Wackenhut Corrections Corporation (NYSE: WHC - news) today reported second quarter 1999 net income of $5.4 million compared to $4.7 million in the second quarter 1998. Diluted earnings per share increased to 24 cents from 20 cents a year ago. Second quarter revenue increased to $106 million from $74.6 million in the second quarter 1998.
Net income for the first six months of the year increased to $10.2 million or 46 cents a share from $8.0 million or 36 cents a share during the first six months of the previous year, before the cumulative effect of a change in accounting for start-up costs implemented in the first quarter of 1998. Revenue for the first half of the year increased to $203.5 million compared to $145.9 million during the first half of last year.
Dr. George C. Zoley, vice chairman and chief executive officer of Wackenhut Corrections, said, ``I am very pleased with the income and revenue increases during the second quarter. They reflect our continued growth and the addition of 6,509 revenue-producing beds due to new or expanding facilities since the end of the second quarter 1998. We opened eight new facilities during the 12-month period and expanded the capacity at eight other locations. We also assumed management of the 350-bed South Florida State Hospital during the fourth quarter of last year.
``We anticipate our company's dynamic growth to continue, given our present backlog of over 8,000 beds under development and scheduled to come on line. New awards were announced during the past three months including a 384-bed facility in New Zealand, and the increase to 3,024 beds of a facility previously sized at 1,500 beds in South Africa. These two awards have further increased our dominant lead in the international marketplace. It was also announced in the second quarter that our two facilities in Arkansas would be enlarged by a total of 600 beds%2