nine months ended September 30, 2018 and 2019 , respectively. Amortization of the debt discount on the Senior Notes was $116,000 and $124,000 for the three months ended September 30, 2018 and 2019 , respectively and $154,000 and $366,000 for the nine months ended September 30, 2018 and 2019 , respectively. Amortization of debt issuance costs on the Senior Notes was $33,000 and $35,000 for the three months ended September 30, 2018 and 2019 , respectively and $44,000 and $103,000 for the nine months ended September 30, 2018 and 2019 , respectively. |
LEASES
LEASES | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
LEASES | LEASES On January 1, 2019, we adopted Topic 842 using the modified retrospective method for all lease arrangements at the beginning of the period of adoption. Results for reporting periods beginning January 1, 2019 are presented under Topic 842, while prior period amounts have not been adjusted and continue to be reported in accordance with Topic 840. On January 1, 2019, we recorded operating lease right-of-use assets of $16.5 million and operating lease liabilities of $17.3 million , related to real estate and equipment leases, based on the present value of the future lease payments on the date of adoption. The components of lease cost for the three and nine months ended September 30, 2019 are as follows (in thousands): Income Statement Classification Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Operating lease cost Facilities and grounds expense (1) $ 899 $ 2,762 Short-term lease cost Facilities and grounds expense (1) $ 73 $ 206 Finance lease cost: Depreciation of leased assets Depreciation and amortization (2) $ 131 $ 395 Interest on lease liabilities Interest expense 129 392 Total finance lease cost 260 787 Total lease cost $ 1,232 $ 3,755 (1) Facilities and grounds expense is included within Cost of service and General, administrative and other on our Consolidated Statements of Operations. (2) Depreciation and amortization expense is included within Field depreciation and Home office depreciation and amortization on our Consolidated Statements of Operations. Variable lease expense was immaterial for the three and nine months ended September 30, 2019 . Supplemental cash flow information related to our leases for the nine months ended September 30, 2019 is as follows (in thousands): Nine Months Ended September 30, 2019 Cash paid for operating leases included in operating activities $ 2,921 Cash paid for finance leases included in financing activities 669 Right-of-use assets obtained in exchange for new leases for the nine months ended September 30, 2019 is as follows (in thousands): Nine Months Ended September 30, 2019 Right-of-use assets obtained in exchange for new operating lease liabilities (1) $ 8,175 Right-of-use assets obtained in exchange for new finance lease liabilities — (1) During the three months ended June 30, 2019, we modified an existing operating lease to extend the term through 2030. As a result of this modification, we increased our lease liabilities and right-of-use assets by $8.2 million. Supplemental balance sheet information related to leases as of September 30, 2019 is as follows (in thousands): Lease Type Balance Sheet Classification September 30, 2019 Operating lease right-of-use assets Operating lease right-of-use assets $ 22,628 Finance lease right-of-use assets (1) Property, plant and equipment, net 5,322 Total right-of-use assets $ 27,950 Operating lease current liabilities Current portion of operating lease obligations $ 1,524 Finance lease current liabilities Current portion of finance lease obligations 282 Total current lease liabilities 1,806 Operating lease non-current liabilities Obligations under operating leases, net of current portion 21,758 Finance lease non-current liabilities Obligations under finance leases, net of current portion 5,929 Total non-current lease liabilities 27,687 Total lease liabilities $ 29,493 (1) Finance lease right-of-use assets are presented net of accumulated depreciation of $2.0 million. The average lease terms and discount rates as of September 30, 2019 are as follows: Weighted-average remaining lease term (years) Weighted-average discount rate Operating leases 11.2 8.1 % Finance leases 7.2 8.2 % The aggregate future lease payments for operating and finance leases as of September 30, 2019 are as follows (in thousands): Operating Finance Lease payments due: Remainder of 2019 $ 975 $ 206 2020 3,277 828 2021 3,632 836 2022 3,283 860 2023 3,186 860 Thereafter 20,934 7,082 Total lease payments 35,287 10,672 Less: Interest (12,005 ) (4,461 ) Present value of lease liabilities $ 23,282 $ 6,211 As of September 30, 2019 , we had no additional significant operating or finance leases that had not yet commenced. |
LEASES | LEASES On January 1, 2019, we adopted Topic 842 using the modified retrospective method for all lease arrangements at the beginning of the period of adoption. Results for reporting periods beginning January 1, 2019 are presented under Topic 842, while prior period amounts have not been adjusted and continue to be reported in accordance with Topic 840. On January 1, 2019, we recorded operating lease right-of-use assets of $16.5 million and operating lease liabilities of $17.3 million , related to real estate and equipment leases, based on the present value of the future lease payments on the date of adoption. The components of lease cost for the three and nine months ended September 30, 2019 are as follows (in thousands): Income Statement Classification Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Operating lease cost Facilities and grounds expense (1) $ 899 $ 2,762 Short-term lease cost Facilities and grounds expense (1) $ 73 $ 206 Finance lease cost: Depreciation of leased assets Depreciation and amortization (2) $ 131 $ 395 Interest on lease liabilities Interest expense 129 392 Total finance lease cost 260 787 Total lease cost $ 1,232 $ 3,755 (1) Facilities and grounds expense is included within Cost of service and General, administrative and other on our Consolidated Statements of Operations. (2) Depreciation and amortization expense is included within Field depreciation and Home office depreciation and amortization on our Consolidated Statements of Operations. Variable lease expense was immaterial for the three and nine months ended September 30, 2019 . Supplemental cash flow information related to our leases for the nine months ended September 30, 2019 is as follows (in thousands): Nine Months Ended September 30, 2019 Cash paid for operating leases included in operating activities $ 2,921 Cash paid for finance leases included in financing activities 669 Right-of-use assets obtained in exchange for new leases for the nine months ended September 30, 2019 is as follows (in thousands): Nine Months Ended September 30, 2019 Right-of-use assets obtained in exchange for new operating lease liabilities (1) $ 8,175 Right-of-use assets obtained in exchange for new finance lease liabilities — (1) During the three months ended June 30, 2019, we modified an existing operating lease to extend the term through 2030. As a result of this modification, we increased our lease liabilities and right-of-use assets by $8.2 million. Supplemental balance sheet information related to leases as of September 30, 2019 is as follows (in thousands): Lease Type Balance Sheet Classification September 30, 2019 Operating lease right-of-use assets Operating lease right-of-use assets $ 22,628 Finance lease right-of-use assets (1) Property, plant and equipment, net 5,322 Total right-of-use assets $ 27,950 Operating lease current liabilities Current portion of operating lease obligations $ 1,524 Finance lease current liabilities Current portion of finance lease obligations 282 Total current lease liabilities 1,806 Operating lease non-current liabilities Obligations under operating leases, net of current portion 21,758 Finance lease non-current liabilities Obligations under finance leases, net of current portion 5,929 Total non-current lease liabilities 27,687 Total lease liabilities $ 29,493 (1) Finance lease right-of-use assets are presented net of accumulated depreciation of $2.0 million. The average lease terms and discount rates as of September 30, 2019 are as follows: Weighted-average remaining lease term (years) Weighted-average discount rate Operating leases 11.2 8.1 % Finance leases 7.2 8.2 % The aggregate future lease payments for operating and finance leases as of September 30, 2019 are as follows (in thousands): Operating Finance Lease payments due: Remainder of 2019 $ 975 $ 206 2020 3,277 828 2021 3,632 836 2022 3,283 860 2023 3,186 860 Thereafter 20,934 7,082 Total lease payments 35,287 10,672 Less: Interest (12,005 ) (4,461 ) Present value of lease liabilities $ 23,282 $ 6,211 As of September 30, 2019 , we had no additional significant operating or finance leases that had not yet commenced. |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Notes) | 9 Months Ended |
Sep. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Faria, et al. v. Carriage Funeral Holdings, Inc., Superior Court of California, Contra Costa County, Case No. MSC18-00606. On March 26, 2018, six Plaintiffs filed a putative class action against Carriage Funeral Holdings, Inc., our subsidiary, their alleged employer, on behalf of themselves and all similarly situated current and former employees. Plaintiffs seek monetary damages and claim that Carriage Funeral Holdings, Inc. failed to pay minimum wages, provide meal and rest breaks, provide accurately itemized wage statements, reimburse employees for required expenses, and provide wages when due. Plaintiffs also claim that Carriage Funeral Holdings, Inc. violated California Business and Professions Code §17200 et seq. On June 5, 2018, Plaintiffs filed a First Amended Complaint to add a claim under the California Private Attorney General Act. On October 23, 2018, the parties mediated this matter and executed a Memorandum of Understanding for class settlement. In February 2019, a Class Action Settlement Agreement was fully executed, which was preliminarily approved by the Court. The class claims process is underway. At December 31, 2018, we accrued $650,000 for the estimated settlement amount related to this case. See Note 21 to the Consolidated Financial Statements included herein for further discussion of the expected final settlement of this matter. |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Sep. 30, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
STOCKHOLDERS' EQUITY | STOCKHOLDERS ’ EQUITY Stock-Based Compensation Plans During the nine months ended September 30, 2019 , we had two stock benefits plans under which restricted stock, stock options and performance awards have been granted or remain outstanding: the Second Amended and Restated 2006 Long-Term Incentive Plan (the “Amended and Restated 2006 Plan”) and the 2017 Omnibus Incentive Plan (the “2017 Plan”). The Amended and Restated 2006 Plan was terminated upon the approval of the 2017 Plan at the annual shareholders meeting on May 17, 2017, however, the termination of the Amended and Restated 2006 Plan does not affect the awards previously issued and outstanding under the Amended and Restated 2006 Plan. All stock-based plans are administered by the Compensation Committee appointed by our Board of Directors (the “Board”). The 2017 Plan provides for grants of options as non-qualified options or incentive stock options, restricted stock and performance awards. The 2017 Plan expires on May 17, 2027. The status of each of the plans at September 30, 2019 is as follows (shares in thousands): Shares Shares Options Performance Awards Outstanding (2) Amended and Restated 2006 Plan — — 940 — 2017 Plan 2,709 (1) 1,952 136 501 Total 2,709 1,952 1,076 501 (1) Amount includes approximately 1,154,000 shares granted from the Amended and Restated 2006 Plan that were returned to the Company due to cancellations, to pay taxes on restricted stock vestings and to pay option price and taxes on option exercises. (2) Performance Awards are reserved at 200% of shares granted which is equal to the maximum payout in shares. Restricted Stock We recorded stock-based compensation expense, which is included in General, administrative and other expenses , for restricted stock awards of $215,000 and $196,000 , for the three months ended September 30, 2018 and 2019 , respectively and $681,000 and $624,000 for the nine months ended September 30, 2018 and 2019 , respectively. As of September 30, 2019 , we had $1.7 million of total unrecognized compensation costs related to unvested restricted stock awards, which are expected to be recognized over a weighted average period of approximately 1.7 years. Stock Options We recorded stock-based compensation expense, which is included in General, administrative and other expenses , for stock options of $238,000 and $160,000 , for the three months ended September 30, 2018 and 2019 , respectively and $955,000 and $513,000 for the nine months ended September 30, 2018 and 2019 , respectively. Performance Awards We recorded stock-based compensation expense, which is included in General, administrative and other expenses , for performance awards of $344,000 and $61,000 for the three months ended September 30, 2018 and 2019 , respectively and $964,000 and $138,000 for the nine months ended September 30, 2018 and 2019 , respectively. Employee Stock Purchase Plan We recorded stock-based compensation expense, which is included in General, administrative and other expenses , for the ESPP totaling $58,000 for both the three months ended September 30, 2018 and 2019 and $208,000 and $224,000 for the nine months ended September 30, 2018 and 2019 , respectively. Director Compensation We recorded stock-based compensation expense, which is included in General, administrative and other expenses , related to annual retainers and common stock awards of $133,000 and $113,000 for the three months ended September 30, 2018 and 2019 , respectively and $336,000 and $341,000 for the nine months ended September 30, 2018 and 2019 , respectively. Share Repurchase During the nine months ended September 30, 2019 , we repurchased 400,000 shares of common stock for a total cost of $7.8 million at an average cost of $19.39 per share pursuant to our share repurchase program. At September 30, 2019 , we had approximately $0.6 million available for repurchases under our share repurchase program. Cash Dividends During the nine months ended September 30, 2018 and 2019 , our Board declared the following dividends payable on the dates below (in thousands, except per share amounts): 2018 Per Share Dollar Value March 1 st $ 0.075 $ 1,207 June 1 st $ 0.075 $ 1,433 September 1 st $ 0.075 $ 1,436 2019 Per Share Dollar Value March 1 st $ 0.075 $ 1,360 June 3 rd $ 0.075 $ 1,365 September 1 st $ 0.075 $ 1,336 Accumulated other comprehensive income Our components of accumulated other comprehensive income are as follows (in thousands): Accumulated Other Comprehensive Income Balance at December 31, 2018 $ — Decrease in net unrealized gains associated with available-for-sale securities of the trusts (6,560 ) Reclassification of net unrealized gain activity attributable to the Deferred preneed funeral and cemetery receipts held in trust and Care trusts’ corpus 6,560 Balance at September 30, 2019 $ — |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE The following table sets forth the computation of the basic and diluted earnings per share for the three and nine months ended September 30, 2018 and 2019 (in thousands, except per share data): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Numerator for basic and diluted earnings per share: Net income $ 2,200 $ 577 $ 14,303 $ 11,964 Less: Earnings allocated to unvested restricted stock (11 ) (3 ) (79 ) (52 ) Income attributable to common stockholders $ 2,189 $ 574 $ 14,224 $ 11,912 Denominator: Denominator for basic earnings per common share - weighted average shares outstanding 19,060 17,737 17,701 17,917 Effect of dilutive securities: Stock options 101 31 123 34 Convertible Notes — — 449 — Denominator for diluted earnings per common share - weighted average shares outstanding 19,161 17,768 18,273 17,951 Basic earnings per common share: $ 0.11 $ 0.03 $ 0.80 $ 0.66 Diluted earnings per common share: $ 0.11 $ 0.03 $ 0.78 $ 0.66 The fully diluted weighted average shares outstanding for the nine months ended September 30, 2018 and the corresponding calculation of fully diluted earnings per share, include 449,000 shares that would have been issued upon conversion of our Convertible Notes as a result of the application of the if-converted method prescribed by the FASB ASC 260, Earnings Per Share . For the three months ended September 30, 2018 , there were no shares that would have been issued upon conversion under the if-converted method. For the three and nine months ended September 30, 2019 , there were no shares that would have been issued upon conversion under the if-converted method. For the three and nine months ended September 30, 2018 , 1,065,000 and 1,041,000 stock options were excluded from the computation of diluted earnings per share because the inclusion of such stock options would result in an antidilutive effect. For the three and nine months ended September 30, 2019 , 901,000 and 974,000 stock options were excluded from the computation of diluted earnings per share because the inclusion of such stock options would result in an antidilutive effect. |
Major Segments of Business
Major Segments of Business | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
MAJOR SEGMENTS OF BUSINESS | MAJOR SEGMENTS OF BUSINESS We conduct funeral and cemetery operations only in the United States. The following table presents revenue, operating income (loss), income (loss) before income taxes and total assets by segment (in thousands): Funeral Cemetery Corporate Consolidated Revenue: Three Months Ended September 30, 2019 $ 51,517 $ 14,608 $ — $ 66,125 Three Months Ended September 30, 2018 49,843 14,398 — 64,241 Nine Months Ended September 30, 2019 $ 160,187 $ 42,771 $ — $ 202,958 Nine Months Ended September 30, 2018 156,969 44,506 — 201,475 Operating income (loss): Three Months Ended September 30, 2019 $ 14,124 $ 3,932 $ (6,112 ) $ 11,944 Three Months Ended September 30, 2018 13,644 3,470 (6,849 ) 10,265 Nine Months Ended September 30, 2019 $ 46,824 $ 12,083 $ (18,174 ) $ 40,733 Nine Months Ended September 30, 2018 45,962 12,165 (20,754 ) 37,373 Income (loss) before income taxes: Three Months Ended September 30, 2019 $ 9,312 $ 3,885 $ (11,673 ) $ 1,524 Three Months Ended September 30, 2018 13,417 3,560 (13,590 ) 3,387 Nine Months Ended September 30, 2019 $ 41,591 $ 12,324 $ (36,181 ) $ 17,734 Nine Months Ended September 30, 2018 45,244 12,406 (38,282 ) 19,368 Total assets: September 30, 2019 $ 693,718 $ 237,825 $ 20,605 $ 952,148 December 31, 2018 686,470 226,475 4,557 917,502 |
Supplementary Data
Supplementary Data | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Supplementary Data | SUPPLEMENTARY DATA Balance Sheet The detail of certain balance sheet accounts as of December 31, 2018 and September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Prepaid and other current assets: Prepaid expenses $ 1,456 $ 1,479 Federal income taxes receivable 923 — State income taxes receivable 422 173 Other current assets 210 112 Total prepaid and other current assets $ 3,011 $ 1,764 Accrued and other liabilities: Accrued salaries and wages $ 4,088 $ 2,804 Accrued incentive compensation 7,395 5,846 Accrued vacation 2,358 2,304 Accrued insurance 3,188 3,700 Accrued interest 1,856 7,235 Accrued ad valorem and franchise taxes 904 2,158 Accrued commissions 441 553 Federal income taxes payable 962 3,359 Deferred rent 274 — Other accrued liabilities 1,178 1,311 Total accrued and other liabilities $ 22,644 $ 29,270 Other long-term liabilities: Deferred rent $ 692 $ — Incentive compensation 1,563 1,246 Contingent consideration 878 689 Total other long-term liabilities $ 3,133 $ 1,935 |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | SUBSEQUENT EVENTS On October 9, 2019, we acquired four funeral home businesses in Buffalo, New York for $15.3 million in cash. The consideration for this acquisition was funded through a combination of cash on hand and borrowings under our Credit Facility. On October 28, 2019, we acquired one funeral home and cemetery combination business, two funeral home businesses and ancillary services and businesses, which include an onsite crematory, care center, flower shop and pet cremation in the Dallas, Texas area for $23.6 million in cash. The consideration for this acquisition was funded through borrowings under our Credit Facility. On October 29, 2019, the court issued final approval of the Faria, et al. v. Carriage Funeral Holdings, Inc., Class Action Settlement Agreement and the settlement amount of $676,000 is expected to be paid in the fourth quarter of 2019. |
