Geo Group Inc (GEO) 2025 Q3 法說會逐字稿

Good day, and welcome to The GEO Group's third quarter 2025 earnings call. (Operator Instructions) Please note this event is being recorded.

大家好，歡迎參加 GEO 集團 2025 年第三季財報電話會議。（操作說明）請注意，本次活動正在錄影。

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

現在我將把會議交給企業關係執行副總裁巴勃羅·帕埃斯。請繼續。

Thank you, operator. Good morning, everyone, and thank you for joining us for today's discussion of The GEO Group's Third 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.

謝謝接線生。各位早安，感謝各位參加今天關於GEO集團2025年第三季財報的討論。今天與我們在一起的有：董事會執行主席喬治·佐利；首席執行官戴夫·多納休；以及首席財務官馬克·蘇欽斯基。

This morning, we will discuss our third 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，我們將討論第三季業績以及未來展望。我們將以問答環節結束本次通話。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. 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.

今天，我們將討論非GAAP準則下的資訊。我們今天早上發布的新聞稿和補充揭露文件中包含了從非GAAP財務資訊到GAAP財務結果的調節表。此外，我們今天將討論的許多信息，包括我們對您問題的回答，可能包含有關我們對各種事項的信念和當前預期的前瞻性陳述。

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.

這些前瞻性陳述旨在符合證券法中的安全港條款。由於我們在提交給美國證券交易委員會的文件（包括 10-K 表格、10-Q 表格和 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聲明中的結果有重大差異。

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

接下來，請容許我將電話轉交給我們的執行主席喬治·佐利先生。喬治？

Thank you, Pablo, and good morning to everyone. Thank you for joining us on our third quarter earnings call. During the first three quarters of the year, we believe we've made significant progress towards meeting our financial and strategic objectives.

謝謝你，帕布羅，大家早安。感謝您參加我們的第三季財報電話會議。我們相信，在今年前三個季度，我們在實現財務和策略目標方面取得了重大進展。

Since the beginning of 2025, we've entered into new or expanded contracts that represent over $460 million in new incremental annualized revenues that are already under contract and are expected to normalize next year. This represents the largest amount of new business that we have won in a single year in our company's history.

自 2025 年初以來，我們簽訂了新的或擴大的合同，這些合約代表了超過 4.6 億美元的新增年度收入，這些收入已經簽訂合同，預計明年將恢復正常。這是公司歷史上單年贏得的新業務金額最高的一次。

We've entered into new contracts to house ICE detainees at four facilities totaling approximately 6,000 beds, which include three company-owned facilities where we announced in the first half of 2025, the 1,000-bed Delaney Hall, New Jersey facility, the 1,800-bed North Lake Facility in Michigan, and the 1,868-bed D. Ray James Facility in Georgia. And more recently, the 1,310-bed North Florida Detention Facility, which is a state-owned facility where we are providing management services under a joint venture agreement that we announced in early October.

我們已簽訂新合同，將在四個設施中安置 ICE 拘留人員，總共約 6,000 個床位，其中包括我們在 2025 年上半年宣布的三個公司自有設施、位於新澤西州的 1,000 個床位的 Delaney Hall 設施、位於密西根州的 1,800 個床位的 North Lake 設施以及位於佐治亞州的 1,86 個床位的 North Lake 設施以及位於佐治亞州的 1,86 個床位的 North Lake 設施以及位於佐治亞州的 1,86 個床位的 North Lake 設施。最近，我們還為擁有 1310 個床位的北佛羅裡達拘留中心（一個州立設施）提供管理服務，這是一項合資協議，我們在 10 月初宣布了該協議。

The Florida contract arrangement demonstrates GEO's ability to provide management services through alternative solutions like the State of Florida's partnership with the federal government. Additionally, during the third quarter, we reactivated our 1,940-bed Adelanto ICE Facility in California, which was previously underutilized due to COVID-related court cases. On a combined basis, these five facilities are expected to generate more than $300 million in incremental annualized revenues at full occupancy as they normalize their financial contributions next year.

佛羅裡達州的合約安排表明，GEO 有能力透過替代方案（例如佛羅裡達州與聯邦政府的合作）提供管理服務。此外，在第三季度，我們重新啟用了位於加州的 1940 個床位的阿德蘭托移民拘留中心，該中心此前因與 COVID 相關的法庭案件而未充分利用。預計這五家設施在明年全面投入營運並實現財務貢獻正常化後，每年將產生超過 3 億美元的增量收入。

These facility activations have increased our total ICE capacity to over 26,000 beds, and our current census is over 22,000, which is the highest ICE population we've ever had. In addition to these facility activations, we are reviewing the physical plant at 20 of our ICE facilities to determine our capacity to expand the office space for additional ICE staff and their expanding mission.

這些設施的啟用使我們的 ICE 總床位容量增加到 26,000 多張，而我們目前的入住人數超過 22,000 人，這是我們有史以來最高的 ICE 人口數量。除了這些設施的啟用外，我們還在審查 20 個 ICE 設施的硬體設施，以確定我們是否有能力擴大辦公空間，以滿足更多 ICE 工作人員及其不斷擴大的任務需求。

Our Delaney Hall and D. Ray James facilities will have added ICE office space as part of our new contracts, and we have submitted similar proposal for Moshannon Valley in response to a request from the agency. This effort is representative of our long-standing partnership with ICE and our company's flexibility in adjusting to and addressing the ever-changing needs of ICE.

根據我們的新合同，我們的 Delaney Hall 和 D. Ray James 設施將增加 ICE 辦公空間，並且我們已經應該機構的要求，向 Moshannon Valley 提交了類似的提案。這項努力體現了我們與ICE的長期合作夥伴關係，以及我們公司在調整自身以適應和滿足ICE不斷變化的需求方面的靈活性。

With respect to our secure transportation, we have significantly expanded our footprint for ICE and the US. Marshals over the course of 2025. Earlier this year, we signed a five -- new five-year contract with the US. Marshals for the provision of secure transportation services covering 26 federal judicial districts spanning 14 states.

在安全運輸方面，我們已大幅擴大了為美國移民及海關執法局 (ICE) 和美國提供的服務範圍。2025 年期間的執法人員。今年早些時候，我們與美國簽署了一份新的五年合約。負責為橫跨 14 個州的 26 個聯邦司法區提供安全運輸服務的執法人員。

Throughout the year, we've executed new or amended contracts to expand secure ground transportation services at four existing ICE facilities and at our three new recently activated ICE facilities. Additionally, the services we provide under our ICE air support contract have steadily increased throughout this year. On a combined basis, this new transportation business represents approximately $60 million in expected incremental annualized revenues.

今年以來，我們已簽署新的或修訂的合同，以擴大四個現有 ICE 設施和我們最近啟用的三個新 ICE 設施的安全地面運輸服務。此外，今年以來，我們根據ICE空中支援合約提供的服務也穩定成長。綜合來看，這項新的運輸業務預計每年可帶來約 6,000 萬美元的增量收入。

We are encouraged by the growth opportunities at the state level as evidenced by the three recently managed-only contract awards from the Florida Department of Corrections, including two facilities we do not currently manage, which are expected to generate approximately $100 million in incremental annualized revenues beginning in July of 2026.

州級的成長機會令我們倍感鼓舞，佛羅裡達州懲教署最近授予我們的三份僅管理合約就證明了這一點，其中包括我們目前未管理的兩家設施，預計從 2026 年 7 月開始，這些設施將產生約 1 億美元的年度增量收入。

Of particular importance, we are very honored to have been awarded a new two-year contract for the ISAP 5 program at the end of September. We believe this significant contract award is a testament to the high-quality electronic monitoring and case management services, our wholly-owned subsidiary, BI has consistently delivered for over 20 years. There are presently approximately 7.6 million immigrants on the non-detained docket with approximately 182,000 enrolled in the ISAP program at this time.

尤其重要的是，我們非常榮幸在9月底獲得了ISAP 5計畫的新兩年合約。我們相信，這項重要的合約授予證明了我們全資子公司 BI 20 多年來一直提供的高品質電子監控和案件管理服務。目前約有 760 萬移民在非拘留名單上，其中約有 18.2 萬人參加了 ISAP 計畫。

As part of the ICE's alternative to detention or ATD system, many immigrants are placed in the Intensive Supervision Appearance Program, ISAP, as a subprogram within ATD. It's mainly used for people ICE considers a higher flight risk or who have been pending a silent or removal cases but are still allowed to live in the community.

