CoreCivic, Inc. (CXW): History, Ownership, Mission, How It Works & Makes Money

Ever wondered about the company behind many correctional and detention facilities in the U.S.? CoreCivic Inc. (CXW), a diversified government solutions company, has been addressing public sector needs for over 40 years, but how exactly does it operate and generate revenue? Keep reading to explore its history, ownership structure, mission, and the intricacies of its business model, including its recent 2024 financial results, where it reported total revenue of $2.0 billion and net income of $68.9 million.

CoreCivic, Inc. (CXW) History

CoreCivic's Founding Timeline

Year established

The company was established in 1983.

Original location

The company was originally located in Nashville, Tennessee.

Founding team members

The founding team members included:

• Terrell Don Hutto
• Robert Crants III

Initial capital/funding

The initial capital investment was $100,000.

CoreCivic's Evolution Milestones

CoreCivic's Transformative Moments

• Initial Public Offering (IPO): Going public in 1994 provided significant capital for expansion and growth.
• Diversification of Services: Expanding into rehabilitation and community corrections broadened the company’s scope and mission.
• Name Change to CoreCivic: The rebranding in 2016 signaled a shift towards a more community-focused approach.
• Exiting Federal Contracts: The decision in 2020 to exit federal prison contracts marked a strategic pivot in the company's operations.

Explore more about the company's mission, vision, and core values: Mission Statement, Vision, & Core Values of CoreCivic, Inc. (CXW).

CoreCivic, Inc. (CXW) Ownership Structure

The ownership structure of CoreCivic, Inc. consists of a mix of institutional, retail, and insider holdings, reflecting a publicly traded company with diverse stakeholders.

CoreCivic, Inc.'s Current Status

CoreCivic, Inc. is a publicly traded company, meaning its shares are available for purchase by the general public on the New York Stock Exchange (NYSE) under the ticker symbol CXW. This allows a wide range of investors, from individuals to large institutions, to own a portion of the company.

CoreCivic, Inc.'s Ownership Breakdown

As a publicly traded entity, CoreCivic's ownership is distributed among various shareholders. Here's an approximate breakdown:

CoreCivic, Inc.'s Leadership

The leadership team is responsible for the strategic direction and operational management of CoreCivic. Key figures include:

• Damon T. Hininger: President and Chief Executive Officer
• David L. Garfinkle: Executive Vice President, Chief Financial Officer
• Lucibeth Mayberry: Executive Vice President, Chief Human Resources Officer

These individuals, along with other executive leaders and the board of directors, guide the company's strategic initiatives and oversee its financial and operational performance. You might also be interested in learning about Mission Statement, Vision, & Core Values of CoreCivic, Inc. (CXW).

CoreCivic, Inc. (CXW) Mission and Values

CoreCivic's mission is to help people prepare for a successful return to their communities, while the company's core values emphasize integrity, respect, and a commitment to service.

CoreCivic's Core Purpose

Official mission statement

CoreCivic's official mission statement is: 'We are committed to helping people prepare for a successful return to their communities. We partner with government agencies to provide cost-saving solutions and innovative services on behalf of those entrusted to our care.'

• Focuses on rehabilitation and successful reentry into society.
• Highlights partnerships with government agencies.
• Emphasizes cost-saving solutions and innovative services.
• Underscores the responsibility of caring for those entrusted to them.

Vision statement

CoreCivic's vision is to be a leader in providing innovative and cost-effective solutions to government partners, while helping individuals in their care successfully return to their communities. This involves a commitment to:

• Innovative solutions that address the evolving needs of government partners.
• Cost-effectiveness in service delivery.
• Successful reentry programs for individuals in their care.
• Maintaining high standards of safety and security.

Company slogan/tagline

CoreCivic does not have a prominently advertised official slogan or tagline. However, the company's communications often emphasize themes of partnership, rehabilitation, and community safety. These themes reflect CoreCivic's focus on:

• Collaborating with government agencies to achieve shared goals.
• Providing opportunities for individuals to rehabilitate and reintegrate into society.
• Ensuring the safety and security of facilities and the surrounding communities.

For more insights into CoreCivic's investors, check out: Exploring CoreCivic, Inc. (CXW) Investor Profile: Who’s Buying and Why?

CoreCivic, Inc. (CXW) How It Works

CoreCivic, Inc. specializes in providing a range of correctional, detention, and residential reentry services to government agencies across the United States. They generate revenue through contracts with these agencies, managing facilities and offering comprehensive support services.

