Geo Group Inc (GEO) 2025 Q2 法說會逐字稿

Good day, and welcome to The GEO Group Second Quarter 2025 Earnings Call. (Operator Instructions) Please note that this event is being recorded.

大家好，歡迎參加 GEO 集團 2025 年第二季財報電話會議。（操作員指示）請注意，此事件正在被記錄。

I would now like to turn the conference over to Pablo Paez, Executive Vice President of Corporate Relations. Please go ahead, sir.

現在，我想將會議交給企業關係執行副總裁 Pablo Paez。先生，請繼續。

Thank you, operator. Good morning, everyone, and thank you for joining us for today's discussion of The GEO Group's second quarter 2025 earnings results. With us today are George Zoley, Executive Chairman of the Board; Dave Donahue, Chief Executive Officer; and Mark Suchinski, Chief Financial Officer.

謝謝您，接線生。大家早安，感謝您參加今天關於 GEO 集團 2025 年第二季財報結果的討論。今天與我們一起的有董事會執行主席 George Zoley、執行長 Dave Donahue 和財務長 Mark Suchinski。

This morning, we will discuss our second quarter results as well as our outlook. We will conclude the call with a question-and-answer session. This conference call is also being webcast live on our Investor website at investors.geogroup.com.

今天上午，我們將討論第二季的業績以及展望。我們將以問答環節結束此通話。本次電話會議也將在我們的投資者網站 investors.geogroup.com 上進行網路直播。

Today, we will discuss non-GAAP basis information. A reconciliation from non-GAAP basis information to GAAP basis results is included in the press release and the supplemental disclosure we issued this morning.

今天，我們將討論非公認會計準則基礎資訊。我們今天早上發布的新聞稿和補充披露中包含了非 GAAP 基礎資訊與 GAAP 基礎結果的對帳。

Additionally, much of the information we will discuss today, including the answers we give in response to your questions, may include forward-looking statements regarding our beliefs and current expectations with respect to various matters. These forward-looking statements are intended to fall within the safe harbor provisions of the securities laws. Our actual results may differ materially from those in the forward-looking statements as a result of various factors contained in our Securities and Exchange Commission filings, including the Form 10-K, 10-Q and 8-K reports.

此外，我們今天討論的大部分信息，包括我們對您的問題的回答，可能包括關於我們對各種事項的信念和當前期望的前瞻性陳述。這些前瞻性陳述旨在符合證券法的安全港條款。由於我們向美國證券交易委員會提交的文件（包括 10-K、10-Q 和 8-K 表格報告）中包含的各種因素，我們的實際結果可能與前瞻性陳述中的結果有重大差異。

With that, please allow me to turn the call over to our Executive Chairman, George Zoley. George?

說完這些，請允許我將電話轉給我們的執行主席喬治·佐利 (George Zoley)。喬治？

Thank you, Pablo, and good morning to everyone. And thank you for joining us on our second quarter 2025 earnings call. I'm pleased to be joined today by our CEO, Dave Donahue; and our CFO, Mark Suchinski.

謝謝你，Pablo，大家早安。感謝您參加我們的 2025 年第二季財報電話會議。我很高興今天能與我們的執行長戴夫·多納休 (Dave Donahue) 和財務長馬克·蘇欽斯基 (Mark Suchinski) 一起出席。

During the first half of the year, we achieved several important milestones and we have made significant progress towards meeting our growth and strategic objectives. In February, we entered into a 15-year contract with ICE for the establishment of an ICE processing center at our company-owned 1,000-bed Delaney Hall Facility in New Jersey. Delaney Hall began intake of ICE detainees on May 1, and remains in the process of ramping up. The support services contract for Delaney Hall is expected to generate in excess of $60 million in annualized revenues in the first full year of operations.

今年上半年，我們實現了幾個重要的里程碑，在實現成長和策略目標方面取得了重大進展。今年 2 月，我們與 ICE 簽訂了一份為期 15 年的合同，將在我們公司位於新澤西州的擁有 1,000 個床位的 Delaney Hall 設施內建立一個 ICE 處理中心。德萊尼霍爾監獄於 5 月 1 日開始接收 ICE 被拘留者，目前仍在增加。德萊尼霍爾的支援服務合約預計將在營運的第一個完整年度產生超過 6000 萬美元的年收入。

In March, we entered into a letter contract with ICE for the activation of our company-owned 1,800-bed North Lake Facility in Michigan. Over the past few months, we were in discussions with ICE to definitize a 2-year support services contract for that facility, which has now been finalized and executed.

3 月份，我們與 ICE 簽訂了一份意向合同，以啟動我們公司位於密西根州的擁有 1,800 個床位的北湖監獄設施。過去幾個月，我們一直在與 ICE 討論為該設施制定一份為期兩年的支援服務合同，該合約現已最終確定並執行。

Based on the scope of services and term of the contract, we now expect our North Lake Facility to generate in excess of $85 million in annualized revenues in the first full year of operations. North Lake has already begun intake of ICE detainees, and we expect it to gradually ramp up during the third and fourth quarters.

根據服務範圍和合約期限，我們預計北湖工廠在運作的第一個完整年度將產生超過 8500 萬美元的年收入。北湖已經開始接收 ICE 被拘留者，我們預計第三季和第四季接收人數將逐步增加。

In June, we announced the activation of our company-owned 1,868-bed D. Ray James Facility in Georgia under a contract modification to the existing intergovernmental service agreement that is in place for our company-owned 1,118-bed Folkston ICE Processing Center, thus creating a 2,986-bed facility complex.

6 月份，我們宣布根據與現有政府間服務協議（我們公司擁有的擁有 1,118 張床位的 Folkston ICE 處理中心）的合約修改，啟用我們公司位於喬治亞州擁有的擁有 1,868 張床位的 D. Ray James 設施，從而創建一個擁有 2,986 張床位的設施綜合體。

Under the modified agreement, we expect to generate approximately $66 million in additional incremental annualized revenues in the first full year of operations. D. Ray James has also begun intake of ICE detainees, and we expect the facility to gradually ramp up during the third and fourth quarters.

根據修改後的協議，我們預計在營運的第一個完整年度將產生約 6,600 萬美元的額外增量年收入。D. Ray James 也已開始接收 ICE 被拘留者，我們預計該設施將在第三季和第四季逐步增加。

In June, we also announced a recent court settlement, which allowed for the immediate full intake at our company-owned 1,940-bed Adelanto ICE Processing Center in California. Intake at Adelanto had been prohibited by a court order issued more than 4-years ago based on then prevailing COVID-19 conditions. With the lifting of these court restrictions, Adelanto has begun ramping up over the last 2 months and is nearing full occupancy. At full occupancy, the Adelanto contract would expect it to generate up to approximately $31 million in additional incremental annualized revenues.

今年 6 月，我們還宣布了一項最新法庭和解協議，該協議允許我們公司位於加州、擁有 1,940 個床位的阿德蘭托 ICE 處理中心立即全面接收囚犯。四年多前，根據當時 COVID-19 的疫情狀況，法院發布命令禁止阿德蘭托醫院接收病人。隨著這些球場限制的解除，阿德蘭託在過去兩個月開始加速發展，目前已接近滿員。在滿員入住的情況下，Adelanto 合約預計將產生高達約 3,100 萬美元的額外增量年收入。

These 4 facilities, which remain at different stages of activation, represent more than $240 million in combined annualized revenues with margins consistent with our company-owned Secure Services facilities, which average between 25% and 30%. While this revenue potential is only partially reflected in our 2025 financial guidance because of the timing of facility activations and the gradual ramp-up of populations, we expect full-year revenue contributions from these activations to be reflected in 2026.

這 4 個設施仍處於不同的啟動階段，總計年收入超過 2.4 億美元，利潤率與我們公司擁有的安全服務設施一致，平均在 25% 至 30% 之間。雖然由於設施啟用的時間和人口的逐步增加，這項收入潛力僅部分反映在我們的 2025 年財務指導中，但我們預計這些啟用帶來的全年收入貢獻將在 2026 年得到體現。

As a reminder, facility activations generally require a 60 to 90-day period of time to hire, train and clear staff. During this time frame, we typically incur startup expenses. Once intake begins, populations generally increase gradually to allow for smooth operational activation.

提醒一下，設施啟動通常需要 60 到 90 天的時間來僱用、培訓和清理員工。在此期間，我們通常會產生啟動費用。一旦開始接收，人口通常會逐漸增加，以確保順利啟動營運。

During the second quarter of this year, the utilization across our current ICE contracts has increased from approximately 15,000 beds to 20,000 beds at 21 facilities, which is the highest level of ICE utilization in our company's history. This represents more than 1/3 of the current ICE detention levels, which we estimate to be approximately 57,000 beds nationwide.

今年第二季度，我們目前 ICE 合約的使用率已從 21 個設施的約 15,000 張床位增加到 20,000 張床位，這是我們公司歷史上 ICE 利用率的最高水準。這占到目前 ICE 拘留水準的三分之一以上，我們估計全國的拘留床位約為 57,000 張。

Additionally, we have 5,000 beds currently available across our existing 21 ICE facilities, primarily at our 4 ICE facilities that remain under activation. Once these facilities are fully occupied, our total ICE beds are expected to increase to approximately 25,000. We also have approximately 5,900 idle beds at 6 company-owned facilities, which remain available. These facilities include our 1,200-bed Lea County Facility in New Mexico, our 1,300-bed Rivers Facility in North Carolina, our 1,450-bed Flightline Facility and a 900-bed Cedar Hill Facility in Texas, our 700-bed Cheyenne Mountain Facility in Colorado and our 300-bed McFarland Facility in California.

此外，我們現有的 21 個 ICE 設施目前共有 5,000 張床位可用，其中主要有 4 個 ICE 設施仍在啟用中。一旦這些設施全部投入使用，我們的 ICE 床位總數預計將增加到約 25,000 張。我們還在 6 家公司自有設施中擁有約 5,900 張閒置床位，可供使用。這些設施包括位於新墨西哥州擁有 1,200 張床位的利亞縣設施、位於北卡羅來納州擁有 1,300 張床位的里弗斯設施、位於德克薩斯州擁有 1,450 張床位的 Flightline 設施和擁有 900 張床位的雪松山設施、位於科羅拉多州擁有 700 張設施的夏蘭設施以及加州擁有 300 張床位的加州設施。

The majority of these facilities were formally contracted to the U.S. Bureau of Prisons and are high security facilities, which makes them ideally suited for the needs of ICE and the U.S. Marshals Service. If fully utilized, these 6 facilities could generate up to approximately $310 million in annualized revenue. We are in active discussions with both ICE and U.S. Marshals Service for the potential activation of these facilities.

這些設施中的大多數都正式與美國監獄管理局簽約，並且是高度安全設施，這使得它們非常適合 ICE 和美國法警局的需求。如果充分利用，這 6 個設施每年可產生約 3.1 億美元的收入。我們正在與美國移民及海關執法局 (ICE) 和美國法警局積極討論啟動這些設施的可能性。

We continue to be pleased with the pace of these contract discussions and remain optimistic that additional contract awards will materialize during the third and fourth quarters of the year. As has been publicly reported, ICE is focusing on increasing its detention capacity from the current 5,700 beds to 100,000 beds or more by the end of the year.

我們對這些合約談判的進展感到滿意，並仍然樂觀地認為，今年第三季和第四季將有更多的合約授予。根據公開報道，ICE 的目標是在今年年底將其拘留能力從目前的 5,700 張床位增加到 10 萬張或更多。

While the annual appropriations provided under the current continuing resolution only funded ICE for 41,500 detention beds, the budget reconciliation bill that was approved by Congress and signed into law by the President on July 4th included a significant increase in funding to support this expansion in detention beds and other areas of immigration enforcement.

雖然現行持續決議規定的年度撥款僅為ICE提供41,500張拘留床位，但國會批准並於7月4日由總統簽署成為法律的預算協調法案大幅增加了資金，以支持拘留床位的擴張和其他移民執法領域的工作。

The budget reconciliation bill provides $171 billion in incremental funding for border security and immigration enforcement, including $45 billion for ICE detention and $30 billion for other ICE areas, all of which will remain available through September 30th, 2029 and can be spent at the discretion of DHS and ICE.

預算協調法案為邊境安全和移民執法提供了 1,710 億美元的增量資金，其中包括 450 億美元用於 ICE 拘留，300 億美元用於其他 ICE 區域，所有這筆資金將一直可用到 2029 年 9 月 30 日，可由國土安全部和 ICE 自行決定使用。

We believe that the funding provided by the budget reconciliation bill is currently in the process of being allocated by the Office of Management and Budget and will likely be available in mid-to-late August. To the best of our knowledge, the current beds available by the private sector at traditional hard-sided facilities would likely provide ICE capacity for approximately 75,000 to 80,000 beds.