Basis Of Presentation And Sum_2
Basis Of Presentation And Summary Of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Principles of Consolidation and Interim Condensed Disclosures, Policy | Principles of Consolidation and Interim Condensed Disclosures Our unaudited consolidated financial statements include the Company and its subsidiaries. All intercompany balances and transactions have been eliminated. Our interim consolidated financial statements are unaudited but include all adjustments, which consist of normal, recurring accruals, that are necessary for a fair presentation of our financial position and results of operations as of and for the interim periods presented. Our unaudited consolidated financial statements have been prepared in a manner consistent with the accounting principles described in our Annual Report on Form 10-K for the year ended December 31, 2018 unless otherwise disclosed herein, and should be read in conjunction therewith. |
Reclassification, Policy | Reclassifications Certain reclassifications have been made to prior period amounts to conform to the current period financial statement presentation with no effect on our previously reported results of operations, consolidated financial position, or cash flows. |
Cash and Cash Equivalents, Policy | Cash and Cash Equivalents We consider all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. |
Use of Estimates, Policy | Use of Estimates The preparation of our Consolidated Financial Statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue and expenses. On an ongoing basis, we evaluate our estimates and judgments, including those related to revenue recognition, realization of accounts receivable, goodwill, intangible assets, property and equipment and deferred tax assets and liabilities. We base our estimates on historical experience, third-party data and assumptions that we believe to be reasonable under the circumstances. The results of these considerations form the basis for making judgments about the amount and timing of revenue and expenses, the carrying value of assets and the recorded amounts of liabilities. Actual results may differ from these estimates and such estimates may change if the underlying conditions or assumptions change. Historical performance should not be viewed as indicative of future performance, as there can be no assurance that our results of operations will be consistent from year to year. |
Funeral and Cemetery Operations, Policy | Funeral Home Operations Our funeral home operations are principally service businesses that generate revenue from sales of burial and cremation services and related merchandise, such as caskets and urns. Funeral services include consultation, the removal and preparation of remains, the use of funeral home facilities for visitation and remembrance services and transportation services. We provide funeral services and products on both an atneed and preneed basis. Funeral arrangements sold at the time of death are referred to as atneed funeral contracts. The performance obligation on these atneed contracts for both merchandise and services are bundled as a single performance obligation, as the performance of these obligations occur within a short time frame (usually within a few days) from the time of death to the funeral service. Although our performance activities are transferred in sequence such as, embalming the body, delivering the casket, obtaining service related items like flowers and performing the service, these activities are all essential to satisfy our contractual obligation to the customer, thus, bundled into a single performance obligation. Revenue is recognized on the date of funeral service, as all performance obligations have been satisfied. Payment is due at or before time of transfer. Outstanding balances due from customers, if any, on atneed funeral contracts are included in Accounts receivable on our Consolidated Balance Sheet. The performance obligation is satisfied at the date of the service or the delivery of the merchandise as control has transferred to the customer and the benefit has concluded in the following manner: • we have the right to payment; • the customer has title to merchandise; • the deceased has used the merchandise or has been a part of the service; and • the customer directed the use of the merchandise or the plan of the service. Funeral arrangements sold prior to death occurring are referred to as preneed funeral contracts. In many instances, the customer pays for the preneed contract over a period of time. For preneed funeral merchandise and service contracts, the performance obligation occurs at the time of need (when death occurs) and revenue is recognized on the date of delivery of merchandise or performance of service. We do not deliver merchandise on preneed contracts or provide service prior to the time of death. The performance obligation for preneed funeral contracts is similar to the elements of the performance obligation of atneed funeral contracts. For preneed funeral services, all preneed funeral contracts are re-written upon the date of death as an atneed contract. The performance obligation is satisfied at the date of the service. The performance of a preneed funeral contract is secured by placing the funds collected, less amounts that we may retain under state regulations, in trust for the benefit of the customer or by the customer's purchase of a life insurance policy, the proceeds of which will pay for such services at the time of need. These methods are intended to fund preneed funeral contracts, cover the original contract price and generally include an element of growth (earnings) designed to offset future inflationary cost increases. Revenue from preneed funeral contracts, along with accumulated earnings, is deferred until the time the merchandise is delivered or the service is performed. The principal and accumulated earnings of the trusts are withdrawn at maturity (death) or cancellation. The cumulative trust income earned and the increases in insurance benefits on the insurance products are recognized when the service is performed. The amounts deposited in trusts that we control are included in the non-current asset section of our Consolidated Balance Sheet. Balances due on undelivered preneed funeral trust contracts have been reclassified to reduce Deferred preneed funeral revenue on our Consolidated Balance Sheet, as noted in our table of Deferred Revenue in Note 4 to the Consolidated Financial Statements included herein. The earnings from our preneed funeral trust investments, as well as trust management fees charged by our wholly-owned registered investment advisory firm (“CSV RIA”) are recorded as Other revenue , as noted in our table of disaggregated revenue in Note 4 to the Consolidated Financial Statements included herein. As of September 30, 2019 , CSV RIA provided these services to one institution, which has custody of approximately 76% of our trust assets, for a fee based on the market value of trust assets. Under state trust laws, we are allowed to charge the trust a fee for advising on the investment of the trust assets and these fees are recognized as income in the period in which services are provided. When preneed funeral contracts are funded through third-party insurance policies, we earn a commission on the sale of the policies. Insurance commissions are subject to refund (charge-back) if the preneed policy is cancelled within a year or if there is an imminent death of beneficiary before the first year anniversary of the policy. We record these insurance commissions as Other revenue , as noted in our table of disaggregated revenue in Note 5 to the Consolidated Financial Statements included herein, when the commission is no longer subject to refund, which is typically one year after the policy is issued. All selling costs incurred pursuant to the sale of the insurance funded preneed contracts are expensed as incurred. Preneed funeral contracts to be funded at maturity by third-party insurance policies totaled $388.2 million at September 30, 2019 and are not recorded on our Consolidated Balance Sheet. Generally, at the time of the sale of either the preneed insurance or preneed trust contract, the intent is that the beneficiary has made a commitment to assign the proceeds to us for the fulfillment of the service and merchandise obligations on the preneed contract at the time of need. However, this commitment is revocable and the proceeds from the policy are portable, so the customer can choose to use an alternative provider at the time of need. Revenue Recognition - Cemetery Operations Our cemetery operations generate revenue primarily through sales of cemetery interment rights (primarily grave sites, lawn crypts, mausoleum spaces and niches), related cemetery merchandise (such as outer burial containers, memorial markers and floral placements) and services (interments, inurnments and installation of cemetery merchandise). We provide cemetery services and products on both an atneed and preneed basis. Cemetery arrangements sold at the time of death are referred to as atneed cemetery contracts. The performance obligation on these atneed contracts for cemetery property, merchandise and services are distinct. The performance obligations from the time of death to the disposition of the remains, include delivering cemetery property, unearthing the ground, interring remains and installing merchandise on the cemetery grounds. Each item on the contract is recognized as a distinct good or service. The performance obligation is satisfied and revenue is recognized on the purchase date of the interment right, on the date of the cemetery service, and on the date of delivery of the merchandise (set on cemetery grounds). Payment is due at or before time of transfer. Outstanding balances due from customers, if any, on completed atneed contracts are included in Accounts receivable on our Consolidated Balance Sheet. The performance obligation is satisfied at the date of the service, the purchase of the interment right or the delivery of the merchandise as control has transferred to the customer and the benefit has concluded in the following manner: • we have the right to payment; • the customer has title to merchandise; • the deceased has used the merchandise or has been a part of the service; and • the customer directed the use of the merchandise or the plan of the service. Cemetery arrangements sold prior to death occurring are referred to as preneed cemetery contracts. For preneed cemetery interment rights, the performance obligation is the sale of the interment right and revenue is recognized at the time the contract is signed. Control of cemetery interment rights is transferred to the customer upon execution of the contract as customers select a specific location and space for their interment right, thus, restricting us from other use or transfer of the contracted cemetery property. The interment right is deeded to the customer when the contract is paid in full. For preneed cemetery merchandise and service, the performance obligation occurs at the time of need (when death occurs) and revenue is recognized on the date of delivery of merchandise or performance of service. We do not deliver merchandise on preneed contracts or provide service prior to the time of death. The performance obligation for preneed cemetery merchandise and service is similar to the elements of the performance obligation of atneed cemetery merchandise and service. Preneed cemetery contracts are usually financed through interest-bearing installment sales contracts, generally with terms of up to five years. In substantially all cases, we receive an initial down payment at the time the contract is signed. Earnings on these installment contracts are not recognized until the time the merchandise is transferred or the service is performed and are recorded as Other revenue , as noted in our table of disaggregated revenue in Note 4 to the Consolidated Financial Statements included herein. The performance of the preneed cemetery contracts is secured by placing the funds collected, less amounts that we may retain under state regulations, in trust for the benefit of the customer, the proceeds of which will pay for such services at the time of need. This method is intended to fund preneed contracts, cover the original contract price and generally include an element of growth (earnings) designed to offset future inflationary cost increases. The amounts deposited in trusts that we control are included in the non-current asset section of our Consolidated Balance Sheet. The earnings from preneed cemetery contracts placed in trust, as well as the trust management fees charged by our CSV RIA are recorded as Other revenue , as noted in our table of disaggregated revenue in Note 5 to the Consolidated Financial Statements included herein. Balances due from customers on delivered preneed cemetery contracts are included in Accounts receivable, net and Preneed receivables, net on our Consolidated Balance Sheet. Balances due on undelivered preneed cemetery contracts have been reclassified to reduce Deferred preneed cemetery revenue on our Consolidated Balance Sheet, as noted in our table of Deferred Revenue in Note 5 to the Consolidated Financial Statements included herein. We sell memorialization merchandise and personalized marker merchandise, such as urns and markers that are supplied by a small number of national providers. We order the memorialized merchandise through a third-party on behalf of our customer. The merchandise and its memorialization is provided by the third-party. We deliver the merchandise after the time of death to the customer upon completion of the memorialization or we set the merchandise on our cemetery grounds. Cemetery property was $75.0 million and $75.1 million , net of accumulated amortization of $37.7 million and $40.6 million at December 31, 2018 and September 30, 2019 , respectively. Interment right costs, which include real property and other costs related to cemetery development, are expensed using the specific identification method in the period in which the sale of the interment right is recognized as revenue. We recorded amortization expense for cemetery interment rights of $1.0 million for both the three months ended September 30, 2018 and 2019 and $2.8 million and $3.0 million for the nine months ended September 30, 2018 and 2019 , respectively. See Note 5 to the Consolidated Financial Statements included herein for additional information on our revenue. Arrangements with Multiple Performance Obligations Some of our contracts with customers include multiple performance obligations. For these contracts, we allocate transaction price to each performance obligation based on its relative standalone selling price, which is based on prices charged to customers per our general price list. Packages for service and ancillary items are offered to help the customer make decisions during emotional and stressful times. Package discounts are reflected net in Revenue . We recognize revenue when the merchandise is transferred or the service is performed, in satisfaction of the corresponding performance obligation. Sales taxes collected are recognized on a net basis in our Consolidated Financial Statements. Preneed Funeral and Cemetery Trust Funds Our preneed and perpetual care trust funds are reported in accordance with the principles of consolidating Variable Interest Entities (“VIE’s”). In the case of preneed trusts, the customers are the legal beneficiaries. In the case of perpetual care trusts, we do not have a right to access the corpus in the perpetual care trusts. We have recognized financial interests of third parties in the trust funds in our financial statements as Deferred preneed funeral and cemetery receipts held in trust and Care trusts’ corpus . The investments of such trust funds are classified as available-for-sale and are reported at fair market value; therefore, the unrealized gains and losses, as well as accumulated and undistributed income and realized gains and losses are recorded to Deferred preneed funeral and cemetery receipts held in trust and Care trusts’ corpus on our Consolidated Balance Sheet. Our future obligations to deliver merchandise and services are reported at estimated settlement amounts. Preneed funeral and cemetery trust investments are reduced by the trust investment earnings that we have been allowed to withdraw in certain states prior to maturity. These earnings, along with preneed contract collections not required to be placed in trust, are recorded in Deferred preneed funeral revenue and Deferred preneed cemetery revenue until the service is performed or the merchandise is delivered. In accordance with respective state laws, we are required to deposit a specified amount into perpetual and memorial care trust funds for each interment right and certain memorials sold. Income from the trust funds is distributed to us and used to provide for the care and maintenance of the cemeteries and mausoleums. Such trust fund income is recognized as revenue when realized by the trust and distributable to us. We are restricted from withdrawing any of the principal balances of these funds. An enterprise is required to perform an analysis to determine whether the enterprise’s variable interest(s) give it a controlling financial interest in a VIE. This analysis identifies the primary beneficiary of a VIE as the enterprise that has both the power to direct the activities of the VIE that most significantly impact the entity’s economic performance and the obligation to absorb losses of the entity that could potentially be significant to the VIE or the right to receive benefits from the entity that could potentially be significant to the VIE. Our analysis continues to support our position as the primary beneficiary in the majority of our funeral and cemetery trust funds. We determine whether or not the assets in the preneed trusts have an other-than-temporary impairment on a security-by-security basis. This assessment is made based upon a number of criteria including the length of time a security has been in a loss position, changes in market conditions and concerns related to the specific issuer. If a loss is considered to be other-than-temporary, the cost basis of the security is adjusted downward to its fair market value. Any reduction in the cost basis of the investment due to an other-than-temporary impairment is likewise recorded as a reduction to Deferred preneed funeral and cemetery receipts held in trust and Care trusts’ corpus on our Consolidated Balance Sheet. There will be no impact on earnings unless and until such time that the investment is withdrawn from the trust in accordance with state regulations at an amount that is less than its original basis. See Notes 6, 7 and 9 to the Consolidated Financial Statements herein for additional information related to our trust funds. Allowances for bad debts and customer cancellations Our funeral receivables recorded in Accounts Receivable, net primarily consist of amounts due for funeral services already performed which were $8.5 million and $7.9 million at December 31, 2018 and September 30, 2019 , respectively. We estimate an allowance for doubtful accounts on these receivables based on our historical experience, which amounted to 2.2% and 2.6% of funeral receivables at December 31, 2018 and September 30, 2019 , respectively. In addition, our other funeral receivables not related to funeral services performed were $0.7 million and $0.6 million at December 31, 2018 and September 30, 2019 , respectively. Our cemetery financed receivables totaled $37.2 million and $39.5 million at December 31, 2018 and September 30, 2019 , respectively. The unearned finance charges associated with these receivables were $4.6 million and $4.5 million at December 31, 2018 and September 30, 2019 , respectively. If a preneed contract is canceled prior to delivery, state law determines the amount of the refund owed to the customer. Allowances for bad debts and customer cancellations on cemetery financed receivables are provided at the date that the sale is recognized as revenue and are based on our historical experience. We also monitor changes in delinquency rates and provide additional bad debt and cancellation reserves when warranted. We have a collections policy where past due notifications are sent to the customer beginning at 15 days past due and periodically thereafter until the contract is cancelled or payment is received. We reserve 100% of the receivables on contracts in which the revenue has been recognized and payments are 90 days past due or more, which was 4.6% and 4.2% of the total receivables at December 31, 2018 and September 30, 2019 , respectively. |
