CoreCivic, Inc (CXW) has reported an 8.08 percent rise in profit for the quarter ended Mar. 31, 2017. The company has earned $50.05 million, or $0.42 a share in the quarter, compared with $46.31 million, or $0.39 a share for the same period last year. On the other hand, adjusted net income for the quarter stood at $50.44 million, or $0.43 a share compared with $47.45 million or $0.40 a share, a year ago.
Revenue during the quarter went down marginally by 0.38 percent to $445.68 million from $447.38 million in the previous year period. Total expenses were 84.51 percent of quarterly revenues, down from 85.49 percent for the same period last year. This has led to an improvement of 98 basis points in operating margin to 15.49 percent.
Operating income for the quarter was $69.04 million, compared with $64.93 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $99.94 million compared with $94.74 million in the prior year period. At the same time, adjusted EBITDA margin improved 125 basis points in the quarter to 22.42 percent from 21.18 percent in the last year period.
"Our continued focus on providing dependable, professional service to address the needs of our government partners is key to the long-term success of CoreCivic, and that focus is what allowed us to deliver positive financial results in the first quarter," said Damon T. Hininger, CoreCivic's president and chief executive officer. "We are encouraged by our recently announced contract with the state of Ohio and with the growing number of opportunities we see in the market to work with new and existing partners to deliver cost-effective real estate solutions."
For fiscal year 2017, CoreCivic, Inc expects net income to be in the range of $175.70 million to $182.70 million and forecasts adjusted net income to be in the range of $177.50 million to $184.50 million. The company forecasts diluted earnings per share to be in the range of $1.48 to $1.54. It company forecasts diluted earnings per share to be in the range of $1.50 to $1.56 on adjusted basis.
For the second-quarter 2017, CoreCivic, Inc expects net income to be in the range of $40.70 million to $42.70 million and forecasts adjusted net income to be in the range of $41.10 million to $43.10 million.The company forecasts diluted earnings per share to be in the range of $0.34 to $0.36 .On an adjusted basis, the company forecasts diluted earnings per share to be in the range of $0.35 to $0.36.
Working capital turns positive
Working capital of CoreCivic, Inc has turned positive to $28.39 million on Mar. 31, 2017 from negative $25.49 million on Mar. 31, 2016. Current ratio was at 1.11 as on Mar. 31, 2017, up from 0.92 on Mar. 31, 2016.
Days sales outstanding were almost stable at 45 days for the quarter, when compared with the last year period.
Debt moves up marginally
CoreCivic, Inc has witnessed an increase in total debt over the last one year. It stood at $1,431.18 million as on Mar. 31, 2017, up 1.76 percent or $24.80 million from $1,406.38 million on Mar. 31, 2016. Total debt was 44.16 percent of total assets as on Mar. 31, 2017, compared with 42.96 percent on Mar. 31, 2016. Debt to equity ratio was almost stable at 0.98 as on Mar. 31, 2017, when compared with the last year. Interest coverage ratio improved to 4.19 for the quarter from 3.70 for the same period last year. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