我們相信，預算協調法案提供的資金目前正在由管理和預算辦公室分配，並可能在8月中下旬到位。據我們所知，私營部門目前在傳統硬殼設施中提供的床位可能可以為 ICE 提供約 75,000 至 80,000 張床位。

Scaling up to 100,000 beds or more will likely require ICE to seek alternative solutions like temporary soft-sided facilities, which we believe the administration is exploring, primarily on military basis or, as has recently been supported, state-provided sites at this time in such states as Florida, Indiana and Louisiana.

擴大到 100,000 張或更多床位可能需要 ICE 尋求替代解決方案，例如臨時軟邊設施，我們認為政府正在探索這種解決方案，主要以軍事為基礎，或者如最近得到支持的那樣，目前在佛羅裡達州、印第安納州和路易斯安那州等州提供州立場地。

While our primary focus remains on the activation on our remaining idle facilities by either ICE or U.S. Marshals Service, we are also exploring other potential alternatives to further assess ICE meeting its stated objectives. To that end, we have and will continue to evaluate the potential acquisition or leasing of third-party-owned facilities, and we will also identify several of our existing ICE facilities where we can add approximately 5,000 combined beds using different options of temporary and permanent facilities.

雖然我們的主要重點仍然是透過 ICE 或美國法警署啟動我們剩餘的閒置設施，但我們也在探索其他潛在的替代方案，以進一步評估 ICE 是否能夠實現其既定目標。為此，我們已經並將繼續評估收購或租賃第三方擁有的設施的可能性，我們還將確定我們現有的幾個 ICE 設施，我們可以使用不同的臨時和永久設施選擇在這些設施中增加約 5,000 張床位。

Additionally, we have entered into teaming agreements with an established Department of Defense contractor to position our company to pursue potential procurements that may be issued for operational support services at military sites. All of these efforts are aimed at placing our company in the best competitive position possible to pursue what we continue to believe are unprecedented growth opportunities. As a long-standing support services provider for ICE with a 40-year long track record, we believe we are uniquely positioned to assist the agency to meet its objectives.

此外，我們還與國防部承包商達成了合作協議，使我們的公司能夠獲得可能在軍事基地提供作戰支援服務的潛在採購。所有這些努力都是為了使我們的公司處於最佳的競爭地位，以追求我們一直認為的前所未有的成長機會。作為 ICE 的長期支援服務供應商，我們擁有 40 年的豐富經驗，相信我們擁有獨特的優勢，能夠協助該機構實現其目標。

In addition to providing special-purpose facilities that meet the unique operational needs and requirements set by ICE, we are also the agency's sole provider of electronic monitoring and case management services through our BI subsidiary. BI has a long track record of delivering quality services under the Intensive Supervision Appearance Program, or ISAP as it's called, with the bipartisan support of approximately 20 years. On July 17, 2025, ICE posted a justification and approval that notified the public of ICE's intention to extend the ISAP contract for a period of 12 months to allow the agency to prepare for a new competitive procurement.

除了提供滿足 ICE 設定的獨特營運需求和要求的專用設施外，我們還透過我們的 BI 子公司成為該機構唯一的電子監控和案件管理服務提供者。在兩黨約 20 年的支持下，BI 在強化監管出庭計畫（ISAP）下提供優質服務方面有著悠久的歷史。2025 年 7 月 17 日，ICE 發布了一份理由和批准，告知公眾 ICE 打算將 ISAP 合約延長 12 個月，以便該機構為新的競爭性採購做好準備。

On July 31, ICE and BI agreed to extend the ISAP contract through August 31, 2025. We believe this interim agreement provides ICE additional time to extend the ISAP contract period of performance for 6 to 12 months with possible further extensions during which time ICE will likely be evaluating the ISAP program for potential programmatic changes and scale of operations.

7 月 31 日，ICE 和 BI 同意將 ISAP 合約延長至 2025 年 8 月 31 日。我們相信，這項臨時協議為 ICE 提供了更多時間，將 ISAP 合約履行期延長 6 至 12 個月，並可能進一步延長，在此期間 ICE 可能會評估 ISAP 計劃的潛在計劃變更和營運規模。

This process would likely be followed by the issuance of a national request for proposals taking place over several months to evaluate submissions from interested parties. We believe BI is in a highly competitive position, having held the ISAP contract for approximately 20 years, consistently winning multiple competitive rebids of the contract during that timeframe.

在這個過程之後，可能會發布一份為期數月的全國性提案徵求書，以評估相關方提交的意見。我們認為，BI 處於高度競爭地位，已持有 ISAP 合約約 20 年，並在此期間連續贏得多次競爭性合約重新招標。

We believe BI has consistently delivered high-quality services under the ISAP contract. These services entail diversified electronic monitoring technologies as well as compliance management services, which are delivered through a nationwide network of approximately 100 offices and close to 1,000 employees.

我們相信 BI 一直按照 ISAP 合約提供高品質的服務。這些服務包括多樣化的電子監控技術以及合規管理服務，透過全國約 100 個辦事處和近 1,000 名員工的網路提供。

Over our 20-year tenure, ISAP has achieved high compliance rates with immigration court requirements while monitoring a relatively small portion of the estimated 7 million to 8 million undocumented aliens who are on the non-detained docket, in addition to another 9.5 million to 10 million people who are also estimated to be in the United States without legal status.

在我們20年的任期內，ISAP 在監控未被拘留的約700萬至800萬非法移民的同時，也實現了對移民法庭要求的高遵守率，此外還監控了約950萬至1000萬在美國境內沒有合法身份的非法移民。

Given the size of this population of 17 million to 18 million illegal aliens currently estimated to be in the United States, our view remains that in addition to increased detention capacity, the enforcement of federal immigration laws could lead to an increase in GPS tracking for individuals on the non-detained docket. The current number of ISAP participants is approximately 183,000 individuals, and the ISAP participant counts have remained in a relatively stable range for most of the year.

鑑於目前估計美國境內非法移民人數為 1700 萬至 1800 萬，我們仍然認為，除了增加拘留能力外，聯邦移民法的執行還可能導致對非拘留名單上個人的 GPS 追蹤增加。目前 ISAP 參與者人數約為 183,000 人，且 ISAP 參與者數量在一年中的大部分時間都保持在相對穩定的範圍內。

We believe that the lack of growth in ISAP has been primarily driven by an intense focus from ICE on increasing and maximizing the utilization of detention capacity. Once detention capacity is maximized by the end of the year, we speculate that the focus will likely shift to increasing the use of GPS tracking. Our current expectation is for ISAP participant counts to remain stable through the third and fourth quarters, with growth starting to materialize late this year or early next year to coincide with the maximization of ICE detention capacity.

我們認為，ISAP 成長乏力主要是因為 ICE 過度注重增加和最大化拘留能力的使用率。一旦到今年年底拘留容量達到最大化，我們推測重點可能會轉向增加 GPS 追蹤的使用。我們目前的預期是，ISAP 參與者數量將在第三季和第四季保持穩定，並將在今年年底或明年年初開始實現成長，以配合 ICE 拘留能力的最大化。

With our previously announced investment to ramp up inventory of our GPS tracking devices to several tens of thousands, we believe we've taken the necessary resources to significantly and quickly respond to the eventual expansion of ISAP.

我們先前宣布將投資將 GPS 追蹤設備庫存增加到數萬台，我們相信我們已經投入了必要的資源，可以顯著且迅速地應對 ISAP 的最終擴張。

Now turning to the important investment we've made for the continued growth of our secure transportation services. Our wholly owned transportation subsidiary, GTI, has a long-standing record providing secure ground transportation services on behalf of ICE, primarily in connection with our existing ICE processing centers.

現在來談談我們為安全運輸服務的持續成長所做的重要投資。我們的全資運輸子公司 GTI 長期以來一直代表 ICE 提供安全的地面運輸服務，主要與我們現有的 ICE 處理中心相關。

Starting in 2023, our contractual partnership with CSI Aviation has allowed GTI to become the largest provider of secure ground and air transportation for ICE. We expect that an increase in the number of removal flights could generate an incremental $40 million to $50 million in annualized revenues for GTI under this existing contractual partnership.

從 2023 年開始，我們與 CSI Aviation 的合約合作夥伴關係使 GTI 成為 ICE 最大的安全地面和空中運輸提供者。我們預計，在現有的合約合作關係下，增加遣返航班數量可以為 GTI 帶來 4,000 萬至 5,000 萬美元的年收入。

GTI has been a long-standing partner to the U.S. Marshals Service. In June, we announced an expansion to this partnership when GTI entered into a new 5-year contract with the U.S. Marshals Service for the provision of secure transportation services covering 26 federal judicial districts and spanning 14 states. This new contract is expected to generate up to approximately $30 million in annualized revenues. GTI revenues have grown 240% from $58 million in 2022 to $140 million projected for 2025.

GTI 一直是美國法警局的長期合作夥伴。今年 6 月，我們宣布擴大合作夥伴關係，GTI 與美國法警局簽訂了一份新的 5 年期合同，為 26 個聯邦司法區和 14 個州提供安全運輸服務。預計這份新合約將產生高達約3000萬美元的年收入。GTI 的營收成長了 240%，從 2022 年的 5,800 萬美元增至 2025 年預計的 1.4 億美元。

In addition to these important operational milestones, we have taken significant steps to strengthen our capital structure by deleveraging our balance sheet and positioning our company to enhance shareholder value through capital returns. In mid-July, we completed an amendment to our credit agreement to increase the size of our revolver from $310 million to $450 million, extend its maturity to July of 2030, and decrease the interest rate on outstanding borrowings by 0.5%.

除了這些重要的營運里程碑之外，我們還採取了重要措施來加強我們的資本結構，透過降低資產負債表的槓桿率，並使公司能夠透過資本回報來提高股東價值。7 月中旬，我們完成了信貸協議的修訂，將循環信貸額度從 3.1 億美元增加到 4.5 億美元，將到期日延長至 2030 年 7 月，並將未償還借款的利率降低 0.5%。

But we've also repaid $132 million of the Term Loan B outstanding under the credit agreement at the time. On July 25th, we completed the sale of our company-owned 2,388-bed Lawton Facility in the State of Oklahoma for $312 million, which has been a financially transformative event in our company's history. We believe that the successful sale of our Lawton Facility at approximately $130,000 per bed is representative of the intrinsic value of our company-owned facilities, which now total approximately 50,000 beds.

但我們也根據當時的信貸協議償還了未償還的 1.32 億美元定期貸款 B。7 月 25 日，我們以 3.12 億美元的價格完成了該公司位於俄克拉荷馬州擁有 2,388 個床位的勞頓醫療中心的出售，這是我們公司歷史上的財務轉型事件。我們相信，以每張床位約 13 萬美元的價格成功出售勞頓設施代表了我們公司自有設施的內在價值，目前該設施共有約 5 萬張床位。

On July 31st, we used a portion of the net proceeds from the sale of the Lawton Facility to acquire the 770-bed Western Regional Detention Facility in San Diego, California, for approximately $60 million in a like-kind real-estate property exchange that is expected to be accretive to EBITDA. This is an important facility that recently celebrated its 25th anniversary of providing federal detention capacity on behalf of the U.S. Marshals Service under a long-standing contract that generates approximately $57 million in annualized revenues for GEO.

7 月 31 日，我們利用出售勞頓拘留所所得的部分淨收益，以約 6000 萬美元的價格收購了位於加利福尼亞州聖地亞哥的擁有 770 個床位的西部地區拘留所，該交易是同類房地產交易，預計會增加 EBITDA。這是一個重要的設施，最近慶祝了其代表美國法警局提供聯邦拘留服務 25 週年，該合約為 GEO 帶來了每年約 5700 萬美元的收入。

We used the remaining net proceeds from the sale of Lawton Facility to pay off the additional senior secured debt, including the remaining balance of our Term Loan B. These combined transactions have reduced our total net debt to approximately $1.47 billion and positioned our company to enhance shareholder value through capital returns.

我們利用出售勞頓工廠的剩餘淨收益償還了額外的優先擔保債務，包括定期貸款 B 的剩餘餘額。這些合併交易使我們的總淨債務減少至約 14.7 億美元，並使公司能夠透過資本回報來提高股東價值。

Given the intrinsic value of our assets and the unprecedented growth opportunities we anticipate will materialize over the balance of this year and next year, we believe that our current equity valuation offers an attractive opportunity for investors. Similarly, we believe it offers an opportunity for our company to enhance shareholder value through share repurchases.