Property, Plant and Equipment, Policy | Property, Plant and Equipment Property, plant and equipment (including equipment under finance leases ) are stated at cost. The cost of ordinary maintenance and repairs are charged to operations as incurred, while renewals and major replacements that extend the useful economic life of the asset are capitalized. Depreciation of property, plant and equipment (including equipment under finance leases) is computed based on the straight-line method. |
Goodwill and Intangible Assets, Goodwill, Policy | Goodwill The excess of the purchase price over the fair value of identifiable net assets of funeral home businesses acquired is recorded as goodwill. Goodwill has primarily been recorded in connection with the acquisition of funeral home businesses. Goodwill has an indefinite life and is not subject to amortization. As such, we test goodwill for impairment on an annual basis. Our intent is to perform a quantitative impairment test at least once every three years unless certain indicators or events suggest otherwise and perform a qualitative assessment during the remaining two years. We perform our annual goodwill impairment test as of August 31 st each year. Under current guidance, we are permitted to first assess qualitative factors to determine whether it is more-likely-than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform a quantitative goodwill impairment test. We conducted qualitative assessments in 2017 and 2018; however, we performed a quantitative assessment in 2019 . In addition to our annual test, we assess the impairment of goodwill whenever events or changes in circumstances indicate that the carrying value of a reporting unit may be greater than fair value. Factors that could trigger an interim impairment review include, but are not limited to, significant adverse changes in the business climate, which may be indicated by a decline in our market capitalization or decline in operating results. Our quantitative goodwill impairment test involves estimates and management judgment. In the quantitative analysis, we compare the fair value of each reporting unit to its carrying value, including goodwill. If the fair value of the reporting unit exceeds its carrying amount, the goodwill of that reporting unit is not considered impaired. We determine fair value for each reporting unit using both an income approach, weighted 90% , and a market approach, weighted 10% . Our methodology for determining an income-based fair value is based on discounting projected future cash flows. The projected future cash flows include assumptions concerning future operating performance and economic conditions that may differ from actual future cash flows discounted at our weighted average cost of capital based on market participant assumptions. Our methodology for determining a market approach fair value utilizes the guideline public company method, in which we rely on market multiples of comparable companies operating in the same industry as the individual reporting units. In accordance with the guidance, if the fair value of the reporting unit is less than its carrying amount an impairment charge is recorded in an amount equal to the difference. For our 2019 quantitative assessment, there was no impairment to goodwill as the fair value of our reporting units was greater than the carrying value. However, we recorded a goodwill impairment of $0.5 million during the three and nine months ended September 30, 2019 related to a funeral home business (at a leased facility) that we intend to cease operating in the fourth quarter of 2019. No impairments were recorded to our goodwill during the three and nine months ended September 30, 2018 . |
New Accounting Pronouncements, Policy | Goodwill The excess of the purchase price over the fair value of identifiable net assets of funeral home businesses acquired is recorded as goodwill. Goodwill has primarily been recorded in connection with the acquisition of funeral home businesses. Goodwill has an indefinite life and is not subject to amortization. As such, we test goodwill for impairment on an annual basis. Our intent is to perform a quantitative impairment test at least once every three years unless certain indicators or events suggest otherwise and perform a qualitative assessment during the remaining two years. We perform our annual goodwill impairment test as of August 31 st each year. Under current guidance, we are permitted to first assess qualitative factors to determine whether it is more-likely-than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform a quantitative goodwill impairment test. We conducted qualitative assessments in 2017 and 2018; however, we performed a quantitative assessment in 2019 . In addition to our annual test, we assess the impairment of goodwill whenever events or changes in circumstances indicate that the carrying value of a reporting unit may be greater than fair value. Factors that could trigger an interim impairment review include, but are not limited to, significant adverse changes in the business climate, which may be indicated by a decline in our market capitalization or decline in operating results. Our quantitative goodwill impairment test involves estimates and management judgment. In the quantitative analysis, we compare the fair value of each reporting unit to its carrying value, including goodwill. If the fair value of the reporting unit exceeds its carrying amount, the goodwill of that reporting unit is not considered impaired. We determine fair value for each reporting unit using both an income approach, weighted 90% , and a market approach, weighted 10% . Our methodology for determining an income-based fair value is based on discounting projected future cash flows. The projected future cash flows include assumptions concerning future operating performance and economic conditions that may differ from actual future cash flows discounted at our weighted average cost of capital based on market participant assumptions. Our methodology for determining a market approach fair value utilizes the guideline public company method, in which we rely on market multiples of comparable companies operating in the same industry as the individual reporting units. In accordance with the guidance, if the fair value of the reporting unit is less than its carrying amount an impairment charge is recorded in an amount equal to the difference. For our 2019 quantitative assessment, there was no impairment to goodwill as the fair value of our reporting units was greater than the carrying value. However, we recorded a goodwill impairment of $0.5 million during the three and nine months ended September 30, 2019 related to a funeral home business (at a leased facility) that we intend to cease operating in the fourth quarter of 2019. No impairments were recorded to our goodwill during the three and nine months ended September 30, 2018 . Intangible Assets Our intangible assets include tradenames resulting from acquisitions and are included in Intangible and other non-current assets, net on our Consolidated Balance Sheet. Our tradenames are considered to have an indefinite life and are not subject to amortization. As such, we test our intangible assets for impairment on an annual basis. Our intent is to perform a quantitative impairment test at least once every three years unless certain indicators or events suggest otherwise and perform a qualitative assessment during the remaining two years. We perform our annual intangible assets impairment test as of August 31 st each year. Under current guidance, we are permitted to first assess qualitative factors to determine whether it is more-likely-than not that the fair value of the tradename is less than its carrying amount as a basis for determining whether it is necessary to perform a quantitative impairment test. We conducted qualitative assessments in 2017 and 2018; however, we performed a quantitative assessment in 2019 . In addition to our annual test, we assess the impairment of intangible assets whenever certain events or changes in circumstances indicate that the carrying value of the intangible asset may be greater than the fair value. Factors that could trigger an interim impairment review include, but are not limited to, significant under-performance relative to historical or projected future operating results and significant negative industry or economic trends. Our quantitative intangible asset impairment test involves estimates and management judgment. Our quantitative analysis is performed using the relief from royalty method, which measures the tradenames by determining the value of the royalties that we are relieved from paying due to our ownership of the asset. We determine the fair value of the asset by discounting the cash flows that represent a savings in lieu of paying a royalty fee for use of the tradename. The discounted cash flow valuation uses projections of future cash flows and includes assumptions concerning future operating performance and economic conditions that may differ from actual future cash flows and the determination and application of an appropriate royalty rate and discount rate. To estimate the royalty rates for the individual tradename, we mainly rely on the profit split method, but also consider the comparable third-party license agreements and the return on asset method. A scorecard is used to assess the relative strength of the individual tradename to further adjust the royalty rates selected under the profit-split method for qualitative factors. In accordance with the guidance, if the fair value of the tradename is less than its carrying amount, then an impairment charge is recorded in an amount equal to the difference. For our 2019 quantitative assessment, we recorded an impairment for tradenames of $0.2 million for the three and nine months ended September 30, 2019 , as the fair value of the tradenames of certain businesses was greater than the carrying value. No impairments were recorded to our intangible assets during the three and nine months ended September 30, 2018 . Stock Plans and Stock-Based Compensation We have stock-based employee and director compensation plans under which we grant restricted stock, stock options and performance awards. We also have an employee stock purchase plan (the “ESPP”). We recognize compensation expense in an amount equal to the fair value of the stock-based awards expected to vest or to be purchased over the requisite service period. Fair value is determined on the date of the grant. The fair value of restricted stock is determined using the stock price on the grant date. The fair value of options or awards containing options is determined using the Black-Scholes valuation model. The fair value of the performance awards related to market performance is determined using a Monte-Carlo simulation pricing model. The fair value of the performance awards related to internal performance metrics is determined using the stock price on the grant date. The fair value of the ESPP is determined based on the discount element offered to employees and the embedded option element, which is determined using an option calculation model. See Note 17 to the Consolidated Financial Statements included herein for additional information related to our stock-based compensation plans. Accounting Pronouncements Not Yet Adopted Financial Instruments - Credit Losses In June 2016, the FASB issued ASU, Financial Instruments – Credit Losses: Measurement of Credit Losses on Financial Instruments and subsequent amendments collectively known as (Topic 326). This ASU applies to all entities holding financial assets measured at amortized cost, including loans, trade and financed receivables and other financial instruments. The guidance introduces a new credit reserving model known as Current Expected Credit Loss (“CECL”), which requires earlier recognition of credit losses, while also providing additional transparency about credit risk. The CECL model utilizes a lifetime expected credit loss measurement objective for the recognition of credit losses at the time the financial asset is originated or acquired. The CECL model requires all expected credit losses to be measured based on historical experience, current conditions and reasonable and supportable forecasts about collectability. This ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years, with earlier application permitted for all entities. We plan to adopt the provisions of this ASU for our fiscal year beginning January 1, 2020 using the modified retrospective approach. We are in the process of implementing changes to our accounting policies and procedures for this ASU and believe the most notable impact will relate to our processes around the assessment of the adequacy of our allowance for doubtful accounts on trade receivables and the allowance for contract cancellations on financed receivables and the recognition of credit losses. We do not expect the adoption of this ASU to have a material impact on our consolidated financial statements. In addition, for available-for-sale debt securities, the new guidance prospectively replaces the other-than-temporary impairment model and requires the recognition of an allowance for reductions in a security's fair value attributable to declines in credit quality, instead of a direct write-down of the security, when a valuation decline is determined to be other-than-temporary. We do not expect the impact of the new guidance on available-for-sale securities to be material to our consolidated financial statements upon adoption. |
Subsequent Events, Policy | Subsequent Events Management has evaluated the events and transactions during the period subsequent to September 30, 2019 through the date the financial statements were issued for potential recognition or disclosure in the accompanying financial statements covered by this report. |
Basis of Presentation and Sum_3
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Receivables | Accounts receivable is comprised of the following at December 31, 2018 and September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Funeral receivables, net of allowance for bad debt of $189 and $206, respectively $ 9,002 $ 8,342 Cemetery receivables, net of allowance for bad debt of $580 and $596, respectively 9,688 9,144 Other receivables 207 213 Accounts receivable, net $ 18,897 $ 17,699 Preneed cemetery receivables represent payments expected to be received beyond one year from the balance sheet date. Preneed cemetery receivables, net are comprised of the following at December 31, 2018 and September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Preneed cemetery receivables $ 25,568 $ 26,618 Less: unearned finance charges (2,821 ) (2,712 ) Less: allowance for bad debt and contract cancellation (1,228 ) (1,225 ) Less: balances due on undelivered cemetery preneed contracts (3,078 ) (3,214 ) Preneed cemetery receivables, net $ 18,441 $ 19,467 |
Property, Plant and Equipment | Property, plant and equipment is comprised of the following at December 31, 2018 and September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Land $ 81,012 $ 80,801 Buildings and improvements 223,646 226,290 Furniture, equipment and automobiles 81,125 84,002 Property, plant and equipment, at cost 385,783 391,093 Less: accumulated depreciation (124,945 ) (133,058 ) Property, plant and equipment, net $ 260,838 $ 258,035 |
Schedule of Income Tax Provisions | Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Income tax expense on operations at estimated rate $ 1,028 $ 70 $ 5,423 $ 4,691 Impact of discrete items 159 17 (358 ) 219 Impact of divested business — 860 — 860 Total tax provision $ 1,187 $ 947 $ 5,065 $ 5,770 Tax rate on operations (including discrete items) 35.0 % 5.7 % 26.2 % 27.7 % Impact of divested business — % 56.4 % — % 4.8 % Total effective tax rate 35.0 % 62.1 % 26.2 % 32.5 % |
Recently Issued Accounting St_2
Recently Issued Accounting Standards (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Accounting Changes and Error Corrections [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block] | The cumulative effect of changes made to our opening Consolidated Balance Sheet on January 1, 2019 for the adoption of Topic 842 is as follows (in thousands): December 31, 2018 Effect of Adoption of January 1, 2019 Assets Prepaid expenses $ 1,456 $ (148 ) $ 1,308 Operating lease right-of-use assets — 16,470 16,470 $ 16,322 Liabilities Accrued and other liabilities $ 22,644 $ (274 ) $ 22,370 Other long-term liabilities 3,133 (692 ) 2,441 Current portion of operating lease obligations — 2,633 2,633 Obligations under operating leases, net of current portion — 14,655 14,655 $ 16,322 |
Revenue From Contracts With C_2
Revenue From Contracts With Customers (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | Revenue, disaggregated by major source for each of our reportable segments is as follows (in thousands): Three Months Ended September 30, 2019 Funeral Cemetery Total Services $ 31,400 $ 2,733 $ 34,133 Merchandise 17,918 2,060 19,978 Cemetery property — 8,024 8,024 Other revenue 2,199 1,791 3,990 Total $ 51,517 $ 14,608 $ 66,125 Three Months Ended September 30, 2018 Funeral Cemetery Total Services $ 30,231 $ 2,774 $ 33,005 Merchandise 17,525 2,064 19,589 Cemetery property — 7,435 7,435 Other revenue 2,087 2,125 4,212 Total $ 49,843 $ 14,398 $ 64,241 Nine Months Ended September 30, 2019 Funeral Cemetery Total Services $ 97,308 $ 8,136 $ 105,444 Merchandise 56,261 5,791 62,052 Cemetery property — 23,406 23,406 Other revenue 6,618 5,438 12,056 Total $ 160,187 $ 42,771 $ 202,958 Nine Months Ended September 30, 2018 Funeral Cemetery Total Services $ 94,818 $ 8,850 $ 103,668 Merchandise 55,539 6,386 61,925 Cemetery property — 22,808 22,808 Other revenue 6,612 6,462 13,074 Total $ 156,969 $ 44,506 $ 201,475 |
Contract with Customer, Asset and Liability | Deferred revenue is presented net of amounts due on undelivered preneed contracts shown below as of December 31, 2018 and September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Contract liabilities: Deferred preneed cemetery revenue $ 50,445 $ 49,903 Less: Balances due on undelivered cemetery preneed contracts (1) (4,448 ) (4,708 ) Deferred preneed cemetery revenue, net $ 45,997 $ 45,195 Deferred preneed funeral revenue $ 36,912 $ 37,973 Less: Balances due on undelivered funeral preneed contracts (2) (8,306 ) (8,451 ) Deferred preneed funeral revenue, net $ 28,606 $ 29,522 (1) $1.4 million and $1.5 million of cemetery accounts receivables have been reclassified to reduce deferred preneed cemetery revenue at December 31, 2018 and September 30, 2019, respectively and $3.1 million and $3.2 million of preneed cemetery receivables have been reclassified to reduce deferred preneed cemetery revenue at December 31, 2018 and September 30, 2019, respectively. (2) $8.3 million and $8.5 million of preneed funeral receivables have been reclassified to reduce deferred preneed funeral revenue at December 31, 2018 and September 30, 2019, respectively. |
Goodwill (Tables)
Goodwill (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The following table presents changes in goodwill in the accompanying Consolidated Balance Sheet for the year ended December 31, 2018 and period ended September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Goodwill at the beginning of the period $ 287,956 $ 303,887 Increase in goodwill related to acquisitions 16,777 — Decrease in goodwill related to divestitures — (4,197 ) Decrease in goodwill related to impairments (846 ) (509 ) Goodwill at the end of the period $ 303,887 $ 299,181 |
DIVESTED OPERATIONS (Tables)
DIVESTED OPERATIONS (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups | The operating results of these divested businesses are reflected in our Consolidated Statements of Operations as shown in the table below (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Revenue $ 1,478 $ 108 $ 4,712 $ 471 Operating income (loss) 345 (31 ) 1,130 4 Other, net (1) (349 ) (3,863 ) (349 ) (3,874 ) Income tax benefit (provision) 1 1,149 (219 ) 1,211 Net income (loss) from divested operations $ (3 ) $ (2,745 ) $ 562 $ (2,659 ) (1) Reflects the net loss on disposal of divested businesses. |
Preneed Trust Investments (Tabl
Preneed Trust Investments (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Preneed Trust Investments [Abstract] | |
Components of preneed cemetery trust investments | The components of Preneed cemetery trust investments on our Consolidated Balance Sheet at December 31, 2018 and September 30, 2019 are as follows (in thousands): December 31, 2018 September 30, 2019 Preneed cemetery trust investments, at market value $ 64,549 $ 70,503 Less: allowance for contract cancellation (2,117 ) (2,170 ) Preneed cemetery trust investments, net $ 62,432 $ 68,333 |
