IRVINE, Calif., Oct. 29, 2013 /PRNewswire/ -- CorVel Corporation (NASDAQ: CRVL) announced the results for the quarter ended September 30, 2013. Revenues for the quarter ended September 30, 2013 were a record $119 million, a 13% increase over the $105 million in revenue in the quarter ended September 30, 2012. Earnings per share for the quarter ended September 30, 2013 were a record $0.41, a 39% increase over earnings per share of $0.29 for the same quarter of the prior year.
Revenues for the six months ended September 30, 2013 were a record $237 million, a 13% increase over the $210 million in revenue in the six months ended September 30, 2012. Earnings per share for the six months ended September 30, 2013 were a record $0.80, a 39% increase over earnings per share of $0.58 for the same period of the prior year.
Revenue growth for the quarter was driven by a 12% increase in the Company's Patient Management service line and a 15% increase in its Network Solutions service line. Patient Management services include traditional medical case management and claims administration services. Revenue from claims management services continues to grow at a rate in excess of 20%.
Included in Network Solutions revenue is the Company's proprietary hospital line item bill review service which is experiencing increased demand as health insurers respond to the Affordable Care Act. CorVel's proprietary database of hospital chargemaster pricing information provides unique reviews of hospital reimbursement for both workers' compensation and health markets. During the quarter the Company made investments to expand the operating capacity for this service.
During the quarter, the Company continued its stock repurchase plan by repurchasing 372,000 shares of stock at an average price of $33.42. On an inception to date basis, the Company has repurchased approximately 32 million shares for $321 million.
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, bill review 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, 2013 and the Company's Quarterly Report on Form 10Q for the quarter ended June 30, 2013. 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 |
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| Quarterly Results - Income Statement (unaudited) |
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| Quarters ended September 30, 2012 and September 30, 2013 |
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| Quarter Ended |
September 30, 2012 |
September 30, 2013 |
| Revenues |
105,458,000 |
119,359,000 |
| Cost of revenues |
82,622,000 |
92,039,000 |
| Gross profit |
22,836,000 |
27,320,000 |
| General and administrative |
11,981,000 |
12,224,000 |
| Income from operations |
10,855,000 |
15,096,000 |
| Income tax expense |
4,225,000 |
6,421,000 |
| Net income |
6,630,000 |
8,675,000 |
| Earnings Per Share: |
||
| Basic |
$0.29 |
$0.41 |
| Diluted |
$0.29 |
$0.41 |
| Weighted Shares |
||
| Basic |
22,540,000 |
21,138,000 |
| Diluted |
22,752,000 |
21,377,000 |
| Six months ended |
September 30, 2012 |
September 30, 2013 |
| Revenues |
210,064,000 |
237,472,000 |
| Cost of revenues |
164,047,000 |
183,234,000 |
| Gross profit |
46,017,000 |
54,238,000 |
| General and administrative |
24,155,000 |
25,066,000 |
| Income from operations |
21,862,000 |
29,172,000 |
| Income tax expense |
8,636,000 |
11,888,000 |
| Net income |
13,226,000 |
17,284,000 |
| Earnings Per Share: |
||
| Basic |
$0.59 |
$0.81 |
| Diluted |
$0.58 |
$0.80 |
| Weighted Shares |
||
| Basic |
22,584,000 |
21,267,000 |
| Diluted |
22,802,000 |
21,481,000 |
| CorVel Corporation |
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| Quarterly Results - Condensed Balance Sheet (unaudited) |
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| March 31, 2013 and September 30, 2013 |
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| March 31, 2013 |
September 30, 2013 |
|
| Cash |
19,822,000 |
22,192,000 |
| Customer deposits |
10,107,000 |
12,497,000 |
| Accounts receivable, net |
49,105,000 |
54,392,000 |
| Prepaid expenses and taxes |
7,418,000 |
4,487,000 |
| Deferred income taxes |
6,448,000 |
6,801,000 |
| Property, net |
46,584,000 |
50,007,000 |
| Goodwill and other assets |
42,898,000 |
42,383,000 |
| Total |
182,382,000 |
192,759,000 |
| Accounts and taxes payable |
13,587,000 |
17,203,000 |
| Accrued liabilities |
39,168,000 |
44,938,000 |
| Deferred tax liability |
18,225,000 |
18,225,000 |
| Paid in capital |
110,927,000 |
114,386,000 |
| Treasury stock |
-301,301,000 |
-321,053,000 |
| Retained earnings |
301,776,000 |
319,060,000 |
| Total |
182,382,000 |
192,759,000 |
SOURCE CorVel Corporation
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