鑑於我們資產的內在價值以及我們預計在今年和明年將實現的前所未有的成長機會，我們相信我們目前的股權估值為投資者提供了一個有吸引力的機會。同樣，我們相信這為我們公司透過股票回購來提高股東價值提供了機會。

To that end, our Board of Directors recently authorized a $300 million stock buyback program effective through June 30, 2028. We expect to conduct our 3-year stock buyback program at a rate of approximately $100 million per year while paying down debt at also approximately $100 million per year. We expect to execute on our new stock buyback program opportunistically, balancing it with our growth capital needs and our continued efforts to deleverage our balance sheet.

為此，我們的董事會最近批准了一項 3 億美元的股票回購計劃，有效期至 2028 年 6 月 30 日。我們預計將以每年約 1 億美元的速度實施為期 3 年的股票回購計劃，同時以每年約 1 億美元的速度償還債務。我們希望適時執行我們的新股票回購計劃，使其與我們的成長資本需求以及我們持續努力去槓桿化資產負債表之間取得平衡。

At this time, I will now turn the call over to our CFO, Mark, to review our financial highlights and guidance.

現在，我將把電話轉給我們的財務長馬克，來回顧我們的財務亮點和指導。

Thank you, George, and good morning, everyone. We're pleased with our strong second quarter results, which exceeded our previously issued guidance. For the second quarter of 2025, we reported net income attributable to GEO of approximately $29 million or $0.21 per diluted share on quarterly revenue of approximately $636 million. This compares to a net loss attributable to GEO of approximately $32.5 million or $0.25 per diluted share in the second quarter of 2024 due to the refinancing costs of $82 million on revenues of approximately $607 million.

謝謝你，喬治，大家早安。我們對第二季的強勁業績感到滿意，該業績超出了我們先前發布的預期。2025 年第二季度，我們報告歸屬於 GEO 的淨收入約為 2,900 萬美元，即每股攤薄收益 0.21 美元，季度營收約 6.36 億美元。相較之下，2024 年第二季度，由於約 6.07 億美元的營收和 8,200 萬美元的再融資成本，GEO 的淨虧損約為 3,250 萬美元，即每股攤薄虧損 0.25 美元。

Adjusted net income for the second quarter of 2025 was approximately $31 million or $0.22 per diluted share compared to approximately $30 million or $0.23 per diluted share for the prior year's second quarter. Adjusted EBITDA for the second quarter of 2025 was approximately $119 million, consistent with approximately $119 million reported in the prior year's second quarter. Our second quarter 2025 revenue, net income and adjusted EBITDA were well ahead of our previously issued guidance.

2025 年第二季調整後淨收入約為 3,100 萬美元或每股攤薄收益 0.22 美元，而去年同期第二季調整後淨收入約為 3,000 萬美元或每股攤薄收益 0.23 美元。2025 年第二季調整後 EBITDA 約為 1.19 億美元，與去年同期報告的約 1.19 億美元一致。我們的 2025 年第二季營收、淨收入和調整後的 EBITDA 遠遠超出我們先前發布的預期。

Beginning with revenues, quarterly revenues in our owned and leased secure facilities increased by approximately 12% year-over-year, primarily driven by the activation of our new ICE contracts and census growth across our existing ISAP ICE processing centers. While revenues in our owned and leased secure service facilities increased in the second quarter, net operating income for this segment was largely unchanged year-over-year as a result of start-up expenses incurred during the quarter in connection with the activation of our new ICE facilities.

從收入開始，我們自有和租賃的安全設施的季度收入同比增長約 12％，這主要得益於我們新的 ICE 合約的激活以及我們現有 ISAP ICE 處理中心的人口普查增長。雖然我們自有和租賃的安全服務設施的收入在第二季度有所增加，但由於本季度與啟動新的 ICE 設施相關的啟動費用，該部門的淨營業收入與去年同期相比基本沒有變化。

Revenues for our non-residential contracts increased by approximately 10% from the prior year's second quarter. These quarterly revenue increases were offset by lower quarterly revenues in 3 of our business units: a 7% reduction in our electronic monitoring and supervision services unit, a 2% reduction in our reentry centers and a 3% reduction in our managed-only contracts.

我們的非住宅合約收入比去年第二季增長了約 10%。這些季度收入的成長被我們 3 個業務部門的季度收入下降所抵消：電子監控和監督服務部門的收入減少了 7%，重返社會中心的收入減少了 2%，僅管理合約的收入減少了 3%。

Turning to our expenses. During the second quarter of 2025, our operating expenses increased by approximately 7% compared to the prior year's second quarter. The increase in our operating expenses reflects start-up expenses related to the hiring of additional staff in connection with the activation of our new ICE facilities. We have increased our budget to approximately $100 million in physical plant and technology improvement to better position GEO in responding to ICE's expanding needs.

談到我們的開支。2025 年第二季度，我們的營運費用與去年同期第二季相比增加了約 7%。我們的營運費用的增加反映了與啟動我們的新 ICE 設施相關的僱用額外員工的啟動費用。我們已將預算增加至約 1 億美元，用於實體工廠和技術改進，以便 GEO 更好地滿足 ICE 不斷增長的需求。

Our general and administrative expenses for the second quarter of 2025 increased by approximately 8% from the prior year's second quarter in part due to the reorganization of our senior management team at the end of last year, higher employee-related benefit costs and additional support for our new contract awards.

我們 2025 年第二季的一般和行政費用較去年同期第二季增加了約 8%，部分原因是去年年底我們高階管理團隊的重組、員工相關福利成本的增加以及對新合約授予的額外支持。

Our second quarter 2025 results reflect a year-over-year decrease in our net interest expense of approximately $9 million as a result of our continued debt reduction efforts. Our effective tax rate for the second quarter of 2025 was approximately 28%.

我們的 2025 年第二季業績反映出，由於我們持續努力削減債務，我們的淨利息支出較去年同期減少約 900 萬美元。我們 2025 年第二季的有效稅率約為 28%。

Now, if we move to our outlook. We have updated our financial guidance for the full year and have issued guidance for the third and fourth quarters of 2025. Our updated guidance reflects several moving pieces, but the deleveraging component is anchored by the $312 million sale of our Lawton, Oklahoma facility.

現在，我們來談談我們的展望。我們更新了全年財務指引，並發布了2025年第三季和第四季的指引。我們更新後的指引反映了幾個變動因素，但去槓桿部分是以 3.12 億美元出售我們位於俄克拉荷馬州勞頓的工廠為基礎的。

First, we have several facilities at different stages of activation. Second, the sale of our Lawton Facility in Oklahoma and the depopulation of our Lea County Facility in New Mexico will result in some revenue and earnings loss, while the recent purchase of the Western Regional Detention Facility will be accretive to our adjusted EBITDA in the second half of the year.

首先，我們有幾個處於不同啟動階段的設施。其次，出售位於俄克拉荷馬州的勞頓拘留所以及減少位於新墨西哥州利亞縣拘留所的人員數量將導致一些收入和收益損失，而最近收購的西部地區拘留所將在下半年增加我們調整後的 EBITDA。

Third, we have recalibrated our expectations regarding our ISAP contract to remain stable in the third and fourth quarters. Fourth, our net interest expense is expected to decrease significantly in the second half of 2025 as a result of our recent efforts to repay outstanding portions of our higher cost debt. Finally, consistent with our long-standing practice, our guidance does not include any new contract awards that have not yet been previously announced.

第三，我們重新調整了對 ISAP 合約的預期，以確保第三季和第四季保持穩定。第四，由於我們最近努力償還高成本債務的未償還部分，預計 2025 年下半年我們的淨利息支出將大幅下降。最後，根據我們的長期做法，我們的指導不包括任何尚未公佈的新合約授予。

Taking into account these moving pieces, we have increased our full-year 2025 guidance for GAAP net income to a range of $1.99 to $2.09 per diluted share, including a $228 million gain on the sale of our Lawton Facility. We've increased our full year '25 guidance for adjusted net income to a range of $0.84 to $0.94 per diluted share on increased annual revenues of approximately $2.56 billion and based on an effective tax rate of approximately 26%, inclusive of known discrete items.

考慮到這些變動因素，我們將 2025 年全年 GAAP 淨收入預期上調至每股攤薄收益 1.99 美元至 2.09 美元，其中包括出售勞頓工廠獲得的 2.28 億美元收益。我們已將 25 年全年調整後淨收入預期上調至每股攤薄收益 0.84 美元至 0.94 美元，前提是年收入增加至約 25.6 億美元，有效稅率約為 26%，其中包括已知的單一項目。

We expect total capital expenditures for the full year of 2025 to be approximately $200 million and $210 million, which includes approximately $60 million for the purchase of our Western Regional Detention Facility. And we are maintaining our full-year 2025 adjusted EBITDA guidance in the range of $465 million to $490 million.

我們預計 2025 年全年總資本支出約為 2 億美元至 2.1 億美元，其中包括用於購買西部地區拘留所的約 6,000 萬美元。我們將 2025 年全年調整後 EBITDA 預期維持在 4.65 億美元至 4.9 億美元之間。

For the third quarter of 2025, we expect adjusted net income to be in the range of $0.20 to $0.23 per diluted share on quarterly revenues of $650 million to $660 million. We expect third quarter 2025 adjusted EBITDA to be between $115 million and $125 million. For the fourth quarter of 2025, we expect adjusted net income to be in the range of $0.28 to $0.35 per diluted share on quarterly revenues of $658 million to $673 million. And we expect fourth quarter 2025 adjusted EBITDA to be between $132 million and $147 million.

對於 2025 年第三季度，我們預計調整後淨收入將在每股攤薄收益 0.20 美元至 0.23 美元之間，季度營收將在 6.5 億美元至 6.6 億美元之間。我們預計 2025 年第三季調整後的 EBITDA 將在 1.15 億美元至 1.25 億美元之間。對於 2025 年第四季度，我們預計調整後淨收入將在每股攤薄收益 0.28 美元至 0.35 美元之間，季度營收將在 6.58 億美元至 6.73 億美元之間。我們預計 2025 年第四季調整後的 EBITDA 將在 1.32 億美元至 1.47 億美元之間。

Let's now move to our capital structure. We ended the second quarter of 2025 with total net debt of approximately $1.7 billion. Subsequent to the end of the second quarter, we completed several important steps to strengthen our capital structure and further delever our balance sheet, largely due to the $312 million sale of our Lawton, Oklahoma facility. First, we completed an amendment to our credit agreement to increase the size of the revolver from $310 million to $450 million. The amendment also extended our revolver's maturity to July of 2030 and lowered the interest rate on borrowings under the revolver by 50 basis points.

現在讓我們轉到我們的資本結構。截至 2025 年第二季度，我們的淨債務總額約為 17 億美元。第二季結束後，我們完成了幾個重要步驟來加強我們的資本結構並進一步降低資產負債表的槓桿率，這主要歸功於我們以 3.12 億美元的價格出售了位於俄克拉荷馬州勞頓的工廠。首先，我們完成了信貸協議的修訂，將循環信貸額度從 3.1 億美元增加到 4.5 億美元。該修正案也將我們的循環信貸期限延長至 2030 年 7 月，並將循環信貸借款利率降低 50 個基點。

This important financing transaction is representative of the support we are enjoying from our existing and new banking partners. Prior to the execution of the credit amendment, we had repaid $132 million of outstanding borrowings under the Term Loan B. Following the closing of the $312 million sale of our Lawton Facility in Oklahoma, we used $222 million in net proceeds to pay off additional senior secured debt, including the remaining balance of our Term Loan B.

這項重要的融資交易代表了我們從現有和新銀行合作夥伴那裡獲得的支持。在執行信用修改之前，我們已償還了定期貸款 B 項下的 1.32 億美元未償還借款。在以 3.12 億美元出售位於俄克拉荷馬州勞頓工廠後，我們使用了 2.22 億美元的淨收益來償還額外的優先擔保債務，包括定期貸款 B 的剩餘餘額。

On a pro forma basis, these combined transactions have reduced our total net debt to approximately $1.47 billion and our total net leverage to approximately 3.3x adjusted EBITDA. Additionally, our debt maturities are now fairly evenly staggered between 2029 and 2031.