Cost and fair market values associated with preneed cemetery trust investments | The cost and fair market values associated with preneed cemetery trust investments at December 31, 2018 are detailed below (in thousands, except percentages): Fair Value Hierarchy Level Cost Unrealized Gains Unrealized Losses Fair Market Value Cash and money market accounts 1 $ 16,194 $ — $ — $ 16,194 Fixed income securities: Foreign debt 2 3,802 43 (511 ) 3,334 Corporate debt 2 13,987 362 (1,026 ) 13,323 Preferred stock 2 11,068 54 (1,146 ) 9,976 Mortgage-backed securities 2 666 161 (14 ) 813 Common stock 1 24,867 903 (5,436 ) 20,334 Trust securities $ 70,584 $ 1,523 $ (8,133 ) $ 63,974 Accrued investment income $ 575 $ 575 Preneed cemetery trust investments $ 64,549 Market value as a percentage of cost 90.6 % The cost and fair market values associated with preneed cemetery trust investments at September 30, 2019 are detailed below (in thousands, except percentages): Fair Value Hierarchy Level Cost Unrealized Gains Unrealized Losses Fair Market Value Cash and money market accounts 1 $ 7,657 $ — $ — $ 7,657 Fixed income securities: Foreign debt 2 6,380 125 (471 ) 6,034 Corporate debt 2 17,404 812 (660 ) 17,556 Preferred stock 2 13,193 1,000 (137 ) 14,056 Mortgage-backed securities 2 567 — (210 ) 357 Common stock 1 25,679 1,169 (4,231 ) 22,617 Mutual funds: Fixed Income 2 1,462 36 (69 ) 1,429 Trust securities $ 72,342 $ 3,142 $ (5,778 ) $ 69,706 Accrued investment income $ 797 $ 797 Preneed cemetery trust investments $ 70,503 Market value as a percentage of cost 96.4 % |
Estimated maturities of fixed preneed cemetery trust income securities | The estimated maturities of the fixed income securities included above are as follows (in thousands): Due in one year or less $ — Due in one to five years 2,582 Due in five to ten years 12,924 Thereafter 22,497 Total $ 38,003 |
Schedule of fair market value and unrealized loss on cemetery merchandise and service trust investments | Our preneed cemetery trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses as of September 30, 2019 are shown in the following table (in thousands): September 30, 2019 In Loss Position Less than 12 months In Loss Position Greater than 12 months Total Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fixed income securities: Foreign debt $ 1,824 $ (130 ) $ 1,057 $ (341 ) $ 2,881 $ (471 ) Corporate debt 3,465 (434 ) 4,777 (226 ) 8,242 (660 ) Preferred stock 2,282 (26 ) 2,477 (111 ) 4,759 (137 ) Mortgage-backed securities — — 357 (210 ) 357 (210 ) Common stock 12,130 (2,791 ) 2,970 (1,440 ) 15,100 (4,231 ) Mutual Funds: Fixed Income 662 (69 ) — — 662 (69 ) Total temporary impaired securities $ 20,363 $ (3,450 ) $ 11,638 $ (2,328 ) $ 32,001 $ (5,778 ) Our preneed cemetery trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses as of December 31, 2018 are shown in the following table (in thousands): December 31, 2018 In Loss Position Less than 12 months In Loss Position Greater than 12 months Total Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fixed income securities: Foreign debt $ 2,140 $ (245 ) $ 895 $ (266 ) $ 3,035 $ (511 ) Corporate debt 9,918 (813 ) 443 (213 ) 10,361 (1,026 ) Preferred stock 5,253 (399 ) 3,767 (747 ) 9,020 (1,146 ) Mortgage-backed securities — — 51 (14 ) 51 (14 ) Common stock 14,191 (4,012 ) 1,190 (1,424 ) 15,381 (5,436 ) Total temporary impaired securities $ 31,502 $ (5,469 ) $ 6,346 $ (2,664 ) $ 37,848 $ (8,133 ) |
Preneed cemetery trust investment security transactions | Preneed cemetery trust investment security transactions recorded in Other, net on our Consolidated Statements of Operations for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Investment income $ 315 $ 323 $ 1,214 $ 1,308 Realized gains 1,376 1,180 2,247 5,001 Realized losses (1,141 ) (1,527 ) (2,498 ) (3,163 ) Expenses and taxes (365 ) (396 ) (637 ) (1,081 ) Net change in deferred preneed cemetery receipts held in trust (185 ) 420 (326 ) (2,065 ) $ — $ — $ — $ — |
Purchases and sales of investments in preneed cemetary trusts | Purchases and sales of investments in the preneed cemetery trusts for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Purchases $ (8,165 ) $ (13,488 ) $ (18,423 ) $ (33,299 ) Sales 8,878 11,672 22,776 24,690 |
Components of preneed funeral trust investments | The components of Preneed funeral trust investments on our Consolidated Balance Sheet at December 31, 2018 and September 30, 2019 are as follows (in thousands): December 31, 2018 September 30, 2019 Preneed funeral trust investments, at market value $ 84,803 $ 89,802 Less: allowance for contract cancellation (2,729 ) (2,743 ) Preneed funeral trust investments, net $ 82,074 $ 87,059 |
Estimated maturities of fixed preneed funeral trust income securities | The estimated maturities of the fixed income securities included above are as follows (in thousands): Due in one year or less $ — Due in one to five years 3,480 Due in five to ten years 12,483 Thereafter 22,104 Total $ 38,067 |
Cost and fair market values associated with preneed funeral trust investments | The cost and fair market values associated with preneed funeral trust investments at September 30, 2019 are detailed below (in thousands, except percentages): Fair Value Hierarchy Level Cost Unrealized Gains Unrealized Losses Fair Market Value Cash and money market accounts 1 $ 24,535 $ — $ — $ 24,535 Fixed income securities: U.S treasury debt 1 822 — — 822 Foreign debt 2 6,371 122 (455 ) 6,038 Corporate debt 2 16,774 799 (649 ) 16,924 Preferred stock 2 13,002 993 (140 ) 13,855 Mortgage-backed securities 2 645 — (217 ) 428 Common stock 1 24,960 1,125 (3,979 ) 22,106 Mutual funds: Fixed income 2 1,415 37 (54 ) 1,398 Other investments 2 2,913 — — 2,913 Trust securities $ 91,437 $ 3,076 $ (5,494 ) $ 89,019 Accrued investment income $ 783 $ 783 Preneed funeral trust investments $ 89,802 Market value as a percentage of cost 97.4 % The cost and fair market values associated with preneed funeral trust investments at December 31, 2018 are detailed below (in thousands, except percentages): Fair Value Hierarchy Level Cost Unrealized Gains Unrealized Losses Fair Market Value Cash and money market accounts 1 $ 31,375 $ — $ — $ 31,375 Fixed income securities: U.S. treasury debt 1 1,319 3 (19 ) 1,303 Foreign debt 2 3,748 44 (503 ) 3,289 Corporate debt 2 14,195 294 (1,025 ) 13,464 Preferred stock 2 11,500 54 (1,194 ) 10,360 Mortgage-backed securities 2 772 168 (18 ) 922 Common stock 1 24,803 887 (5,389 ) 20,301 Mutual funds: Fixed income 2 275 — (29 ) 246 Other investments 2 3,006 — — 3,006 Trust securities $ 90,993 $ 1,450 $ (8,177 ) $ 84,266 Accrued investment income $ 537 $ 537 Preneed funeral trust investments $ 84,803 Market value as a percentage of cost 92.6 % |
Schedule of fair market value and unrealized loss on preneed funeral trust investments | Our preneed funeral trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses as of September 30, 2019 are shown in the following table (in thousands): September 30, 2019 In Loss Position Less than 12 months In Loss Position Greater than 12 months Total Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fixed income securities: U.S. treasury debt $ 822 $ — $ — $ — $ 822 $ — Foreign debt 1,878 (133 ) 1,015 (322 ) 2,893 (455 ) Corporate debt 2,908 (424 ) 4,702 (225 ) 7,610 (649 ) Preferred stock 2,077 (26 ) 2,550 (114 ) 4,627 (140 ) Mortgage-backed securities 4 — 395 (217 ) 399 (217 ) Common stock 11,736 (2,687 ) 2,848 (1,292 ) 14,584 (3,979 ) Mutual Funds: Fixed income 345 (43 ) 264 (11 ) 609 (54 ) Total temporary impaired securities $ 19,770 $ (3,313 ) $ 11,774 $ (2,181 ) $ 31,544 $ (5,494 ) Our preneed funeral trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses as of December 31, 2018 are shown in the following table (in thousands): December 31, 2018 In Loss Position Less than 12 months In Loss Position Greater than 12 months Total Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fixed income securities: U.S. treasury debt $ — $ — $ 1,181 $ (19 ) $ 1,181 $ (19 ) Foreign debt 2,180 (251 ) 850 (252 ) 3,030 (503 ) Corporate debt 9,990 (814 ) 434 (211 ) 10,424 (1,025 ) Preferred stock 5,967 (460 ) 3,673 (734 ) 9,640 (1,194 ) Mortgage-backed securities 11 — 120 (18 ) 131 (18 ) Common stock 14,327 (4,035 ) 1,155 (1,354 ) 15,482 (5,389 ) Mutual funds: Fixed income — — 246 (29 ) 246 (29 ) Total temporary impaired securities $ 32,475 $ (5,560 ) $ 7,659 $ (2,617 ) $ 40,134 $ (8,177 ) |
Preneed funeral trust investment security transactions | Preneed funeral trust investment security transactions recorded in Other, net on the Consolidated Statements of Operations for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Investment income $ 362 $ 328 $ 1,253 $ 1,310 Realized gains 1,425 1,114 4,332 4,920 Realized losses (1,232 ) (1,540 ) (2,623 ) (1,964 ) Expenses and taxes (190 ) (226 ) (668 ) (511 ) Net change in deferred preneed funeral receipts held in trust (365 ) 324 (2,294 ) (3,755 ) $ — $ — $ — $ — |
Purchases and sales of investments in preneed funeral trusts | Purchases and sales of investments in the preneed funeral trusts for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Purchases $ (9,144 ) $ (12,129 ) $ (19,584 ) $ (31,325 ) Sales 9,424 11,393 23,636 24,994 |
Preneed Cemetery Receivables (T
Preneed Cemetery Receivables (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Preneed Cemetery Receivables [Abstract] | |
Preneed Cemetery Receivables | September 30, 2019 , the change in the allowance for contract cancellations is as follows (in thousands): September 30, 2019 Beginning balance $ 1,808 Write-offs and cancellations (598 ) Provision 611 Ending balance $ 1,821 |
Aging of Past Due Financing Receivables | The aging of preneed cemetery financed receivables as of September 30, 2019 is as follows (in thousands): 31-60 Past Due 61-90 Past Due 91-120 Past Due >120 Past Due Total Past Due Current Total Financed Receivables Recognized revenue $ 510 $ 288 $ 101 $ 1,151 $ 2,050 $ 27,676 $ 29,726 Deferred revenue 203 81 63 279 626 9,169 9,795 Total $ 713 $ 369 $ 164 $ 1,430 $ 2,676 $ 36,845 $ 39,521 |
Receivables from Preneed Trus_2
Receivables from Preneed Trusts (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Receivables From Preneed Trusts [Abstract] | |
Receivables from Preneed Trusts | As of December 31, 2018 and September 30, 2019 , receivables from preneed trusts are as follows (in thousands): December 31, 2018 September 30, 2019 Preneed trust funds, at cost $ 17,601 $ 18,545 Less: allowance for contract cancellation (528 ) (556 ) Receivables from preneed trusts, net $ 17,073 $ 17,989 |
Composition of Assets Held in Trust | The following summary reflects the composition of the assets held in trust and controlled by third parties to satisfy our future obligations under preneed arrangements related to the preceding contracts at September 30, 2019 and December 31, 2018 . The cost basis includes reinvested interest and dividends that have been earned on the trust assets. Fair value includes the unrealized gains and losses on trust assets. The composition of the preneed trust funds at September 30, 2019 is as follows (in thousands): Historical Cost Basis Fair Value Cash and cash equivalents $ 4,443 $ 4,443 Fixed income investments 11,558 11,558 Mutual funds and common stocks 2,539 2,618 Annuities 5 5 Total $ 18,545 $ 18,624 The composition of the preneed trust funds at December 31, 2018 is as follows (in thousands): Historical Cost Basis Fair Value Cash and cash equivalents $ 4,172 $ 4,172 Fixed income investments 10,668 10,668 Mutual funds and common stocks 2,755 2,709 Annuities 6 6 Total $ 17,601 $ 17,555 |
Cemetery Perpetual Care Trust_2
Cemetery Perpetual Care Trust Investments (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Cemetery Perpetual Care Trust Investments [Abstract] | |
Components of care trusts' corpus | The components of Care trusts’ corpus as of December 31, 2018 and September 30, 2019 are as follows (in thousands): December 31, 2018 September 30, 2019 Trust assets, at market value $ 44,071 $ 48,397 Obligations due from trust (577 ) (626 ) Care trusts’ corpus $ 43,494 $ 47,771 |
Cost and fair market values associated with the trust investments held in perpetual care trust funds | The following table reflects the cost and fair market values associated with the trust investments held in perpetual care trust funds at September 30, 2019 (in thousands, except percentages): Fair Value Hierarchy Level Cost Unrealized Gains Unrealized Losses Fair Market Value Cash and money market accounts 1 $ 4,182 $ — $ — $ 4,182 Fixed income securities: Foreign debt 2 4,683 98 (336 ) 4,445 Corporate debt 2 11,935 654 (500 ) 12,089 Preferred stock 2 10,191 708 (94 ) 10,805 Mortgage-backed securities 2 355 — (132 ) 223 Common stock 1 16,101 687 (2,577 ) 14,211 Mutual funds: Fixed Income 2 1,901 63 (77 ) 1,887 Trust securities $ 49,348 $ 2,210 $ (3,716 ) $ 47,842 Accrued investment income $ 555 $ 555 Cemetery perpetual care investments $ 48,397 Market value as a percentage of cost 96.9 % |
Estimated maturities of fixed perpetual care trust income securities | The estimated maturities of the fixed income securities included above are as follows (in thousands): Due in one year or less $ — Due in one to five years 1,710 Due in five to ten years 8,600 Thereafter 17,252 Total $ 27,562 |
Cost and fair market values associated with trust investments held in perpetual care trust funds | The following table reflects the cost and fair market values associated with the trust investments held in perpetual care trust funds at December 31, 2018 (in thousands, except percentages): Fair Value Hierarchy Level Cost Unrealized Gains Unrealized Losses Fair Market Value Cash and money market accounts 1 $ 11,144 $ — $ — $ 11,144 Fixed income securities: Foreign debt 2 2,872 27 (385 ) 2,514 Corporate debt 2 9,956 227 (730 ) 9,453 Preferred stock 2 8,141 37 (820 ) 7,358 Mortgage-backed securities 2 417 101 (9 ) 509 Common stock 1 15,562 542 (3,395 ) 12,709 Trust securities $ 48,092 $ 934 $ (5,339 ) $ 43,687 Accrued investment income $ 384 $ 384 Cemetery perpetual care investments $ 44,071 Market value as a percentage of cost 90.8 % |
Schedule of fair market value and unrealized loss on perteptual care trust investments | Our perpetual care trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses for the periods ended September 30, 2019 are shown in the following table (in thousands): September 30, 2019 In Loss Position Less than 12 months In Loss Position Greater than 12 months Total Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fixed income securities: Foreign debt $ 1,368 $ (88 ) $ 734 $ (248 ) $ 2,102 $ (336 ) Corporate debt 1,971 (342 ) 3,425 (158 ) 5,396 (500 ) Preferred stock 2,542 (25 ) 1,549 (69 ) 4,091 (94 ) Mortgage-backed securities — — 223 (132 ) 223 (132 ) Common stock 7,753 (1,703 ) 1,885 (874 ) 9,638 (2,577 ) Mutual Funds: Fixed Income 601 (77 ) — — 601 (77 ) Total temporary impaired securities $ 14,235 $ (2,235 ) $ 7,816 $ (1,481 ) $ 22,051 $ (3,716 ) Our perpetual care trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses for the periods ended December 31, 2018 are shown in the following table (in thousands): December 31, 2018 In Loss Position Less than 12 months In Loss Position Greater than 12 months Total Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fair Market Value Unrealized Losses Fixed income securities: Foreign debt $ 1,619 $ (189 ) $ 639 $ (196 ) $ 2,258 $ (385 ) Corporate debt 7,006 (587 ) 301 (143 ) 7,307 (730 ) Preferred stock 3,586 (279 ) 2,787 (541 ) 6,373 (820 ) Mortgage-backed securities — — 32 (9 ) 32 (9 ) Common stock 9,010 (2,557 ) 733 (838 ) 9,743 (3,395 ) Total temporary impaired securities $ 21,221 $ (3,612 ) $ 4,492 $ (1,727 ) $ 25,713 $ (5,339 ) |
Perpetual care trust investment security transactions recorded in interest income and other, net | Perpetual care trust investment security transactions recorded in Other, net on our Consolidated Statements of Operations for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Realized gains $ 435 $ 291 $ 739 $ 1,315 Realized losses (363 ) (414 ) (889 ) (855 ) Net change in care trusts’ corpus (72 ) 123 150 (460 ) Total $ — $ — $ — $ — |
Perpetual care trust investment security transactions recorded in cemetery revenue | Perpetual care trust investment security transactions recorded in Other revenue for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Investment income $ 1,158 $ 1,220 $ 3,749 $ 3,414 Realized loss, net (241 ) (232 ) (955 ) (512 ) Total $ 917 $ 988 $ 2,794 $ 2,902 |
Purchases and sales of investments in perpetual care trusts | Purchases and sales of investments in the perpetual care trusts for the three and nine months ended September 30, 2018 and 2019 are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Purchases $ (5,185 ) $ (7,680 ) $ (11,856 ) $ (21,954 ) Sales 6,149 6,599 15,545 14,578 |
Intangible and Other Non-Curr_2
Intangible and Other Non-Current Assets (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure | Intangibles and other non-current assets at December 31, 2018 and September 30, 2019 are as follows (in thousands): December 31, 2018 September 30, 2019 Prepaid agreements not-to-compete, net of accumulated amortization of $6,672 and $7,185, respectively $ 4,048 $ 3,631 Tradenames 17,635 17,414 Capitalized commissions on preneed contracts, net of accumulated amortization of $569 and $986, respectively 2,717 2,805 Other 25 178 Intangible and other non-current assets, net $ 24,425 $ 24,028 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt | Our long-term debt consisted of the following at December 31, 2018 and September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Credit Facility $ 27,100 $ 18,000 Acquisition debt 8,940 7,813 Debt issuance costs, net of accumulated amortization of $109 and $276, respectively (955 ) (900 ) Less: current portion (2,015 ) (1,679 ) Total long-term debt $ 33,070 $ 23,234 |
Convertible Subordinated Notes
Convertible Subordinated Notes (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Convertible Subordinated Notes [Abstract] | |
Schedule of Liability and Equity Components of Convertible Subordinated Notes | The carrying values of the liability and equity components of the Convertible Notes at December 31, 2018 and September 30, 2019 are reflected on our Consolidated Balance Sheet as follows (in thousands): December 31, 2018 September 30, 2019 Long-term liabilities: Principal amount $ 6,346 $ 6,319 Unamortized discount of liability component (560 ) (382 ) Convertible Notes issuance costs, net of accumulated amortization of $106 and $125, respectively (54 ) (35 ) Carrying value of the liability component $ 5,732 $ 5,902 Carrying value of the equity component $ 789 $ 789 |
(Tables)
(Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Components of Lease Expense | The components of lease cost for the three and nine months ended September 30, 2019 are as follows (in thousands): Income Statement Classification Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Operating lease cost Facilities and grounds expense (1) $ 899 $ 2,762 Short-term lease cost Facilities and grounds expense (1) $ 73 $ 206 Finance lease cost: Depreciation of leased assets Depreciation and amortization (2) $ 131 $ 395 Interest on lease liabilities Interest expense 129 392 Total finance lease cost 260 787 Total lease cost $ 1,232 $ 3,755 (1) Facilities and grounds expense is included within Cost of service and General, administrative and other on our Consolidated Statements of Operations. (2) Depreciation and amortization expense is included within Field depreciation and Home office depreciation and amortization on our Consolidated Statements of Operations. Variable lease expense was immaterial for the three and nine months ended September 30, 2019 . Supplemental cash flow information related to our leases for the nine months ended September 30, 2019 is as follows (in thousands): Nine Months Ended September 30, 2019 Cash paid for operating leases included in operating activities $ 2,921 Cash paid for finance leases included in financing activities 669 Right-of-use assets obtained in exchange for new leases for the nine months ended September 30, 2019 is as follows (in thousands): Nine Months Ended September 30, 2019 Right-of-use assets obtained in exchange for new operating lease liabilities (1) $ 8,175 Right-of-use assets obtained in exchange for new finance lease liabilities — (1) During the three months ended June 30, 2019, we modified an existing operating lease to extend the term through 2030. As a result of this modification, we increased our lease liabilities and right-of-use assets by $8.2 million. Supplemental balance sheet information related to leases as of September 30, 2019 is as follows (in thousands): Lease Type Balance Sheet Classification September 30, 2019 Operating lease right-of-use assets Operating lease right-of-use assets $ 22,628 Finance lease right-of-use assets (1) Property, plant and equipment, net 5,322 Total right-of-use assets $ 27,950 Operating lease current liabilities Current portion of operating lease obligations $ 1,524 Finance lease current liabilities Current portion of finance lease obligations 282 Total current lease liabilities 1,806 Operating lease non-current liabilities Obligations under operating leases, net of current portion 21,758 Finance lease non-current liabilities Obligations under finance leases, net of current portion 5,929 Total non-current lease liabilities 27,687 Total lease liabilities $ 29,493 (1) Finance lease right-of-use assets are presented net of accumulated depreciation of $2.0 million. The average lease terms and discount rates as of September 30, 2019 are as follows: Weighted-average remaining lease term (years) Weighted-average discount rate Operating leases 11.2 8.1 % Finance leases 7.2 8.2 % |