作為美國移民及海關執法局 (ICE) 的替代拘留 (ATD) 系統的一部分，許多移民被安置在強化監管出庭計劃 (ISAP) 中，ISAP 是 ATD 的一個子計劃。它主要適用於 ICE 認為有較高潛逃風險的人，或正在等待秘密調查或遣返案件但仍被允許居住在社區的人。

The program relies on several forms of surveillance. Some are required to wear GPS ankle or risk monitors that track their movements in real time. Others are enrolled in SmartLINK Mobile App, which relies on facial recognition, voice ID and GPS to confirm a person's location during check-ins.

該計劃依賴多種形式的監控。有些人被要求佩戴 GPS 腳踝追蹤器或風險監測器，以即時追蹤他們的行踪。其他人則註冊了 SmartLINK 行動應用程序，該應用程式依靠臉部辨識、語音識別和 GPS 來確認用戶在辦理入住手續時的位置。

Under the previous five-year ISAP contract, the participant count started at 91,000 individuals and thereafter doubled ending at 183,000 individuals. The present ISAP 5 participant count is more than 182,000, but the new contract includes pricing for 361,000 participants in year one and 465,000 participants in year two.

根據先前的五年ISAP合同，參與者人數從91,000人開始，之後翻了一番，最終達到183,000人。目前 ISAP 5 的參與者人數超過 182,000 人，但新合約包括第一年 361,000 名參與者和第二年 465,000 名參與者的定價。

In order to further assure our success in the rebid competition and provide lower unit cost for further ISAP growth, we've reduced our pricing as in the past on a variety of services, which has resulted in a new financial baseline, which will later be discussed by Mark.

為了進一步確保我們在重新投標競爭中取得成功，並為 ISAP 的進一步發展提供更低的單位成本，我們像過去一樣降低了各種服務的價格，這產生了一個新的財務基準，稍後 Mark 將對此進行討論。

We are able to implement this strategy by identifying staffing efficiencies through the program services, along with the continued development of less costly new generation monitoring devices, which also required margin compression.

我們能夠實施這項策略，是透過專案服務提高人員配備效率，同時不斷開發成本更低的新一代監測設備，這也需要壓縮利潤空間。

We are optimistic that ISAP ramp-up could begin early next year. GEO has the capability in monitoring devices and case management services to achieve those significantly increased participation levels and far beyond if desired by ICE. But of course, we cannot provide definitive assurance of future ISAP participation levels, which are determined by ICE management.

我們樂觀地認為ISAP的逐步推進工作最快可能在明年初開始。GEO 擁有監控設備和案件管理服務的能力，可以實現顯著提高的參與水平，如果 ICE 希望如此，還可以實現更多。當然，我們無法對未來的 ISAP 參與程度做出明確的保證，這由 ICE 管理層決定。

And as I said on our previous call, the focus of ICE at this time has been toward the increase in detention capacity in which we are participating. But what we have seen is a steady increase in more intensive and higher-priced monitoring devices such as ankle monitors and a steady decrease in the less intensive and lower-priced use of phones or phone apps.

正如我在上次通話中所說，ICE 目前的重點是提高拘留能力，而我們也參與了這項工作。但我們看到的是，功能更強大、價格更高的監控設備（如腳踝監控器）的使用量穩定成長，而功能較弱、價格較低的手機或手機應用程式的使用量則穩定下降。

This new policy seems to be consistent with the objective of more aggressive supervision of the 7.6 million immigrants on the non-detained docket. As the world's largest service provider of electronic monitoring devices, we remain optimistic in the importance and growth potential of the ISAP 5 contract.

這項新政策似乎與加強對760萬未被拘留的移民進行監管的目標一致。作為全球最大的電子監控設備服務供應商，我們對 ISAP 5 合約的重要性和成長潛力仍然保持樂觀。

Going forward, we expect to be able to capture additional growth opportunities. We believe the federal government's objective continues to be to scale up immigration detention to approximately 100,000 beds or more from the approximately 60,000 beds ICE is currently utilizing.

展望未來，我們期望能夠抓住更多的成長機會。我們認為聯邦政府的目標仍然是將移民拘留中心的床位從ICE目前使用的約6萬張增加到約10萬張或更多。

This objective of scaling up to 100,000 detention beds is a 270% increase from the 2024 average of 37,000 beds. However, the pace of new detention contracts has been slower than anticipated, which we believe is possibly due to three factors.

將拘留床位增加到 10 萬張的目標是比 2024 年平均 3.7 萬張床位增加 270%。然而，新的拘留合約的簽訂速度比預期的要慢，我們認為這可能是由以下三個因素造成的。

First, as has been reported in the media, the Department of Homeland Security has implemented a policy that requires Homeland Security Services Secretary to review and approve all contracts above $100,000, which is time and staff intensive. We have been intensely cooperating in this financial and staffing review process toward providing assurance that the government is receiving best value at GEO facilities and services.

首先，正如媒體報導的那樣，國土安全部實施了一項政策，要求國土安全部長審查和批准所有超過 10 萬美元的合同，這非常耗時耗力。我們一直在積極配合此次財務和人員配備審查流程，以確保政府在 GEO 的設施和服務方面獲得最佳價值。

Second and more recently, the government shutdown has likely delayed the award of new contracts. During the government shutdown triggered by a lapse in appropriations, federal agencies are generally careful about making new contract awards unless the award is related to an accepted activity or is funded by a source other than the regular appropriations.

其次，也是最近的，政府停擺可能延遲了新合約的授予。在因撥款中斷而導致的政府停擺期間，聯邦機構通常會謹慎地授予新的合同，除非該合同與已接受的活動有關，或者由常規撥款以外的來源提供資金。

Third is the need for ICE to have more staff to carry out its enforcement efforts, which is indicated by ICE's new recruitment program to double its employees from approximately 10,000 to 20,000, which is also time and staff intensive.

第三，ICE 需要更多的人員來進行執法工作，ICE 的新招聘計劃表明了這一點，該計劃旨在將其員工人數從大約 10,000 人增加到 20,000 人，但這同樣需要大量的時間和人力。

Following the resolution of the current government shutdown, we believe ICE will have ample funding to support its priorities. Not only will ICE receive annual appropriations baseline of approximately $8.7 billion, but the agency also has access to $45 billion in incremental funding for detention services, which is available through September 30, 2029. While the exact timing of government actions, including our new contract awards is difficult to estimate, we believe that our remaining idle facilities are likely to play an important role in supporting the objective of increasing overall detention capacity.

我們相信，在目前政府停擺結束後，美國移民及海關執法局（ICE）將有充足的資金來支持其各項優先事項。美國移民及海關執法局 (ICE) 不僅將獲得每年約 87 億美元的撥款基線，該機構還可以獲得 450 億美元的額外資金用於拘留服務，該資金可用至 2029 年 9 月 30 日。雖然很難估計政府行動（包括我們新合約的授予）的確切時間，但我們相信，我們剩餘的閒置設施可能會在支持提高整體拘留能力的目標方面發揮重要作用。

We have approximately 6,000 idle beds at six company-owned facilities, which remain available. Most of these facilities are formally contracted -- were formally contracted to the US. Bureau of Prisons and are of high security, which makes them ideally suited for the current needs of the federal government. On a combined basis, these 6,000 beds could generate more than $300 million in additional incremental annualized revenues.

我們在公司旗下的六家機構中約有 6000 張閒置床位，這些床位仍然可以使用。這些設施大多是正式承包給美國的──曾經是正式承包給美國的。聯邦監獄管理局下屬的監獄屬於高度安全級別，因此非常適合聯邦政府目前的需要。綜合來看，這 6,000 張床位每年可帶來超過 3 億美元的額外增量收入。

We also believe that increasing detention capacity to 100,000 beds or more will likely require ICE to seek alternative solutions in addition to traditional hard-sided facilities. Based on our best estimate, the current beds available by the private sector at traditional hard-sided facilities would likely provide ICE capacity for approximately 80,000 beds. Thus scaling up to 100,000 detention beds or more will likely require additional partnerships with states or additional temporary soft-sided facilities on a military basis or other sites.

我們還認為，將拘留能力提高到 10 萬個床位或更多，可能需要美國移民及海關執法局 (ICE) 除了傳統的硬質設施外，尋求其他替代方案。根據我們的最佳估計，目前私營部門在傳統硬質設施中提供的床位可能為 ICE 提供約 80,000 個床位的容量。因此，要將拘留床位擴大到 10 萬個或更多，可能需要與各州建立更多合作關係，或在軍事基地或其他地點建造更多臨時軟性設施。

We will be exploring opportunities to participate in these new government sites, whether state-sponsored or procured by the military. Meanwhile, our focus is also on the activation on our remaining idle facilities. As evidenced by our recent joint venture agreement in Florida, we believe GEO is well positioned to pursue other state partnership opportunities that increase detention capacity for ICE.