根據備考基礎，這些合併交易已將我們的總淨債務減少至約 14.7 億美元，並將我們的總淨槓桿減少至約 3.3 倍調整後 EBITDA。此外，我們的債務到期日現在相當均勻地分佈在 2029 年至 2031 年之間。

Given the intrinsic value of our owned real estate assets, as evidenced by the sale of our Lawton Facility, the significant steps we have taken to reduce debt, the growth we have already captured and the additional growth we expect to capture going forward, we believe strongly that our current equity valuation presents a very attractive proposition.

鑑於我們所擁有的房地產資產的內在價值（勞頓工廠的出售就證明了這一點）、我們為減少債務所採取的重大措施、我們已經實現的增長以及我們預計未來將實現的額外增長，我們堅信，我們目前的股權估值具有非常吸引力。

We believe this represents a significant opportunity for our company to enhance long-term value for our shareholders. To this end, our Board of Directors have authorized a $300 million share repurchase program effective through June 30th of 2028. The expiration date can be extended, the size of the program can be increased in the future at our Board's sole discretion.

我們相信，這對我們公司來說是一個提升股東長期價值的重要機會。為此，我們的董事會已批准一項 3 億美元的股票回購計劃，有效期至 2028 年 6 月 30 日。到期日期可以延長，未來該計劃的規模可以增加，這完全由我們的董事會自行決定。

We intend to execute on our new stock buyback program at a rate of approximately $100 million per year while opportunistically balancing it with our other capital allocation priorities to support continued company growth, capital needs and achieve long-term debt reduction.

我們打算以每年約 1 億美元的速度執行我們的新股票回購計劃，同時機會性地將其與我們的其他資本配置優先事項進行平衡，以支持公司持續增長、滿足資本需求並實現長期債務減免。

We are also targeting to further reduce debt at a rate of approximately $100 million per year, thus balancing the capital benefits to our shareholders. We remain focused on disciplined allocation of capital to enhance long-term value for our shareholders, and we believe that our strong cash flows, which we expect to grow forward, will also allow us to support our capital allocation priorities.

我們還計劃以每年約 1 億美元的速度進一步減少債務，從而平衡股東的資本利得。我們仍然專注於嚴格的資本配置，以提高股東的長期價值，我們相信，我們預計未來將成長的強勁現金流也將使我們能夠支持我們的資本配置重點。

At this time, I will turn the call over to our CEO, Dave Donahue, to review our GEO Secure Services and GEO Care highlights. Dave?

現在，我將把電話轉給我們的執行長 Dave Donahue，以回顧我們的 GEO 安全服務和 GEO 護理亮點。戴夫？

Thanks, Mark, and good morning, everyone. I'm pleased to review our quarterly highlights for GEO Secure Services and GEO Care. During the second quarter of 2025, we renewed 2 secure service contracts at the state level in Georgia and Arizona. On June 30th, we completed the previously announced depopulation of our company-owned 1,200-bed Lea County, New Mexico facility, which was previously under contract with the New Mexico Corrections Department, and we are currently marketing this facility to the federal government.

謝謝，馬克，大家早安。我很高興回顧 GEO Secure Services 和 GEO Care 的季度亮點。2025年第二季度，我們在喬治亞州和亞利桑那州續簽了2份州級安全服務合約。6 月 30 日，我們完成了先前宣布的對公司所屬的位於新墨西哥州利縣的 1,200 個床位的監獄的清退工作，該監獄之前與新墨西哥州懲教部門簽訂了合同，目前我們正在向聯邦政府推銷該監獄。

During the second quarter, our Secure Services facilities successfully underwent a total of 144 audits, including internal audits, government reviews, third-party accreditations, and Prison Rape Elimination Act, or PREA certifications. Three of our Secure Services facilities underwent accreditation audits from the American Correctional Association with an average score of 99.1%, and another 3 facilities received PREA certifications.

在第二季度，我們的安全服務設施成功接受了總共 144 次審計，包括內部審計、政府審查、第三方認證以及監獄強姦消除法案 (PREA) 認證。我們的三家安全服務機構通過了美國懲教協會的認證審核，平均得分為 99.1%，另有三家機構獲得了 PREA 認證。

Our GTI Transportation Division and our GEOAmey U.K. joint venture completed approximately 4.9 million miles driven in the United States and the U.K. during the second quarter. Over the last 3 months, utilization across our ICE processing centers increased from approximately 15,000 beds to 20,000 beds, with an additional 5,000 beds at different stages of activation. This census level represents the highest utilization of our contracted ICE facilities in our company's history.

我們的 GTI 運輸部門和 GEOAmey 英國合資企業第二季度在美國和英國完成了約 490 萬英里的行駛。在過去 3 個月中，我們 ICE 處理中心的使用率從大約 15,000 張床位增加到 20,000 張床位，另外還有 5,000 張床位處於不同的活化階段。這一普查水準代表了我們公司歷史上合約 ICE 設施的最高利用率。

GEO has a long-standing track record of delivering professional support services on behalf of ICE at GEO-contracted federal immigration processing centers, and we stand ready to support ICE with any additional needs. GEO-contracted ICE processing centers offer around-the-clock access to quality healthcare services. Our healthcare staffing at the ICE processing centers, where we provide residential healthcare, is generally more than double the number of healthcare staff in a typical state correctional facility.

GEO 長期以來一直代表 ICE 在 GEO 簽約的聯邦移民處理中心提供專業支援服務，並且我們隨時準備為 ICE 提供任何額外需求的支援。GEO 簽約的 ICE 處理中心提供全天候優質醫療服務。我們在 ICE 處理中心提供住院醫療保健的醫療保健人員數量通常是典型州立懲教機構醫療保健人員數量的兩倍以上。

GEO-contracted ICE processing centers offer full access to legal counsel and legal libraries and resources, and we have dedicated space at each ICE center to provide residents with confidential meetings with their legal counsel. GEO-contracted ICE processing centers provide residents with 3 daily meals that are culturally sensitive, special diet-appropriate and approved by registered dieticians.

GEO 簽約的 ICE 處理中心提供對法律顧問和法律圖書館及資源的全面訪問，並且我們在每個 ICE 中心都設有專用空間，為居民提供與其法律顧問的保密會議。GEO 簽約的 ICE 處理中心為居民提供符合文化特徵、適合特殊飲食且經註冊營養師認可的每日三餐。

We also provide access to faith-based and religious opportunities at each GEO-contracted ICE processing center, and we partner with community volunteers, as needed, to ensure fair representation of various faiths and denominations. GEO-contracted ICE processing centers also offer access to enhanced amenities, including artificial turf soccer fields, covered pavilions, exercise equipment and multipurpose rooms.

我們還在每個 GEO 簽約的 ICE 處理中心提供基於信仰和宗教的機會，並根據需要與社區志工合作，以確保公平代表各種信仰和教派。GEO 承包的 ICE 處理中心還提供增強的便利設施，包括人工草皮足球場、有蓋涼亭、健身器材和多功能廳。

Moving to our GEO Reentry segment, during the second quarter of 2025, we renewed 17 residential reentry center contracts, including 5 contracts with the Federal Bureau of Prisons and 1 non-residential day reporting center contract. During the second quarter, our residential reentry centers, non-residential day reporting centers, and ISAP offices successfully underwent a combined total of 79 audits, including internal audits, government reviews, third-party accreditations and Prison Rape Elimination Act, or PREA certifications.

轉到我們的 GEO 重返社會部門，在 2025 年第二季度，我們續簽了 17 份住宅重返社會中心合同，其中包括與聯邦監獄局簽訂的 5 份合同和 1 份非住宅日間報告中心合同。在第二季度，我們的住院重返社會中心、非住院日間報告中心和 ISAP 辦公室共成功通過了 79 次審計，包括內部審計、政府審查、第三方認證和監獄強姦消除法案 (PREA) 認證。

Our 35 residential reentry centers, including 14 centers under contract with the Federal Bureau of Prisons, provide transitional housing and rehabilitation programs for individuals reentering their communities across 14 states.

我們擁有 35 個住宅重返社會中心，其中包括 14 個與聯邦監獄局簽約的中心，為 14 個州重返社區的個人提供過渡住房和康復計劃。

Average daily census levels at these centers remain stable at approximately 5,000 individuals during the second quarter of 2025. Three of our non-residential -- excuse me, three of our residential reentry centers received reaccreditation during the second quarter from the American Correctional Association, with an average accreditation score of 100%, and 3 additional residential reentry centers received PREA certifications.

2025 年第二季度，這些中心的每日平均人口普查人數保持穩定，約 5,000 人。我們的三個非住宿式——不好意思，我們的三個住宿式重返社會中心在第二季度獲得了美國懲教協會的重新認證，平均認證分數為 100%，另外還有 3 個住宿式重返社會中心獲得了 PREA 認證。

Our non-residential and day reporting centers provide high-quality community-based services, including cognitive behavior treatment for up to 10,700 parolees and probationers at approximately 102 locations across 10 different states.

我們的非住宿和日間報告中心提供高品質的社區服務，包括為 10 個不同州約 102 個地點的多達 10,700 名假釋犯和緩刑犯提供認知行為治療。

Moving to our Enhanced Rehabilitation Program. We currently deliver in-custody rehabilitation to an average daily population of approximately 2,700 individuals at 38 in-prison program sites in 7 states and engage approximately 30,000 program participants at 10 GEO Continuum of Care sites in 6 states. Our in-custody rehabilitation services include academic programs focused on the attainment of high school equivalency diplomas.

轉向我們的增強復健計劃。目前，我們在 7 個州的 38 個監獄計畫點為平均每天約 2,700 名囚犯提供監禁康復服務，並在 6 個州的 10 個 GEO 連續護理點為約 30,000 名計畫參與者提供康復服務。我們的羈押復健服務包括以獲得高中同等學歷文憑為重點的學術課程。

We have made a significant investment to equip all of our classrooms with smart boards in our education departments to aid in the delivery of academic instruction. We've also focused on developing vocational programs that lead to certification for good jobs in the markets where our graduates will live upon release. Our substance abuse treatment programs are an important part of our rehabilitation services because many of the individuals in our facilities suffer from addiction and substance use disorder.

我們投入了大量資金，為教育部門的所有教室配備智慧白板，以幫助進行學術指導。我們也致力於開發職業培訓項目，以便畢業生獲得畢業後所在市場的良好就業資格。我們的藥物濫用治療計劃是我們康復服務的重要組成部分，因為我們機構中的許多人都患有成癮和藥物使用障礙。

Our facilities also provide extensive faith-based and character-based programs with designated housing units across our facilities designed to enhance the delivery of these programs. During the second quarter of 2025, we completed approximately 1.7 million hours of enhanced in-custody rehabilitation programming.

我們的設施還提供廣泛的基於信仰和基於性格的項目，並在設施內設有指定的住房單元，旨在加強這些項目的實施。2025 年第二季度，我們完成了約 170 萬小時的密集羈押復健計畫。

Our academic programs and learning academies awarded more than 1,200 high school equivalency diplomas. Our vocational training programs awarded more than 2,100 vocational training certifications. Our substance abuse treatment programs awarded over 2,000 program completions. The individuals in our Continuum of Care programs achieved approximately 2,200 behavioral treatment program completions and close to 5,400 individual cognitive behavioral treatment sessions.

我們的學術課程和學習學院頒發了 1,200 多個高中同等學歷文憑。我們的職業培訓課程頒發了 2,100 多項職業培訓認證。我們的藥物濫用治療計劃已成功完成 2,000 多個項目。我們持續照護計畫中的個人完成了大約 2,200 個行為治療計畫和近 5,400 個個人認知行為治療課程。

During the second quarter, we also allocated approximately $380,000 towards post-release services. This funding supported close to 1,700 individuals released from GEO service facilities as they continued to return to their communities. Our GEO Continuum of Care program integrates enhanced in-custody rehabilitation, including cognitive behavioral treatment, with post-release support services that address the critical community needs of released individuals.

在第二季度，我們還撥款約 38 萬美元用於發布後服務。這筆資金支持了近 1,700 名從 GEO 服務設施獲釋的人員返回社區。我們的 GEO 持續照護計畫將強化的羈押復健（包括認知行為治療）與釋放後支持服務相結合，以滿足釋放人員的關鍵社區需求。

We believe our award-winning program provides a proven model for how the 2-plus million people in the U.S. criminal justice system can be better served in changing their lives. Our GEO Continuum of Care has had a positive impact in the reduction of criminal recidivism rates, with our programs achieving a reduction of between 42% and 47% in recidivism over 3- and 5-year periods when compared to the national averages.