Maturities of Operating Lease Liabilities | The aggregate future lease payments for operating and finance leases as of September 30, 2019 are as follows (in thousands): Operating Finance Lease payments due: Remainder of 2019 $ 975 $ 206 2020 3,277 828 2021 3,632 836 2022 3,283 860 2023 3,186 860 Thereafter 20,934 7,082 Total lease payments 35,287 10,672 Less: Interest (12,005 ) (4,461 ) Present value of lease liabilities $ 23,282 $ 6,211 |
Maturities of Financing Lease Liabilities | The aggregate future lease payments for operating and finance leases as of September 30, 2019 are as follows (in thousands): Operating Finance Lease payments due: Remainder of 2019 $ 975 $ 206 2020 3,277 828 2021 3,632 836 2022 3,283 860 2023 3,186 860 Thereafter 20,934 7,082 Total lease payments 35,287 10,672 Less: Interest (12,005 ) (4,461 ) Present value of lease liabilities $ 23,282 $ 6,211 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Status of Stock Based Compensation Plans | The status of each of the plans at September 30, 2019 is as follows (shares in thousands): Shares Shares Options Performance Awards Outstanding (2) Amended and Restated 2006 Plan — — 940 — 2017 Plan 2,709 (1) 1,952 136 501 Total 2,709 1,952 1,076 501 (1) Amount includes approximately 1,154,000 shares granted from the Amended and Restated 2006 Plan that were returned to the Company due to cancellations, to pay taxes on restricted stock vestings and to pay option price and taxes on option exercises. (2) Performance Awards are reserved at 200% of shares granted which is equal to the maximum payout in shares. |
Dividends Declared | the nine months ended September 30, 2018 and 2019 , our Board declared the following dividends payable on the dates below (in thousands, except per share amounts): 2018 Per Share Dollar Value March 1 st $ 0.075 $ 1,207 June 1 st $ 0.075 $ 1,433 September 1 st $ 0.075 $ 1,436 2019 Per Share Dollar Value March 1 st $ 0.075 $ 1,360 June 3 rd $ 0.075 $ 1,365 September 1 st $ 0.075 $ 1,336 |
Schedule of Accumulated Other Comprehensive Income | Our components of accumulated other comprehensive income are as follows (in thousands): Accumulated Other Comprehensive Income Balance at December 31, 2018 $ — Decrease in net unrealized gains associated with available-for-sale securities of the trusts (6,560 ) Reclassification of net unrealized gain activity attributable to the Deferred preneed funeral and cemetery receipts held in trust and Care trusts’ corpus 6,560 Balance at September 30, 2019 $ — |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table sets forth the computation of the basic and diluted earnings per share for the three and nine months ended September 30, 2018 and 2019 (in thousands, except per share data): Three Months Ended September 30, Nine Months Ended September 30, 2018 2019 2018 2019 Numerator for basic and diluted earnings per share: Net income $ 2,200 $ 577 $ 14,303 $ 11,964 Less: Earnings allocated to unvested restricted stock (11 ) (3 ) (79 ) (52 ) Income attributable to common stockholders $ 2,189 $ 574 $ 14,224 $ 11,912 Denominator: Denominator for basic earnings per common share - weighted average shares outstanding 19,060 17,737 17,701 17,917 Effect of dilutive securities: Stock options 101 31 123 34 Convertible Notes — — 449 — Denominator for diluted earnings per common share - weighted average shares outstanding 19,161 17,768 18,273 17,951 Basic earnings per common share: $ 0.11 $ 0.03 $ 0.80 $ 0.66 Diluted earnings per common share: $ 0.11 $ 0.03 $ 0.78 $ 0.66 |
Major Segments of Business (Tab
Major Segments of Business (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Revenue, pre-tax income and total and total assets by segments | The following table presents revenue, operating income (loss), income (loss) before income taxes and total assets by segment (in thousands): Funeral Cemetery Corporate Consolidated Revenue: Three Months Ended September 30, 2019 $ 51,517 $ 14,608 $ — $ 66,125 Three Months Ended September 30, 2018 49,843 14,398 — 64,241 Nine Months Ended September 30, 2019 $ 160,187 $ 42,771 $ — $ 202,958 Nine Months Ended September 30, 2018 156,969 44,506 — 201,475 Operating income (loss): Three Months Ended September 30, 2019 $ 14,124 $ 3,932 $ (6,112 ) $ 11,944 Three Months Ended September 30, 2018 13,644 3,470 (6,849 ) 10,265 Nine Months Ended September 30, 2019 $ 46,824 $ 12,083 $ (18,174 ) $ 40,733 Nine Months Ended September 30, 2018 45,962 12,165 (20,754 ) 37,373 Income (loss) before income taxes: Three Months Ended September 30, 2019 $ 9,312 $ 3,885 $ (11,673 ) $ 1,524 Three Months Ended September 30, 2018 13,417 3,560 (13,590 ) 3,387 Nine Months Ended September 30, 2019 $ 41,591 $ 12,324 $ (36,181 ) $ 17,734 Nine Months Ended September 30, 2018 45,244 12,406 (38,282 ) 19,368 Total assets: September 30, 2019 $ 693,718 $ 237,825 $ 20,605 $ 952,148 December 31, 2018 686,470 226,475 4,557 917,502 |
Supplementary Data (Tables)
Supplementary Data (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Supplementary Balance Sheet Disclosures | The detail of certain balance sheet accounts as of December 31, 2018 and September 30, 2019 (in thousands): December 31, 2018 September 30, 2019 Prepaid and other current assets: Prepaid expenses $ 1,456 $ 1,479 Federal income taxes receivable 923 — State income taxes receivable 422 173 Other current assets 210 112 Total prepaid and other current assets $ 3,011 $ 1,764 Accrued and other liabilities: Accrued salaries and wages $ 4,088 $ 2,804 Accrued incentive compensation 7,395 5,846 Accrued vacation 2,358 2,304 Accrued insurance 3,188 3,700 Accrued interest 1,856 7,235 Accrued ad valorem and franchise taxes 904 2,158 Accrued commissions 441 553 Federal income taxes payable 962 3,359 Deferred rent 274 — Other accrued liabilities 1,178 1,311 Total accrued and other liabilities $ 22,644 $ 29,270 Other long-term liabilities: Deferred rent $ 692 $ — Incentive compensation 1,563 1,246 Contingent consideration 878 689 Total other long-term liabilities $ 3,133 $ 1,935 |
Basis of Presentation and Sum_4
Basis of Presentation and Summary of Significant Accounting Policies (Operations) (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2019USD ($)funeral_homescemeteriesstates | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)funeral_homescemeteriesstatessegment | Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($) | |
Organization Description and Operations [Line Items] | |||||
Depreciation expense | $ 3,500 | $ 3,600 | $ 10,400 | $ 10,300 | |
Number of business segments | segment | 2 | ||||
Amortization Of Cemetery Property | $ 1,000 | 1,000 | $ 3,000 | 2,800 | |
Accounts Receivable, Gross | $ 37,244 | ||||
Period after which commissions are no longer subject to refund | 1 year | ||||
Preneed Cemetery Contracts, Term | 5 years | ||||
The percentage of trust assets in custody of institution receiving trust management services | 76.00% | 76.00% | |||
Accounts receivable, net of allowance for bad debts | $ 17,699 | $ 17,699 | 18,897 | ||
Other receivables | 213 | 213 | 207 | ||
Preneed receivables | 19,467 | 19,467 | 18,441 | ||
Bad debt expense | 1,188 | 1,511 | |||
Income Tax Expense (Benefit), Net Of Uncertain Tax Positions | $ 947 | $ 1,187 | $ 5,770 | $ 5,065 | |
Income taxes before discrete items | 4.60% | 30.30% | 26.50% | 28.00% | |
Period in which two-step goodwill impairment test is performed | 3 years | ||||
Goodwill, Qualitative Impairment Assessment, Period | 2 years | ||||
Goodwill, Impairment Loss | $ 509 | $ 846 | |||
Allowance for Doubtful Accounts, Percentage of Accounts Receivable | (2.60%) | (2.60%) | (2.20%) | ||
Percent of total receivables which are 120 days or more past due (in Percent) | 4.20% | 4.20% | 4.60% | ||
Amortization of capitalized commissions on preneed contracts | $ 140 | $ 156 | $ 417 | $ 449 | |
Accumulated Amortization, Property, Plant, and Equipment | (40,600) | (40,600) | $ (37,700) | ||
Funeral And Cemetery [Member] | |||||
Organization Description and Operations [Line Items] | |||||
Bad debt expense | 500 | $ 600 | 1,200 | $ 1,500 | |
Funeral | |||||
Organization Description and Operations [Line Items] | |||||
Accounts Receivable, Gross | 7,900 | 7,900 | 8,500 | ||
Accounts receivable, net of allowance for bad debts | 8,342 | 8,342 | 9,002 | ||
Other receivables | 600 | 600 | 700 | ||
Cemetery | |||||
Organization Description and Operations [Line Items] | |||||
Accounts Receivable, Gross | 39,521 | 39,521 | |||
Accounts receivable, net of allowance for bad debts | 9,144 | 9,144 | 9,688 | ||
Preneed receivables | 19,467 | 19,467 | 18,441 | ||
Allowance for Doubtful Accounts Receivable, Noncurrent | 1,225 | 1,225 | 1,228 | ||
Unearned finance charges associated with receivables | $ 4,500 | $ 4,500 | 4,600 | ||
Funeral homes [Member] | |||||
Organization Description and Operations [Line Items] | |||||
Number of owned and operated funeral homes (in Funeral Homes) | funeral_homes | 179 | 179 | |||
Number of states in which Company operates | states | 29 | 29 | |||
Revenue, Percentage | 80.00% | 80.00% | |||
Cemeteries [Member] | |||||
Organization Description and Operations [Line Items] | |||||
Number of states in which Company operates | states | 11 | 11 | |||
Number of owned and operated cemeteries (in Cemetaries) | cemeteries | 29 | 29 | |||
Revenue, Percentage | 20.00% | 20.00% | |||
Perpetual Care Trust Invesments [Member] | |||||
Organization Description and Operations [Line Items] | |||||
Accounts receivable, net of allowance for bad debts | $ 100 | $ 100 | $ 1,800 | ||
Separate Income Tax Return [Member] | |||||
Organization Description and Operations [Line Items] | |||||
Number Of States In Which Entity Files Separate State Income Tax Returns | states | 15 | ||||
Combined Or Unitary Income Tax Return [Member] | |||||
Organization Description and Operations [Line Items] | |||||
Number Of States In Which Entity Files Unitary Tax Returns | states | 14 | ||||
Minimum [Member] | |||||
Organization Description and Operations [Line Items] | |||||
Service Contract, Term | 8 years | ||||
Lease Term | 1 year | ||||
Maximum [Member] | |||||
Organization Description and Operations [Line Items] | |||||
Service Contract, Term | 10 years | ||||
Lease Term | 19 years | ||||
Lease Term, Options To Extend | 26 years | ||||
Transferred at Point in Time [Member] | |||||
Organization Description and Operations [Line Items] | |||||
Revenue, Remaining Performance Obligation, Amount | 388,200 | $ 388,200 | |||
Valuation, Income Approach [Member] | |||||
Organization Description and Operations [Line Items] | |||||
Reporting Unit, Measurement Input | 0.9 | ||||
Valuation, Market Approach [Member] | |||||
Organization Description and Operations [Line Items] | |||||
Reporting Unit, Measurement Input | 0.1 | ||||
Trade Names [Member] | |||||
Organization Description and Operations [Line Items] | |||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 200 | $ 200 |
Basis of Presentation and Sum_5
Basis of Presentation and Summary of Significant Accounting Policies (PPE) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment | $ 391,093 | $ 391,093 | $ 385,783 | ||
Allowance for Doubtful Accounts, Percentage of Accounts Receivable | (2.60%) | (2.60%) | (2.20%) | ||
Provision for losses on accounts receivable | $ 1,188 | $ 1,511 | |||
Property, plant and equipment, gross | $ 75,100 | 75,100 | $ 75,000 | ||
Accumulated Amortization, Property, Plant, and Equipment | 40,600 | 40,600 | 37,700 | ||
Amortization Of Cemetery Property | 1,000 | $ 1,000 | 3,000 | 2,800 | |
Less: accumulated depreciation | (133,058) | (133,058) | (124,945) | ||
Property, plant and equipment, net | 258,035 | 258,035 | 260,838 | ||
Depreciation expense | $ 3,500 | $ 3,600 | $ 10,400 | $ 10,300 | |
Income taxes before discrete items | 4.60% | 30.30% | 26.50% | 28.00% | |
Land [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment | $ 80,801 | $ 80,801 | 81,012 | ||
Buildings and improvements [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment | 226,290 | 226,290 | 223,646 | ||
Furniture, equipment and automobiles [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment | 84,002 | 84,002 | 81,125 | ||
Funeral | |||||
Property, Plant and Equipment [Line Items] | |||||
Allowance for Doubtful Accounts Receivable, Current | 206 | 206 | 189 | ||
Funeral And Cemetery [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Provision for losses on accounts receivable | 500 | $ 600 | 1,200 | $ 1,500 | |
Cemetery | |||||
Property, Plant and Equipment [Line Items] | |||||
Unearned finance charges associated with receivables | 4,500 | 4,500 | 4,600 | ||
Allowance for Doubtful Accounts Receivable, Current | 596 | 596 | 580 | ||
Allowance for Doubtful Accounts Receivable, Noncurrent | $ 1,225 | $ 1,225 | $ 1,228 |
Basis of Presentation and Sum_6
Basis of Presentation and Summary of Significant Accounting Policies Preneed Receivables (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Preneed cemetery receivables, net | $ 19,467 | $ 18,441 |
Cemetery | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Preneed cemetery receivables | 26,618 | 25,568 |
Less: unearned finance charges | (2,712) | (2,821) |
Less: allowance for bad debt and contract cancellation | (1,225) | (1,228) |
Less: balances due on undelivered cemetery preneed contracts | (3,214) | (3,078) |
Preneed cemetery receivables, net | $ 19,467 | $ 18,441 |
Basis of Presentation and Sum_7
Basis of Presentation and Summary of Significant Accounting Policies Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Income tax expense on operations at estimated rate | $ 70 | $ 1,028 | $ 4,691 | $ 5,423 |
Impact of discrete items | 17 | 159 | 219 | (358) |
Impact of divested business | 860 | 0 | 860 | 0 |
Total tax provision | $ 947 | $ 1,187 | $ 5,770 | $ 5,065 |
Tax rate on operations (including discrete items) | 5.70% | 35.00% | 27.70% | 26.20% |
Impact of divested business | 56.40% | 0.00% | 4.80% | 0.00% |
Total effective tax rate | 62.10% | 35.00% | 32.50% | 26.20% |
Income taxes before discrete items | 4.60% | 30.30% | 26.50% | 28.00% |
Recently Issued Accounting St_3
Recently Issued Accounting Standards - Additional Information (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Accounting Changes and Error Corrections [Abstract] | |||
Operating lease right-of-use assets | $ 22,628 | $ 16,470 | $ 0 |
Present value of lease liabilities | $ 23,282 | $ 17,300 |
Revenue From Contracts With C_3
Revenue From Contracts With Customers (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | $ 66,125 | $ 64,241 | $ 202,958 | $ 201,475 |
Services | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 34,133 | 33,005 | 105,444 | 103,668 |
Merchandise | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 19,978 | 19,589 | 62,052 | 61,925 |
Cemetery property | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 8,024 | 7,435 | 23,406 | 22,808 |
Other revenue | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 3,990 | 4,212 | 12,056 | 13,074 |
Funeral | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 51,517 | 49,843 | 160,187 | 156,969 |
Funeral | Services | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 31,400 | 30,231 | 97,308 | 94,818 |
Funeral | Merchandise | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 17,918 | 17,525 | 56,261 | 55,539 |
Funeral | Cemetery property | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Funeral | Other revenue | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 2,199 | 2,087 | 6,618 | 6,612 |
Cemetery | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 14,608 | 14,398 | 42,771 | 44,506 |
Cemetery | Services | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 2,733 | 2,774 | 8,136 | 8,850 |
Cemetery | Merchandise | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 2,060 | 2,064 | 5,791 | 6,386 |
Cemetery | Cemetery property | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | 8,024 | 7,435 | 23,406 | 22,808 |
Cemetery | Other revenue | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total | $ 1,791 | $ 2,125 | $ 5,438 | $ 6,462 |
Recently Issued Accounting St_4
Recently Issued Accounting Standards - Balance Sheet (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Prepaid and other current assets | $ 1,479 | $ 1,308 | $ 1,456 |
Operating lease right-of-use assets | 22,628 | 16,470 | 0 |
Assets | 952,148 | 917,502 | |
Other Liabilities | 22,370 | 22,644 | |
Other long-term liabilities | 1,935 | 2,441 | 3,133 |
Current portion of operating lease obligations | 1,524 | 2,633 | 0 |
Obligations under operating leases, net of current portion | 21,758 | 14,655 | 0 |
Liabilities | $ 727,638 | $ 696,010 | |
Accounting Standards Update 2016-02 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Prepaid and other current assets | (148) | ||
Operating lease right-of-use assets | 16,470 | ||
Assets | 16,322 | ||
Other Liabilities | (274) | ||
Other long-term liabilities | (692) | ||
Current portion of operating lease obligations | 2,633 | ||
Obligations under operating leases, net of current portion | 14,655 | ||
Liabilities | $ 16,322 |
Revenue From Contracts With C_4
Revenue From Contracts With Customers Deferred Revenue (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Receivables from Preneed Funeral Trusts | $ (17,989) | $ (17,073) |
Cemetery | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Accounts Receivable, Gross, Current | 1,500 | 1,400 |
Receivables from Preneed Funeral Trusts | 3,200 | 3,100 |
Deferred preneed cemetery revenue | 49,903 | 50,445 |
Less: Balances due on undelivered cemetery preneed contracts(1) | (4,708) | (4,448) |
Deferred preneed cemetery revenue, net | 45,195 | 45,997 |
Funeral | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Receivables from Preneed Funeral Trusts | 8,300 | 8,300 |
Deferred preneed cemetery revenue | 37,973 | 36,912 |
Less: Balances due on undelivered cemetery preneed contracts(1) | (8,451) | (8,306) |
Deferred preneed cemetery revenue, net | $ 29,522 | $ 28,606 |
Revenue From Contracts With C_5
Revenue From Contracts With Customers Narrative (Details) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019USD ($)segment | Dec. 31, 2018USD ($) | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Number of business segments | segment | 2 | |
Minimum [Member] | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Service Contract, Term | 8 years | |
Maximum [Member] | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Service Contract, Term | 10 years | |
Cemetery | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Less: Balances due on undelivered cemetery preneed contracts(1) | $ (4,708) | $ (4,448) |
Funeral | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Less: Balances due on undelivered cemetery preneed contracts(1) | $ (8,451) | $ (8,306) |
Goodwill (Details)
Goodwill (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2019 | Dec. 31, 2018 | |
Goodwill [Roll Forward] | ||
Goodwill at the beginning of year | $ 303,887 | $ 287,956 |
Increase in goodwill related to acquisitions | 0 | 16,777 |
Decrease in goodwill related to divestitures | (4,197) | 0 |
Decrease in goodwill related to impairments | (509) | (846) |
Goodwill at the end of the period | $ 299,181 | $ 303,887 |
DIVESTED OPERATIONS (Details)
DIVESTED OPERATIONS (Details) $ in Millions | Sep. 30, 2019USD ($) | Dec. 31, 2018business |
Discontinued Operations and Disposal Groups [Abstract] | ||
Consideration | $ | $ 0.9 | |
Number of business closed | business | 3 |
DIVESTED OPERATIONS Divested bu
DIVESTED OPERATIONS Divested business (Details) - Discontinued Operations, Disposed of by Sale [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Revenue | $ 108 | $ 1,478 | $ 471 | $ 4,712 |
