SEGMENT REPORTING

3 Months Ended

Mar. 31, 2023

SEGMENT REPORTING

10.SEGMENT REPORTING

As of March 31, 2023, CoreCivic operated 44 correctional and detention facilities, 40 of which the Company owned. In addition, CoreCivic owned and operated 23 residential reentry centers and owned 8 properties leased to government agencies. Management views CoreCivic's operating results in three operating segments, CoreCivic Safety, CoreCivic Community, and CoreCivic Properties. CoreCivic Safety includes the operating results of those correctional and detention facilities placed into service that were owned, or controlled via a long-term lease, and managed by CoreCivic, as well as those correctional and detention facilities owned by a third party and managed by CoreCivic. CoreCivic Safety also includes the operating results of TransCor America, LLC, a subsidiary of the Company that provides transportation services to governmental agencies. CoreCivic Community includes the operating results of those residential reentry centers placed into service that were owned, or controlled via a long-term lease, and managed by CoreCivic. CoreCivic Community also includes the operating results of the Company's electronic monitoring and case management services. CoreCivic Properties includes the operating results of those properties leased to government agencies. The operating performance of the three segments can be measured based on their net operating income. CoreCivic defines facility net operating income as a facility's revenues less operating expenses.

The revenue and facility net operating income for each of the three segments and a reconciliation to CoreCivic's income before income taxes is as follows for the three months ended March 31, 2023 and 2022 (in thousands):

	For the Three Months Ended March 31,
	2023			2022
Revenue:
Safety	$	417,650		$	414,248
Community		26,414			24,115
Properties		13,837			14,591
Total segment revenue		457,901			452,954
Operating expenses:
Safety		328,398			321,021
Community		22,715			20,227
Properties		3,361			3,282
Total segment operating expenses		354,474			344,530
Facility net operating income:
Safety		89,252			93,227
Community		3,699			3,888
Properties		10,476			11,309
Total facility net operating income		103,427			108,424
Other revenue (expense):
Other revenue		101			34
Other operating expense		(63	)		(99	)
General and administrative		(32,679	)		(31,101	)
Depreciation and amortization		(31,042	)		(32,028	)
Interest expense, net		(19,151	)		(22,920	)
Gain on sale of real estate assets, net		—			2,261
Other income (expense)		(47	)		1,042
Income before income taxes	$	20,546		$	25,613

The following table summarizes capital expenditures including accrued amounts for the three months ended March 31, 2023 and 2022 (in thousands):

	For the Three Months Ended March 31,
	2023		2022
Capital expenditures:
Safety	$	3,569	$	14,327
Community		414		272
Properties		48		—
Corporate and other		2,192		1,016
Total capital expenditures	$	6,223	$	15,615

The total assets are as follows (in thousands):

	March 31, 2023		December 31, 2022
Assets:
Safety	$	2,344,037	$	2,433,126
Community		216,632		216,303
Properties		358,304		362,908
Corporate and other		136,429		232,432
Total Assets	$	3,055,402	$	3,244,769