The Parent Company of the worlds Leading Casket maker is taking the company away from the caskets. This is further indication of Steep Funeral Industry decline. This is good news for the funeral consumer. It is not good news for the local funeral home or for those seeking
“Funeral Director” as a career.
Hillenbrand Inc(HI) is the parent company and Batesville Casket Co is the leading casket maker in North America. Batesville takes about 45% of the 1.3 Billion Casket business.
A while back Hillenbrand CEO, Kenneth Camp said that we do not do lower cost caskets, Now the focus seems not to be on Caskets at all!
Snippet from the WSJ:
“Caskets are not a growing business, but it has extremely high cash generation,” Camp said. “To really change what we would do for the next hundred years, [caskets] are probably not the best place to deploy our cash and expertise.”
Camp is determined to transform Hillenbrand from strictly a casket maker into a diversified industrial company along the lines high-margin conglomerates Danaher Corp. (DNR), Illinois Tool Works Inc., (ITW) and Eaton Corp. (ETN). Hillenbrand’s first step toward a new identity came this spring when the company completed the purchase of industrial-mixing-equipment company K-Tron International Inc. for $435 million.via online.wsj.com
This is a strong indication of the continual rise of Cremation in America. and pressure on the Funeral Home on main street USA, accommodate the folks with the lower funeral cost.
Funeral industry|Funeral News|Funeral Blog by Your Funeral Guy
But demand for caskets has been declining as cremations become more common. Cremations as a percentage total deaths have been steadily growing by 1.2% annually