我們相信，我們屢獲殊榮的計畫為如何更好地服務於美國刑事司法系統中的 200 多萬人並改變他們的生活提供了一個行之有效的模式。我們的 GEO 持續照護對降低犯罪再犯率產生了積極影響，與全國平均水平相比，我們的計畫在 3 年和 5 年內將再犯率降低了 42% 至 47%。

Finally, turning to our Electronic Monitoring and Supervision Services segment, our BI subsidiary continues to provide a full suite of monitoring and supervision solutions, products and technologies for government agency partners at the local, state and federal levels. BI is continuously evaluating the development of new cutting-edge electronic monitoring technologies to support the growing need for these services from government agencies across the United States.

最後，談到我們的電子監控和監督服務部門，我們的 BI 子公司繼續為地方、州和聯邦各級政府機構合作夥伴提供全套監控和監督解決方案、產品和技術。BI 正在不斷評估新的尖端電子監控技術的發展，以支持美國各地政府機構對這些服務日益增長的需求。

At this time, I'll turn the call back over to George for closing remarks.

現在，我將把電話轉回給喬治，請他作最後發言。

Thank you, Dave. In closing, we are very pleased with our strong second quarter results and with the significant progress we've made towards meeting our growth and strategic objectives. Since the beginning of the year, we've announced the activation of 4 facilities, totaling approximately 6,600 beds under contracts with ICE, with expected annualized revenues in excess of $240 million.

謝謝你，戴夫。最後，我們對第二季的強勁業績以及在實現成長和策略目標方面取得的重大進展感到非常滿意。自今年年初以來，我們已宣布啟動 4 個設施，根據與 ICE 簽訂的合同，總計約 6,600 張床位，預計年收入將超過 2.4 億美元。

We have approximately 5,900 idle high-security beds that remain available for use either by ICE or the U.S. Marshals Service, which could generate an additional $310 million in annualized revenues if fully activated. Additionally, we've identified several of our existing ICE facilities where we could add approximately 5,000 combined beds either through temporary or permanent facility expansions.

我們還有大約 5,900 張閒置的高安全床位可供 ICE 或美國法警署使用，如果全部投入使用，每年可額外產生 3.1 億美元的收入。此外，我們已經確定了幾個現有的 ICE 設施，我們可以透過臨時或永久設施擴建來增加約 5,000 張床位。

We've stocked up the inventory of our monitoring devices and are well-positioned to assist the federal government to scale up the use of GPS tracking for non-detained illegal aliens once the ICE detention capacity has been maximized. We expect growth in our ISAP contract could begin to materialize late this year or early next year to coincide with the maximization of the ICE detention capacity.

我們已經儲備了監控設備庫存，一旦 ICE 拘留能力達到最大化，我們就可以協助聯邦政府擴大對未被拘留的非法外國人使用 GPS 追蹤。我們預計 ISAP 合約的成長可能在今年年底或明年年初開始實現，以配合 ICE 拘留能力的最大化。

We're pleased with the continued growth of our ground and air secure transportation services for ICE and the U.S. Marshals. This is a unique moment in our company's history as a long-standing support services provider for ICE with a 40-year long track record. We believe we are uniquely positioned to assist the agency in meeting its objectives.

我們很高興看到我們為 ICE 和美國法警提供的地面和空中安全運輸服務持續成長。作為 ICE 的長期支援服務提供者，擁有 40 年的豐富經驗，這是我們公司歷史上的獨特時刻。我們相信，我們擁有獨特的優勢，能夠協助該機構實現其目標。

All of our efforts are aimed at placing our company in the best competitive position possible to pursue what we believe to be unprecedented growth opportunities, and we've budgeted $100 million in physical plant, vehicles and electronic monitoring improvements towards that objective. Given the intrinsic value of our owned real estate assets, as evidenced by the sale of our Lawton Facility and the unprecedented growth opportunities in front of our company, we believe strongly that our current equity evaluation offers an attractive opportunity for our investors.

我們所有的努力都是為了讓我們的公司處於最佳的競爭地位，以追求我們認為前所未有的成長機會，為了實現這一目標，我們已預算 1 億美元用於實體工廠、車輛和電子監控改進。鑑於我們所擁有的房地產資產的內在價值（正如我們出售勞頓工廠以及我們公司面臨的前所未有的成長機會所證明的那樣），我們堅信，我們目前的股權評估為我們的投資者提供了一個有吸引力的機會。

We believe we've taken significant steps to strengthen our capital structure, deleverage our balance sheet and position our company to enhance shareholder value through capital returns. To capitalize on this unique opportunity to enhance the long-term shareholder value, our Board of Directors recently authorized a 3-year $300 million stock buyback program, which we expect to execute opportunistically while balancing it with our continued objective of deleveraging our balance sheet at a rate of approximately $100 million per year. Our focus as a management team remains on enhancing value for our shareholders through the disciplined allocation of capital and achieving a new level of financial success in 2026.

我們相信，我們已經採取了重大措施來加強我們的資本結構，降低我們的資產負債表的槓桿率，並使我們的公司能夠透過資本回報來提高股東價值。為了利用這一獨特的機會來提高長期股東價值，我們的董事會最近批准了一項為期 3 年、金額為 3 億美元的股票回購計劃，我們預計將適時執行該計劃，同時保持我們繼續以每年約 1 億美元的速度降低資產負債表槓桿率的目標。作為管理團隊，我們的重點仍然是透過嚴格的資本配置為股東提升價值，並在 2026 年實現新的財務成功水準。

On a personal note, I would like to thank the GEO Board for extending my employment contract to April 2029, allowing me to participate in guiding our company through the remainder of this presidential administration.

就我個人而言，我要感謝 GEO 董事會將我的僱傭合約延長至 2029 年 4 月，讓我能夠在本屆總統任期的剩餘時間裡參與指導公司。

That completes our remarks, and we'd be glad to take any questions. Thank you.

我們的發言到此結束，我們很樂意回答任何問題。謝謝。

We will now begin the question and answer session.

我們現在開始問答環節。

(Operator Instructions)

（操作員指示）

Joe Gomez with Noble Capital.

諾布爾資本的喬‧戈麥斯 (Joe Gomez)。

Good morning. Congrats on the quarter and all the positive news.

早安.恭喜本季取得的成績以及所有正面的消息。

Thank you.

謝謝。

So I just kind of wanted to run through some of the numbers that you guys have given just to make sure we're all on the same page. So it sounds like you've got roughly 5,000 beds at existing facilities that are under contract, another 5,900 beds at the idle facilities, and the potential that you could ramp up another 5,000 beds kind of in temporary, let's call it, conditions at existing facilities. So say that's roughly about another 16,000 beds that you could ramp up today. And you gave a number for the idle, would be about $310 million. But if all 16,000 were to come on, what kind of revenue would that generate?

所以我只是想瀏覽一下你們提供的一些數字，以確保我們都達成共識。因此，聽起來您在現有的已簽約設施中擁有大約 5,000 張床位，在閒置設施中擁有另外 5,900 張床位，並且有可能在現有設施中以臨時（我們稱之為）的條件再增加 5,000 張床位。所以說，今天可以增加的床位大約有 16,000 張。您給出的閒置金額約為 3.1 億美元。但如果 16,000 人全部到場，會產生什麼樣的收入呢？

Well, I think we're talking about an additional 5,000 or 10,000 beds.

嗯，我想我們談論的是增加 5,000 或 10,000 張床位。

It would really be -- full off pricing would be on the 5,000 temporary beds. The existing facilities, pricings already established for that, right? So I mean, we'd really be talking about 5,000 additional beds. There's some upside in the existing facility beds.

這確實將是——5,000 張臨時床位的全額定價。現有的設施和定價已經確定了，對嗎？所以我的意思是，我們實際上談論的是增加 5,000 張床位。現有的設施床位有一些優點。

That's probably about $250 million at approximately $50 million per 1,000 beds of that type, because those would be incremental beds where the overhead is already paid for. There would be expansions of the existing facility. So approximately $250 million.

這大概是 2.5 億美元，每 1,000 張該類型的床位大約需要 5,000 萬美元，因為這些都是增量床位，其管理費用已經支付。現有設施將會擴建。大約是 2.5 億美元。

Okay. Great. And then just wanted to turn to ISAP for a second here. So the populations, they said they've been stable to modestly declining from the 185 to roughly 183 today, are most recent ICE numbers. But there's been a lot of discussion -- reports, I guess, I should say, of the potential of moving from the SmartLINK application to the ankle monitor application. Are you guys hearing that? What could be the implication of that? Because the ankle monitors generate almost 3x the amount on a tech cost on a daily basis as the SmartLINK does and that would use up funding faster, I guess, so to speak. So I'm just wondering, a, what you guys are hearing on that? What you think the potential would be? Would you have the capacity on the ankle monitors if all of a sudden they decided to move more towards ankle monitors than the SmartLINK application?

好的。偉大的。然後我只想在這裡轉向 ISAP 一會兒。因此，他們表示，難民人數一直保持穩定，從 185 人略微下降到今天的 183 人左右，這是最新的 ICE 數據。但已經有很多討論——我想，應該說，有很多關於從 SmartLINK 應用程式轉向腳踝監視器應用程式的可能性的報告。你們聽到了嗎？這意味著什麼？因為腳踝監視器每天產生的技術成本幾乎是 SmartLINK 的 3 倍，所以我想可以說這會更快耗盡資金。所以我只是想知道，你們對此有何看法？您認為其潛力有多大？如果他們突然決定更多地使用腳踝監視器而不是 SmartLINK 應用程序，您是否具備腳踝監視器的容量？

We've stocked up the inventory on ankle monitors. And as you've point out, it is a more expensive device. It would require, I believe, additional funding to the ISAP contract, which may be available through a reprogramming of some of this money that will be coming -- available later on this month through the Reconciliation Act.

我們已經儲備了腳踝監視器的庫存。正如您所指出的，它是一種更昂貴的設備。我相信，這需要為 ISAP 合約提供額外資金，這些資金可能會透過重新規劃部分即將到位的資金來提供——本月晚些時候將透過《和解法案》提供。

Okay. And then as you talked about the goals here, the share repurchase program, congrats on us finally getting there, but also looking to continue to reduce debt by about -- I think you said $100 million. Historically, the goal has been that $150 million to $175 million. That was obviously prior to the Oklahoma facility sale. Are you looking to do any additional debt reduction in the second half of this year? Or are we good at where we are and then we'll start looking at that $100 million going in '26 and beyond?

好的。然後，正如您在這裡談到的目標，股票回購計劃，祝賀我們終於實現了目標，但也希望繼續減少債務——我想您說的是 1 億美元。從歷史上看，目標是 1.5 億美元至 1.75 億美元。這顯然是在俄克拉荷馬州工廠出售之前。您是否計劃在今年下半年進一步削減債務？或者我們對目前的狀況很滿意，然後我們會開始考慮 26 年及以後的 1 億美元？

Joe, I think the way I would characterize it, we expect to generate additional cash -- excess cash in the back half of the year. So that's going to enable us to continue to delever in the back half of this year. And really, when we think about the play here of $100 million share repurchase and we target the $100 million continued reduction in debt over the next couple of years, the benefits that I see for us is we have opportunities to have excess cash in excess of that $200 million.

喬，我認為我對此的描述是，我們預計在今年下半年產生額外的現金 - 過剩現金。因此，這將使我們能夠在今年下半年繼續去槓桿。實際上，當我們考慮回購 1 億美元的股票，並計劃在未來幾年繼續減少 1 億美元的債務時，我看到的好處是我們有機會獲得超過 2 億美元的額外現金。

We're looking at deleveraging, which reduces our cash interest expense that frees up cash. We have the growth as we move into 2026. The top-line will be higher, and that'll enable us to generate more cash flow. And then as we move into 2026, we'll get back to more normal capital expenditure -- annual capital expenditure.

我們正在考慮去槓桿，以減少現金利息支出並釋放現金。隨著我們邁入 2026 年，我們將實現成長。營業收入將會更高，這將使我們能夠產生更多的現金流。然後，隨著我們進入 2026 年，我們將恢復到更正常的資本支出——年度資本支出。

So as we move forward here, we have the ability to generate more than $200 million of cash flow. And then at that point in time, it will give us an opportunity here to further pay down debt and reduce cash interest expense. But getting back to your original point, we expect to further reduce our debt balances over the course of the remainder of the year while opportunistically looking at buying back shares.

