IRVINE, Calif., Feb. 05, 2019 (GLOBE NEWSWIRE) — CorVel Corporation (NASDAQ: CRVL) announced the results for the quarter ended December 31, 2018. Revenues for the quarter ended December 31, 2018 were $146 million, an increase of 3.8% from revenues of $141 million in the same quarter of the prior year.
Earnings before taxes, for the quarter increased 34.5% from the December quarter of the prior year. Earnings per share for the quarter ended December 31, 2018 were $0.54; an increase of 8.4% from the same quarter of the prior year. The Federal tax change, passed in December of 2017, created a one-time tax rate reduction, the effects of which were reflected in the quarter ended December 31, 2017.
Revenues for the nine months ended December 31, 2018 were $445 million, an increase of 7.2% from revenues of $415 million in the same period of the prior year. Earnings per share for the nine months ended December 31, 2018 were $1.83 and were $1.41 for the same period of the prior year.
The Company continues to invest in workflow and decision-making software tools which complement its full suite of services. During the quarter, the Company released a module within the EdgeSM workstation which leverages business analytics with integration of all claims data to present actionable prioritized insights. The release of this module offers complete program visibility, allowing clients to proactively manage their program and drive positive outcomes.
The Company also released its next generation of medical bill review software to each of its processing locations across the country. The enhanced platform harnesses emerging technologies which is essential for the Company to continue to set the standard for bill review results and savings. The Company’s bill review technology offers additional automation features, further improving the review process to provide greater efficiency and better outcomes for clients.
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 investment strategies, business intelligence and analytics within claims management services and additional automation within the Company’s bill review software. 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, 2018 and the Company’s Quarterly Report on Form 10-Q for the quarters ended June 30, 2018 and September 30, 2018. 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
2010 Main Street
Suite 600
Irvine, CA 92614
Contact: Melissa Storan
Phone: 949-851-1473
http://www.corvel.com
CorVel Corporation
Quarterly Results – Income Statement
Quarters and Nine Months Ended December 31, 2018 (unaudited) and December 31, 2017 (unaudited)
| Quarter Ended | December 31, 2018 | December 31, 2017 | ||||||
| Revenues | $ | 146,082,000 | $ | 140,734,000 | ||||
| Cost of revenues | 116,728,000 | 115,165,000 | ||||||
| Gross profit | 29,354,000 | 25,569,000 | ||||||
| General and administrative | 15,803,000 | 15,496,000 | ||||||
| Income from operations | 13,551,000 | 10,073,000 | ||||||
| Income tax provision | 3,253,000 | 504,000 | ||||||
| Net income | $ | 10,298,000 | $ | 9,569,000 | ||||
| Earnings Per Share: | ||||||||
| Basic | $ | 0.55 | $ | 0.51 | ||||
| Diluted | $ | 0.54 | $ | 0.50 | ||||
| Weighted Shares | ||||||||
| Basic | 18,758,000 | 18,849,000 | ||||||
| Diluted | 18,984,000 | 19,121,000 | ||||||
| Nine Months Ended | December 31, 2018 | December 31, 2017 | ||||||
| Revenues | $ | 444,656,000 | $ | 414,777,000 | ||||
| Cost of revenues | 352,459,000 | 334,675,000 | ||||||
| Gross profit | 92,197,000 | 80,102,000 | ||||||
| General and administrative | 46,834,000 | 43,794,000 | ||||||
| Income from operations | 45,363,000 | 36,308,000 | ||||||
| Income tax provision | 10,498,000 | 9,571,000 | ||||||
| Net income | $ | 34,865,000 | $ | 26,737,000 | ||||
| Earnings Per Share: | ||||||||
| Basic | $ | 1.85 | $ | 1.42 | ||||
| Diluted | $ | 1.83 | $ | 1.41 | ||||
| Weighted Shares | ||||||||
| Basic | 18,852,000 | 18,806,000 | ||||||
| Diluted | 19,058,000 | 19,029,000 | ||||||
CorVel Corporation
Quarterly Results – Condensed Balance Sheet
December 31, 2018 (unaudited) and March 31, 2018 (audited)
| December 31, 2018 | March 31, 2018 | |||||||
| Cash | $ | 96,483,000 | $ | 55,771,000 | ||||
| Customer deposits | 42,638,000 | 35,496,000 | ||||||
| Accounts receivable, net | 62,430,000 | 64,940,000 | ||||||
| Prepaid taxes and expenses | 8,471,000 | 7,110,000 | ||||||
| Property, net | 62,868,000 | 69,356,000 | ||||||
| Goodwill and other assets | 40,855,000 | 41,331,000 | ||||||
| Total | $ | 313,745,000 | $ | 274,004,000 | ||||
| Accounts and taxes payable | $ | 15,263,000 | $ | 13,453,000 | ||||
| Accrued liabilities | 102,153,000 | 84,536,000 | ||||||
| Deferred tax liability | 4,061,000 | 4,839,000 | ||||||
| Paid-in capital | 152,526,000 | 143,708,000 | ||||||
| Treasury stock | (453,580,000 | ) | (430,989,000 | ) | ||||
| Retained earnings | 493,322,000 | 458,457,000 | ||||||
| Total | $ | 313,745,000 | $ | 274,004,000 | ||||