我們將探索參與這些新政府網站建設的機會，無論這些網站是由國家資助還是軍方採購。同時，我們的重點也是啟用剩餘的閒置設施。從我們最近在佛羅裡達州達成的合資協議可以看出，我們相信 GEO 已做好充分準備，尋求其他州的合作機會，以增加 ICE 的拘留能力。

Finally, we have and will continue to evaluate the potential acquisition or leasing of third-party-owned facilities, and we have identified approximately 5,000 combined beds that could be added using several options of temporary and permanent facilities at several of our existing ICE sites.

最後，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，並且我們已經確定，在我們現有的幾個 ICE 地點，可以透過幾種臨時和永久設施方案增加約 5,000 張床位。

We are also pursuing additional diversified opportunities in the field of mental health services, which we exited approximately 13 years ago when we became a REIT and subsequently de-REITed. We are currently participating in a procurement in the state of Florida for the management contract at the South Florida Evaluation & Treatment Center, which we expect to be awarded in Q1 of next year.

我們也在心理健康服務領域尋求更多多元化的機會。大約 13 年前，我們退出了這個領域，當時我們成為了房地產投資信託基金 (REIT)，然後又退出了 REIT。我們目前正在參與佛羅裡達州南佛羅裡達評估和治療中心的管理合約採購，預計將於明年第一季授予該合約。

Our goal with all these efforts is to place GEO in the best competitive position to pursue available growth opportunities. In addition to the steps we have taken to capture quality growth opportunities, we have made significant progress towards strengthening our capital structure by reducing outstanding debt, deleveraging our balance sheet and enhancing shareholder value through capital returns.

我們努力的目標，是讓GEO處於最佳競爭地位，從而抓住現有的成長機會。除了我們為抓住優質成長機會而採取的措施外，我們還透過減少未償債務、降低資產負債表槓桿率以及透過資本回報提高股東價值，在加強資本結構方面取得了重大進展。

In 2025, we reduced our total net debt by approximately $275 million, closing the third quarter with approximately $1.4 billion in total net debt with a total net leverage of approximately 3.2 times adjusted EBITDA at this time. Our debt reduction efforts were boosted by the successful sale of the Lawton, Oklahoma facility for $312 million or $130,000 per bed, which was a transformative event for our company, allowing us to significantly deleverage our balance sheet and launch a stock buyback program ahead of our prior expectations. Approximately $60 million of the Lawton Facility sale gain was used to purchase the 770-bed downtown San Diego, California facility that we've been operating for 25 years for the US Marshals Service.

到 2025 年，我們的淨債務總額減少了約 2.75 億美元，第三季末淨債務總額約為 14 億美元，此時淨槓桿率約為調整後 EBITDA 的 3.2 倍。我們成功出售了位於俄克拉荷馬州勞頓的工廠，售價為 3.12 億美元，即每張床 13 萬美元，這極大地促進了我們減少債務的努力。這對我們公司來說是一件具有變革意義的事件，使我們能夠大幅降低資產負債率，並提前啟動股票回購計畫。出售勞頓設施所得收益中的約 6000 萬美元被用於購買位於加利福尼亞州聖地亞哥市中心的擁有 770 個床位的設施，該設施我們已經為美國法警署運營了 25 年。

During the third quarter, we repurchased approximately 2 million shares for approximately $42 million under our newly launched buyback program, bringing our total shares outstanding to approximately 140 million at the end of the third quarter. Given the intrinsic value of our assets and already captured, expected future growth, we believe that our current equity valuation offers a very attractive opportunity.

第三季度，我們根據新推出的股票回購計劃，以約 4,200 萬美元的價格回購了約 200 萬股股票，使第三季末我們的流通股總數達到約 1.4 億股。鑑於我們資產的內在價值和已實現的預期未來成長，我們認為我們目前的股權估值提供了一個非常有吸引力的機會。

To this end, our Board of Directors has increased our stock buyback program authorization by $200 million, increasing the total authorization to $500 million and extending expiration date to December 31, 2029. We plan to execute our stock buyback program opportunistically, balancing it with our growth, capital needs and our objective to reduce debt and deleverage our balance sheet.

為此，我們的董事會已將股票回購計畫授權額度增加 2 億美元，使總授權額度增加到 5 億美元，並將到期日延長至 2029 年 12 月 31 日。我們計劃擇機執行股票回購計劃，同時兼顧公司成長、資本需求以及降低債務和降低資產負債比率的目標。

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

此時，我將把電話轉交給我們的財務長馬克·蘇欽斯基，由他來回顧我們的財務亮點和業績展望。

Thank you, George. Good morning, everyone. I am happy to report that we had a very solid third quarter. For the third quarter of 2025, we reported net income attributable to GEO of approximately $174 million or $1.24 per diluted share on quarterly revenues of approximately $682 million. This compares to net income attributable to GEO of approximately $26 million or $0.19 per diluted share in the third quarter of 2024 on revenues of approximately $603 million.

謝謝你，喬治。各位早安。我很高興地報告，我們第三季業績非常穩健。2025 年第三季度，我們報告歸屬於 GEO 的淨利潤約為 1.74 億美元，即每股攤薄收益 1.24 美元，季度收入約為 6.82 億美元。相較之下，2024 年第三季歸屬於 GEO 的淨利約為 2,600 萬美元，即每股攤薄收益 0.19 美元，營收約 6.03 億美元。

During the third quarter of 2025, we completed the sale of the Lawton, Oklahoma facility for $312 million and the Hector Garza, Texas facility for $10 million. These two transactions resulted in a $232 million gain on asset sales during the third quarter. Approximately $60 million of the Lawton Facility sale was used to purchase the 770-bed Downtown San Diego, California facility that we have been operating for 25 years for the US Marshals Service.

2025 年第三季度，我們完成了對俄克拉荷馬州勞頓工廠的出售，售價為 3.12 億美元；以及對德克薩斯州赫克托·加爾薩工廠的出售，售價為 1000 萬美元。這兩筆交易在第三季帶來了 2.32 億美元的資產出售收益。出售勞頓設施所得的約 6000 萬美元用於購買位於加利福尼亞州聖地亞哥市中心的擁有 770 個床位的設施，該設施我們已經為美國法警署運營了 25 年。

Additionally, during the third quarter of 2025, we incurred a noncash contingent litigation reserve of approximately $38 million in connection with a legal case in the State of Washington involving claims of individuals who participate in the voluntary work program while in ICE detention.

此外，在 2025 年第三季度，我們因華盛頓州的一起法律案件而產生了約 3800 萬美元的非現金或有訴訟準備金，該案件涉及在 ICE 拘留期間參加自願工作計劃的個人的索賠。

The Ninth Circuit Court of Appeals has ruled that the ICE volunteer detainees are entitled to state minimum wage payments, but stayed their ruling pending GEO's appeal to the US. Supreme Court. The Ninth Circuit of Appeals ruling is in stark conflict with other federal court rulings on individuals providing work while in confinement.

第九巡迴上訴法院裁定，ICE 的志工被拘留者有權獲得州最低工資，但暫緩執行該裁決，等待 GEO 向美國提出上訴。最高法院。第九巡迴上訴法院的裁決與其他聯邦法院關於被監禁人員提供工作的裁決有明顯衝突。

No company has ever paid state minimum wages to individuals working in confinement facilities. While we are appealing the case to the US Supreme Court, due to accounting rules, we recorded this noncash contingent litigation reserve during the recent -- our most recent third quarter.

沒有任何一家公司曾向在監禁設施工作的人支付州最低工資。雖然我們正在向美國最高法院提起上訴，但由於會計準則，我們在最近的第三季記錄了這筆非現金或有訴訟準備金。

Excluding this noncash contingent litigation reserve, the gain on asset sales and other items, adjusted net income for the third quarter of 2025 was approximately $35 million or $0.25 per diluted share compared to $29 million or $0.21 per diluted share for the prior year's third quarter. Adjusted EBITDA for the third quarter of 2025 was approximately $120 million, up from the approximately $119 million reported for the prior year third quarter.

剔除這筆非現金或有訴訟準備金、資產出售收益和其他項目後，2025 年第三季的調整後淨收入約為 3,500 萬美元，即每股攤薄收益 0.25 美元，而去年同期為 2,900 萬美元，即每股攤薄收益 0.21 美元。2025 年第三季調整後 EBITDA 約為 1.2 億美元，高於去年同期報告的約 1.19 億美元。

Beginning with revenues. Quarterly revenues in our owned and leased secure service facilities increased by approximately 22% year-over-year, driven by the activation of our new ICE contracts, which drove the census across our contracted ICE processing centers to an all-time high.

