The GEO Group, Inc.

Revenue in Q2 2026 increased to approximately $732.1 million from approximately $636.2 million a year ago, up 15%. Net income attributable to GEO operations was approximately $47.5 million, or $0.36 per diluted share, versus approximately $29.1 million, or $0.21 per diluted share in Q2 2025. Adjusted EBITDA rose to approximately $142 million from approximately $118.6 million, up 20%. Full-year 2026 guidance was raised to revenues of $2.95 billion-$3.05 billion, GAAP net income of $168 million-$175 million, EPS of $1.27-$1.32, and adjusted EBITDA of $550 million-$560 million. Q3 2026 guidance is GAAP net income of $45 million-$48 million, EPS of $0.35-$0.37, revenue of $755 million-$805 million, and adjusted EBITDA of $140 million-$145 million. Q4 2026 guidance is GAAP net income of $37 million-$41 million, EPS of $0.28-$0.31, revenue of $758 million-$808 million, and adjusted EBITDA of $137 million-$142 million. The company ended Q2 with approximately $55 million in cash and cash equivalents, approximately $1.54 billion of total debt, total net debt of approximately $1.5 billion, and total available liquidity of approximately $300 million. Unreimbursed capital expenditures are expected to be $135 million-$145 million in 2026, with CapEx expected to decline below $100 million in 2027.

George Zoley struck an upbeat tone and framed the quarter as evidence that GEO is benefiting from major contract wins booked in 2025. He emphasized ICE-related growth, saying the company expects continued demand for detention capacity, transportation, and electronic monitoring, and repeatedly pointed to additional upside from reactivating idle facilities. He also highlighted a potential asset-sale strategy with ICE, saying GEO wants to retain the operating business while monetizing the real estate where possible.

Shayn March focused on the step-up in revenue, profitability, and cash generation, citing Q2 revenue of approximately $732.1 million, net income of approximately $47.5 million, diluted EPS of $0.36, and adjusted EBITDA of approximately $142 million. He noted operating expenses rose 12% due to ICE facility activations and higher occupancy, while G&A stayed steady at about 9% of revenue and net interest expense fell by about $4 million due to lower net debt. March also said GEO ended Q2 with approximately $55 million in cash, $1.54 billion of total debt, net leverage below 3x adjusted EBITDA, and about $300 million of available liquidity.

Analysts focused on the Florida contract delay, CapEx reimbursement, the future of ISAP, the skip tracing contract, and the possible sale of ICE facilities. Management said the Florida pushout was due to unresolved budgetary issues and that some revenue had been expected earlier, so guidance would have been even higher without the delay. On ISAP, GEO said ICE’s near-term focus remains building detention capacity toward roughly 100,000 beds, although a policy shift could eventually lift ISAP volumes; on skip tracing, management said the $60 million annualized estimate still looked right and a new contract could be received this quarter. On facility sales, GEO said ICE has started a procurement process for four facilities and that it hopes for a long-term contract term, but no definitive deal or timeline exists yet.