Operating income (loss) | (31) | 345 | 4 | 1,130 |
Other, net | (3,863) | (349) | (3,874) | (349) |
Income tax benefit (provision) | 1,149 | 1 | 1,211 | (219) |
Net income (loss) from divested operations | $ (2,745) | $ (3) | $ (2,659) | $ 562 |
Preneed Trust Investments (Comp
Preneed Trust Investments (Components of preneed cemetery trust investments) (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2019 | Dec. 31, 2018 | |
Debt and Equity Securities, FV-NI [Line Items] | ||
Preneed cemetery trust investments, net | $ 68,333,000 | $ 62,432,000 |
Fair value measurements, transfers between Level 1 and Level 2 | 0 | |
Preneed Cemetery Trust Investments [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Preneed cemetery trust investments, at market value | 70,503,000 | 64,549,000 |
Less: allowance for contract cancellation | (2,170,000) | (2,117,000) |
Preneed cemetery trust investments, net | $ 68,333,000 | $ 62,432,000 |
Preneed Trust Investments (Cost
Preneed Trust Investments (Cost and fair market values associated with preneed cemetery trust investments) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Preneed Cemetery Trust Investments [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | $ 72,342 | $ 70,584 |
Unrealized Gains | 3,142 | 1,523 |
Unrealized Losses | (5,778) | (8,133) |
Fair Market Value | 69,706 | 63,974 |
Preneed cemetery trust investments | $ 70,503 | $ 64,549 |
Fair market value as a percentage of cost | 96.40% | 90.60% |
Preneed Cemetery Trust Investments [Member] | Mortgage Backed Securities [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | $ 666 | |
Unrealized Gains | 161 | |
Unrealized Losses | (14) | |
Fair Market Value | 813 | |
Preneed Cemetery Trust Investments [Member] | Accrued Investment Income [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | $ 797 | 575 |
Fair Market Value | 797 | 575 |
Preneed Funeral Trust Investments [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 91,437 | 90,993 |
Unrealized Gains | 3,076 | 1,450 |
Unrealized Losses | (5,494) | (8,177) |
Fair Market Value | 89,019 | 84,266 |
Preneed cemetery trust investments | $ 89,802 | $ 84,803 |
Fair market value as a percentage of cost | 97.40% | 92.60% |
Preneed Funeral Trust Investments [Member] | Accrued Investment Income [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | $ 783 | $ 537 |
Fair Market Value | 783 | 537 |
Fair Value, Inputs, Level 1 [Member] | Preneed Cemetery Trust Investments [Member] | Cash and money market accounts [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 7,657 | 16,194 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Market Value | 7,657 | 16,194 |
Fair Value, Inputs, Level 1 [Member] | Preneed Cemetery Trust Investments [Member] | Common stock | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 25,679 | 24,867 |
Unrealized Gains | 1,169 | 903 |
Unrealized Losses | (4,231) | (5,436) |
Fair Market Value | 22,617 | 20,334 |
Fair Value, Inputs, Level 1 [Member] | Preneed Funeral Trust Investments [Member] | Cash and money market accounts [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 24,535 | 31,375 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Market Value | 24,535 | 31,375 |
Fair Value, Inputs, Level 1 [Member] | Preneed Funeral Trust Investments [Member] | Common stock | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 24,960 | 24,803 |
Unrealized Gains | 1,125 | 887 |
Unrealized Losses | (3,979) | (5,389) |
Fair Market Value | 22,106 | 20,301 |
Fair Value, Inputs, Level 2 [Member] | Preneed Cemetery Trust Investments [Member] | Debt Security, Government, Non-US [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 6,380 | 3,802 |
Unrealized Gains | 125 | 43 |
Unrealized Losses | (471) | (511) |
Fair Market Value | 6,034 | 3,334 |
Fair Value, Inputs, Level 2 [Member] | Preneed Cemetery Trust Investments [Member] | Corporate Debt [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 17,404 | 13,987 |
Unrealized Gains | 812 | 362 |
Unrealized Losses | (660) | (1,026) |
Fair Market Value | 17,556 | 13,323 |
Fair Value, Inputs, Level 2 [Member] | Preneed Cemetery Trust Investments [Member] | Preferred Stock [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 13,193 | 11,068 |
Unrealized Gains | 1,000 | 54 |
Unrealized Losses | (137) | (1,146) |
Fair Market Value | 14,056 | 9,976 |
Fair Value, Inputs, Level 2 [Member] | Preneed Cemetery Trust Investments [Member] | Mortgage Backed Securities [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 567 | |
Unrealized Gains | 0 | |
Unrealized Losses | (210) | |
Fair Market Value | 357 | |
Fair Value, Inputs, Level 2 [Member] | Preneed Funeral Trust Investments [Member] | Debt Security, Government, Non-US [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 6,371 | 3,748 |
Unrealized Gains | 122 | 44 |
Unrealized Losses | (455) | (503) |
Fair Market Value | 6,038 | 3,289 |
Fair Value, Inputs, Level 2 [Member] | Preneed Funeral Trust Investments [Member] | Corporate Debt [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 16,774 | 14,195 |
Unrealized Gains | 799 | 294 |
Unrealized Losses | (649) | (1,025) |
Fair Market Value | 16,924 | 13,464 |
Fair Value, Inputs, Level 2 [Member] | Preneed Funeral Trust Investments [Member] | Preferred Stock [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 13,002 | 11,500 |
Unrealized Gains | 993 | 54 |
Unrealized Losses | (140) | (1,194) |
Fair Market Value | 13,855 | 10,360 |
Fair Value, Inputs, Level 2 [Member] | Preneed Funeral Trust Investments [Member] | Mortgage Backed Securities [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 645 | 772 |
Unrealized Gains | 0 | 168 |
Unrealized Losses | (217) | (18) |
Fair Market Value | $ 428 | $ 922 |
Preneed Trust Investments (Esti
Preneed Trust Investments (Estimated maturities of fixed preneed cemetery trust income securities) (Details) - Preneed Cemetery Trust Investments [Member] $ in Thousands | Sep. 30, 2019USD ($) |
Debt and Equity Securities, FV-NI [Line Items] | |
Due in one year or less | $ 0 |
Due in one to five years | 2,582 |
Due in five to ten years | 12,924 |
Thereafter | 22,497 |
Total | $ 38,003 |
Preneed Trust Investments (Unre
Preneed Trust Investments (Unrealized losses on cemetery merchandise and service trust investments) (Details) - Preneed Cemetery Trust Investments [Member] - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $ 20,363 | $ 31,502 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (3,450) | (5,469) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 11,638 | 6,346 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (2,328) | (2,664) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 32,001 | 37,848 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (5,778) | (8,133) |
Available-for-sale Securities, Amortized Cost Basis | 72,342 | 70,584 |
Unrealized Gains | 3,142 | 1,523 |
Foreign Debt [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 1,824 | 2,140 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (130) | (245) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 1,057 | 895 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (341) | (266) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 2,881 | 3,035 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (471) | (511) |
Corporate Debt [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 3,465 | 9,918 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (434) | (813) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 4,777 | 443 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (226) | (213) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 8,242 | 10,361 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (660) | (1,026) |
Preferred Stock [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 2,282 | 5,253 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (26) | (399) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 2,477 | 3,767 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (111) | (747) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 4,759 | 9,020 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (137) | (1,146) |
Mortgage Backed Securities [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 357 | 51 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (210) | (14) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 357 | 51 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (210) | (14) |
Available-for-sale Securities, Amortized Cost Basis | 666 | |
Unrealized Gains | 161 | |
Common Stock [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 12,130 | 14,191 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (2,791) | (4,012) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 2,970 | 1,190 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (1,440) | (1,424) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 15,100 | 15,381 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (4,231) | (5,436) |
Mutual Fund [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 662 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (69) | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 662 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (69) | |
Fair Value, Inputs, Level 1 [Member] | Common stock | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost Basis | 25,679 | 24,867 |
Unrealized Gains | 1,169 | 903 |
Fair Value, Inputs, Level 2 [Member] | Corporate Debt [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost Basis | 17,404 | 13,987 |
Unrealized Gains | 812 | $ 362 |
Fair Value, Inputs, Level 2 [Member] | Mortgage Backed Securities [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost Basis | 567 | |
Unrealized Gains | $ 0 |
Preneed Trust Investments (Pren
Preneed Trust Investments (Preneed cemetery trust investment security transactions) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Debt and Equity Securities, FV-NI [Line Items] | ||||
Fair value measurements, transfers between Level 1 and Level 2 | $ 0 | |||
Preneed Cemetery Trust Investments [Member] | Interest Income and Other, Net [Member] | ||||
Debt and Equity Securities, FV-NI [Line Items] | ||||
Investment income | $ 323,000 | $ 315,000 | 1,308,000 | $ 1,214,000 |
Realized gain, net | 1,180,000 | 1,376,000 | 5,001,000 | 2,247,000 |
Realized losses | (1,527,000) | (1,141,000) | (3,163,000) | (2,498,000) |
Expenses and taxes | (396,000) | (365,000) | (1,081,000) | (637,000) |
Increase (decrease) in deferred preneed cemetery receipts held in trust | $ 420,000 | $ (185,000) | $ (2,065,000) | $ (326,000) |
Preneed Trust Investments (Purc
Preneed Trust Investments (Purchases and sales of investments in preneed cemetery trusts) (Details) - Preneed Cemetery Trust Investments [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Debt and Equity Securities, FV-NI [Line Items] | ||||
Purchases | $ (13,488) | $ (8,165) | $ (33,299) | $ (18,423) |
Sales | $ 11,672 | $ 8,878 | $ 24,690 | $ 22,776 |
Preneed Trust Investments (Co_2
Preneed Trust Investments (Components of preneed funeral trust investments) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Debt and Equity Securities, FV-NI [Line Items] | ||
Preneed funeral trust investments | $ 87,059 | $ 82,074 |
Preneed Funeral Trust Investments [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Preneed funeral trust investments, at fair value | 89,802 | 84,803 |
Less: allowance for contract cancellation | (2,743) | (2,729) |
Preneed funeral trust investments | $ 87,059 | $ 82,074 |
Preneed Trust Investments (Co_3
Preneed Trust Investments (Cost and fair market values associated with preneed funeral trust investments) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Preneed Cemetery Trust Investments [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | $ 72,342 | $ 70,584 |
Unrealized Gains | 3,142 | 1,523 |
Unrealized Losses | (5,778) | (8,133) |
Fair Market Value | 69,706 | 63,974 |
Preneed cemetery trust investments | $ 70,503 | $ 64,549 |
Fair market value as a percentage of cost | 96.40% | 90.60% |
Preneed Cemetery Trust Investments [Member] | Mortgage Backed Securities [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | $ 666 | |
Unrealized Gains | 161 | |
Unrealized Losses | (14) | |
Fair Market Value | 813 | |
Preneed Cemetery Trust Investments [Member] | Accrued Investment Income [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | $ 797 | 575 |
Fair Market Value | 797 | 575 |
Preneed Funeral Trust Investments [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 91,437 | 90,993 |
Unrealized Gains | 3,076 | 1,450 |
Unrealized Losses | (5,494) | (8,177) |
Fair Market Value | 89,019 | 84,266 |
Preneed cemetery trust investments | $ 89,802 | $ 84,803 |
Fair market value as a percentage of cost | 97.40% | 92.60% |
Preneed Funeral Trust Investments [Member] | Accrued Investment Income [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | $ 783 | $ 537 |
Fair Market Value | 783 | 537 |
Fair Value, Inputs, Level 1 [Member] | Preneed Cemetery Trust Investments [Member] | Cash and Money Market Accounts [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 7,657 | 16,194 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Market Value | 7,657 | 16,194 |
Fair Value, Inputs, Level 1 [Member] | Preneed Cemetery Trust Investments [Member] | Common stock | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 25,679 | 24,867 |
Unrealized Gains | 1,169 | 903 |
Unrealized Losses | (4,231) | (5,436) |
Fair Market Value | 22,617 | 20,334 |
Fair Value, Inputs, Level 1 [Member] | Preneed Funeral Trust Investments [Member] | Cash and Money Market Accounts [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 24,535 | 31,375 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Market Value | 24,535 | 31,375 |
Fair Value, Inputs, Level 1 [Member] | Preneed Funeral Trust Investments [Member] | U.S. Treasury Debt [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 822 | 1,319 |
Unrealized Gains | 0 | 3 |
Unrealized Losses | 0 | (19) |
Fair Market Value | 822 | 1,303 |
Fair Value, Inputs, Level 1 [Member] | Preneed Funeral Trust Investments [Member] | Common stock | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 24,960 | 24,803 |
Unrealized Gains | 1,125 | 887 |
Unrealized Losses | (3,979) | (5,389) |
Fair Market Value | 22,106 | 20,301 |
Fair Value, Inputs, Level 2 [Member] | Preneed Cemetery Trust Investments [Member] | Debt Security, Government, Non-US [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 6,380 | 3,802 |
Unrealized Gains | 125 | 43 |
Unrealized Losses | (471) | (511) |
Fair Market Value | 6,034 | 3,334 |
Fair Value, Inputs, Level 2 [Member] | Preneed Cemetery Trust Investments [Member] | Corporate Debt [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 17,404 | 13,987 |
Unrealized Gains | 812 | 362 |
Unrealized Losses | (660) | (1,026) |
Fair Market Value | 17,556 | 13,323 |
Fair Value, Inputs, Level 2 [Member] | Preneed Cemetery Trust Investments [Member] | Preferred Stock [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 13,193 | 11,068 |
Unrealized Gains | 1,000 | 54 |
Unrealized Losses | (137) | (1,146) |
Fair Market Value | 14,056 | 9,976 |
Fair Value, Inputs, Level 2 [Member] | Preneed Cemetery Trust Investments [Member] | Mortgage Backed Securities [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 567 | |
Unrealized Gains | 0 | |
Unrealized Losses | (210) | |
Fair Market Value | 357 | |
Fair Value, Inputs, Level 2 [Member] | Preneed Cemetery Trust Investments [Member] | Fixed Income [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 1,462 | |
Unrealized Gains | 36 | |
Unrealized Losses | (69) | |
Fair Market Value | 1,429 | |
Fair Value, Inputs, Level 2 [Member] | Preneed Funeral Trust Investments [Member] | Debt Security, Government, Non-US [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 6,371 | 3,748 |
Unrealized Gains | 122 | 44 |
Unrealized Losses | (455) | (503) |
Fair Market Value | 6,038 | 3,289 |
Fair Value, Inputs, Level 2 [Member] | Preneed Funeral Trust Investments [Member] | Corporate Debt [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 16,774 | 14,195 |
Unrealized Gains | 799 | 294 |
Unrealized Losses | (649) | (1,025) |
Fair Market Value | 16,924 | 13,464 |
Fair Value, Inputs, Level 2 [Member] | Preneed Funeral Trust Investments [Member] | Preferred Stock [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 13,002 | 11,500 |
Unrealized Gains | 993 | 54 |
Unrealized Losses | (140) | (1,194) |
Fair Market Value | 13,855 | 10,360 |
Fair Value, Inputs, Level 2 [Member] | Preneed Funeral Trust Investments [Member] | Mortgage Backed Securities [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 645 | 772 |
Unrealized Gains | 0 | 168 |
Unrealized Losses | (217) | (18) |
Fair Market Value | 428 | 922 |
Fair Value, Inputs, Level 2 [Member] | Preneed Funeral Trust Investments [Member] | Fixed Income [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 1,415 | 275 |
Unrealized Gains | 37 | 0 |
Unrealized Losses | (54) | (29) |
Fair Market Value | 1,398 | 246 |
Fair Value, Inputs, Level 2 [Member] | Preneed Funeral Trust Investments [Member] | Other Investments [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 2,913 | 3,006 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Market Value | $ 2,913 | $ 3,006 |
Preneed Trust Investments (Es_2
Preneed Trust Investments (Estimated maturities of fixed preneed funeral trust income securities) (Details) - Preneed Funeral Trust Investments [Member] $ in Thousands | Sep. 30, 2019USD ($) |
Debt and Equity Securities, FV-NI [Line Items] | |
Due in one year or less | $ 0 |
Due in one to five years | 3,480 |
Due in five to ten years | 12,483 |
Thereafter | 22,104 |
Total | $ 38,067 |
Preneed Trust Investments (Pr_2
Preneed Trust Investments (Preneed funeral trust investment security transactions) (Details) - Preneed Funeral Trust Investments [Member] - Interest Income and Other, Net [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Debt and Equity Securities, FV-NI [Line Items] | ||||
Investment income | $ 328 | $ 362 | $ 1,310 | $ 1,253 |
Realized gain, net | 1,114 | 1,425 | 4,920 | 4,332 |
Realized losses | (1,540) | (1,232) | (1,964) | (2,623) |
Expenses and taxes | (226) | (190) | (511) | (668) |
Decrease in deferred preneed funeral receipts held in trust | $ 324 | $ (365) | $ (3,755) | $ (2,294) |
Preneed Trust Investments (Pu_2
Preneed Trust Investments (Purchases and sales of investments in preneed funeral trusts) (Details) - Preneed Funeral Trust Investments [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Debt and Equity Securities, FV-NI [Line Items] | ||||
Purchases | $ (12,129) | $ (9,144) | $ (31,325) | $ (19,584) |
Sales | $ 11,393 | $ 9,424 | $ 24,994 | $ 23,636 |
Preneed Trust Investments (Un_2
Preneed Trust Investments (Unrealized losses on preneed funeral trust investments) (Details) - Preneed Funeral Trust Investments [Member] - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $ 19,770 | $ 32,475 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (3,313) | (5,560) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 11,774 | 7,659 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (2,181) | (2,617) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 31,544 | 40,134 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (5,494) | (8,177) |
US States and Political Subdivisions Debt Securities [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 822 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | 1,181 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | (19) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 822 | 1,181 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 0 | (19) |
Foreign Debt [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 1,878 | 2,180 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (133) | (251) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 1,015 | 850 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (322) | (252) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 2,893 | 3,030 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (455) | (503) |
Corporate Debt [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 2,908 | 9,990 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (424) | (814) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 4,702 | 434 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (225) | (211) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 7,610 | 10,424 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (649) | (1,025) |
Preferred Stock [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 2,077 | 5,967 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (26) | (460) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 2,550 | 3,673 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (114) | (734) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 4,627 | 9,640 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (140) | (1,194) |