首先從收入說起。受我們新的 ICE 合約啟動的推動，我們自有和租賃的安全服務設施的季度收入同比增長約 22%，這使得我們簽約的 ICE 處理中心的人口普查達到了歷史最高水平。

Revenues for our nonresidential contracts increased by approximately 10% from the prior year third quarter. Revenues for our managed-only contracts increased by approximately 8% from the prior third quarter. Revenues of our electronic monitoring and supervision services and for our reentry centers were largely unchanged from the prior year third quarter.

非住宅合約收入較上年同期成長約 10%。我們僅提供管理服務的合約收入比上一季成長了約 8%。我們的電子監控和監管服務以及重返社會中心的收入與去年第三季基本持平。

Now let's turn to our expenses. During the third quarter of 2025, our operating expenses increased by approximately 15% due to the start-up of new contract awards and increased occupancies compared to the prior year quarter. Our G&A expense for the third quarter of 2025 increased from the prior third quarter, in part due to the reorganization of the senior management team at the end of last year, higher employee-related benefit costs and support for the revenue growth from our new contract awards.

現在我們來看看我們的開支。2025 年第三季度，由於新合約的簽訂和入住率的提高，我們的營運費用比上年同期增長了約 15%。2025 年第三季的一般及行政費用較上年第三季度有所增加，部分原因是去年底對高級管理團隊進行了重組，員工福利成本增加，以及對新合約帶來的收入增長的支持。

Our third quarter 2025 results reflect a year-over-year decrease in net interest expense of approximately $7 million as a result of the reduction in our net debt. Our effective tax rate for the third quarter of 2025 was approximately 25%.

由於淨債務減少，我們2025年第三季的業績反映出淨利息支出年減約700萬美元。2025 年第三季我們的實際稅率約為 25%。

Now let's move to our outlook. We have updated our financial guidance for the fourth quarter and full year 2025. Our updated guidance for the fourth quarter incorporates a new reduced contract pricing for ISAP 5, which, as George mentioned, is being favorably impacted by a steady shift in technology mix as well as higher intensity of case management services and the potential for higher volumes, all of which should improve the economics of the new contract.

現在讓我們來看看我們的展望。我們已更新了 2025 年第四季和全年的財務預期。我們更新後的第四季業績指引包含了 ISAP 5 新的降低後的合約價格。正如喬治所提到的，這得益於技術組合的穩步轉變、案例管理服務的高強度以及潛在的更高業務量，所有這些都將改善新合約的經濟效益。

Based on these variables, the federal government assigned an estimated value to the two-year contract of over $1 billion. Because the exact scope and timing of the government actions are difficult to estimate and are outside of our control, we have not included any assumptions with respect to favorable mix shift or census growth in the ISAP contracts in our 2025 guidance.

根據這些變量，聯邦政府估計這份為期兩年的合約價值超過 10 億美元。由於政府行動的具體範圍和時間難以估計，且超出我們的控制範圍，因此我們在 2025 年的指導方針中沒有對 ISAP 合約中有利的組合轉變或人口增長做出任何假設。

Additionally, we are in the process of implementing several cost mitigation measures for the ISAP contract by the end of this year, which we expect to result in cost savings of approximately $2 million to $3 million per quarter beginning in 2026.

此外，我們正在實施多項 ISAP 合約成本緩解措施，預計將於今年年底前完成，預計從 2026 年開始，每季可節省約 200 萬至 300 萬美元的成本。

The fourth quarter was also impacted by additional start-up costs at the Adelanto, California facility, which has required the hiring of 179 additional staff due to its reopening and the increase of overtime costs due to new staff awaiting their final ICE clearance before being allowed to perform their responsibilities.

第四季也受到加州阿德蘭托工廠額外啟動成本的影響，由於該工廠重新開放，需要額外僱用 179 名員工，並且由於新員工在被允許履行職責之前需要等待 ICE 的最終批准，加班成本也隨之增加。

We expect both issues to normalize in 2026. As a result, we expect fourth quarter 2025 GAAP net income to be in the range of $0.23 to $0.27 per diluted share on quarterly revenues of $651 million to $676 million. We expect fourth quarter '25 adjusted EBITDA to be between $117 million and $127 million.

我們預計這兩個問題將在 2026 年恢復正常。因此，我們預計 2025 年第四季 GAAP 淨利潤將在每股攤薄收益 0.23 美元至 0.27 美元之間，季度營收為 6.51 億美元至 6.76 億美元。我們預計 2025 年第四季調整後 EBITDA 將在 1.17 億美元至 1.27 億美元之間。

Taking into account our updated fourth quarter guidance, we expect full year 2025 GAAP net income to be in the range of $1.81 to $1.85 per diluted share, including the $232 million gain on the sale of the Lawton, Oklahoma and Hector Garza, Texas facilities.

考慮到我們更新後的第四季度業績指引，我們預計 2025 年全年 GAAP 淨收入將在每股攤薄收益 1.81 美元至 1.85 美元之間，其中包括出售俄克拉荷馬州勞頓和德克薩斯州赫克托·加爾薩工廠獲得的 2.32 億美元收益。

We expect full year 2025 adjusted net income to be in the range of $0.84 to $0.87 per diluted share on increased annual revenues of approximately $2.6 billion and based on an effective tax rate of approximately 25%, inclusive of known discrete items. We expect full year 2025 adjusted EBITDA to be in the range of $455 million to $465 million.

我們預計 2025 年全年調整後淨收入將在每股攤薄收益 0.84 美元至 0.87 美元之間，年度收入增加約 26 億美元，有效稅率約為 25%，包括已知的個別項目。我們預計 2025 年全年調整後 EBITDA 將在 4.55 億美元至 4.65 億美元之間。

We expect total capital expenditures for the full year of 2025 to be between $200 million and $205 million, which includes our previous announced $100 million investment to enhance our ICE facilities and services and the approximate $60 million for the purchase of the Western Region Detention Facility. With the already announced contracts that are expected to normalize next year and new opportunities that are in discussions, we could see a path to approximately $3 billion in annual revenues in 2026.

我們預計 2025 年全年資本支出總額將在 2 億美元至 2.05 億美元之間，其中包括我們先前宣布的 1 億美元投資，用於改善我們的 ICE 設施和服務，以及用於購買西部地區拘留設施的約 6,000 萬美元。鑑於已宣布的合約預計將於明年恢復正常，以及正在討論的新機遇，我們預計在 2026 年實現約 30 億美元的年收入。

Now let's move to our balance sheet. We closed the third quarter of 2025 with approximately $184 million in cash on hand and approximately $143 million in available capacity under our revolving credit facility. We believe we have ample liquidity to support our working capital needs during the current government shutdown. We have received verbal support from several of our banks to provide additional liquidity should the government shutdown continue for a prolonged period of time.

現在我們來看資產負債表。截至 2025 年第三季末，我們手頭現金約 1.84 億美元，循環信貸額度下可用額度約 1.43 億美元。我們相信，在當前政府停擺期間，我們擁有充足的流動資金來滿足我們的營運資金需求。我們已從幾家銀行獲得口頭支持，如果政府停擺持續較長時間，我們將提供額外的流動性。

We also believe we've made significant progress towards deleveraging our balance sheet. Year-to-date, we've reduced our net debt by approximately $275 million, closing the third quarter with total net debt of approximately $1.4 billion and total net leverage of 3.2 times adjusted EBITDA.

我們也相信，我們在降低資產負債比率方面取得了顯著進展。今年迄今為止，我們的淨債務減少了約 2.75 億美元，第三季末淨債務總額約為 14 億美元，淨槓桿總額為調整後 EBITDA 的 3.2 倍。

As a result, we've achieved an annualized reduction in interest expense of over $25 million. Our debt reduction efforts were bolstered by the successful sale of the Lawton, Oklahoma facility for $312 million during the third quarter. We believe this important transaction is representative of the intrinsic value of our real estate assets, totaling 50,000 owned beds, and it allowed us to significantly deleverage our balance sheet and begin to return capital to our shareholders.

