Profile: Stewart Enterprises Inc (STEI.OQ)
10 Dec 2013
Stewart Enterprises, Inc., incorporated in 1970, is a provider of funeral and cemetery products and services in the death care industry in the United States. Through its subsidiaries, it provide a range of funeral and cremation merchandise and services, along with cemetery property, merchandise and services, both at the time of need and on a preneed basis. The Company operates in two segments: Funeral and Cemetery. As of October 31, 2010, its operations included 217 funeral homes and 140 cemeteries in 24 states within the United States and in Puerto Rico. It operates one or more of the death care facilities in each of its markets, which are in larger metropolitan areas in the Southern, Western, Mid-Atlantic and Mid-Western states. It operates its funeral homes and cemeteries in clusters. Clusters are groups of funeral homes and cemeteries located close enough to one another that their operations can be integrated. As of October 31, 2010, approximately 77 % of its 217 funeral home locations were owned by its subsidiaries, and approximately 23% were held under operating leases. As of October 31, 2010, it owned 140 cemeteries covering a total of approximately 9,900 acres. In October 2012, it purchased Garden Oaks Funeral Home in Houston.
The Company’s funeral homes offer a range of funeral and cremation services and products both at the time of need and on a preneed basis. Its services and products include family consultation, removal and preparation of remains, the use of funeral home facilities for visitation, worship and funeral services, transportation services, flowers and caskets. Its funeral homes have a non-denominational chapel on the premises, which allows family visitation and religious services to take place at the same location. It earns commissions on the sale of insurance-funded preneed funeral contracts, which funded by life insurance or annuity contracts issued by third party insurers when it acts as an agent on the sale of the policies. During fiscal year ended October 31, 2010 (fiscal 2010) funeral operations accounted for 55 % of its revenues.
The Company’s cemetery operations sell cemetery property and related merchandise, including lots, lawn crypts, family and community mausoleums, monuments, markers and burial vaults, and also provides burial site openings and closings and inscriptions. It also provides cremation memorialization options, including columbariums, cremation niches and cremation gardens. Cemetery property and merchandise sales are made both at the time of need and on a preneed basis. It also maintains cemetery grounds under cemetery perpetual care contracts and local laws. During fiscal 2010, cemetery operations accounted for approximately 45 % of its revenues. It offers additional cemetery property to related family members and by offering related products and services, such as cemetery merchandise and funeral services at one of its funeral homes located on the cemetery grounds or nearby. As of October 31, 2010, approximately 38 % of its total cemetery acreage is available for future development.
Stewart Enterprises Inc
1333 S. Clearview Parkway
JEFFERSON LA 70121