Service Corporation International (SCI) is sliding today after reporting first-quarter 2026 results late April 29, with profitability coming in below expectations even as revenue landed roughly in line. The key pressure point was weaker funeral activity: comparable funeral service volumes declined 6% year over year, which the company said reflected an unusually strong prior-year flu season and broader demographic trends, contributing to lower funeral gross profit and a negative equity-market reaction. (news.sci-corp.com)

SCI reported Q1 2026 revenue of $1.0965 billion (about 2% growth year over year) and GAAP EPS of $0.97 versus $0.98 a year ago. Operating income fell to $243.8 million from $251.7 million, and net income attributable to common shareholders declined to $135.8 million from $142.9 million. (news.sci-corp.com)

The company emphasized that average revenue per service and cost discipline helped offset the volume decline, with expenses increasing about 1% year over year. SCI also highlighted continued strength in preneed, including 10% growth in comparable cemetery preneed sales production and 6% growth in comparable funeral preneed sales production, alongside a 120-basis-point improvement in cemetery gross profit. (news.sci-corp.com)

SCI confirmed its full-year 2026 outlook, keeping adjusted (excluding special items) EPS guidance at $4.05 to $4.35. Even with guidance unchanged, today’s selloff suggests investors are re-pricing near-term earnings risk tied to softer funeral volumes and the quarter’s EPS shortfall versus consensus. (news.sci-corp.com)