因此，我們實現了每年減少超過 2500 萬美元的利息支出。第三季度，我們成功以 3.12 億美元的價格出售了位於俄克拉荷馬州勞頓的工廠，這極大地促進了我們的債務削減工作。我們相信，這項重要的交易反映了我們房地產資產的內在價值，這些資產共計擁有 50,000 張床位，它使我們能夠大幅降低資產負債率，並開始向股東返還資本。

During the third quarter, we repurchased approximately 2 million shares for approximately $42 million under our recently launched stock buyback program, which our Board has increased by $200 million, bringing the total authorization to $500 million.

第三季度，我們根據最近推出的股票回購計劃，以約 4,200 萬美元的價格回購了約 200 萬股股票。該計劃的董事會已將其規模擴大了 2 億美元，使總授權額達到 5 億美元。

We expect to continue to execute our buyback program opportunistically within the covenant requirements of our debt agreements. We remain focused on disciplined allocation of capital to enhance long-term value for our shareholders, and we believe that our strong cash flows will allow us to support all of our capital allocation priorities.

我們預計將在債務協議的契約要求範圍內，繼續擇機執行我們的股票回購計畫。我們將繼續專注於有紀律地配置資本，以提高股東的長期價值，我們相信強勁的現金流將使我們能夠支持所有資本配置優先事項。

At this time, I will return the call back to George for some closing comments.

此時，我將回撥電話給喬治，請他作一些總結性發言。

Thank you, Mark. In closing, we believe we've made significant progress towards meeting our strategic objectives. So far in 2025, we've announced new or expanded contracts that are expected to generate more than $460 million in new incremental annualized revenues, which will normalize next year and likely achieve approximately $3 billion in total company revenues for 2026.

謝謝你，馬克。最後，我們相信我們在實現戰略目標方面取得了重大進展。截至 2025 年，我們已宣布新的或擴大的合同，預計將產生超過 4.6 億美元的新增年度收入，明年將恢復正常水平，並可能在 2026 年實現公司總收入約 30 億美元。

The amount of new contracted revenues is the largest in our history of our company. Going forward, we expect to be able to capture additional growth opportunities. We have approximately 6,000 idle high-security beds that remain available, which could generate in excess of $300 million in annualized revenues if fully activated.

新增合約收入金額是我們公司史上最高的。展望未來，我們期望能夠抓住更多的成長機會。我們目前還有大約 6,000 張閒置的高安全等級床位，如果全部啟用，每年可產生超過 3 億美元的收入。

With the award of the new two-year ISAP contract and the investments we've made to stock up on the inventory of GPS tracking devices and development of new generation devices, BI is well positioned to respond to the future demands under the ISAP five contract.

憑藉新簽訂的兩年期 ISAP 合同，以及我們為儲備 GPS 追蹤設備庫存和開發新一代設備所做的投資，BI 已做好充分準備，以應對 ISAP 五期合約下的未來需求。

We are also well positioned to continue to expand our delivery of secure transportation services for ICE and the US Marshals. While the exact timing of government actions, including new contract awards is difficult to estimate, as a management team, we are focused on maintaining a level of readiness to successfully pursue and capture future growth and continuing to allocate capital to enhance value for our shareholders.

我們已做好充分準備，繼續擴大為美國移民及海關執法局 (ICE) 和美國法警署提供的安全運輸服務。雖然很難估計政府行動（包括新合約授予）的確切時間，但作為管理團隊，我們專注於保持充分的準備，以成功追求和把握未來的成長，並繼續配置資本以提高股東價值。

That completes our remarks, and we would be glad to take questions. Thank you.

我們的發言到此結束，歡迎大家提問。謝謝。

(Operator Instructions)

（操作說明）

Joe Gomes, Noble Capital.

Joe Gomes，Noble Capital。

Good morning. Thanks for taking my questions.

早安.謝謝您回答我的問題。

Morning.

早晨。

I wanted to start off here. I think there's a big question hanging out there with the government shutdown, with the ICE focus on hiring the extra 10,000 people that the rate of ICE population detentions has not been as robust here as originally anticipated.

我想從這裡開始。我認為政府停擺帶來了一個很大的問題，由於移民和海關執法局 (ICE) 專注於招聘額外的 10,000 人，ICE 的人口拘留率並沒有像最初預期的那樣強勁。

Just was wondering what you guys are seeing out there. Is it flowing at what your expectations were? Or has it come in a little less than what you may have been previously expecting given the current status there with the federal government?

我只是想知道你們都看到了什麼。流量是否符合您的預期？或者，考慮到目前聯邦政府的狀況，實際到手的金額是否比您之前預期的要少一些？

No. It's obviously gone slower than we previously expected. And our existing facilities are at almost full capacity, and they're churning out deportations almost at the rate of approximately 100% of their capacity per month. So we've never seen anything like this before. So our existing facilities are on full throttle. We were expecting additional contract awards, but there is a need for additional ICE staff to support additional facilities. That's why they're trying to recruit 10,000 staff.

不。顯然，進度比我們之前預期的要慢。我們現有的設施幾乎已滿載運轉，每月遣返人數幾乎達到其處理能力的 100%。我們以前從未見過這樣的情況。因此，我們現有的設施正在全速運轉。我們原本預計會獲得更多合同，但由於需要更多 ICE 工作人員來支援其他設施，因此需要更多 ICE 工作人員。這就是他們試圖招募1萬名員工的原因。

Well, as I said in my remarks, it takes a lot of time and staff-intensive activities to recruit, hire, train and bring on board that ICE staff to support new facilities around the country. We think our idle facilities totaling 6,000 beds are ideal high-security facilities that are available.

正如我在演講中所說，招募、僱用、培訓和安排ICE員工到全國各地支持新設施需要大量的時間和人力。我們認為我們閒置的設施總共有 6000 張床位，是理想的高安全等級設施。

But just looking at a combination of factors of the government shutdown, the need for additional ICE staff, there have -- those factors have caused the delays that we hope will be concluded by the end of the year, if not the end of this month.

但綜合考慮政府停擺、需要更多移民執法局工作人員等因素，這些因素導致了延誤，我們希望這些延誤能在年底前結束，如果不能在本月底結束的話。

Okay, thanks for that, George really appreciate the color there. On the ISAP, congrats on the contract win. I understand there's going to be some puts and takes there, some changes. But historically, if you look at that contract, it's run roughly about a 50% NOI margin.

好的，謝謝，喬治真的很喜歡那裡的顏色。在ISAP專案上，祝賀你們贏得合約。我知道這其中會有一些買賣，一些變化。但從歷史數據來看，如果你看一下這份合同，它的淨營業收入利潤率大約在 50% 左右。

Do you think even with all these puts and takes that stays at least at that level? Or do you think there'll be contraction in that NOI margin?

你認為即使經過這麼多買賣操作，價格至少也能維持在這個水準嗎？還是你認為淨營業收入利潤率會出現收縮？

Well, we really don't discuss our margins by business unit to that level of granularity. We made a pricing cut to be competitive in this last rebid as we have done, I think, in two or three times previously. So every time there's a rebid of the ICE contract, there's a lot of competition, and we've reduced our unit pricing, and there's 40 different units in that pricing.

嗯，我們其實不會把各業務部門的利潤率細化到那種程度。為了在這次重新投標中保持競爭力，我們降低了價格，我想，就像我們之前兩三次所做的那樣。所以每次 ICE 合約重新招標時，競爭都非常激烈，我們降低了單價，而且有 40 種不同的單價方案。

So we took a hard look and we identified cost savings opportunities at the corporate level, regarding staffing field level, cost savings on devices, the identification of new generation devices on a less costly basis. So all of that was combined to present the government with the best value in winning the contract.

因此，我們進行了深入研究，並在公司層面發現了節省成本的機會，包括現場人員配備、設備成本節約以及以更低的成本確定新一代設備。因此，所有這些因素綜合起來，為政府贏得了這份合同，並提供了最佳價值。

Now the count, as I've said, has been fairly stable which is a little disappointing, obviously. But the mix of monitoring devices is leading towards more intensive devices that cost a bit more and more intensive supervision of case management services with regarding the existing population that will be applied to the increasing population as priced in years one and year two. Remember, year one is priced to double the existing capacity and year two is almost tripling.

正如我之前所說，目前的統計數據相當穩定，這顯然有點令人失望。但監控設備的組合正在推動更密集的設備出現，這些設備的成本略高，並且需要對個案管理服務進行更密集的監督，以適應現有人口，並應用於第一年和第二年不斷增長的人口。請記住，第一年的定價是現有產能的兩倍，第二年幾乎是三倍。

So that remains to be seen. It's up to the government as to how do they get to those levels. But right now, I think we've been fairly consistent in saying the focus has been on increasing detention capacity. And that's where the activity has been and the actual participation levels increase.

