CoreCivic’s fourth-quarter earnings beat as it sheds assets to reduce debt (NYSE: CXW)

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CoreCivic (NYSE: CXW) Fourth-quarter earnings exceeded the consensus estimate, but the company’s revenue and adjusted EBITDA declined as the company shed non-core items. active during the quarter.

The corrections and detention center operator expects 2022 FFO per share of $1.55 to $1.70 to fall from the $1.85 it reported for 2021. For l year, it is heading for an EBITDA of $354.8 M to $370.0 M; this compares to reported 2021 Adjusted EBITDA of $402.0 million.

CoreCivic Equity (CXW) slip 0.6% in after-hours trading.

“In 2021, we made great strides in improving our capital structure by revoking our REIT selection, selling non-core assets which allowed us to accelerate our debt reduction strategy, access debt capital markets, extend our debt maturities and position our balance sheet to enable us to pursue attractive growth opportunities and return capital to shareholders,” said the President and Chief Executive Officer of CoreCivic (CXW), Damon T. Hininger.

Q4 normalized FFO per share of $0.48 beat consensus of $0.45 and fell $0.63 in Q4 2020.

Adjusted EBITDA of $103.2m in Q4 decreased from $108.7m in the prior year quarter due to the sale of 47 non-core real estate assets since the end of Q3 2021, which generated 7 $.4M of adjusted EBITDA in Q4 2020.

Conference call February 10 at 11:00 a.m. ET.

Earlier CoreCivic FFO of $0.48 beat $0.03, revenue of $472.1M misses $9.14M

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