Service Corp Q2 profit beats Street, raises FY view
(Reuters) - Funeral-home operator Service Corp International (SCI.N) posted quarterly results that beat market expectations, as cost-savings and strong pre-need cemetery production offset lower funeral services, and it also raised its earnings outlook for fiscal 2009. "Cash flow performance continues to be strong and we have been actively deleveraging our capital structure, retiring more than $100 million of debt in the first half of 2009," Chief Executive Tom Ryan said in a statement.
Looking ahead, the company forecast adjusted earnings of 36 cents to 42 cents a share from continuing operations in fiscal 2009, up from its prior view of 26 cents to 36 cents a share.
For the latest second quarter, Service Corp earned $23.1 million, or 9 cents a share, compared with $31.4 million, or 12 cents a share, a year earlier.
Excluding special items, it earned 12 cents a share from continuing operations.
Revenue fell 6 percent to $513.9 million in the quarter.
Analysts on average were expecting earnings of 7 cents a share, before items, on revenue of $494.5 million, according to Reuters Estimates.
Shares of the Houston-based company rose 4 percent to $6.75 in trading after the bell. They closed at $6.50 Wednesday on the New York Stock Exchange.
(Reporting by Renju Jose in Bangalore; Editing by Anil D'Silva)
