By Katherine Hamilton

While CoreCivic expects earnings to fall this year executives at the private prison company are optimistic about a possible boost in revenue driven by the Trump administration's immigration crackdown.

The company on Monday posted a profit for the fourth quarter of $19.3 million, or 17 cents a share, compared with $26.5 million, or 23 cents, a year earlier.

Stripping out certain one-time items, adjusted per-share earnings was 16 cents, ahead of the 10 cents forecast by analysts, according to FactSet.

Revenue edged down less than 1% to $479.3 million, but still beat the $465.2 million forecast of analysts surveyed by FactSet.

The company's guidance for this year was below Wall Street's expectations, and net operating income is expected to decline by $60.5 million, or 40 cents a share due to one contract ending and the expiration of a lease at a facility in California.

CoreCivic expects income in 2025 to be $53.5 million to $67.5 million, compared with $98 million expected by analysts, according to FactSet. It is guiding for earnings per share of 48 cents to 61 cents, compared with the 88 cents expected by analysts.

Chief Executive Damon Hininger said the company has been in contact with Immigration and Customs Enforcement to prepare for increased bed needs as part of President Donald Trump's crack down on illegal immigration. The company expects federal funding and formal facility contracting for additional beds this year, and has approved $40 million to $45 million in capital investments for facility activations and transportation.

CoreCivic had 76% occupancy in the fourth quarter, its highest since the beginning of 2020, it said.

Write Katherine to at katherine.hamilton@wsj.com

(END) Dow Jones Newswires

February 10, 2025 17:24 ET (22:24 GMT)

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