Collateralized Mortgage Backed Securities [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 4 | 11 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 395 | 120 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (217) | (18) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 399 | 131 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (217) | (18) |
Equity [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 11,736 | 14,327 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (2,687) | (4,035) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 2,848 | 1,155 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (1,292) | (1,354) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 14,584 | 15,482 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (3,979) | (5,389) |
Fixed Income [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 345 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (43) | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 264 | 246 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (11) | (29) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 609 | 246 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ (54) | $ (29) |
Preneed Trust Investments Prene
Preneed Trust Investments Preneed Trust Investments (Narrative) (Details) | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Debt Securities, Available-for-sale [Line Items] | |
Fair value measurements, transfers between Level 1 and Level 2 | $ 0 |
Preneed Cemetery Receivables (N
Preneed Cemetery Receivables (Narrative) (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2019 | Dec. 31, 2018 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Term of sales contract for cemetery interment rights, maximum (in Duration) | 5 years | |
Past due notifications starting date (in Days) | 15 days | |
Accounts receivable allowance percentage on contracts past due 120 days or more (in Percent) | 100.00% | |
Number of days past due contractual payments are when they are provided for with a one hundred percent allowance (in Days) | 90 days | |
Percent of total receivables which are 120 days or more past due (in Percent) | 4.20% | 4.60% |
Cemetery | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Unearned finance charges associated with receivables | $ 4.5 | $ 4.6 |
Preneed Cemetery Receivables (P
Preneed Cemetery Receivables (Preneed cemetery receivables) (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Debt and Equity Securities, FV-NI [Line Items] | |||
Preneed receivables | $ 19,467 | $ 18,441 | |
Amount of receivables for preneed cemetery interment rights and related products and services presented in accounts receivables | 12,903 | 11,676 | |
Allowance for Contract Cancellations [Roll Forward] | |||
Provision | 1,188 | $ 1,511 | |
Amount of receivables for preneed cemetery interment rights and related products and services presented in preneed receivables | 26,618 | 25,568 | |
Accounts Receivable, Gross | 37,244 | ||
Receivables from Preneed Funeral Trusts | (17,989) | (17,073) | |
Cemetery | |||
Debt and Equity Securities, FV-NI [Line Items] | |||
Accounts Receivable, Gross, Current | 1,500 | 1,400 | |
Allowance for Contract Cancellations [Roll Forward] | |||
Receivables from Preneed Funeral Trusts | 3,200 | 3,100 | |
Preneed Cemetery Receivables [Member] | |||
Debt and Equity Securities, FV-NI [Line Items] | |||
Allowance for Doubtful Accounts Receivable, Current | 2,412 | 2,405 | |
Allowance for Doubtful Accounts Receivable, Current, Preneed Receivables | 3,937 | 4,049 | |
Allowance for Contract Cancellations [Roll Forward] | |||
Beginning balance | 1,808 | ||
Write-offs and cancellations | (598) | ||
Provision | 611 | ||
Ending balance | 1,821 | ||
Cemetery | |||
Debt and Equity Securities, FV-NI [Line Items] | |||
Preneed cemetery receivables | 26,618 | 25,568 | |
Unearned finance charges associated with receivables | 4,500 | 4,600 | |
Allowance for Doubtful Accounts Receivable, Noncurrent | 1,225 | 1,228 | |
Preneed Receivables, Balances Due on Undelivered Contracts | 3,214 | 3,078 | |
Preneed receivables | 19,467 | 18,441 | |
Allowance for Doubtful Accounts Receivable, Current | 596 | $ 580 | |
Allowance for Contract Cancellations [Roll Forward] | |||
Accounts Receivable, Gross | $ 39,521 |
Preneed Cemetery Receivables (A
Preneed Cemetery Receivables (Aging of past due financing receivables) (Details) $ in Thousands | Sep. 30, 2019USD ($) |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | $ 2,676 |
Current | 36,845 |
Total Financing Receivables | 39,521 |
Recognized Revenue [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 2,050 |
Current | 27,676 |
Total Financing Receivables | 29,726 |
Deferred Revenue [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 626 |
Current | 9,169 |
Total Financing Receivables | 9,795 |
Financing Receivables, 30 to 59 Days Past Due [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 713 |
Financing Receivables, 30 to 59 Days Past Due [Member] | Recognized Revenue [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 510 |
Financing Receivables, 30 to 59 Days Past Due [Member] | Deferred Revenue [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 203 |
Financing Receivables, 60 to 89 Days Past Due [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 369 |
Financing Receivables, 60 to 89 Days Past Due [Member] | Recognized Revenue [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 288 |
Financing Receivables, 60 to 89 Days Past Due [Member] | Deferred Revenue [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 81 |
Financing Receivables, 90 to 120 Days Past Due [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 164 |
Financing Receivables, 90 to 120 Days Past Due [Member] | Recognized Revenue [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 101 |
Financing Receivables, 90 to 120 Days Past Due [Member] | Deferred Revenue [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 63 |
Financing Receivables, Greater Than 120 Days Past Due [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 1,430 |
Financing Receivables, Greater Than 120 Days Past Due [Member] | Recognized Revenue [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | 1,151 |
Financing Receivables, Greater Than 120 Days Past Due [Member] | Deferred Revenue [Member] | |
Financing Receivable Recorded Investment Past Due [Line Items] | |
Total Past Due | $ 279 |
Receivables from Preneed Trus_3
Receivables from Preneed Trusts (Narrative) (Details) | 9 Months Ended |
Sep. 30, 2019 | |
Receivables From Preneed Trusts [Abstract] | |
Amount at which there is no controlling interest in trust assets (Description) | less than 50% |
Receivables from Preneed Trus_4
Receivables from Preneed Trusts (Receivables from preneed funeral trust funds) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Receivables From Preneed Trusts [Abstract] | ||
Preneed trust funds, at cost | $ 18,545 | $ 17,601 |
Less: Allowance for contract cancellation | (556) | (528) |
Receivables from preneed trusts, net | $ 17,989 | $ 17,073 |
Receivables from Preneed Trus_5
Receivables from Preneed Trusts Receivables from Preneed Trusts (Composition of Assets Held in Trusts) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Fair Value [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Assets held-in-trust | $ 18,624 | $ 17,555 |
Fair Value [Member] | Cash and cash equivalents [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Assets held-in-trust | 4,443 | 4,172 |
Fair Value [Member] | Fixed income investments [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Assets held-in-trust | 11,558 | 10,668 |
Fair Value [Member] | Mutual funds and common stocks [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Assets held-in-trust | 2,618 | 2,709 |
Fair Value [Member] | Annuities [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Assets held-in-trust | 5 | 6 |
Historical Cost Basis [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Assets held-in-trust | 18,545 | 17,601 |
Historical Cost Basis [Member] | Cash and cash equivalents [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Assets held-in-trust | 4,443 | 4,172 |
Historical Cost Basis [Member] | Fixed income investments [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Assets held-in-trust | 11,558 | 10,668 |
Historical Cost Basis [Member] | Mutual funds and common stocks [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Assets held-in-trust | 2,539 | 2,755 |
Historical Cost Basis [Member] | Annuities [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Assets held-in-trust | $ 5 | $ 6 |
Cemetery Perpetual Care Trust_3
Cemetery Perpetual Care Trust Investments (The Components of Care trusts' corpus) (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2019 | Dec. 31, 2018 | |
Debt and Equity Securities, FV-NI [Line Items] | ||
Care trusts’ corpus | $ 47,771,000 | $ 43,494,000 |
Fair value measurements, transfers between Level 1 and Level 2 | 0 | |
Perpetual Care Trust Invesments [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Trust assets, at market value | 48,397,000 | 44,071,000 |
Obligations due from trust | (626,000) | (577,000) |
Care trusts’ corpus | $ 47,771,000 | $ 43,494,000 |
Cemetery Perpetual Care Trust_4
Cemetery Perpetual Care Trust Investments (Cost and fair market values associated with the trust investments held in perpetual care trust funds) (Details) - Perpetual Care Trust Invesments [Member] - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Debt and Equity Securities, FV-NI [Line Items] | ||
Cemetary perpetual care trust investments | $ 48,397 | $ 44,071 |
Fair market value as a percentage of cost | 96.90% | 90.80% |
Trust Securities [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | $ 49,348 | $ 48,092 |
Unrealized Gains | 2,210 | 934 |
Unrealized Losses | (3,716) | (5,339) |
Fair Market Value | 47,842 | 43,687 |
Accrued Investment Income [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 555 | 384 |
Fair Market Value | 555 | 384 |
Fair Value, Inputs, Level 1 [Member] | Cash and Money Market Accounts [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 4,182 | 11,144 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Market Value | 4,182 | 11,144 |
Fair Value, Inputs, Level 1 [Member] | Common stock | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 16,101 | 15,562 |
Unrealized Gains | 687 | 542 |
Unrealized Losses | (2,577) | (3,395) |
Fair Market Value | 14,211 | 12,709 |
Fair Value, Inputs, Level 2 [Member] | Debt Security, Government, Non-US [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 4,683 | 2,872 |
Unrealized Gains | 98 | 27 |
Unrealized Losses | (336) | (385) |
Fair Market Value | 4,445 | 2,514 |
Fair Value, Inputs, Level 2 [Member] | Corporate Debt [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 11,935 | 9,956 |
Unrealized Gains | 654 | 227 |
Unrealized Losses | (500) | (730) |
Fair Market Value | 12,089 | 9,453 |
Fair Value, Inputs, Level 2 [Member] | Preferred Stock [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 10,191 | 8,141 |
Unrealized Gains | 708 | 37 |
Unrealized Losses | (94) | (820) |
Fair Market Value | 10,805 | 7,358 |
Fair Value, Inputs, Level 2 [Member] | Mortgage Backed Securities [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 355 | 417 |
Unrealized Gains | 0 | 101 |
Unrealized Losses | (132) | (9) |
Fair Market Value | 223 | $ 509 |
Fair Value, Inputs, Level 2 [Member] | Fixed Income [Member] | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Cost | 1,901 | |
Unrealized Gains | 63 | |
Unrealized Losses | (77) | |
Fair Market Value | $ 1,887 |
Cemetery Perpetual Care Trust_5
Cemetery Perpetual Care Trust Investments (Estimated maturities of fixed perpetual care trust income securities) (Details) - Perpetual Care Trust Invesments [Member] $ in Thousands | Sep. 30, 2019USD ($) |
Debt and Equity Securities, FV-NI [Line Items] | |
Due in one year or less | $ 0 |
Due in one to five years | 1,710 |
Due in five to ten years | 8,600 |
Thereafter | 17,252 |
Total | $ 27,562 |
Cemetery Perpetual Care Trust_6
Cemetery Perpetual Care Trust Investments (Unrealized losses on perpetual care trust investments) (Details) - Perpetual Care Trust Invesments [Member] - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $ 14,235 | $ 21,221 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (2,235) | (3,612) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 7,816 | 4,492 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (1,481) | (1,727) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 22,051 | 25,713 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (3,716) | (5,339) |
Foreign Debt [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 1,368 | 1,619 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (88) | (189) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 734 | 639 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (248) | (196) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 2,102 | 2,258 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (336) | (385) |
Corporate Debt Securities [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 1,971 | 7,006 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (342) | (587) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 3,425 | 301 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (158) | (143) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 5,396 | 7,307 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (500) | (730) |
Common Stock [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 7,753 | 9,010 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (1,703) | (2,557) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 1,885 | 733 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (874) | (838) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 9,638 | 9,743 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (2,577) | (3,395) |
Preferred Stock [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 2,542 | 3,586 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (25) | (279) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 1,549 | 2,787 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (69) | (541) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 4,091 | 6,373 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (94) | (820) |
Mortgage Backed Securities [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 223 | 32 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (132) | (9) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 223 | 32 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (132) | $ (9) |
Mutual Fund [Member] | ||
Gain (Loss) on Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 601 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (77) | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 601 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ (77) |
Cemetery Perpetual Care Trust_7
Cemetery Perpetual Care Trust Investments (Perpetual care trust investment security transactions recorded in interest income and other, net) (Details) - Perpetual Care Trust Invesments [Member] - Interest Income and Other, Net [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Debt and Equity Securities, FV-NI [Line Items] | ||||
Realized gains | $ 291 | $ 435 | $ 1,315 | $ 739 |
Realized losses | (414) | (363) | (855) | (889) |
Net change in care trusts’ corpus | $ 123 | $ (72) | $ (460) | $ 150 |
Cemetery Perpetual Care Trust_8
Cemetery Perpetual Care Trust Investments (Perpetual care trust investment security transactions recorded in Cemetery revenue) (Details) - Perpetual Care Trust Invesments [Member] - Cemetery Revenue [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Debt and Equity Securities, FV-NI [Line Items] | ||||
Investment income | $ 1,220 | $ 1,158 | $ 3,414 | $ 3,749 |
Realized loss, net | (232) | (241) | (512) | (955) |
Total | $ 988 | $ 917 | $ 2,902 | $ 2,794 |
Cemetery Perpetual Care Trust_9
Cemetery Perpetual Care Trust Investments (Purchases and sales of investments in perpetual care trusts) (Details) - Perpetual Care Trust Invesments [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Debt and Equity Securities, FV-NI [Line Items] | ||||
Purchases | $ (7,680) | $ (5,185) | $ (21,954) | $ (11,856) |
Sales | $ 6,599 | $ 6,149 | $ 14,578 | $ 15,545 |
Cemetery Perpetual Care Trus_10
Cemetery Perpetual Care Trust Investments Cemetery Perpetual Care Trust Investments (Narrative) (Details) | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Debt Securities, Available-for-sale [Line Items] | |
Fair value measurements, transfers between Level 1 and Level 2 | $ 0 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) | Sep. 30, 2019 | Mar. 19, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities measured at fair value | $ 0 | |
Convertible Subordinated Notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Stated interest rate percentage | 2.75% | 2.75% |
Long-term debt measured at fair value | $ 7,100,000 | |
Senior Notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Stated interest rate percentage | 6.625% | |
Long-term debt measured at fair value | $ 334,000,000 |
Intangible and Other Non-Curr_3
Intangible and Other Non-Current Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Other Assets, Noncurrent | $ 178 | $ 178 | $ 25 | ||
Capitalized commissions on preneed contracts, net | 2,805 | 2,805 | 2,717 | ||
Debt Issuance Costs, Net | 900 | 900 | 955 | ||
Deferred Costs and Other Assets | 24,028 | 24,028 | 24,425 | ||
Amortization of deferred financing costs | 289 | $ 420 | |||
Amortization of capitalized commissions on preneed contracts | 140 | $ 156 | 417 | 449 | |
Accumulated Amortization of Other Deferred Costs | 986 | $ 986 | 569 | ||
Minimum [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Service Contract, Term | 8 years | ||||
Maximum [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Service Contract, Term | 10 years | ||||
Trade Names [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Other Assets, Noncurrent | 17,414 | $ 17,414 | 17,635 | ||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 200 | 200 | |||
Noncompete Agreements [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Finite-Lived Intangible Assets, Net | 3,631 | 3,631 | 4,048 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | 7,185 | 7,185 | $ 6,672 | ||
Amortization of Intangible Assets | 177 | 160 | $ 513 | $ 452 | |
Noncompete Agreements [Member] | Minimum [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Finite-lived intangible assets, useful life | 1 year | ||||
Noncompete Agreements [Member] | Maximum [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Finite-lived intangible assets, useful life | 10 years | ||||
Credit Agreement 2018 [Member] | Revolving Credit Facility [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Amortization of deferred financing costs | $ 59 | $ 41 | $ 167 |
Long-Term Debt (Long-term Debt
Long-Term Debt (Long-term Debt Table) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Debt Instrument [Line Items] | |||||
Carrying value of the liability component | $ 319,577,000 | $ 319,577,000 | $ 319,108,000 | ||
Debt issuance costs | (900,000) | (900,000) | (955,000) | ||
Current maturities on long-term debt | (1,679,000) | (1,679,000) | (2,015,000) | ||
Long-term debt, excluding current maturities | 23,234,000 | 23,234,000 | 33,070,000 | ||
Revolving credit facility present accordion provisions | 75,000,000 | 75,000,000 | |||
Amortization of Debt Issuance Costs | 289,000 | $ 420,000 | |||
Credit Agreement 2018 [Member] | Revolving Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Carrying value of the liability component | 27,100,000 | ||||
Amortization of Debt Issuance Costs | 59,000 | $ 41,000 | 167,000 | ||
Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Amortization of Debt Issuance Costs | $ 172,000 | ||||
Notes Payable, Other Payables [Member] | Acquisition Debt, Deferred Purchase Price [Member] | |||||
Debt Instrument [Line Items] | |||||
Carrying value of the liability component | $ 7,813,000 | $ 7,813,000 | $ 8,940,000 |
Long-Term Debt (Narrative) (Det
Long-Term Debt (Narrative) (Details) | May 31, 2018USD ($) | Nov. 30, 2016USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($) |
Debt Covenant To Actual Ratios [Line Items] | |||||||
Repayments of Long-term Lines of Credit | $ 37,300,000 | $ 188,000,000 | |||||
Revolving credit facility present accordion provisions | $ 75,000,000 | 75,000,000 | |||||
Carrying value of the liability component | $ 319,577,000 | 319,577,000 | $ 319,108,000 | ||||
Deferred payments | $ 2,000,000 | ||||||
Amortization of Debt Issuance Costs | $ 289,000 | 420,000 | |||||
Ratio Actual [Member] | |||||||
