v3.26.1
Business Segment Information (Tables)
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Schedule of Revenues and Expenses by Reportable Segment

Schedule of Revenues and Expenses by Reportable Segment 

                 
   For the Three Months Ended March 31, 2026 
   Life   Funeral Home         
   Insurance   and Cemetery   Mortgage   Total 
Revenues:                    
From external sources:                    
Revenue from external customers  $28,855,254   $7,733,823   $23,489,659   $60,078,736 
Net investment income   17,717,277    652,531    131,540    18,501,348 
Gains (losses) on investments and other assets   382,514    (74,328)   42,562    350,748 
Other revenues   375,052    160,642    262,254    797,948 
Intersegment revenues   1,523,146    83,836    72,306    1,679,288 
Total segment revenues   48,853,243    8,556,504    23,998,321    81,408,068 
                     
Elimination of intersegment revenues                  (1,679,288)
Total consolidated revenues                  79,728,780 
                     
Less:                    
Policyholder benefits and claims   24,539,397    -    -      
Amortization of deferred policy and pre-need acquisition costs and value of business acquired   2,689,374    289,944    -      
Selling, general and administrative expenses:                    
Commissions   472,826    238,209    8,082,825      
Personnel   8,738,857    2,733,070    9,129,709      
Advertising   90,904    101,937    544,222      
Rent and rent related   94,375    37,903    689,999      
Depreciation on property and equipment   213,559    241,226    125,305      
Cost related to funding mortgage loans   -    -    1,673,977      
Data processing and IT related (1)   354,819    88,667    1,031,269      
Premium taxes on insurance premiums and other considerations (1)   659,615    -    -      
Other segment items (1)(2)   2,349,313    1,362,050    1,873,463      
Intersegment expenses (3)   156,141    80,089    1,443,058      
Interest expense   892,777    708    102,714      
Costs of goods and services sold-mortuaries and cemeteries   -    1,233,449    -      
Income tax expense (benefit)   1,663,288    518,697    (131,093)     
Segment net earnings (loss)   5,937,998    1,630,555    (567,127)   7,001,426 
                     
Net earnings                 $7,001,426 
                     
Segment assets  $1,412,106,259   $108,161,913   $81,768,909   $1,602,037,081 
                     
Elimination of intersegment assets                  (21,253,140)
Total consolidated assets                 $1,580,783,941 
                     
Expenditures for long-lived assets  $31,477,400   $182,707   $-   $31,660,107 

 

 

(1) Included in other expenses on the condensed consolidated statements of earnings. Data processing and IT related expenses includes various software subscriptions, maintenance, consulting, support and storage fees.
(2) For each reportable segment, other segment items includes:

 

Life Insurance - bad debt, insurance expenses, professional service expenses, state insurance department fees, amortization of intangible assets, and certain overhead expenses.

Funeral Home and Cemetery - bad debt, insurance expenses, professional service expenses, maintenance and utility expenses, property taxes, amortization of intangible assets, and certain overhead expenses.

Mortgage - bad debt, insurance expenses, professional service expenses, business license and registration fees, dues and subscriptions, amortization expense of mortgage servicing rights, and certain overhead expenses.

 

(3) For each reportable segment, intersegment expenses includes:

 

Life Insurance - mortgage servicing fees and interest expense.

Funeral Home and Cemetery - rent expense, data processing and IT related expenses, and interest expense.
Mortgage - rent expense and interest expense.

 

 

SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES
Notes to Condensed Consolidated Financial Statements
March 31, 2026 (Unaudited)

 

16) Business Segment Information (Continued)

 

                     
   For the Three Months Ended March 31, 2025 
   Life   Funeral Home         
   Insurance   and Cemetery   Mortgage   Total 
Revenues:                    
From external sources:                    
Revenue from external customers  $29,779,525   $7,300,221   $24,809,241   $61,888,987 
Net investment income   18,630,945    421,253    150,426    19,202,624 
Gains on investments and other assets   290,534    209,970    85,517    586,021 
Other revenues   585,598    187,850    288,643    1,062,091 
Intersegment revenues   1,319,923    83,836    121,868    1,525,627 
Total segment revenues   50,606,525    8,203,130    25,455,695    84,265,350 
                     
Elimination of intersegment revenues                  (1,525,627)
Total consolidated revenues                  82,739,723 
                     
Less:                    
Policyholder benefits and claims   25,455,174    -    -      
Amortization of deferred policy and pre-need acquisition costs and value of business acquired   2,623,034    173,965    -      
Selling, general and administrative expenses:                    
Commissions   862,343    208,420    9,367,618      
Personnel   8,526,188    2,538,026    11,118,194      
Advertising   99,976    151,609    572,360      
Rent and rent related   99,790    38,038    850,783      
Depreciation on property and equipment   242,812    212,361    159,962      
Cost related to funding mortgage loans   -    -    1,415,252      
Data processing and IT related (1)   235,788    70,526    878,110      
Premium taxes on insurance premiums and other considerations (1)   718,071    -    -      
Other segment items (1)(2)   2,624,538    1,231,210    1,642,444      
Intersegment expenses (3)   205,558    87,441    1,232,628      
Interest expense   906,447    163    212,918      
Costs of goods and services sold-mortuaries and cemeteries   -    1,253,270    -      
Income tax expense (benefit)   1,785,207    534,844    (483,453)     
Segment net earnings (loss)   6,221,599    1,703,257    (1,511,121)   6,413,735 
                     
Net earnings                 $6,413,735 
                     
Segment assets  $1,360,748,004   $100,073,999   $100,755,930   $1,561,577,933 
                     
Elimination of intersegment assets                  (30,644,368)
Total consolidated assets                 $1,530,933,565 
                     
Expenditures for long-lived assets  $16,717,670   $257,933   $109,134   $17,084,737 

 

 

(1) Included in other expenses on the condensed consolidated statements of earnings. Data processing and IT related expenses includes various software subscriptions, maintenance, consulting, support and storage fees.
(2) For each reportable segment, other segment items includes:

 

Life Insurance - bad debt, insurance expenses, professional service expenses, state insurance department fees, amortization of intangible assets, and certain overhead expenses.

Funeral Home and Cemetery - bad debt, insurance expenses, professional service expenses, maintenance and utility expenses, property taxes, amortization of intangible assets, and certain overhead expenses.

Mortgage - bad debt, insurance expenses, professional service expenses, business license and registration fees, dues and subscriptions, amortization expense of mortgage servicing rights, and certain overhead expenses.

 

(3) For each reportable segment, intersegment expenses includes:

 

Life Insurance - mortgage servicing fees and interest expense.

Funeral Home and Cemetery - rent expense, data processing and IT related expenses, and interest expense.
Mortgage - rent expense and interest expense.