因此，隨著我們不斷前進，我們有能力產生超過 2 億美元的現金流。然後在那個時間點，它將給我們一個機會進一步償還債務並減少現金利息支出。但回到你最初的觀點，我們預計在今年剩餘時間內進一步減少債務餘額，同時抓住機會回購股票。

Okay. Great. And one more, if I may. There's been a lot of talk, obviously, because it's in the news, on ICE and the whole opportunity at ICE. On the state level, I'm just wondering how things are going there. Oftentimes you see per diem increases in the June-July timeframe. I'm wondering if you guys saw any of that. And are there any opportunities on the state level? Or are we just really focused on ICE at this point?

好的。偉大的。如果可以的話，我還要再說一句。顯然，這引起了很多討論，因為它出現在新聞中，涉及 ICE 以及 ICE 的整個機會。在州一級，我只是想知道那裡的情況如何。您經常會看到六月至七月期間每日津貼會增加。我想知道你們是否看到了這些。州一級有機會嗎？或者我們現在只關注 ICE？

Well, in Florida, we're involved in competitive bidding on 3 facilities, 2 of which we operate presently.

在佛羅裡達州，我們參與了 3 個設施的競爭性投標，其中 2 個目前由我們運營。

So Joe, to your point, our focus on our state clients hasn't diminished at all. It's actually increased. And to George's point, we're involved in a competitive re-procurement of 3 major correctional facilities here in Florida, which we have operational experience with. And then also, we're working with our other clients around the country to support their initiatives as well.

喬，正如你所說，我們對國家客戶的關注絲毫沒有減少。事實上它有所增加。正如喬治所說，我們參與了佛羅裡達州 3 個主要懲教設施的競爭性重新採購，我們擁有這些設施的營運經驗。此外，我們也與全國各地的其他客戶合作，以支持他們的計畫。

And increased capacity at the state level is driven, generally speaking, by the budget process. And this year, the legislative activity that you referenced, the June-July timeline, we did see improvement operationally in our Georgia environment. The legislative process supported an additional increase in our funding streams for that project. And again, we're optimistic that other jurisdictions are supporting those discussions presently with their general assemblies. And so, again, very committed to the efforts of supporting our state clients and meeting their needs as they present them.

一般來說，州級的能力提升是由預算過程推動的。今年，您提到的立法活動，即 6 月至 7 月的時間線，我們確實看到喬治亞州環境的運作有所改善。立法程序支持進一步增加該項目的資金流。我們再次樂觀地認為，其他司法管轄區目前正在透過其大會支持這些討論。因此，我們再次致力於支持我們的國家客戶並滿足他們提出的需求。

Great, I'll get back to you. Congrats again on the quarter and on the fantastic growth opportunities ahead of us.

太好了，我會回覆您。再次恭喜本季取得的成績以及我們未來的絕佳成長機會。

Thank you.

謝謝。

Matt Erner with Jones Trading.

瓊斯貿易公司的馬特‧埃納 (Matt Erner)。

Hey guys, thanks for taking the question, congrats on getting that share repurchase agreement from the Board. That's great there. So as private beds kind of fill up towards that 100k level, and it looks like we've got a pretty decent line of sight into that ramping up kind of by year end, early 1Q of next year, how are you guys positioning yourselves for management contracts at some government facilities? You touched on it during the prepared remarks a little bit with the defense contractor and those agreements there, but any expansion would be great.

嘿，大家好，感謝您的提問，恭喜您從董事會獲得股票回購協議。太棒了。因此，隨著私人床位數量接近 10 萬張，而且看起來我們已經對年底或明年第一季初私人床位數量的增加有了相當不錯的預期，你們如何定位自己在一些政府設施的管理合約中的位置？您在準備好的發言中稍微談到了國防承包商和那裡的協議，但任何擴展都是很好的。

I'm really kind of unclear as to what your question is. Could you repeat that?

我實在不太清楚你的問題是什麼。你能再說一次嗎？

Yes. So kind of the management of government facilities, so not company-owned.

是的。因此，這屬於政府設施的管理，不屬於公司所有。

Well, we look at that fairly carefully. We had some opportunities here in Florida, and we kind of passed on it. But we prefer to be the owner of the facility, and we have several that are idle that we would like to reactivate and they're primarily former BOP facilities that are high security and really ideally suited for -- as I said in my previous remarks, ideally suited for ICE and the U.S. Marshals Service as well as the Bureau of Prisons, who was the previous user of these facilities. They're primarily cell facilities, so it's high security. They have perimeter fencing. In some places, they have towers that overlook the facility.

嗯，我們相當仔細地研究了這個問題。我們在佛羅裡達州曾經有過一些機會，但我們錯過了。但我們更願意成為這些設施的所有者，我們有幾處閒置的設施想要重新啟用，它們主要是以前的 BOP 設施，安全性很高，非常適合 —— 正如我在前面的評論中所說的那樣，非常適合 ICE 和美國法警局以及監獄管理局，他們是這些設施以前的用戶。它們主要是牢房設施，因此安全性很高。他們有圍欄。在一些地方，他們建有俯瞰該設施的塔樓。

So our physical plant inventory that's available to the 3 federal agencies is quite substantial, and that's really where our focus is right now. As well as I said earlier, that there's a lot of activity going on in our Transportation division, where they are -- I think they're doing approximately 80 to 90 flights per week domestically and internationally. So that division has really taken off, literally and figuratively.

因此，我們為三個聯邦機構提供的實體工廠庫存相當豐富，這也是我們現在真正關注的重點。正如我之前所說，我們的運輸部門有很多活動，我認為他們每週在國內和國際上大約有 80 到 90 個航班。因此，無論從字面上還是從象徵意義上來說，這種分歧都已經真正開始。

But Matt, to further state the obvious, obviously, we're partnered with a defense contractor positioning ourselves for procurement activity in the event that DoD in partnership with Homeland Security considers projects in the future. And obviously, we're committed to ensuring that we support the mission of the client, Immigration Customs Enforcement. So we're always evaluating next steps, if you will, and positioning ourselves to support ICE.

但馬特，進一步說顯而易見的是，我們顯然與一家國防承包商合作，為採購活動做好準備，以防國防部與國土安全部合作考慮未來的專案。顯然，我們致力於確保支持客戶移民海關執法局的使命。因此，如果您願意的話，我們一直在評估下一步行動，並定位自己以支持 ICE。

Great, that's helpful color that's all for me. Thank you.

太好了，這對我來說是有用的顏色。謝謝。

Greg Gibbs with Northland Securities.

北國證券公司的格雷格·吉布斯。

Congrats on the quarter. Wondering if you could maybe follow â or, I guess, if I could follow up on an update on the opportunity to contract additional facilities with the Marshals Service. I know that there's the New Mexico facility, Big Spring in Texas, Rivers Facility in North Carolina with multiple RFPs out there. If you can give kind of an update on your outlook there and timing on those?

恭喜本季取得佳績。我想知道您是否可以跟進——或者，我想，我是否可以跟進與法警署簽訂額外設施合約的機會的最新進展。我知道新墨西哥州的工廠、德州的大泉市的工廠、北卡羅來納州的河流工廠都有多個 RFP。您能否就您的展望和時間安排提供一些更新資訊？

Well, the discussions are underway. They've begun some time ago. And I think there's a general awareness of the location of these facilities. And funding is always the big issue. I think all the agencies are towards the tail end of their budget year, which expires the end of September. And particularly if -- ICE, they have a -- we have read that they have a budget deficit of excess of $1 billion. So they have to be careful as to when they contract. I think everybody is waiting for this reconciliation funding, which will occur towards the middle or the end of this month. But the agencies are well aware of these locations.

嗯，討論正在進行中。他們早就開始了。我認為人們普遍知道這些設施的位置。資金始終是一個大問題。我認為所有機構的預算年度都已接近尾聲，該預算年度將於九月底到期。特別是如果——ICE，他們有——我們讀到他們的預算赤字超過 10 億美元。因此，他們必須謹慎選擇簽約時間。我想大家都在等待這筆和解資金，它將在本月中旬或月底到位。但這些機構對這些地點非常清楚。

For some of the agencies, like maybe the Marshals Service in particular, it constitutes a consolidation play based on certain geographic areas in the east or the west of the country. And we're -- a lot of times, the Marshals Service is really contracting for beds with several sheriffs' jurisdictions in a geographic area, and our facilities allow them to consolidate those beds into one secure â- a high secure facility where they're the exclusive client, they have the exclusive control of the facility, which is generally their preference, rather than a fragmented system covering a large geographic area.

對於某些機構，尤其是法警局來說，這構成了基於該國東部或西部某些地理區域的整合行動。而且我們 — — 很多時候，法警局實際上是與某個地理區域內的幾個治安官轄區簽訂合約來租用床位，而我們的設施允許他們將這些床位整合到一個安全的 — — 高度安全的設施中，他們是該設施的獨家客戶，他們對該設施擁有獨家控制權，這通常是他們的偏好，而不是覆蓋大片地理區域的分散系統。

Yes, Greg. I mean, I think as George just described, we are in discussions with the Marshals. We're cautiously optimistic. There's some opportunities ahead for us. But as it relates to growth, obviously, ICE is a big priority. But as somebody mentioned earlier, we've got some good opportunities at the state level, the Marshal level as well and transportation. So we think about our business holistically. We think that we're fairly diversified. In multiple components within our business segments, we're seeing lots of different growth opportunities, and we think that over the coming months, that's going to pay dividends.

是的，格雷格。我的意思是，我認為正如喬治剛才所描述的，我們正在與元帥進行討論。我們持謹慎樂觀的態度。我們面前還有一些機會。但就成長而言，顯然 ICE 是一個重中之重。但正如之前有人提到的那樣，我們在州一級、元帥一級以及交通方面都有一些很好的機會。因此，我們會全面考慮我們的業務。我們認為我們已經相當多元化了。在我們業務部門的多個組成部分中，我們看到了許多不同的成長機會，我們認為，在未來幾個月內，這將帶來回報。

Great. That's helpful and good to hear. Given the budget deficit with ICE and now that we're past budget reconciliation or additional funding, I guess how are you expecting the pace of facility reactivation timing once that funding is available, call it middle or end of this month? And I guess secondly, like, has ICE kind of communicated to you that they intend to ramp ISAP participants once that detention capacity is maximized? And do you still anticipate that contract to be extended for 12 months?

偉大的。這很有幫助，很高興聽到。考慮到 ICE 的預算赤字，而且現在我們已經完成了預算調節或額外資金，我想一旦資金到位，您預計設施恢復的速度會如何，比如說本月中旬或月底？其次，ICE 是否已經向您傳達過，一旦拘留容量達到最大，他們打算增加 ISAP 參與者的數量？您是否仍預計合約將延長 12 個月？

They haven't communicated at this time the expansion of ISAP. Their focus is intensely on scaling up the detention capacity. So they are communicating with many red states, in particular, as I said, Florida, Indiana, Louisiana, and Texas is probably one of them, to scale up from the capacity that's prospectively available by the private sector, which I estimate to be 75,000 to 80,000 beds.

他們目前還沒有公佈 ISAP 的擴充情況。他們重點關注的是擴大拘留能力。因此，他們正在與許多紅州進行溝通，特別是佛羅裡達州、印第安納州、路易斯安那州，德克薩斯州可能是其中之一，以擴大私營部門未來可提供的容量，我估計為 75,000 至 80,000 張床位。

For them to get to 100,000, they need several governmental partners, as indicated by the facility recently in South Florida that has capacity for, I believe, 3,000 beds. And there'll be another one for 2,000 beds. It'll take several of these facilities to patch together the gap between the private sector and the ultimate objective of 100,000 beds. And that's about 30,000 beds that they need to patch together to get to the 100,000.

為了達到 100,000 個床位，他們需要幾個政府合作夥伴，正如最近在南佛羅裡達州設立的設施所表明的那樣，我相信該設施可容納 3,000 張床位。另外還將建一座可容納 2,000 張床位的醫院。需要幾個這樣的設施來彌補私營部門與 10 萬張床位的最終目標之間的差距。他們需要將大約 30,000 張床位拼湊起來才能達到 10 萬張床位的目標。

And then on ISAP, you said we're under a 30-day extension. And as George made in his remarks, we do anticipate an extension of 6 to 12 months to be awarded to us here in the near future.

然後關於 ISAP，您說我們獲得了 30 天的延期。正如喬治在演講中所說的那樣，我們確實預計在不久的將來我們會獲得 6 至 12 個月的延期。

Got it. Thanks guys. Great to see the buyback, and congrats on the quarter again.