CoreCivic's Product/Service Portfolio

CoreCivic's Operational Framework

CoreCivic operates through a structured framework centered on facility management and service provision:

• Contract Acquisition: CoreCivic bids on contracts offered by government agencies at the federal, state, and local levels. These contracts outline the scope of services, performance standards, and compensation terms.
• Facility Management: Once a contract is secured, CoreCivic manages the physical infrastructure of the correctional or detention facility. This includes maintenance, security systems, and ensuring compliance with regulatory standards.
• Staffing and Training: CoreCivic hires and trains correctional officers, administrative staff, and support personnel. Comprehensive training programs ensure staff can handle diverse situations, from routine operations to emergency response.
• Inmate Services: CoreCivic provides a range of services to inmates, including housing, meals, medical care, and recreational activities. These services are designed to maintain a safe and humane environment.
• Reentry Programs: For residential reentry centers, CoreCivic offers specialized programs focused on rehabilitation and reintegration. These programs include counseling, job training, and assistance with housing and employment.
• Technology Integration: CoreCivic uses technology to enhance security, streamline operations, and improve data management. This includes electronic monitoring systems, data analytics tools, and secure communication networks.

To delve deeper into the company's guiding principles, explore the Mission Statement, Vision, & Core Values of CoreCivic, Inc. (CXW).

CoreCivic's Strategic Advantages

CoreCivic has several strategic advantages that contribute to its market position:

• Established Relationships: CoreCivic has long-standing relationships with government agencies, giving it a competitive edge in securing new contracts and renewing existing ones.
• Operational Expertise: With decades of experience in managing correctional and detention facilities, CoreCivic has developed expertise in optimizing operations, reducing costs, and maintaining high standards of safety and security.
• Geographic Diversification: CoreCivic operates facilities across the United States, which reduces its reliance on any single market or government agency.
• Comprehensive Service Offering: CoreCivic provides a full spectrum of correctional and detention services, from facility management to inmate rehabilitation, making it a one-stop solution for government clients.
• Focus on Innovation: CoreCivic invests in technology and innovative programs to improve the efficiency and effectiveness of its operations. This includes data analytics, electronic monitoring, and evidence-based rehabilitation programs.

CoreCivic, Inc. (CXW) How It Makes Money

CoreCivic, Inc. primarily generates revenue by providing correctional, detention, and residential reentry services to government agencies. They essentially lease out bed space and related services.

CoreCivic, Inc.'s Revenue Breakdown

CoreCivic, Inc.'s Business Economics

CoreCivic, Inc.'s business economics are driven by several key factors:

• Occupancy Rates: High occupancy rates in their facilities are crucial for profitability. Contracts often include guaranteed minimum occupancy levels.
• Contract Pricing: Revenue is heavily influenced by the pricing agreed upon in contracts with government agencies. These contracts typically involve a per diem rate, which is the daily fee paid per occupied bed.
• Operating Costs: Managing operational costs, including staffing, facility maintenance, and healthcare, is essential for maintaining healthy margins.
• Government Budgets: Government budgets and policies related to corrections and detention significantly impact CoreCivic, Inc.'s revenue and growth prospects.

CoreCivic, Inc.'s Financial Performance

Key aspects of CoreCivic, Inc.'s financial performance include:

• Revenue Stability: A significant portion of revenue comes from long-term contracts, providing a degree of stability.
• Profit Margins: Profit margins are influenced by occupancy rates, contract terms, and the ability to manage operating expenses effectively.
• Debt Management: CoreCivic, Inc.'s financial health is also reflected in its debt levels and ability to manage its debt obligations.

For more insights into CoreCivic, Inc., check out: Exploring CoreCivic, Inc. (CXW) Investor Profile: Who’s Buying and Why?

CoreCivic, Inc. (CXW) Market Position & Future Outlook

CoreCivic is strategically positioned within the corrections and detention management industry, focusing on government partnerships to deliver infrastructure and services. The company's future outlook hinges on its ability to adapt to evolving government needs and public sentiment regarding correctional facilities and detention centers.

Competitive Landscape

The competitive landscape of the private corrections industry involves several key players. Market share percentages can fluctuate based on contract awards and facility utilization rates.

Opportunities & Challenges

CoreCivic faces both opportunities and risks that will shape its trajectory in the coming years.

Industry Position

CoreCivic maintains a significant presence in the private corrections industry, as evidenced by its substantial revenue and operational footprint.

• CoreCivic is one of the largest private corrections companies in the United States, operating numerous facilities across the country.
• The company's industry standing is influenced by its relationships with government agencies at the federal, state, and local levels.
• CoreCivic's commitment to innovation and cost-effective solutions positions it as a key player in addressing correctional and detention needs.

To gain more insights into the investor side, check out this article: Exploring CoreCivic, Inc. (CXW) Investor Profile: Who’s Buying and Why?