Geo Group Q3 revenue beats expectations, share buyback increased

Geo

06/11/2025 11:21

Overview

Geo Group Q3 2025 revenue beats analyst expectations, reaching $682.3 mln

Adjusted net income for Q3 2025 beats analyst estimates

Company increases share repurchase authorization to $500 mln

Outlook

GEO expects Q4 2025 revenue between $651 mln and $676 mln

GEO sees full-year 2025 revenue at approximately $2.6 bln

Company expects full-year 2025 Adjusted EBITDA between $455 mln and $465 mln

Result Drivers

ASSET DIVESTITURES - Q3 results include a significant gain from asset divestitures, impacting net income

NEW CONTRACTS - Entered into new or expanded contracts representing over $460 mln in new annualized revenues

LITIGATION COSTS - Recorded non-cash contingent litigation reserve related to ICE detainee wage case

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$682.30 mln
$664.39 mln (5 Analysts)
Q3 EPS
$1.24
Q3 Adjusted Net Income
Beat
$35 mln
$33.67 mln (5 Analysts)
Q3 Net Income
$173.90 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the business support services peer group is "buy"

Wall Street's median 12-month price target for Geo Group Inc is $37.00, about 54.6% above its November 5 closing price of $16.81

The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 16 three months ago

Press Release: ID:nBw3N6mRwa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)