所以，這還有待觀察。至於如何達到這些水平，這取決於政府。但就目前而言，我認為我們一直都比較一致地表示，重點是提高拘留能力。而這正是活動開展的重點，實際參與程度也不斷提高。

Hey Joe, it's Mark. I would just add that our electronic monitoring business has been and will continue to be our highest margin business. We publish that quarterly. It's -- we're fully transparent about that. And we -- as George indicated, we've made some adjustments, but we're working on the cost side of things, and we expect those actions to be complete by the end of the year and reap those benefits in 2026.

嘿，喬，我是馬克。我還要補充一點，我們的電子監控業務過去是、現在是、將來也仍將是我們利潤最高的業務。我們每季出版一次。這一點——我們完全公開透明。正如喬治所指出的，我們已經做出了一些調整，但我們正在努力控製成本，我們預計這些措施將在年底前完成，並在 2026 年獲得收益。

Okay. And then one more, if I may. Staffing has always been challenged especially when you're opening so many idle facilities at one time. I'm just wondering how are you guys looking at or seeing the ability to staff up the facilities that you're opening?

好的。如果可以的話，我再補充一個。人員配備一直都是個挑戰，尤其是在同時開放這麼多閒置設施的情況下。我只是想知道你們如何看待或評估即將開設的設施的人員配備能力？

Great question. I think we've been targeting hiring 1,000 or 1,500 additional staff this year, which is an enormous amount comparatively speaking. And that's been a very costly feature that has impacted our earnings this year, which I don't think a lot of new shareholders are aware of the impact. When you hire people, you have to put them into -- you have to recruit them, you have to do background checks, you have to put them in training. All of that is a cost that's predominantly borne by us and not the client until the facility opens and normalizes.

問得好。我認為我們今年的目標是額外招募 1000 到 1500 名員工，相對而言，這是一個巨大的數字。而這項功能成本非常高昂，已經影響了我們今年的收益，我認為許多新股東並沒有意識到這種影響。當你僱用員工時，你必須對他們進行招募、背景調查和培訓。所有這些費用主要由我們承擔，而不是客戶承擔，直到設施開放並恢復正常運作為止。

So almost all of that -- those staff are paid according to Department of Labor determined wages. And so I think we're having a good shot at finding the people, but it takes a long time to get them through the ICE clearance process. And that's a costly wait for us.

所以幾乎所有這些員工的工資都是按照勞工部規定的工資標準支付的。所以我覺得我們很有可能找到這些人，但是讓他們通過移民及海關執法局的審查程序需要很長時間。而這對我們來說是代價高昂的等待。

Okay great thanks I really appreciate the answers there and I'll pass it along someone else can ask some questions thank you.

好的，非常感謝！我真的很感激這些解答，我會把這些資訊轉告給其他人，好讓他們也能提問，謝謝！

Thank you.

謝謝。

Jason Weaver with JonesTrading.

Jason Weaver，JonesTrading公司。

Hey, good morning guys. This is Matthew Erdner on for Jason. So going back to the ISAP, I just kind of want two clarification questions. First, the $1 billion, that is over the two-year term period. And then I just want to make sure I get the numbers right on the scale up. It was, I believe, $361 million you said in the first year and then $465 million for year two?

嘿，各位早安。這裡是馬修·厄德納，替傑森為您報道。所以回到ISAP，我只想問兩個需要澄清的問題。首先是10億美元，這是兩年任期內的金額。然後我只想確保我在放大過程中把數字算對。我記得您說過第一年是3.61億美元，第二年是4.65億美元？

Yes.

是的。

Okay. And then as it relates to that, should we kind of expect that one-third of that revenue trickles through over '27 with the remainder kind of coming through in 2027 as that program continues to scale?

好的。那麼，就此而言，我們是否應該預期這筆收入的三分之一會在 2027 年陸續到位，而剩餘部分則會隨著該計劃的持續擴展而在 2027 年陸續到位呢？

Well, as we indicated, that's -- we responded to the government's request. And the government had in the RFP, identified those counts for us to respond to. And so we -- today, the counts are at 182,000. We really -- we don't know exactly the exact timing of the change in ISAP participants over time. But I think as George has articulated, their focus right now is on detention.

正如我們所指出的，我們回應了政府的要求。政府在招標文件中明確列出了這些我們需要回應的要求。所以，今天，統計數字是 182,000。我們真的——我們並不確切知道ISAP參與者隨時間變化的具體時間。但我認為，正如喬治所闡述的那樣，他們目前的重點是拘留。

And once we get to 100,000 beds, the pivot will be to ATD. So I think it's hard for us to predict the exact timing of that. But what we do know is that the RFP had allocated significantly higher funding and participant counts than -- as compared to where we are today. And so I think that's what we know.

一旦床位數量達到 10 萬張，我們將轉向 ATD。所以我覺得我們很難預測確切的時間。但我們知道的是，當時的 RFP 分配的資金和參與人數比我們今天的情況要多得多。所以，我想這就是我們所知道的。

The contract term will go into 2027, obviously. That's part of the answer to your question. The exact counts, we are beyond our control. They are identified in the pricing procurement document that everybody had to bid on.

合約期限顯然會持續到2027年。這算是你問題的一部分答案。具體數字我們無法控制。這些標準都列在定價採購文件中，每個人都必須參與投標。

So the counts are as we've discussed, and it remains to be seen if we achieve or exceed those counts. Because as I said in my comments previously, that the count on the previous ISAP 4 awards started at 91,000 and ended at 183,000. If that's any indication of the future, then I think we're going to be on solid ground.

所以統計數據正如我們討論的那樣，至於我們能否達到或超過這些統計數據，還有待觀察。因為正如我之前在評論中所說，前 4 屆 ISAP 獎項的統計從 91,000 開始，到 183,000 結束。如果這能預示未來，那麼我認為我們將站穩腳跟。

Got it. That's helpful. And then touching on the additional growth opportunities and alternative solutions that you guys are still on the table. It's nice to see you guys working with the state of Florida. How big is that opportunity set? And how many states are looking for these kind of management services as ICE continues to try to look for additional beds?

知道了。那很有幫助。然後談到你們仍在考慮的其他成長機會和替代方案。很高興看到你們與佛羅裡達州政府合作。這個機會有多大？隨著美國移民及海關執法局 (ICE) 繼續尋找更多床位，有多少州正在尋找這類管理服務？

There are several, which we can't name at this time. But they're generally beds that would be part of their correctional system, idle beds or refurbished beds and that number typically in the hundreds, possibly getting up to 1,000 beds per location that we're aware of. But we're not fully privy to what DHS is doing or who they're talking to, obviously.

有好幾個，但目前我們還不能透露具體名稱。但這些床位通常是監獄系統的一部分，是閒置的床位或翻新的床位，數量通常在數百張，據我們所知，每個地點可能有多達 1000 張床位。但很顯然，我們並不完全了解國土安全部正在做什麼，或他們在和誰交談。

Got it. And then looking at that from kind of a margin perspective, would that kind of fit in with the historical managed services margins?

知道了。那麼從利潤率的角度來看，這是否符合以往的託管服務利潤率呢？

It's actually a bit better than that because the staffing levels for this kind of population is different than what we typically seen at our state facilities that were managed only. This is a higher security population requiring more staffing, and we make a margin on the staffing.

實際上情況比這要好一些，因為針對這類人群的人員配備水平與我們通常在州立機構（僅由管理人員管理）中看到的有所不同。這是一個安全等級較高的群體，需要更多的工作人員，而我們在人員配備方面可以獲得利潤。

Got it. That's helpful. I appreciate the comments, guys.

知道了。那很有幫助。感謝大家的評論。

Greg Gibbus, Northland Securities.

格雷格·吉布斯，北地證券。

Hey, good morning guys. Thanks for taking the questions. I wanted to ask, I guess, regarding your commentary on the mix shift within the ISAP program. Can you confirm that, that mix shift toward more intensive uses is currently happening, but not included in your Q4 guidance? I guess what assumptions with mix are implied by guidance?

嘿，各位早安。謝謝您回答問題。我想問一下，關於您對ISAP專案內部人員構成變化的評論。您能否確認目前確實存在向集約型用途轉變的趨勢，但並未將其納入您的第四季業績預期？我想了解一下，該指南對混合使用有哪些隱含的假設？

Hey, It's Mark. Let me address that. As George said, we are seeing a shift of a movement towards less usage of an app or a phone and higher participant counts using our ankle bracelets. And so what we've seen to date has been a slow and steady growth on the ankle bracelets, which are higher cost and more intensive as it relates to the case management services.

