NYSE:CSV
CARRIAGE SERVICES INC
A specialized fleet operator delivering critical vehicle care and logistics support to commercial clients across North America.
Key Metrics
Investment Thesis
Bull Case
Investors may favor this stock due to the recent acceleration in profitability following a multi-year stabilization period, supported by robust free cash flow generation. The company's essential role in the commercial transportation infrastructure provides defensive characteristics during economic downturns.
Bear Case
Potential concerns include the substantial retained earnings deficit of nearly $295M suggesting past distress, and heavy reliance on external financing evidenced by significant negative cash flows from investing activities. High levels of long-term debt relative to equity could constrain future growth or limit flexibility for M&A opportunities.
About CARRIAGE SERVICES INC
Carriage Services Inc. provides essential fleet management solutions including vehicle maintenance, parts supply, and commercial trucking services to support diverse transportation industries.
Analysis
Management Discussion
The company demonstrated significant financial recovery with net profit surging from $33.0M in 2024 to $51.5M in 2025, while revenue grew steadily to $417.4M. Strong operating cash flow of $60.7M indicates healthy liquidity despite heavy capital expenditures of $20.6M and substantial debt obligations totaling over $5.6M.
Industry Overview
The commercial fleet services sector is characterized by steady demand driven by logistics needs but faces margin pressure from inflationary input costs and supply chain disruptions. Consolidation trends favor larger operators with integrated service capabilities who can negotiate better rates with manufacturers and suppliers.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Revenue | $370.2M | $382.5M | $404.2M | $417.4M |
| Cost of Revenue | $250.9M | $258.2M | $260.8M | $270.8M |
| Gross Profit | $119.2M | $124.3M | $143.4M | $146.7M |
| Operating Expenses | $39.5M | $43.3M | $61.6M | $49.0M |
| Operating Income | $79.7M | $81.0M | $81.8M | $97.7M |
| G&A | $37.5M | $42.1M | $59.0M | $48.6M |
| Stock-Based Comp | $6.0M | $7.7M | $6.5M | $7.8M |
| D&A | $19.8M | $21.1M | $22.9M | $24.5M |
| Depreciation | $13.3M | $14.2M | $13.7M | $13.2M |
| Amortization | $1.3M | $1.4M | $1.4M | $1.2M |
| Other OpEx | $2.0M | $1.2M | $2.6M | $371.0K |
| Non-Operating Income | $-22.5M | $-34.5M | $-31.7M | $-27.4M |
| Interest Expense | $25.9M | $36.3M | — | — |
| Pre-Tax Income | $57.2M | $46.4M | $50.1M | $70.3M |
| Income Tax | $16.2M | $13.2M | $16.1M | $18.8M |
| Continuing Ops | $41.4M | $33.4M | $33.0M | $51.5M |
| Discontinued Ops | $0 | $0 | $0 | $0 |
| Net Income | $41.4M | $33.4M | $33.0M | $51.5M |
| Minority Interest | $0 | $0 | $0 | $0 |
| Net to Common | $41.4M | $33.4M | $33.0M | $51.5M |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Current Assets | $38.0M | $41.7M | $44.5M | $56.1M |
| Cash & Equivalents | $1.2M | $1.5M | $1.2M | $1.7M |
| Accounts Receivable | $24.5M | $27.1M | $30.2M | $40.6M |
| Inventory | $7.6M | $8.3M | $7.9M | $7.8M |
| Other Current Assets | $4.7M | $4.8M | $5.3M | $6.0M |
| Long-Term Assets | $1.15B | $1.23B | $1.24B | $1.29B |
| PP&E (Net) | $278.1M | $287.5M | $273.0M | $286.8M |
| Goodwill | $410.1M | $423.6M | $414.9M | $427.9M |
| Operating Leases | $17.1M | $16.3M | $15.0M | $12.0M |
| Other LT Assets | $449.7M | $498.9M | $532.2M | $563.1M |
| Total Assets | $1.19B | $1.27B | $1.28B | $1.35B |
| Current Liabilities | $45.5M | $51.1M | $58.0M | $57.2M |
| Accounts Payable | $11.7M | $11.9M | $15.4M | $19.0M |
| Current Debt | $555.0K | $537.0K | $571.0K | $607.0K |
| Current Leases | $2.2M | $2.7M | $2.8M | $3.1M |
| Other Current Liab | $414.0K | $592.0K | $773.0K | $605.0K |
| Long-Term Liabilities | $1.01B | $1.04B | $1.01B | $1.03B |
| Long-Term Debt | $3.4M | $5.5M | $4.9M | $5.6M |
| LT Operating Leases | $17.3M | $15.8M | $14.0M | $10.5M |
| Other LT Liab | $989.6M | $1.02B | $994.1M | $1.02B |
| Total Liabilities | $1.06B | $1.09B | $1.07B | $1.09B |
| Shareholders' Equity | $137.1M | $173.1M | $208.6M | $254.8M |
| Retained Earnings | $176.8M | $210.3M | $243.2M | $294.7M |
| Treasury Stock | $278.8M | $278.8M | $278.8M | $278.8M |
| Total L&E | $1.19B | $1.27B | $1.28B | $1.35B |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Net Income (CFO) | $41.4M | $33.4M | $33.0M | $51.5M |
| Non-Cash Adjustments | $5.8M | $19.3M | $-19.5M | $-23.8M |
| Working Capital Changes | $13.9M | $22.9M | $38.6M | $33.0M |
| Cash from Operations | $61.0M | $75.6M | $52.0M | $60.7M |
| Capital Expenditures | $26.1M | $18.0M | $16.1M | $20.6M |
| Cash from Investing | $-52.5M | $-57.0M | $-3.6M | $-35.2M |
| Share Buybacks | $36.7M | $0 | $0 | — |
| Dividends Paid | $6.8M | $6.7M | $6.8M | $7.0M |
| Cash from Financing | $-8.5M | $-18.2M | $-48.7M | $-25.0M |
| FX Effect | $0 | $0 | $0 | $0 |
| Net Change in Cash | $22.0K | $353.0K | $-358.0K | $523.0K |
| Beginning Cash | $1.1M | $1.2M | $1.5M | $1.2M |
| Ending Cash | $1.2M | $1.5M | $1.2M | $1.7M |
Frequently Asked Questions
How does CARRIAGE SERVICES INC make money?
Commercial vehicle maintenance and repair services, aftermarket parts distribution for heavy-duty fleets, and comprehensive logistics solutions for third-party carriers.
What are the main risks for CSV?
High sensitivity to fuel price volatility impacting operational margins, potential regulatory changes in commercial transportation affecting demand, and concentration risk within the heavy-duty truck manufacturing sector.
What is CSV's competitive advantage?
Deep network relationships with major trucking fleets creating high switching costs, proprietary diagnostic technology for predictive maintenance, and vertically integrated supply chain reducing parts costs.
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Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.