知道了。謝謝大家。很高興看到回購，並再次恭喜本季取得佳績。

Brendan McCarthy with Siodi and Co.

麥卡錫 (Brendan McCarthy) 與 Siodi and Co.

Great. I wanted to start off on the Laken Riley Act. I think at one point, it was discussed that the act could lead to the need for an incremental 60,000 beds. But it sounds like the base case here is really close to 100,000 beds potentially by year-end. Just curious if that base case includes the impact of that act? And I guess how we can think about the overall impact on industry detention numbers.

偉大的。我想從萊肯萊利法案開始談起。我認為，曾經有人討論過，該法案可能會導致需要增加 60,000 張床位。但聽起來，這裡的基本情況是到年底可能真的接近 10 萬張床位。只是好奇這個基本情況是否包括該法案的影響？我想我們可以考慮一下這對產業拘留人數的整體影響。

I'm not really sure how to think about it because the original objective was just to get to the 100,000 beds before the passage of that act. And as I've said, the present estimated capacity of the private sector, as we sit today, is about 75,000 to 80,000. That's before considering scoping out vacant facilities that may be at the federal and state level as to whether they can be renovated and repurposed for additional capacity, which I think has a lot of potential.

我真的不知道該如何考慮這個問題，因為最初的目標只是在該法案通過之前達到 100,000 張床位。正如我所說，目前私部門的估計容量約為 75,000 至 80,000。那是在考慮對聯邦和州一級的空置設施進行評估之前，看看它們是否可以進行翻新並重新用於增加容量，我認為這具有很大的潛力。

So as ICE and Marshals scale up to this 100,000 beds, once they reach that through the current known means, I think that there will be a reevaluation of how do you get beyond that and what structures are available that meet legal requirements and agency requirements. And I think some of those structures are probably available at the federal and state levels around the country. They're not getting the attention right now. Because our structures are readily available, and ICE is pursuing some temporary type of structures with various Republican states. And so it's the low-hanging fruit that gets the attention first. And then after that's accomplished, there'll be a reevaluation of what other opportunities exist around the country.

因此，隨著 ICE 和法警部門將床位規模擴大到 10 萬張，一旦他們透過目前已知的手段達到這一目標，我認為將會重新評估如何超越這一目標，以及有哪些結構可以滿足法律要求和機構要求。我認為其中一些結構可能在全國聯邦和州一級都存在。他們現在沒有受到關注。因為我們的結構隨時可用，而且 ICE 正在與各個共和黨州合作推行某種臨時類型的結構。因此，最容易實現的目標總是最先受到關注。完成這項目標後，我們將重新評估全國各地還有哪些其他機會。

Understood. I appreciate the detail there. And then I wanted to touch on the fiscal year 2026 Homeland Security Appropriations Bill. Can you provide an update on maybe the verbiage in that bill? Has there been any release there or any detail on whether it be alternative detention or new updates with detention?

明白了。我很欣賞那裡的細節。然後我想談談2026財年的國土安全撥款法案。您能否提供有關該法案措辭的最新情況？有沒有關於替代拘留或拘留最新進展的任何消息或細節？

I believe in that bill, there's no specific text or narrative about the ISAP program. It was a bundle of money for broad categories of services. And $45 billion, I believe, is going to detention. Other billions are going to transportation. But within all these billions, the agency has the ability to reprogram money as it sees fit. And those are such large amounts because I think ICE's budget presently is only $8 billion. So you're talking about tremendous scaling up of the budget that will occur over a period of time.

我相信法案中沒有關於 ISAP 計劃的具體文字或敘述。這是用於廣泛服務類別的一筆資金。我認為其中 450 億美元將用於拘留。另外數十億美元將用於交通運輸。但在這數十億美元的資金中，該機構有能力根據自己的需求重新安排資金。這些金額如此之大，因為我認為 ICE 的預算目前只有 80 億美元。所以您說的是，在一段時間內預算將會大幅增加。

And I believe all those monies are -- have been appropriated and approved for the next 4 years. One of their objectives that they are focusing on right now is hiring 10,000 more ICE officers, which is very expensive and very complicated and very time consuming. It will take a long time to get 10,000 people recruited, screened, trained and knowledgeable about how to carry out their jobs. And they are needed to facilitate the filling of those 100,000 beds. You need more people to go across the country and identify people who are here unlawfully and who have committed crimes. It takes several people at any given event. One person doesn't go out and do this job by themselves. It's a whole team of people. And ICE definitely needs more employees. And that is definitely one of their priorities right now.

我相信所有這些資金都已經撥付並獲批用於未來四年。他們目前關注的目標之一是再僱用 10,000 名 ICE 官員，這項工作非常昂貴、非常複雜且非常耗時。招募、篩選、培訓 10,000 名人員並讓他們了解如何開展工作需要很長時間。他們需要這些資源來填補這 10 萬張床位。需要更多人走遍全國，識別非法居留和犯罪的人。任何特定活動都需要幾個人參加。一個人不會獨自出去做這項工作。這是一支由人組成的完整團隊。而且 ICE 肯定需要更多員工。這絕對是他們目前的首要任務之一。

Understood. That's all from me. Thank you.

明白了。我要說的就這些。謝謝。

Thank you.

謝謝。

Raj Sharma with Texas Capital.

德州資本的 Raj Sharma。

Yeah, thank you for taking my questions. Congratulations on the solid results and the outlook. I had a question on -- just if you could delve into the dynamics of why you expect the ICE monitoring and supervision to stay stable Q3 and Q4. Is this due to the ICE budgeting constraints solely till they get funding in August? I mean, how does that work with them wanting to -- is that when detentions get up to max levels? And they've talked about wanting to detain 180,000 more. Can you talk about the timing of that and the color around that?

是的，感謝您回答我的問題。恭喜您所取得的堅實成果和良好的前景。我有一個問題——您是否可以深入探討為什麼您預計 ICE 監控和監督將在第三季和第四季保持穩定。這是否是因為 ICE 的預算限制，直到 8 月才獲得資金？我的意思是，他們想要怎麼做呢——拘留是否達到了最高水準？他們也表示想再拘留 18 萬人。你能談談它的時間和周圍的顏色嗎？

Well, as -- I think we've said that we think that the focus of ICE right now and through the balance of the year will be on maximizing detention capacity. With respect to the ISAP program, certainly this budgeted year, they've tried to stay within their budget, which has not been expanded. And as we've said, even the detention budget has been exceeded. So they've had a balancing act, as we speak at this time, of the budget. And the additional funds will not materialize until, we believe, later this month.

嗯，我想我們已經說過，我們認為 ICE 目前以及今年餘下時間的重點將放在最大限度地提高拘留能力上。關於 ISAP 計劃，當然在本預算年度，他們一直試圖控制在預算範圍內，而預算並未擴大。正如我們所說，甚至拘留預算也已超出。因此，正如我們此時所說，他們已經對預算進行了平衡。我們認為，額外資金要到本月稍後才能到位。

But once they get those funds, additional funds, I think that the priority and the focus is still going to be for -- we believe the balance of this year will be on maximizing detention capacity. Because it's complicated. Getting a facility up and going and operational with respect to who's involved in operating the facility as well as the ICE personnel that are supporting that facility is very complicated, and it's never been done at this level before in our history.

但一旦他們獲得這些資金，額外的資金，我認為優先事項和重點仍然是——我們相信今年的重點將放在最大限度地提高拘留能力上。因為它很複雜。建立、運作和營運一個設施，對於參與營運該設施的人員以及支援該設施的 ICE 人員來說，是非常複雜的，在我們的歷史上從未達到這種程度。

So these are unchartered waters for the agency to expand their platform of detention nationally around the country to literally more than doubling the size of the previous administration. It can't be done overnight, and it requires a lot of attention, it requires more ICE staff.

因此，對於該機構來說，這是一個未知領域，他們將在全國範圍內擴大拘留平台，其規模實際上是上一屆政府的兩倍多。這不是一朝一夕就能完成的，需要很多關注，需要更多的 ICE 工作人員。

Got it. Got it. And then of the $118 million of adjusted EBITDA in Q2, what was the contribution from the newly ramping facilities, the 4 facilities? And then I will follow-on on the contribution going forward.

知道了。知道了。那麼，第二季調整後的 1.18 億美元 EBITDA 中，新建的 4 家工廠的貢獻是多少？然後我將繼續做出貢獻。

Well, Raj, we don't give specific contributions by facility. But what we can tell you is owned facilities, activation of those facilities, we've talked about the annual revenues that will be driven out by those facilities. And as we've said in the past, the owned facilities, typically margins are somewhere between 25% and 30% margins on those revenues. And so as we talk about activating 4 facilities to the tune of $200 million to $250 million, if you think about the math on that, that will generate 25% to 30% margins on that. So really, I think the big focus is, as we ramp those up and they're fully active and we're achieving the maximum revenues, which we expect to take place in 2026, that's where you're going to see the significant growth in EBITDA.

嗯，Raj，我們沒有給出各機構的具體貢獻。但我們可以告訴你的是，自有設施、這些設施的激活，我們已經討論了這些設施將產生的年度收入。正如我們過去所說的那樣，自有設施的利潤率通常在這些收入的 25% 到 30% 之間。因此，當我們談論啟動 4 個設施，耗資 2 億至 2.5 億美元時，如果你考慮數學，你就會知道這將產生 25% 至 30% 的利潤率。因此，我認為真正的重點是，隨著我們不斷提升這些功能，使它們充分發揮作用，並實現最大收入（我們預計這將在 2026 年實現），您將會看到 EBITDA 的顯著增長。

Got it. So you've given the revenue contribution from the 4 facilities. Can I ask this another way? When do you expect them to reach mature margin profiles so that we can get that full 25% or 30% EBITDA margins on the 4 facilities?

知道了。所以你已經給了這 4 個設施的收入貢獻。我可以用另一種方​​式問這個問題嗎？您預計它們何時能夠達到成熟的利潤率，以便我們可以從這 4 家工廠獲得 25% 或 30% 的 EBITDA 利潤率？

Yes, I'd say essentially 3 to 4 months after activation of those facilities. So I think if you think about Delaney Hall, D. Ray, North Lake, we'd expect really the fourth quarter for us to be really maximizing the profitability and gotten through what we'll call as the activation period, the hiring of the officers, the training of the officers. Right now, that's -- it's a very costly effort. And I'd say by the time we get to the fourth quarter, those facilities should be back, should be in a kind of what we'll call a normal recurring operation.

是的，我認為基本上是這些設施啟動後的 3 到 4 個月。所以我認為，如果你考慮一下 Delaney Hall、D. Ray 和 North Lake，我們預計第四季度我們將真正實現盈利能力最大化，並度過所謂的激活期、官員的聘用和官員的培訓。目前，這是一項成本非常高昂的努力。我想說，到第四季的時候，這些設施應該會恢復，應該處於我們所說的正常循環運作狀態。

I'll take my questions offline. Once again, congratulations on the solid results.

我將離線回答我的問題。再次恭喜您所取得的堅實成果。

Thank you.

謝謝。

Ted Franchetti with Wedbush.

泰德‧弗蘭切蒂 (Ted Franchetti) 與韋德布希 (Wedbush) 合作。

Everybody, thanks so much. Jay had to step off and will be likely following-up with you guys this afternoon. But I just wanted to ask a couple of quick questions. Sorry to keep going on ISAP and monitoring, but just wondering about the timing of the extension to the end of August. And you mentioned in a previous question about the funding potentially being sort of reallocated or re-procured post the OBB Bill getting done. Was the ISAP contract moved to end of August this year to sort of allow for that money to flow? And is that a reason for that timing?

大家好，非常感謝。傑伊必須離開，他可能會在今天下午跟進你們的情況。但我只是想問幾個簡單的問題。抱歉，繼續進行 ISAP 和監控，但我只是想知道延長至 8 月底的時間。您在先前的問題中提到，在 OBB 法案完成後，資金可能會被重新分配或重新購買。ISAP 合約是否改至今年 8 月底以便資金流通？這是選擇這個時間的原因嗎？

And then I guess another question sort of about ISAP and the extension is essentially -- for me is, do you have any different level of conviction about winning that contract over the next 12 months versus your expectations over the last 6 to 12? Like, has anything changed there for you?