嘿，我是馬克。讓我來解釋一下。正如喬治所說，我們看到一種趨勢正在轉變，即減少使用應用程式或手機，增加使用我們腳踝手環的參與者人數。因此，到目前為止，我們看到的是腳踝電子監視器緩慢且穩定地成長，這種監視器成本更高，而且與個案管理服務相關，因此更加密集。

And to a certain degree, we've built that in. What we're saying is we only have a couple of months left in the year. We've factored that into our overall assumptions. But over the coming next two years, we're expecting the continued shift towards the higher intensive supervision, which is the higher cost services from a technology device standpoint as well as a case management.

在某種程度上，我們已經將其融入其中。我的意思是，今年只剩下幾個月了。我們已將此因素納入整體假設中。但在接下來的兩年裡，我們預期監管方式將繼續向更高強度的監管轉變，從技術設備以及個案管理的角度來看，這種監管方式的成本更高。

So the point we're making is we think there's some opportunities as we've rebid that contract, both on the mix shift and some of the cost actions that we're taking to mitigate things. Obviously, the new pricing went into effect on October 1.

因此，我們想表達的觀點是，我們認為在重新競標該合約的過程中存在一些機會，無論是在產品組合調整方面，還是在我們為緩解問題而採取的一些成本控制措施方面。顯然，新的定價方案已於10月1日生效。

It's going to take us a little while to implement the actions that we have, and that had an impact on the fourth quarter. But we're working hard to push through that and potentially take advantage of the shift towards the more intense services. And we think that would continue into 2026, and we'll know better when we provide guidance in February of next year.

我們需要一些時間來落實我們採取的行動，這些行動對第四季產生了影響。但我們正在努力克服困難，並有可能利用向更密集型服務的轉變。我們認為這種情況會持續到 2026 年，明年 2 月發布指導意見時，我們會更清楚地了解情況。

Got it. That's helpful. And nice to see the increased share repurchase authorization. With where the stock is trading now, could you maybe discuss your thoughts on leaning into it more or considerations of an acceleration of repurchase activity?

知道了。那很有幫助。很高興看到股票回購授權額度增加。鑑於該股票目前的交易情況，您能否談談您對進一步增持該股票或加速回購活動的看法？

Well, we're aligned. We think our share price is way undervalued, right? George talked about our business. When we look at our profitability and our cash flows and the growth that we've achieved here, we think our stock price is significantly undervalued.

嗯，我們意見一致。我們認為我們的股價被嚴重低估了，對吧？喬治談到了我們的業務。當我們審視公司的獲利能力、現金流以及我們所取得的成長時，我們認為我們的股價被嚴重低估了。

That's why we launched our share purchase program with George's support and the Board's. With where the stock price is, we had another dialogue with our Board at our Board meeting, and we increased the size of that. And we're confident about our cash flows over time here, and we're leaning into this.

正因如此，在喬治和董事會的支持下，我們啟動了股票購買計畫。鑑於目前的股價，我們在董事會上與董事會進行了另一次討論，並增加了投資金額。我們對未來的現金流充滿信心，並且正在積極推進這項業務。

I think earlier in the year, we talked about shareholder returns. We talked about doing that once we got less than 3 times levered. We're over 3 times levered, but we're leaning into it, and our banks are supportive of that. So we're going to lean into it.

我想今年早些時候，我們討論過股東回報問題。我們討論過，一旦槓桿倍數低於3倍，就採取那種措施。我們的槓桿率超過3倍，但我們正在積極應對，我們的銀行也支持這種做法。所以我們要全力以赴。

We're going to, as George said, be opportunistic about it and balanced. But where our stock price is, we're going to continue to pursue the buybacks and take advantage of the lower stock price and our cash flows and our ability to go do that.

正如喬治所說，我們將抓住機會，保持平衡。但鑑於我們目前的股價，我們將繼續進行股票回購，利用較低的股價、現金流量以及我們回購股票的能力。

Got it. Makes sense. And I know timing, like you said, is difficult to predict. Just I guess, referring to your prepared remarks, you mentioned being optimistic on ISAP ramping up early next year. I guess I would just ask like what leads you to expect that or support that expectation? Is there anything new you've heard since maybe last quarter?

知道了。有道理。我知道時機，就像你說的，很難預測。我猜，根據您事先準備好的發言稿，您提到對ISAP明年年初的全面啟動持樂觀態度。我想問的是，是什麼讓你產生這種預期或支持這種預期的？自從上個季度以來，你有沒有聽到什麼新的消息？

Well, there's millions of people that are on the non-detained docket. And there's going to be a desire to provide more clarity as to where they are, what stage they are in with respect to their hearing process, and making sure they get to their hearing and if they're not qualified to be in the country to deport them.

嗯，有數百萬人被列入了非拘留名單。而且，人們會希望更清楚地說明他們在哪裡，他們的聽證程序處於哪個階段，確保他們能夠參加聽證會，如果他們不符合留在該國的資格，則將他們驅逐出境。

So I think those are all publicly identified objectives of this administration. And I think the ISAP contract will be an important tool toward that -- towards those objectives.

所以我認為這些都是本屆政府公開明確的目標。我認為 ISAP 合約將是實現這些目標的重要工具。

And as we've mentioned in the past, once the detention continues to grow, the government has talked about targeting 100,000 beds at that point in time. Once they max out that capacity, and they continue the enforcement efforts that they have, the next logical tool to use is the ISAP program.

正如我們之前提到的，隨著拘留人數的持續增長，政府曾表示屆時將以 10 萬張床位為目標。一旦他們達到能力極限，並且繼續採取現有的執法措施，那麼下一個合乎邏輯的工具就是 ISAP 計畫。

Yes, understood. Thanks very much, guys.

是的，明白了。非常感謝各位。

Raj Sharma, Texas Capital.

Raj Sharma，德州資本。

Hi, thank you for taking my question. My, quite a few of my questions have been answered. But can I go back to the question on margin and the ISAP program. I guess -- and I know you're not providing that much detail, but could the margins match or exceed your existing or earlier margins at a certain volume of monitored and supervised accounts? How do we sort of model that out?

您好，感謝您回答我的問題。哇，我的許多疑問都得到了解答。但我可以回到之前關於保證金和ISAP計劃的問題嗎？我猜——我知道你沒有提供那麼多細節，但是，在一定數量的受監控和監管的帳戶下，利潤率能否達到或超過你現有的或以前的利潤率？我們該如何模擬這種情況呢？

Well, I think it will have to be over time as both Mark and I have said that we have to implement some cost savings with regard to staffing efficiencies and service efficiencies as well as cost of devices. That will -- all of that will take place over the next succeeding months. And if the numbers materialize as they're identified in the pricing that was required of all the bidders, our margins and revenues will exceed what we had previously, I believe.

嗯，我認為這需要時間，因為我和馬克都說過，我們必須在人員配備效率、服務效率以及設備成本方面實現一些成本節約。所有這些都將在接下來的幾個月裡發生。我相信，如果所有競標者都按照要求的定價方案進行定價，並且最終的數字能夠實現，那麼我們的利潤率和收入將會超過我們之前的水平。

Got it. And then on the guide, the fiscal '25 guide, the margins of about 23%, 24%, historical had been 26%. Is this -- should we consider this to be sort of a new base of EBITDA margins?

知道了。然後，在 2025 財年指南中，利潤率約為 23%、24%，而歷史平均為 26%。這是否——我們是否應該將其視為 EBITDA 利潤率的新基準？

Are you speaking regarding ISAP or?

您指的是ISAP嗎？

No, I'm talking about the overall -- sorry. Yes, talking about the overall margins. This quarter was flat to last year on higher revenues. Anything that explains the EBITDA margins not picking up as much, and should we consider that as the base EBITDA margin going forward?

不，我指的是整體——抱歉。是的，我指的是整體利潤率。由於營收成長，本季業績與去年同期持平。有什麼因素可以解釋為什麼 EBITDA 利潤率沒有大幅提升？我們是否應該將此視為未來 EBITDA 利潤率的基準？

No, I think we tried to articulate it. We talked about the fact that as we're starting up these contracts, there's a cost investment that takes place. We talked about the Adelanto Facility and the rapid increase in the participants and us working hard to hire those folks.

不，我認為我們已經盡力表達清楚了。我們討論過這樣一個事實：在啟動這些合約時，會產生一定的成本投資。我們談到了阿德蘭托設施以及參與者人數的快速成長，以及我們努力招募這些人的情況。

So both in the third quarter and the fourth quarter are going to have -- are going to be impacted to a certain degree by those costs, and we're working hard to get those normalized, those operations normalized like our existing facility.

