SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
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QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
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For the quarterly period ended June 30, 2003 |
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OR |
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
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For the transition period from to |
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Commission file number: 1-11961 |
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CARRIAGE SERVICES, INC.
(Exact name of registrant as specified in its charter)
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DELAWARE |
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76-0423828 |
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(State or other jurisdiction of incorporation or organization) |
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(I.R.S. Employer Identification No.) |
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1900 Saint James Place, 4th Floor, Houston, TX |
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77056 |
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(Address of principal executive offices) |
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(Zip Code) |
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Registrant’s telephone number, including area code: (713) 332-8400 |
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SECURITIES REGISTERED PURSUANT TO SECTION 12(b) OF THE ACT: |
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Common Stock, $.01 Par Value |
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New York Stock Exchange |
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Series G Preferred Stock Purchase Rights |
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New York Stock Exchange |
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(Title Of Class) |
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(Name of Exchange on which registered) |
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SECURITIES REGISTERED PURSUANT TO SECTION 12(g) OF THE ACT: |
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None |
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Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15 (d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ý No o
Indicate by check mark whether the registrant is an accelerated filer (as defined by Rule 12b-2 of the Exchange Act). Yes o No ý
The number of shares of the Registrant’s Common Stock, $.01 par value per share, outstanding as of August 7, 2003 was 17,474,992.
CARRIAGE SERVICES, INC.
INDEX
2
PART I – FINANCIAL INFORMATION
Item 1. Financial Statements
CARRIAGE SERVICES, INC.
(in thousands, except share data)
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December
31, |
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June 30, |
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(unaudited) |
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ASSETS |
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Current assets: |
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Cash and cash equivalents |
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$ |
2,702 |
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$ |
2,020 |
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Accounts receivable — |
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Trade, net of allowance for doubtful accounts of $2,844 in 2002 and $2,076 in 2003 |
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14,640 |
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12,914 |
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Other |
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746 |
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542 |
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15,386 |
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13,456 |
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Inventories and other current assets |
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8,777 |
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8,834 |
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Total current assets |
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26,865 |
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24,310 |
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Property, plant and equipment, at cost, net of accumulated depreciation of $30,449 in 2002 and $33,044 in 2003 |
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113,967 |
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113,592 |
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Cemetery property, at cost |
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64,570 |
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64,173 |
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Goodwill |
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158,696 |
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159,668 |
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Deferred charges and other non-current assets |
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60,344 |
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56,058 |
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Preneed funeral contracts |
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235,347 |
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235,985 |
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Preneed cemetery merchandise and service trust funds |
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43,965 |
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45,050 |
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Total assets |
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$ |
703,754 |
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$ |
698,836 |
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LIABILITIES AND STOCKHOLDERS’ EQUITY |
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Current liabilities: |
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Accounts payable and accrued liabilities |
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$ |
26,097 |
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$ |
22,706 |
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Current portion of long-term debt and capital leases obligations |
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2,348 |
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2,159 |
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Total current liabilities |
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28,445 |
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24,865 |
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Deferred cemetery revenue and preneed liabilities |
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96,812 |
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98,121 |
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Deferred preneed funeral contracts revenue |
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243,067 |
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243,519 |
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Long-term debt, net of current portion |
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141,207 |
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133,266 |
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Obligations under capital leases, net of current portion |
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5,539 |
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5,521 |
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Total liabilities |
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515,070 |
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505,292 |
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Commitments and contingencies |
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Minority interest in consolidated subsidiary |
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400 |
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— |
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Company-obligated mandatorily redeemable convertible preferred securities of Carriage Services Capital Trust |
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90,193 |
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90,260 |
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Stockholders’ equity: |
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Common Stock, $.01 par value; 80,000,000 shares authorized; 17,075,000 and 17,465,000 shares issued and outstanding at December 31, 2002 and June 30, 2003, respectively |
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171 |
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176 |
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Contributed capital |
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185,100 |
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186,491 |
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Accumulated deficit |
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(86,915 |
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(82,563 |
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Deferred compensation |
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— |
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(820 |
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Unrealized loss on interest rate swaps, net of tax benefit |
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(265 |
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— |
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Total stockholders’ equity |
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98,091 |
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103,284 |
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Total liabilities and stockholders’ equity |
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$ |
703,754 |
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$ |
698,836 |
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The accompanying condensed notes are an integral part of these consolidated financial statements.
3
CARRIAGE SERVICES, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited and in thousands, except per share data)
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For the
three months |
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For the
six months |
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2002 |
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2003 |
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2002 |
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2003 |
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Revenues, net |
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Funeral |
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$ |
28,832 |
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$ |
28,702 |
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$ |
61,539 |
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$ |
59,056 |
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Cemetery |
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9,018 |
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9,165 |
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17,233 |
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17,517 |
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37,850 |
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37,867 |
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78,772 |
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76,573 |
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Costs and expenses |
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Funeral |
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21,544 |
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21,590 |
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42,568 |
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43,312 |
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Cemetery |
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6,618 |
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6,609 |
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13,132 |
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