CoreCivic Inc. (CXW) – Solid Second Quarter Results

Tuesday, August 10, 2021

CoreCivic, Inc. (CXW)
Solid Second Quarter Results

CoreCivic is a diversified government solutions company with the scale and experience needed to solve tough government challenges in flexible, cost-effective ways. We provide a broad range of solutions to government partners that serve the public good through corrections and detention management, a growing network of residential reentry centers to help address America’s recidivism crisis, and government real estate solutions. We are a publicly traded real estate investment trust and the nation’s largest owner of partnership correctional, detention and residential reentry facilities. We also believe we are the largest private owner of real estate used by U.S. government agencies. The Company has been a flexible and dependable partner for government for more than 35 years. Our employees are driven by a deep sense of service, high standards of professionalism and a responsibility to help government better the public good.

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

    2Q21 Results. CoreCivic reported solid second quarter results after the market closed yesterday. Revenue came in at $464.6 million, just below the $472.6 million in the same period last year, which was before populations were significantly reduced due to COVID. The Company reported net income of $15.6 million, or $0.13 per share, compared to $22.2 million, or $0.18 per share last year. Adjusted EPS was $0.25 compared to $0.33 last year. On a proforma basis to reflect the adoption of a C-corp structure EPS was $0.25 versus $0.23 last year. We had projected revenue of $445 million and EPS of $0.07.

    Noise, Again.  There was significant noise in the quarter. For example, special items included a charge of $52.2 million in expenses associated with debt repayments and refinancing transactions, $2.9 million in asset impairments, $2.6 million in shareholder litigation expense, $0.8 million in expenses associated with COVID-19, and a $38.8 million gain on the sale of non-core real estate assets, net …



This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

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