然後我想關於 ISAP 和延期的另一個問題本質上是——對我來說，您對在未來 12 個月內贏得該合約的信心程度與您對過去 6 到 12 個月的預期有何不同？例如，對你來說那裡有什麼改變嗎？

No, nothing's changed. The short-term extension, we interpret, is to give additional time to consider whether it's a 6-month extension or a 12-month extension. It's simple as that. Which may require additional extensions as well, because the -- once they -- it takes time for them to decide what their programmatic needs are within that kind of program. Do they take a different direction on who the population is? What the monitoring devices are? What the scale of the operation is? Then they have to put all that together in an RFP, give time for proposers to submit proposals. That's followed by a fairly lengthy evaluation process before there's a final award.

不，什麼都沒改變。我們理解短期延期是為了給予額外的時間來考慮是延期 6 個月還是延期 12 個月。就這麼簡單。這可能還需要額外的擴展，因為——一旦他們——他們需要時間來決定他們在這種程序中的程式需求是什麼。他們對人口組成有不同的看法嗎？監控設備有哪些？行動規模有多大？然後，他們必須將所有這些內容匯總到一份 RFP 中，並給提案者提交提案的時間。在做出最終裁決之前，還需要經過一個相當漫長的評估過程。

So we expect that, that process will take place sometime next year. And we feel we've provided an excellent service for 20 years. Our ratings are excellent. As we get rated, I believe, annually, we've achieved excellent ratings, and we think we're in a highly competitive position for any rebid of this contract.

因此我們預計該過程將在明年某個時候進行。我們認為我們已經提供了 20 年的優質服務。我們的評分非常高。我相信，隨著我們每年的評級，我們都獲得了優秀的評級，並且我們認為，對於任何重新競標該合同，我們都處於極具競爭力的地位。

And we've invested the infrastructure. We have 100 locations that we service. We have 2 call centers. And as George said, we've been the provider for the last 20 years. And we really appreciate the partnership with ICE and ISAP and we're going to work really hard to do a great job for them.

我們已經投資了基礎設施。我們服務的地點有 100 個。我們有 2 個呼叫中心。正如喬治所說，過去 20 年來我們一直是該服務的供應商。我們非常感謝與 ICE 和 ISAP 的合作，我們將竭盡全力為他們做好服務。

One quick follow-up on just as far as cash flow goes. If in '26, you exceed $200 million in free cash flow and you allocate half of that to debt pay down and half of that to buyback, if you sort of exceed that $200 million level, would the incremental be pro rata allocated to debt pay down and buyback? Or would you prioritize repurchases?

關於現金流的快速跟進。如果在 26 年，您的自由現金流超過 2 億美元，並且您將其中一半用於償還債務，另一半用於回購，如果您超過了 2 億美元的水平，那麼增量是否會按比例分配給償還債務和回購？或者您會優先考慮回購嗎？

Well, it's most likely to be pro rata, but we'll also be opportunistic. It depends on what the stock price is. Right now, we think it's a very attractive price, and that's why we're looking to buy back stock. But as we said before, it'd probably be split between the 2, both contributing some value back to our shareholders while continuing to pay down debt.

嗯，最有可能的是按比例分配，但我們也會抓住機會。這取決於股票價格是多少。目前，我們認為這個價格非常有吸引力，這就是我們想要回購股票的原因。但正如我們之前所說，它可能會被分割給兩者，既為我們的股東貢獻一些價值，又繼續償還債務。

Kurt Lutke with Imperial Capital.

帝國資本的 Kurt Lutke。

Hello, George, Dave, Mark, Pablo, I really appreciate you staying late.

你好，喬治、戴夫、馬克、巴勃羅，非常感謝你們熬夜。

No problem

沒問題

Do you have a sense for the detention rate required to justify 100,000 detention beds? In other words, is it 3,000 a day equals 100,000 beds? Or is there some simple rule of thumb we can use?

您是否了解需要多少拘留率才能證明擁有 10 萬張拘留床位是合理的？也就是說，一天3000張床位是不是就等於10萬床？或者我們可以使用一些簡單的經驗法則嗎？

It is that simple rule of thumb, as you described it. I think the -- it was based on the objective of deporting 1 million people a year. How do you deport 1 million people a year? You'd need 100,000 beds and you need to process those people in 30-day increments. So each month 100,000 people would be deported, or approximately, to get to the 1 million. But that's just a theoretical model.

正如您所描述的，這就是簡單的經驗法則。我認為——這是基於每年驅逐 100 萬人的目標。每年如何驅逐 100 萬人？你需要 10 萬張床位，並且需要以 30 天為增量來處理這些人。因此，每個月將有大約 10 萬人被驅逐出境，以達到 100 萬人的目標。但這只是一個理論模型。

I don't -- and it's impacted by lawsuits probably in different jurisdictions around the country and it's impacted by different rulings on expedited removals and environmental issues and all kinds of things. But that's some model that somebody came up with that we've heard many times, it's you need 100,000 beds and moving people out 100,000 per month to get to the 1 million.

我不知道——它可能受到全國各地不同司法管轄區的訴訟的影響，也受到有關快速遣返、環境問題和各種事情的不同裁決的影響。但這是我們聽過很多次的某個人提出的模型，即需要 10 萬張床位，每月轉移 10 萬人才能達到 100 萬的目標。

Yes, I think the other way you can kind of think about it is, call it at the end of February or March, there was 41,000 beds full. It's grown to 57,000. So call it over the last 3 months, the detention has grown by about 20,000. And it started off slow. So it's probably possible to grow the detention by 20,000 to 30,000 every 3 months or so. And if you did the math that way, that's how you get to roughly 100,000 people detained by the end of the year. But I don't think there's an exact science, as George just described.

是的，我認為你可以從另一個角度來考慮這個問題，例如在二月底或三月底，有 41,000 張床位已經滿了。現已成長至 57,000。所以說，在過去的三個月裡，拘留人數增加了約 2 萬人。一開始進展很慢。因此，每 3 個月左右拘留人數可能會增加 20,000 到 30,000 人。如果你這樣計算的話，你會發現今年底被拘留的人數大約是 10 萬人。但我不認為存在一門精確的科學，正如喬治剛才所描述的。

Got it. Yes, that's super helpful and I appreciate. And what percentage of the beds you contract to ICE are under minimums or take or pay or contractually guaranteed?

知道了。是的，這非常有幫助，我很感激。在您與 ICE 簽訂的合約中，有多少比例的床位是低於最低標準、接受或支付或合約保證的？

I think most of our beds now have some form of fixed price.

我認為我們大多數床位現在都有某種形式的固定價格。

Okay. That's helpful. And then last topic. I mean, a lot of questions about ISAP. How would you characterize the 180,000 people they're monitoring today? Is there a certain way to describe that group? And is there a -- if funding was no longer a limitation, how many people are actually in that group?

好的。這很有幫助。接下來是最後一個主題。我的意思是，有很多關於 ISAP 的問題。您如何描述他們今天監控的 18 萬人？有沒有特定的方式來描述該群體？如果資金不再是限制因素，那麼這個群體中實際上有多少人？

Well, the 183,000 is part of a 8 million to 10 million or 18 million group of undetained -- non-detained docket of people who have been determined previously not to go into detention but need to be monitored. And that is a moving target and can be reevaluated subsequently, as some members in Congress have articulated in -- particularly, I think, on a House resolution, that all the people on the undetained docket should be monitored so you know where they are and where they are in their process of going before a judge and making sure they get to that court hearing. So I think that's still yet to be evaluated or reevaluated, and I assume it will be as there is a re-bid of the ISAP contract and what are the programmatic objectives of that program.

這 183,000 人是 800 萬到 1000 萬或 1800 萬未被拘留的人員的一部分——這些人之前已被確定不被拘留，但需要受到監控。這是一個不斷變化的目標，隨後可能會被重新評估，正如一些國會議員所明確表示的那樣——特別是，我認為，在眾議院的一項決議中，所有未被拘留的人都應該受到監控，這樣你就知道他們在哪裡，以及他們在接受法官審理的過程中處於什麼階段，並確保他們能夠參加法庭聽證會。所以我認為這還有待評估或重新評估，並且我認為將對 ISAP 合約進行重新招標，並且該計劃的計劃目標是什麼。

Got it. I appreciate it. Thank you very much. That's it for me.

知道了。我很感激。非常感謝。對我來說就是這樣。

Thank you.

謝謝。

Ben Briggs with StoneX.

StoneX 的 Ben Briggs。

Yeah, hey, morning guys, or I guess afternoon now, and, thank you for taking the call.So first of all, congratulations on the quarter and the great work that you're doing. So I just wanted to get a little bit of clarity and make sure that I'm doing the math right here. So in the scripted portion of your call, it sounded like you said that there were $310 million of additional revenue opportunities that are not baked into guidance that are potentially going to come from ICE. Did I hear that $310 million, right?

是的，嘿，大家早上好，或者我想現在是下午了，感謝您接聽電話。首先，恭喜您本季取得的成績以及您所做的出色工作。所以我只是想稍微弄清楚一下，並確保我在這裡做的計算是正確的。因此，在您電話會議的腳本部分，您似乎說有 3.1 億美元的額外收入機會未包含在指導中，而這些機會可能來自 ICE。我聽到的是3.1億美元，對吧？

That's right. As it relates to detention, it's either ICE or Marshals. That's right. Our available capacity that hasn't been contracted.

這是正確的。就拘留而言，要么由 ICE，要么由法警。這是正確的。我們的尚未簽約的可用產能。

Okay. So that $310 million was from ICE or U.S. Marshals of additional revenue --

好的。因此，這 3.1 億美元是來自 ICE 或美國法警的額外收入--

Correct.

正確的。

Got it. Okay. And then on top of that $310 million, there is $40 million to $50 million of potential ICE transportation revenue that you could potentially realize?

知道了。好的。那麼，除了這 3.1 億美元之外，您還可能實現 4,000 萬到 5,000 萬美元的潛在 ICE 運輸收入嗎？

Correct

正確的

Understood. Is 15% EBITDA margin the right way to think about that transportation revenue, just back of the envelope?

明白了。15% 的 EBITDA 利潤率是看待運輸收入的正確方式嗎？僅僅是信封背面的數字嗎？

We haven't given that out. We haven't given that out specifically.

我們還沒有透露這一點。我們還沒有具體透露這一點。

Okay. Fair enough. Fair enough. And then as far as potential ISAP revenue is concerned, is there a revenue number that's not baked into EBITDA where I should think longer term potentially that you guys could realize? Or is that not a number that you're prepared to give out there?

好的。很公平。很公平。那麼就潛在的 ISAP 收入而言，是否存在未計入 EBITDA 的收入數字，我認為從長遠來看你們有可能實現這個數字？或者這不是您準備給出的數字？

I think we -- our number is flat for the rest of the year.

我認為我們—今年剩餘時間的數字將保持穩定。

Yes. Exactly. So we're assuming just stable ISAP counts for the remainder of the year. I think what you're talking about is potential growth beyond that sometime later this year into 2026 is what could that be.

是的。確切地。因此，我們假設今年剩餘時間內 ISAP 數量將保持穩定。我認為您談論的是今年晚些時候到 2026 年的潛在增長。

Correct.

正確的。

That's really out of our hands. As George said, it's how does the ICE want to run the ISAP program going forward. For us, we can give you our history. The history says back in 2022, 2023, revenues at the highest level were $370 million compared to where we are today. And so I think it would be -- probably wouldn't be appropriate for us to try to guess that. But we do think that there's opportunity for growth there, and that's going to generate additional revenue and profitability. But it's hard to quantify at this point.

這確實超出了我們的控制範圍。正如喬治所說，問題在於 ICE 希望如何運行 ISAP 計劃。對我們來說，我們可以向您介紹我們的歷史。根據歷史記錄，2022 年、2023 年的最高收入為 3.7 億美元，而我們現在的收入則為 3.7 億美元。所以我認為——我們嘗試猜測這一點可能不太合適。但我們確實認為那裡有成長機會，而且將產生額外的收入和獲利能力。但目前還很難量化。

Most of the rest of mine were answered. And again, congratulations on the quarter and the growth.

我其餘的問題大部分都得到了答案。再次恭喜本季的業績和成長。

This will conclude our question-and-answer session. I would like to turn the conference back over to George Zoley, Executive Chairman of the GEO Group, for any closing remarks.

我們的問答環節到此結束。我想將會議交還給 GEO 集團執行主席 George Zoley，請他致閉幕詞。

We thank everyone who has joined us in this lengthy presentation today, and look forward to the next call. Thank you.

我們感謝今天參加這次冗長演講的所有人，並期待下一次電話會議。謝謝。

The conference has now concluded.

會議現已結束。

Thank you for attending today's presentation. You may now disconnect.

感謝您參加今天的演講。您現在可以斷開連線。