Debt Covenant To Actual Ratios [Line Items] | |||||||
Ratio of indebtedness to net capital (in Ratio) (below at March 31, 2015) | 4.89 | 4.89 | |||||
Ratio of earnings to fixed cost obligations (in Ratio) | 2.20 | 2.20 | |||||
Term Loan [Member] | |||||||
Debt Covenant To Actual Ratios [Line Items] | |||||||
Revolving credit facility, maximum borrowing capacity | $ 150,000,000 | $ 150,000,000 | |||||
Senior Notes [Member] | |||||||
Debt Covenant To Actual Ratios [Line Items] | |||||||
Repayments of Long-term Lines of Credit | $ 291,400,000 | ||||||
Amortization of Debt Issuance Costs | $ 35,000 | $ 33,000 | $ 103,000 | 44,000 | |||
Stated interest rate percentage | 6.625% | 6.625% | |||||
Interest Expense, Debt | $ 5,400,000 | 5,400,000 | $ 16,100,000 | 7,200,000 | |||
Credit Agreement [Member] | |||||||
Debt Covenant To Actual Ratios [Line Items] | |||||||
Amortization of Debt Issuance Costs | 172,000 | ||||||
Credit Agreement [Member] | Term Loan [Member] | |||||||
Debt Covenant To Actual Ratios [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 2.125% | ||||||
Prime Rate Option [Member] | Line of Credit [Member] | |||||||
Debt Covenant To Actual Ratios [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | ||||||
Libor Margin Option [Member] | Line of Credit [Member] | |||||||
Debt Covenant To Actual Ratios [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 2.00% | ||||||
Series of Individually Immaterial Business Acquisitions [Member] | |||||||
Debt Covenant To Actual Ratios [Line Items] | |||||||
Interest Expense, Debt | $ 152,000 | 191,000 | $ 481,000 | $ 616,000 | |||
Revolving Credit Facility, Secured, Floating Rate [Member] | Credit Agreement [Member] | Revolving Credit Facility [Member] | |||||||
Debt Covenant To Actual Ratios [Line Items] | |||||||
Weighted average interest rate | 3.90% | 4.00% | 4.00% | ||||
Revolving Credit Facility, Secured, Floating Rate [Member] | Line of Credit [Member] | Revolving Credit Facility [Member] | |||||||
Debt Covenant To Actual Ratios [Line Items] | |||||||
Carrying value of the liability component | $ 18,000,000 | $ 18,000,000 | |||||
Revolving Credit Facility [Member] | Credit Agreement 2018 [Member] | |||||||
Debt Covenant To Actual Ratios [Line Items] | |||||||
Carrying value of the liability component | $ 27,100,000 | ||||||
Amortization of Debt Issuance Costs | $ 59,000 | $ 41,000 | $ 167,000 |
Convertible Subordinated Note_2
Convertible Subordinated Notes (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||||||||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Apr. 04, 2019 | Dec. 31, 2018 | Dec. 24, 2018 | May 08, 2018 | May 07, 2018 | Mar. 19, 2014 | |
Debt Instrument [Line Items] | ||||||||||
Effect of dilutive securities, Convertible junior subordinated debentures (in shares) | 0 | 0 | 0 | 449,000 | ||||||
Carrying Values of Liability and Equity Components, Convertible Subordinated Notes | ||||||||||
Debt issuance costs | $ (900,000) | $ (900,000) | $ (955,000) | |||||||
Carrying value of the liability component | 319,577,000 | 319,577,000 | 319,108,000 | |||||||
Amortization of Debt Issuance Costs | 289,000 | $ 420,000 | ||||||||
Accumulated Amortization, Debt Issuance Costs | $ 276,000 | $ 276,000 | 109,000 | |||||||
Convertible Subordinated Notes [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument, Discount Rate | 11.40% | 11.40% | 11.40% | 11.40% | ||||||
Debt Instrument, Unamortized Debt Issuance Costs | 3.20% | 3.20% | 3.20% | 3.20% | ||||||
Stated interest rate percentage | 2.75% | 2.75% | 2.75% | |||||||
Carrying Values of Liability and Equity Components, Convertible Subordinated Notes | ||||||||||
Convertible subordinated notes, principal amount | $ 25,000 | 6,346,000 | $ 22,400,000 | $ 28,800,000 | $ 115,000,000 | $ 143,750,000 | ||||
Unamortized discount of liability component | $ (382,000) | $ (382,000) | (560,000) | |||||||
Debt issuance costs | (35,000) | (35,000) | (54,000) | |||||||
Carrying value of the liability component | 5,902,000 | 5,902,000 | 5,732,000 | $ 6,319,000 | ||||||
Carrying value of the equity component | 789,000 | 789,000 | 789,000 | |||||||
Convertible subordinated notes, fair value | 7,100,000 | 7,100,000 | ||||||||
Contractual coupon interest expense | 43,000 | $ 198,000 | 131,000 | $ 1,700,000 | ||||||
Accretion of discount, convertible subordinated notes | 61,000 | 246,000 | 178,000 | 1,961,000 | ||||||
Amortization of Debt Issuance Costs | 6,000 | $ 27,000 | 19,000 | $ 221,000 | ||||||
Accumulated Amortization, Debt Issuance Costs | $ 125,000 | $ 125,000 | $ 106,000 |
Convertible Subordinated Note_3
Convertible Subordinated Notes Convertible Subordinated Notes (Narrative) (Details) | Apr. 04, 2019USD ($) | Dec. 24, 2018USD ($) | May 07, 2018USD ($)shares | Mar. 19, 2014USD ($)$ / shares | Sep. 30, 2019USD ($)$ / shares | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)$ / shares | Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($)$ / shares | May 08, 2018USD ($) |
Debt Instrument [Line Items] | ||||||||||
Common Stock, Par or Stated Value Per Share | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | |||||||
Amortization of Debt Issuance Costs | $ 289,000 | $ 420,000 | ||||||||
Interest Expense | $ 6,283,000 | $ 6,285,000 | 18,907,000 | 14,763,000 | ||||||
Payments for Repurchase of Redeemable Convertible Preferred Stock | 27,000 | 75,229,000 | ||||||||
Carrying value of the liability component | $ 319,577,000 | $ 319,577,000 | $ 319,108,000 | |||||||
Convertible Subordinated Notes [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Convertible Preferred Stock, Shares Issued upon Conversion | shares | 2,822,859 | |||||||||
Convertible subordinated notes, principal amount | $ 25,000 | $ 22,400,000 | $ 115,000,000 | $ 143,750,000 | 6,346,000 | $ 28,800,000 | ||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 78.00% | 80.00% | ||||||||
Stated interest rate percentage | 2.75% | 2.75% | 2.75% | |||||||
Debt Instrument, Convertible, Conversion Ratio | 44.3169 | 45.3695 | ||||||||
Long-term Debt, Fair Value | $ 7,100,000 | $ 7,100,000 | ||||||||
Interest Expense, Debt | 43,000 | 198,000 | 131,000 | 1,700,000 | ||||||
Amortization of Debt Issuance Costs | $ 6,000 | $ 27,000 | $ 19,000 | $ 221,000 | ||||||
Debt Instrument, Discount Rate | 11.40% | 11.40% | 11.40% | 11.40% | ||||||
Accretion of discount, convertible subordinated notes | $ 61,000 | $ 246,000 | $ 178,000 | $ 1,961,000 | ||||||
Debt instrument, convertible, conversion price (in dollars per share) | $ / shares | $ 22.56 | $ 22.04 | $ 22.04 | |||||||
Payments for Repurchase of Redeemable Convertible Preferred Stock, Principle | $ 27,163 | $ 22,900,000 | $ 74,800,000 | |||||||
Interest Expense | 200,000 | 400,000 | ||||||||
Payments for Repurchase of Redeemable Convertible Preferred Stock | 23,000,000 | $ 75,200,000 | ||||||||
Carrying value of the liability component | $ 6,319,000 | $ 5,902,000 | $ 5,902,000 | $ 5,732,000 | ||||||
Debt Instrument, Unamortized Debt Issuance Costs | 3.20% | 3.20% | 3.20% | 3.20% |
Senior Notes (Details)
Senior Notes (Details) - USD ($) | May 31, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||||||
Repayments of Long-term Lines of Credit | $ 37,300,000 | $ 188,000,000 | ||||
Proceeds from the issuance of the 6.625% senior notes | 0 | 320,125,000 | ||||
Accretion of debt discount on senior notes | 366,000 | 154,000 | ||||
Amortization of Debt Issuance Costs | 289,000 | $ 420,000 | ||||
Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Repayments of Long-term Lines of Credit | $ 291,400,000 | |||||
Debt Issuance Costs, Gross | $ 1,400,000 | $ 1,400,000 | ||||
Stated interest rate percentage | 6.625% | 6.625% | ||||
Debt Instrument, Term | 80 months | |||||
Debt Instrument, Interest Rate During Period | 6.69% | 6.69% | 6.69% | |||
Principal amount | $ 325,000,000 | $ 325,000,000 | $ 325,000,000 | |||
Proceeds from the issuance of the 6.625% senior notes | $ 320,100,000 | |||||
Long-term Debt, Fair Value | $ 334,000,000 | $ 334,000,000 | ||||
Debt Instrument, Discount Rate | 1.50% | 6.87% | 6.87% | 6.87% | ||
Debt Instrument, Unamortized Discount | $ 4,900,000 | $ 4,900,000 | ||||
Interest Expense, Debt | 5,400,000 | $ 5,400,000 | 16,100,000 | $ 7,200,000 | ||
Accretion of debt discount on senior notes | 124,000 | 116,000 | 366,000 | 154,000 | ||
Amortization of Debt Issuance Costs | $ 35,000 | $ 33,000 | $ 103,000 | $ 44,000 |
Senior Notes Carrying value of
Senior Notes Carrying value of the Senior Notes (Details) - USD ($) | Sep. 30, 2019 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||
Debt issuance costs, net of accumulated amortization of $77 and $180, respectively | $ (900,000) | $ (955,000) |
Accumulated Amortization, Debt Issuance Costs | 276,000 | 109,000 |
Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Principal amount | 325,000,000 | 325,000,000 |
Debt discount, net of accumulated amortization of $273 and $639, respectively | (4,236,000) | (4,602,000) |
Debt issuance costs, net of accumulated amortization of $77 and $180, respectively | (1,187,000) | (1,290,000) |
Carrying value of the Senior Notes | 319,577,000 | 319,108,000 |
Accumulated amortization, debt discount | 515,000 | 273,000 |
Accumulated Amortization, Debt Issuance Costs | $ 145,000 | $ 77,000 |
- Additional Information (Detai
- Additional Information (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Leases [Abstract] | |||
Operating lease right-of-use assets | $ 22,628 | $ 16,470 | $ 0 |
Present value of lease liabilities | $ 23,282 | $ 17,300 |
- Lease Costs (Details)
- Lease Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Leases [Abstract] | ||
Operating lease cost | $ 899 | $ 2,762 |
Short-term lease cost | 73 | 206 |
Depreciation of leased assets | 131 | 395 |
Interest on lease liabilities | 129 | 392 |
Total finance lease cost | 260 | 787 |
Total lease cost | $ 1,232 | $ 3,755 |
- Cash flow (Details)
- Cash flow (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Leases [Abstract] | |
Cash paid for operating leases included in operating activities | $ 2,921 |
Cash paid for finance leases included in financing activities | $ 669 |
- Carrying Values of Leases (De
- Carrying Values of Leases (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Leases [Abstract] | |||
Operating lease right-of-use assets | $ 22,628 | $ 16,470 | $ 0 |
Finance lease right-of-use assets | 5,322 | ||
Total right-of-use assets | 27,950 | ||
Operating lease current liabilities | 1,524 | 2,633 | 0 |
Current portion of finance lease obligations | 282 | 312 | |
Total current lease liabilities | 1,806 | ||
Obligations under operating leases, net of current portion | 21,758 | $ 14,655 | $ 0 |
Finance lease non-current liabilities | 5,929 | ||
Total non-current lease liabilities | 27,687 | ||
Total lease liabilities | 29,493 | ||
Finance lease, accumulated amortization | $ 2,000 |
- Lease Term and Discount Rate
- Lease Term and Discount Rate (Details) | Sep. 30, 2019 |
Weighted-average remaining lease term (years) | |
Operating leases | 11 years 2 months 12 days |
Finance leases | 7 years 2 months 12 days |
Weighted-average discount rate | |
Operating leases | 8.10% |
Finance leases | 8.20% |
- Maturities of Operating and F
- Maturities of Operating and Financing Lease Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Jan. 01, 2019 |
Operating | ||
Remainder of 2019 | $ 975 | |
2020 | 3,277 | |
2021 | 3,632 | |
2022 | 3,283 | |
2023 | 3,186 | |
Thereafter | 20,934 | |
Total lease payments | 35,287 | |
Less: Interest | (12,005) | |
Present value of lease liabilities | 23,282 | $ 17,300 |
Finance | ||
Remainder of 2019 | 206 | |
2020 | 828 | |
2021 | 836 | |
2022 | 860 | |
2023 | 860 | |
Thereafter | 7,082 | |
Total lease payments | 10,672 | |
Less: Interest | (4,461) | |
Present value of lease liabilities | $ 6,211 |
LEASES - Right-of-use Assets Ob
LEASES - Right-of-use Assets Obtained in Exchange for New Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Jun. 30, 2019 | Sep. 30, 2019 | |
Leases [Abstract] | ||
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 8,200 | $ 8,175 |
Right-of-use assets obtained in exchange for new finance lease liabilities | $ 0 |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Details) | Dec. 31, 2018USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Estimate of possible loss | $ 650,000 |
Stockholders' Equity Stockholde
Stockholders' Equity Stockholders' Equity (Stock-Based Compensation Plans) (Details) shares in Thousands | Sep. 30, 2019shares |
Class of Stock [Line Items] | |
Shares Reserved (in shares) | 2,709 |
Shares Available to Issue (in shares) | 1,952 |
Options Outstanding (in shares) | 1,076 |
Performance Awards Outstanding (in shares) | 501 |
Amended And Restated 2006 Plan [Member] | |
Class of Stock [Line Items] | |
Shares Reserved (in shares) | 0 |
Shares Available to Issue (in shares) | 0 |
Options Outstanding (in shares) | 940 |
Performance Awards Outstanding (in shares) | 0 |
2017 Plan [Member] | |
Class of Stock [Line Items] | |
Shares Reserved (in shares) | 2,709 |
Shares Available to Issue (in shares) | 1,952 |
Options Outstanding (in shares) | 136 |
Performance Awards Outstanding (in shares) | 501 |
Stockholders' Equity (Narrative
Stockholders' Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | Sep. 01, 2019 | Jun. 03, 2019 | Mar. 01, 2019 | Sep. 01, 2018 | Jun. 01, 2018 | Mar. 01, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 8 months 12 days | |||||||||
Shares Reserved (in shares) | 2,709,000 | 2,709,000 | ||||||||
Shares Available to Issue (in shares) | 1,952,000 | 1,952,000 | ||||||||
Options Outstanding (in shares) | 1,076,000 | 1,076,000 | ||||||||
Performance Awards Outstanding (in shares) | 501,000 | 501,000 | ||||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 1,700 | $ 1,700 | ||||||||
Directors compensation expense | $ 113 | $ 133 | $ 341 | $ 336 | ||||||
Treasury stock acquired, shares | 400,000 | |||||||||
Treasury Stock, Value | $ 7,756 | $ 0 | ||||||||
Treasury Stock Acquired, Average Cost Per Share | $ 19.39 | |||||||||
Dividends declared per common share (in dollars per Share) | $ 0.075 | $ 0.075 | $ 0.075 | $ 0.075 | $ 0.075 | $ 0.075 | $ 0.075 | $ 0.075 | $ 0.225 | $ 0.225 |
Dividends | $ 1,336 | $ 1,365 | $ 1,360 | $ 1,436 | $ 1,433 | $ 1,207 | ||||
Share-Based Compensation Arrangement By Share-Based Payment Award, Non-Option Equity Instruments, Reserved Percentage | 200.00% | 200.00% | ||||||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 600 | $ 600 | ||||||||
ESPP | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Share-based compensation expense | 58 | 224 | $ 208 | |||||||
Restricted Stock | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Share-based compensation expense | 196 | $ 215 | $ 624 | 681 | ||||||
Stock Options | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 20.00% | |||||||||
Share-based compensation expense | 160 | 238 | $ 513 | 955 | ||||||
Officers And Key Employees [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Directors compensation expense | $ 61 | $ 344 | $ 138 | $ 964 | ||||||
Amended And Restated 2006 Plan [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Shares Reserved (in shares) | 0 | 0 | ||||||||
Shares Available to Issue (in shares) | 0 | 0 | ||||||||
Options Outstanding (in shares) | 940,000 | 940,000 | ||||||||
Performance Awards Outstanding (in shares) | 0 | 0 | ||||||||
Cancelled shares (in shares) | 1,154,000 | |||||||||
2017 Plan [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Shares Reserved (in shares) | 2,709,000 | 2,709,000 | ||||||||
Shares Available to Issue (in shares) | 1,952,000 | 1,952,000 | ||||||||
Options Outstanding (in shares) | 136,000 | 136,000 | ||||||||
Performance Awards Outstanding (in shares) | 501,000 | 501,000 |
Stockholders' Equity (AOCI) (De
Stockholders' Equity (AOCI) (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Equity [Abstract] | |
Beginning balance | $ 0 |
Decrease in net unrealized gains associated with available-for-sale securities of the trusts | (6,560) |
Reclassification of net unrealized gain activity attributable to the Deferred preneed funeral and cemetery receipts held in trust and Care trusts’ corpus | 6,560 |
Ending balance | $ 0 |
Stockholders' Equity Cash Divid
Stockholders' Equity Cash Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands | Sep. 01, 2019 | Jun. 03, 2019 | Mar. 01, 2019 | Sep. 01, 2018 | Jun. 01, 2018 | Mar. 01, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 |
Equity [Abstract] | ||||||||||
Dividends declared per common share (in dollars per Share) | $ 0.075 | $ 0.075 | $ 0.075 | $ 0.075 | $ 0.075 | $ 0.075 | $ 0.075 | $ 0.075 | $ 0.225 | $ 0.225 |
Dividends | $ 1,336 | $ 1,365 | $ 1,360 | $ 1,436 | $ 1,433 | $ 1,207 |
Earnings Per Share (EPS Computa
Earnings Per Share (EPS Computations) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Earnings Per Share [Abstract] | ||||
Less: Earnings allocated to unvested restricted stock | $ 577 | $ 2,200 | $ 11,964 | $ 14,303 |
Income attributable to common stockholders | (3) | (11) | (52) | (79) |
Income attributable to common stockholders | $ 574 | $ 2,189 | $ 11,912 | $ 14,224 |
Denominator [Abstract] | ||||
Denominator for basic earnings per common share - weighted average shares outstanding | 17,737,000 | 19,060,000 | 17,917,000 | 17,701,000 |
Effect of dilutive securities, Stock options (in shares) | 31,000 | 101,000 | 34,000 | 123,000 |
Effect of dilutive securities, Convertible junior subordinated debentures (in shares) | 0 | 0 | 0 | 449,000 |
Weighted average number of common and common equivalent shares outstanding for diluted EPS computation | 17,768,000 | 19,161,000 | 17,951,000 | 18,273,000 |
Basic and Diluted earnings per common share: | ||||
Continuing operations (in dollars per Share) | $ 0.03 | $ 0.11 | $ 0.66 | $ 0.80 |
Continuing operations (in dollars per Share) | $ 0.03 | $ 0.11 | $ 0.66 | $ 0.78 |
Antidilutive securities excluded from computation of diluted EPS | 901,000 | 1,065,000 | 974,000 | 1,041,000 |
Major Segments of Business (Rev
Major Segments of Business (Revenue, pre-tax income and total and total assets by segments) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Segment Reporting Information [Line Items] | |||||
Revenues | $ 66,125 | $ 64,241 | $ 202,958 | $ 201,475 | |
Operating Income (Loss) | 11,944 | 10,265 | 40,733 | 37,373 | |
Income before income taxes | 1,524 | 3,387 | 17,734 | 19,368 | |
Total assets | 952,148 | 952,148 | $ 917,502 | ||
Funeral | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | 51,517 | 49,843 | 160,187 | 156,969 | |
Operating Income (Loss) | 14,124 | 13,644 | 46,824 | 45,962 | |
Income before income taxes | 9,312 | 13,417 | 41,591 | 45,244 | |
Total assets | 693,718 | 693,718 | 686,470 | ||
Cemetery | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | 14,608 | 14,398 | 42,771 | 44,506 | |
Operating Income (Loss) | 3,932 | 3,470 | 12,083 | 12,165 | |
Income before income taxes | 3,885 | 3,560 | 12,324 | 12,406 | |
Total assets | 237,825 | 237,825 | 226,475 | ||
Corporate [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | 0 | 0 | 0 | 0 | |
Operating Income (Loss) | (6,112) | (6,849) | (18,174) | (20,754) | |
Income before income taxes | (11,673) | $ (13,590) | (36,181) | $ (38,282) | |
Total assets | $ 20,605 | $ 20,605 | $ 4,557 |
Supplementary Data (Details)
Supplementary Data (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Other current assets: | |||
Prepaid and other current assets | $ 1,479 | $ 1,308 | $ 1,456 |
Other current assets | 112 | 210 | |
Total other current assets | 1,764 | 3,011 | |
Accrued liabilities: | |||
Accrued salaries and wages | 2,804 | 4,088 | |
Accrued incentive compensation | 5,846 | 7,395 | |
Accrued vacation | 2,304 | 2,358 | |
Accrued insurance | 3,700 | 3,188 | |
Accrued interest | 7,235 | 1,856 | |
Accrued ad valorem and franchise taxes | 2,158 | 904 | |
Accrued commissions | 553 | 441 | |
Other accrued liabilities | 1,311 | 1,178 | |
Federal income taxes payable | 3,359 | 962 | |
Deferred rent | 0 | 274 | |
Total accrued liabilities | 29,270 | 22,644 | |
Other long-term liabilities: | |||
Deferred rent | 0 | 692 | |
Incentive compensation | 1,246 | 1,563 | |
Contingent consideration | 689 | 878 | |
Total other long-term liabilities | 1,935 | $ 2,441 | 3,133 |
Federal income taxes receivable | |||
Other current assets: | |||
State income taxes receivable | 0 | 923 | |
State income taxes receivable | |||
Other current assets: | |||
State income taxes receivable | $ 173 | $ 422 |
Subsequent Events (Details)
Subsequent Events (Details) - Subsequent Event $ in Thousands | Oct. 28, 2019USD ($) | Oct. 17, 2019USD ($) | Oct. 09, 2019USD ($)acquisitions |
Subsequent Event [Line Items] | |||
Settlement loss | $ 676 | ||
Number of businesses acquired | acquisitions | 4 | ||
Purchase price | $ 23,600 | $ 15,300 |