Geo Group Inc Stock Price, News & Analysis

The GEO Group announced a significant legal development as the U.S. District Court approved a settlement in the Roman v. Wolf case, allowing full intake operations to resume at their 1,940-bed Adelanto ICE Processing Center in California. This settlement lifts a COVID-19-related intake prohibition order that had been in place for over four years. At full capacity, the Adelanto Center is expected to generate up to $31 million in additional annual revenue for GEO, with margins aligned with their other company-owned Secure Services facilities. The facility operates under a 15-year contract with ICE, initiated in December 2019, which includes a five-year base period and two five-year options, with the current term extending through December 2029.

The GEO Group has secured a contract modification with U.S. Immigration and Customs Enforcement (ICE) to activate the 1,868-bed D. Ray James Facility in Folkston, Georgia as a federal immigration processing center. The modification, effective June 6, 2025, falls under the existing intergovernmental service agreement involving the 1,118-bed Folkston ICE Processing Center. GEO expects to generate approximately $66 million in incremental annualized revenues in the first year of operations. The company will provide comprehensive services including security, maintenance, food services, and access to recreational amenities, medical care, and legal counsel. This expansion reinforces GEO's 40-year partnership with ICE and positions the facility to support increased federal immigration enforcement priorities.

The GEO Group (NYSE: GEO) has announced the sale of its Lawton Correctional Facility in Oklahoma to the Oklahoma Department of Corrections for $312 million. The transaction is expected to close on July 25, 2025, with facility operations transitioning to the state department on the same date. GEO plans to use the proceeds for debt reduction and general corporate purposes. Executive Chairman George C. Zoley emphasized that this sale represents a significant deleveraging event and reflects the intrinsic value of GEO's company-owned facilities, which comprise over 52,000 beds. The management team remains committed to disciplined capital allocation to enhance shareholder value.

GEO Group reported its Q1 2025 financial results with total revenues of $604.6 million and net income of $19.6 million ($0.14 per diluted share), compared to $605.7 million revenue and $22.7 million net income in Q1 2024. Adjusted EBITDA decreased to $99.8 million from $117.6 million year-over-year. The company announced two significant contract awards for facility reactivation, totaling 2,800 beds and over $130 million in annualized revenues. GEO committed $70 million to enhance capabilities for ICE services. For full-year 2025, GEO expects revenues of $2.53 billion, with net income guidance of $0.77-$0.89 per share. The company aims to reduce total net debt by $150-175 million to approximately $1.54 billion by year-end.

The GEO Group (NYSE:GEO) has announced its schedule for first quarter 2025 financial results release and conference call. The earnings release will take place on Wednesday, May 7, 2025, before market opening, followed by a conference call and simultaneous webcast at 11:00 AM Eastern Time on the same day.

The conference call will be hosted by George Zoley (Executive Chairman), J. David Donahue (CEO), and Mark Suchinski (CFO). Participants can join via telephone using 1-877-250-1553 (U.S.) or 1-412-542-4145 (International). A live audio webcast will be available on GEO's investor relations website, with replay access until May 14, 2025.

The GEO Group (NYSE: GEO) has secured a contract with U.S. Immigration and Customs Enforcement (ICE) for the immediate activation of its company-owned 1,800-bed North Lake Facility in Baldwin, Michigan. The facility will serve as a federal immigration processing center.

The initial agreement is expected to transition into a long-term contract within months. The multi-year contract is projected to generate over $70 million in annualized revenues in the first full year of operations, with margins aligned with GEO's company-owned Secure Services facilities.

Services provided will include exclusive facility use, security, maintenance, food services, and access to recreational amenities, medical care, and legal counsel.

The GEO Group (NYSE: GEO) has announced a significant contract modification with U.S. Immigration and Customs Enforcement (ICE) for its Karnes ICE Processing Center in Karnes City, Texas. The facility will transition from housing only adult males to accommodating mixed populations.

The 1,328-bed company-owned facility operates under an intergovernmental service agreement (IGSA) between Karnes County and ICE, effective through August 2029. GEO provides comprehensive support services including facility usage, security, maintenance, food services, and access to recreational amenities, medical care, and legal counsel.

The revised agreement is expected to generate $79 million in annualized revenues in the first full year, representing an incremental increase of $23 million. The margins will align with GEO's company-owned Secure Services facilities standards.

The GEO Group (NYSE: GEO) has secured a 15-year fixed-price contract with U.S. Immigration and Customs Enforcement (ICE) for its company-owned Delaney Hall Facility in Newark, New Jersey. The 1,000-bed facility will serve as a federal immigration processing center, providing security, maintenance, food services, and access to recreational amenities, medical care, and legal counsel.

Key financial highlights:

• Expected to generate over $60 million in annualized revenues in the first full year
• Estimated 15-year contract value of approximately $1 billion with cost of living adjustments
• Facility reactivation planned for Q2 2025
• Revenue and earnings expected to normalize in H2 2025

GEO is investing $70 million in capital expenditures to enhance capabilities for expanded detention capacity, secure transportation, and electronic monitoring services for ICE.

The GEO Group (NYSE: GEO) reported its Q4 and full-year 2024 financial results. Q4 2024 showed total revenues of $607.7 million, with net income of $15.5 million ($0.11 per diluted share), and Adjusted EBITDA of $108.0 million, compared to $129.0 million in Q4 2023.

Full-year 2024 delivered total revenues of $2.42 billion, net income of $31.9 million ($0.22 per diluted share), and Adjusted EBITDA of $463.5 million. The company announced a new 15-year contract with ICE for the Delaney Hall Facility in Newark, expected to generate over $60 million in annual revenues.

For 2025 guidance, GEO expects revenues of approximately $2.5 billion, with net income per share ranging from $0.74 to $0.88, and Adjusted EBITDA between $460-485 million. The company plans to reduce total net debt by $150-175 million to approximately $1.55 billion.