CoreCivic’s Board of Directors approved an increase of its share‑repurchase authorization on November 7, 2025, and the company disclosed the decision publicly on November 10, 2025. The authorization was raised by $200 million, lifting the total available for future buybacks from $500 million to $700 million. The move gives CoreCivic a larger pool of capital to return to shareholders and to support share‑price stability as the company continues to generate strong cash flow.
Prior to the increase, CoreCivic had already repurchased 21.5 million shares at an aggregate cost of $322.1 million, leaving $377.9 million of the original authorization unused. With the new authorization, the company now has $700 million available for future buybacks, a 47 % increase in the pool that can be deployed at management’s discretion. The decision reflects confidence in the firm’s valuation and its ability to generate cash from its core operations.
CoreCivic’s Q3 2025 earnings report provides context for the buyback decision. Revenue rose 18.1 % year‑over‑year to $580.4 million, driven largely by a 54.6 % increase in revenue from U.S. Immigration and Customs Enforcement (ICE) contracts. Adjusted EBITDA reached $88.8 million, up from $83.3 million in Q3 2024, and operating margin expanded to 22.7 % from 9 % in the same quarter last year. The sharp margin improvement reflects higher pricing power in the ICE segment and disciplined cost management amid rising start‑up expenses for new facilities.
The company’s earnings per share of $0.24 fell short of the consensus estimate of $0.26 by 7.7 %. The miss was largely due to the impact of start‑up costs for new detention facilities, which weighed on profitability despite the revenue growth. Management noted that while revenue increased, the capital intensity of expanding capacity has temporarily reduced earnings, prompting a modest downward revision of full‑year adjusted EPS guidance to $1.03 at the midpoint. The guidance cut signals caution about near‑term cash‑flow pressure, but the company remains confident in its long‑term growth trajectory.
CoreCivic’s management emphasized that the share‑repurchase program is a key component of its capital‑allocation strategy. CEO Damon T. Hininger said the company is “prioritizing the allocation of our cash flows to our share repurchase program” because of its earnings trajectory, alternative investment opportunities, and the current share price. COO Patrick Swindle added that the firm’s recent contract awards and strong demand from government partners position it well to execute on the capital‑allocation plan. The increased authorization therefore signals management’s confidence in the company’s financial health and its ability to return value to shareholders.
The market reacted positively to the announcement, with CoreCivic shares trading higher in pre‑market activity on November 10. Analysts noted that the buyback authorization, combined with the company’s improved margins and strong ICE contract momentum, underpinned a “strong buy” consensus rating and a bullish outlook for the firm’s valuation. The move is expected to support shareholder value in the medium term while giving the company flexibility to capitalize on future opportunities.
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