(RTTNews) - The GEO Group, Inc. (GEO) updated its 2020 financial guidance to reflect the continued impact of COVID-19 pandemic, including the expiration of D. Ray James Correctional Facility contract. Also, beginning with next quarterly dividend payment in October 2020, the company expects to declare quarterly dividend payments of $0.34 per share, or $1.36 per share annualized. During 2020, the company expects to repay approximately $100 million in debt, and starting in 2021, plans to apply between $50 million and $100 million on average in excess cash flows towards debt repayments annually.
The company said COVID-19 pandemic has resulted in lower occupancy levels at several of its facilities and programs beginning in late March and continuing through the second quarter.
For fiscal 2020, the company projects: net income per share to be $0.95-$0.99; adjusted net income per share to be $1.07 to $1.11; and AFFO per share to be $2.29-$2.33. The company expects 2020 revenues to be approximately $2.34 billion.
For third quarter, the company expects: net income per share to be in a range of $0.25 to $0.27; adjusted net income per share to be in a range of $0.28 to $0.30; and AFFO to be in a range of $0.58 to $0.60.
For fourth quarter, the company expects: net income per share to be in a range of $0.18 to $0.20; adjusted net income per share to be in a range of $0.19 to $0.21; and AFFO to be in a range of $0.50 to $0.52 per share.
Second quarter net income per share was $0.31, compared to $0.35, prior year. AFFO per share was $0.66 compared to $0.70, last year. Second quarter total revenues were $587.8 million compared to $614.0 million, a year ago.
Shares of GEO Group were down 5% in pre-market trade on Thursday.
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