CorVel Announces Revenues and Earnings

IRVINE, Calif., Jan. 31, 2017 (GLOBE NEWSWIRE) -- CorVel Corporation (NASDAQ:CRVL) announced the results for the quarter and nine months ended December 31, 2016. Revenues for the quarter ended December 31, 2016 were $128.4 million, up 3.6% from $123.9 million in the same quarter of the prior year. Earnings per share for the quarter ended December 31, 2016 were $0.36, up 7% from $0.34 for the same quarter of the prior year.

Revenues for the nine months ended December 31, 2016 were $385.1 million, up 2.6% from $375.3 million in the same period of the prior year. Earnings per share for the nine months ended December 31, 2016 were $1.09.

Results for the quarter were driven by improvements across most lines of business. The Company has streamlined product lines through the consolidation of operational functions to maximize effectiveness for enhanced service delivery. However staffing and adjusting to the new laws for time management continued to result in recruiting expenses and legal fees.

The Company is continuing its strategy of long term investments in systems infrastructure and information technology. Payors in the workers’ compensation market continue to show growing interest in CorVel’s pioneering Enterprise Comp service offering. Beginning with the launch of Telehealth nearly two years ago as part of its Immediate Intervention model for injured workers, the Company continues to improve the delivery of care. Pursuing innovations in technology the Company strives to enhance patient access and advocacy, avoiding the congestion and conflict inherent within traditional legacy systems.

About CorVel

CorVel Corporation is a national provider of innovative workers’ compensation, auto, liability and health solutions for employers, third party administrators, insurance companies, and government agencies seeking to control costs and promote positive outcomes. We apply technology, intelligence, and a human touch throughout the risk management process so our clients can intervene early and often while being connected to the critical intelligence they need to proactively manage risk. With a robust technology platform at its core, our connected solution is delivered by a national team of associates who are committed to helping clients design and administer programs that meet their organization’s performance goals.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

All statements included in this press release, other than statements or characterizations of historical fact, are forward-looking statements. These forward-looking statements are based on the Company’s current expectations, estimates and projections about the Company, management’s beliefs, and certain assumptions made by the Company, and events beyond the Company’s control, all of which are subject to change. Such forward-looking statements include, but are not limited to, statements relating to the Company’s results of operations, including product and systems investment strategies, healthcare delivery and claims management services. These forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause the Company’s actual results to differ materially and adversely from those expressed in any forward-looking statement.

The risks and uncertainties referred to above include, but are not limited to, factors described in this press release and the Company’s filings with the Securities and Exchange Commission, including but not limited to “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended March 31, 2016 and the Company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2016 and September 30, 2016. The forward-looking statements in this press release speak only as of the date they are made. The Company undertakes no obligation to revise or update publicly any forward-looking statement for any reason.

CorVel Corporation
Quarterly Results - Income Statement
Quarter and Nine Months Ended December 31, 2015 and December 31, 2016
Quarter EndedDecember 31, 2015December 31, 2016
Revenues 123,891,000 128,403,000
Cost of revenues 98,659,000 102,826,000
Gross profit 25,232,000 25,577,000
General and administrative 14,501,000 14,134,000
Income from operations 10,731,000 11,443,000
Income tax expense 4,040,000 4,394,000
Net income 6,691,000 7,049,000
Earnings Per Share:
Weighted Shares
Basic 19,673,000 19,426,000
Diluted 19,852,000 19,549,000
Six months endedDecember 31, 2015December 31, 2016
Revenues 375,290,000 385,081,000
Cost of revenues 297,191,000 308,010,000
Gross profit 78,099,000 77,071,000
General and administrative 42,672,000 42,239,000
Income from operations 35,427,000 34,832,000
Income tax expense 13,568,000 13,340,000
Net income 21,859,000 21,492,000
Earnings Per Share:
Weighted Shares
Basic 19,908,000 19,526,000
Diluted 20,083,000 19,679,000
CorVel Corporation
Quarterly Results - Condensed Balance Sheet
March 31, 2016 (audited) and December 31, 2016 (unaudited)
March 31, 2016December 31, 2016
Cash 32,779,000 38,809,000
Customer deposits 25,649,000 30,629,000
Accounts receivable, net 59,747,000 59,181,000
Prepaid expenses and taxes 4,933,000 6,933,000
Property, net 53,268,000 58,199,000
Goodwill and other assets 43,893,000 43,974,000
Total 220,269,000 237,725,000
Accounts and taxes payable 13,233,000 16,003,000
Accrued liabilities 67,182,000 71,475,000
Deferred tax liability 7,906,000 7,246,000
Paid in capital 130,468,000 135,154,000
Treasury stock -391,803,000 -406,928,000
Retained earnings 393,283,000 414,775,000
Total 220,269,000 237,725,000

Contact: Heather H. Burnham Phone: 949-851-1473

Source:CorVel Corporation