The Geo Group Earnings: What Investors Should Watch

The Geo Group (NYSE:GEO) will report earnings before markets open on Wednesday, May 8th. The Geo Group Inc. operates private correctional facilities located mostly in the United States, but also in Australia, Canada, New Zealand, and South Africa. The Company offers educational programs, vocational training, and rehabilitation therapy services.

Here is your Cheat Sheet to The Geo Group Earnings:

Earnings Expectations: Analysts expect earnings of $0.38 per share on revenues of $378.96 million. Currently, the company’s P/E ratio stands at 16.93.

Analyst Trends:

Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.42 to a profit $0.43. For the current year, the average estimate is a profit of $1.73, which is better than the estimate ninety days ago.

Earnings Trends:

Here’s how The Geo Group has been performing on an annual basis:

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 1,043 1,141 1,085 1,407 1,479
Diluted EPS ($) 1.14 1.27 1.13 1.23 2.20

Next, our CHEAT SHEET investing framework asks us to drill down to the recent quarterly data:

Quarter Dec. 31, 2011 Mar. 31, 2012 Jun. 30, 2012 Sep. 30, 2012 Dec. 31, 2012
Revenue ($) in millions 234.34 412.34 412.35 411.52 253.93
Diluted EPS ($) 0.3032 0.25 0.37 0.25 1.320

Past Performance:
The Geo Group has beat analyst estimates 3 times in the past four quarters. Shareholders could expect a boost if the company beats estimates.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]