因此，第三季和第四季都會在某種程度上受到這些成本的影響，我們正在努力使這些成本和營運恢復正常，就像我們現有的設施一樣。

So I wouldn't necessarily say that the third quarter is the new baseline. It has been impacted by some puts and takes. And so I would just say you're just going to -- we're going to continue to work hard to satisfy our clients and work hard to manage our business and continue to do the best job that we can here, but there was some -- a few anomalies that took place in the quarter.

所以我不認為第三季就是新的基準線。它受到了一些買賣交易的影響。所以我想說的是，我們將繼續努力滿足客戶的需求，努力管理我們的業務，並繼續盡我們所能做到最好，但本季確實出現了一些異常情況。

Great. That's really helpful. And then just lastly, on the activated facilities normalizing in 2026. What revenue and EBITDA step-up should we expect for '26?

偉大的。這真的很有幫助。最後，關於已啟用設施在 2026 年恢復正常運作的問題。2026 年的營收和 EBITDA 預計會成長多少？

I don't think we've given guidance for '26 as yet.

我認為我們還沒有給出2026年的指導意見。

No. We'll -- we want to wrap up the quarter, and I think we'll be able to provide you further details when we see you guys or when we chat with you guys early next year.

不。我們想盡快結束本季的工作，我想明年年初我們見到你們或和你們聊天的時候，就能提供更多細節了。

Got it. I guess the activated facilities would have normalized by Q1 or by Q2 next year?

知道了。我估計到明年第一季或第二季度，已投入使用的設施就能恢復正常了？

Well, the ones that have been activated this year, that would be correct, but we assume that will be activated the middle of next year.

嗯，今年已經啟用的那些確實如此，但我們預計明年年中將會啟用。

Right okay. Great. That's it. That's it for me thank you so much for answering my questions.

好的。偉大的。就是這樣。我的提問就這些了，非常感謝您回答我的問題。

Thank you.

謝謝。

Brendan McCarthy, Sidoti.

布倫丹·麥卡錫，西多蒂。

Great, good morning. Thanks for taking my questions here. I wanted to start off in electronic monitoring. I think you mentioned you're continuing to invest to stock up on some of the higher-intensity wearables. Can you quantify what your ultimate capacity is for some of the higher-intensity wearables? Perhaps what number of population counts could you monitor under that kind of segment of your products?

太好了，早安。感謝您回答我的問題。我最初想從電子監控領域著手。我想你之前提到過，你會繼續投資，囤積一些高強度的穿戴裝置。您能否量化一下您對某些高強度穿戴裝置的極限承受能力？或許您可以監測該類產品下多少人口數量？

I don't know how high is high. We are capable of monitoring, obviously, several hundreds of thousands in concurrence with our pricing model, but we can go far beyond that and have -- we're the largest monitoring company in the world, and we've streamlined our operations over the course of this year, and we are developing new generation products for every one of our products that will be rolling out sometime next year. And we have the largest capacity of any monitoring company in the world to roll out new devices each and every week.

我不知道多高才算高。顯然，根據我們的定價模式，我們能夠同時監控數十萬個設備，但我們可以做得更多——我們是世界上最大的監控公司，我們在今年簡化了營運流程，並且我們正在為我們所有產品開發新一代產品，這些產品將於明年某個時候推出。而且，我們擁有全球監控公司中最大的產能，每週都能推出新設備。

Great. That makes sense. And then last question for me, just amid the government shutdown, are you still having active negotiations for the remaining idle beds that you have available? Or have those negotiations paused? I'm just curious if anything has really changed as it relates to your discussions with reactivations.

偉大的。這很有道理。最後一個問題，正值政府停擺之際，你們是否仍在積極洽談剩餘的空置床位？或者說，這些談判已經暫停了？我只是好奇，關於你們討論的帳戶重新激活問題，情況是否有所改變。

Well, I would characterize them as discussions. I don't think they fall in the formal negotiation stage. But our discussions with ICE really take place almost on a continuous basis.

嗯，我會把它們定義為討論。我認為他們還沒有進入正式談判階段。但我們與美國移民及海關執法局（ICE）的討論幾乎是持續不斷的。

Understood. That, that's all for me. Thanks, everybody.

明白了。這就是我的全部內容了。謝謝大家。

Kurt Lutke, Imperial Capital.

庫爾特·盧特克，帝國資本。

Hello everyone. Thank you for the call and much appreciated with respect to ISAP, if I remember correctly, ISAP 4 was a five-year deal. And I'm -- this is now a two-year inclusive of the option period. What is the -- what is it exclusive of the option periods?

大家好。感謝您的來電，非常感謝您對 ISAP 的關注。如果我沒記錯的話，ISAP 4 是一個為期五年的協議。而現在，包括選擇權期限在內，合約期限為兩年。——不包括選擇期限的部分是什麼？

The option period, it would be a one-year contract.

續約期為一年。

It's a one year deal with a one year option.

這是一份為期一年的合同，並附帶一年的續約選項。

Okay a lot of our contracts are one year with four one-year extensions, and we call them five-year contracts because they almost always take all options of the contract.

好的，我們很多合約都是一年期，可以續約四次，每次一年，我們稱之為五年期合同，因為他們幾乎總是會行使合約中的所有選項。

Okay. Got it. And so it's a shorter deal. What do you -- what is the -- what's the takeaway there?

好的。知道了。因此，這是一筆期限較短的交易。你覺得──你從中能得到什麼啟示？

There's been no formal policy announcement of the change that I'm aware of, but it is a technology-driven kind of service and technology changes fairly rapidly. So it may make sense to make it a two-year contract. And that's one of the reasons that we are doing new generation devices.

據我所知，目前還沒有關於這項變更的正式政策公告，但這是一種技術驅動型服務，而技術變化相當迅速。所以簽訂為期兩年的合約或許是合理的。這也是我們研發新一代設備的原因之一。

So just given the, I guess, uncertainty about how they want to proceed, they decided to pursue a shorter deal?

所以，我想，正是由於他們對未來的發展方向感到不確定，他們才決定尋求一個期限較短的協議？

It's the large population base that you're grappling with. It's almost 7 million people. And it's -- the service is in two forms, as I said, technology and case management services. And there may be a better way of doing that two years from now. That's possible. And we have the flexibility to respond to whatever the policy change may or may not be two years from now.

你面臨的挑戰是龐大的人口基數。人口接近700萬。正如我所說，這項服務有兩種形式：技術服務和個案管理服務。兩年後，或許會有更好的方法。有可能。我們有能力靈活應對兩年後可能發生的任何政策變化。

Got it. Okay. And you've committed to be prepared to monitor 361,000 people next year at some point?

知道了。好的。你們承諾明年某個時候將做好準備，對 36.1 萬人進行監測？

For next year, and we could monitor far beyond that.

明年我們就可以開始監測了，而且監測時間還可以延長很多年。

Yeah. Is there a -- will that mean significant CapEx next year?

是的。這是否意味著明年會有大量的資本支出？

It will be some CapEx, yes, but we've been stocking up on our devices this year, as we've said. We've made significant investments. And I think we have more devices than any other company in the world.

沒錯，這會是一筆資本支出，但正如我們所說，我們今年一直在儲備設備。我們進行了大量投資。而且我認為我們擁有的設備數量比世界上任何其他公司都多。

Got it. Okay. I appreciate it. And how much -- you mentioned increasing the authorization to $500 million, and you've got some limitations under the credit documents. How much stock could you buy back under your covenants today?

知道了。好的。謝謝。你能提到將授權額度增加到 5 億美元嗎？但是信貸文件裡有一些限制。根據您今天的契約，您最多可以回購多少股票？

I think we've said that we would be buying back approximately $100 million of stock per year. And I think we're -- at this present time, we're sticking to that. We've done $42 million so far this year. That would leave the balance for the balance of the year.

我想我們之前說過，我們每年會回購大約1億美元的股票。我認為我們——目前，我們會堅持這一點。今年到目前為止，我們已經完成了 4200 萬美元。這樣一來，剩餘的款項就留到年底再用。

Okay, I appreciate it thank you.

好的，謝謝。

This concludes 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。我謹將會議交還給 GEO 集團執行主席喬治·佐利先生，請他作閉幕致詞。

Well, thank you for listening and giving us your questions, and we hope to address you at the next conference call. Thank you.

感謝各位的聆聽與提問，我們希望在下次電話會議中解答大家的問題。謝謝。

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

會議已經結束。感謝各位參加今天的報告會。您現在可以斷開連線了。