CorVel Announces Revenues and Earnings

Jun 08, 2010, 06:15 ET from CorVel Corporation

IRVINE, Calif., June 8 /PRNewswire-FirstCall/ -- CorVel Corporation (Nasdaq: CRVL) reported earnings per share of $0.54 for the quarter ended March 31, 2010, a 66% increase compared to $0.33 in the same quarter of the prior fiscal year. The Company reported quarterly revenues of $88 million, a 14% increase compared to $77 million in the same quarter of the prior fiscal year. Earnings per share for the fiscal year ended March 31, 2010 were $2.06, a 46% increase compared to $1.42 for the same period of the prior fiscal year. The Company reported revenues of $338 million for the fiscal year ended March 31, 2010, a 9% increase compared to $310 million for the same period of the prior fiscal year.

CorVel's unique approach to claims management, which integrates claims administration with proactive medical treatment programs and cost containment services, was a principal driver in the Company's growth as new clients were implemented throughout the quarter and fiscal year.  CorVel's claims management model continues to be well received in the market and the Company's existing relationships with employers across the country form the basis for the ongoing expansion of this product line. The Company continues to invest in software development and focuses on the incorporation of artificial intelligence capabilities and workflow management tools for the management of workers' compensation claims and the associated medical and indemnity costs.

The Company continues to expand its Directed Care Solutions that facilitate the scheduling of patient visits to preferred ancillary providers such as Physical Therapists, closely monitoring utilization to manage total expenditure.  The Company also offers Pharmacy Solutions to combat rapidly increasing prescription costs. CorVel combines increased penetration, utilization management and brand name to generic conversion to effectively reduce costs for our clients. The Company has expanded its service offering to include a Medication Review Program that includes a physician peer review that outlines alternative less expensive, yet equally effective, treatment plans for injured workers receiving long term prescription treatment.

About CorVel

CorVel Corporation is a national provider of leading-edge services and solutions in the field of disability management. CorVel specializes in applying information technology and e-commerce applications to improve outcomes in the workers' compensation, group health, auto and disability management insurance markets. The Company provides claims management solutions in addition to networks of preferred providers, case management, utilization management and medical bill review to more than 2,000 clients nationwide. Leveraging its commitment to flexibility and personal service, CorVel delivers custom solutions for employers, insurers, third party administrators and government entities.

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, product investment strategies and expansion of directed care solutions. 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, 2009 and the Company's Quarterly Report on Form 10-Q for the quarters ended June 30, 2009, September 30, 2009 and December 31, 2009. 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

Quarters and Fiscal Years Ended March 31, 2009 and 2010

Quarter Ended

Quarter Ended

March 31, 2009

March 31, 2010

Revenues

77,058,000

87,611,000

Cost of revenues

59,770,000

65,827,000

Gross profit

17,288,000

21,784,000

General and administrative

10,308,000

10,687,000

Income from operations

6,980,000

11,097,000

Income tax expense

2,738,000

4,480,000

Net income

4,242,000

6,617,000

Earnings Per Share:

Basic

$0.33

$0.55

Diluted

$0.33

$0.54

Weighted Shares

Basic

12,935,000

12,076,000

Diluted

13,037,000

12,285,000

Fiscal Year Ended

Fiscal Year Ended

March 31, 2009

March 31, 2010

Revenues

310,076,000

337,968,000

Cost of revenues

236,334,000

252,429,000

Gross profit

73,742,000

85,539,000

General and administrative

42,133,000

42,056,000

Income from operations

31,609,000

43,483,000

Income tax expense

12,332,000

17,387,000

Net income

19,277,000

26,096,000

Earnings Per Share:

Basic

$1.43

$2.09

Diluted

$1.42

$2.06

Weighted Shares

Basic  

13,458,000

12,499,000

Diluted

13,620,000

12,672,000

CorVel Corporation

Quarterly Results - Condensed Balance Sheet

March 31, 2009 and March 31, 2010

March 31, 2009

March 31, 2010

Cash

14,681,000

11,933,000

Accounts receivable, net

41,249,000

43,930,000

Prepaid expenses and taxes

4,841,000

6,419,000

Deferred income taxes

4,531,000

4,864,000

Property, net

29,790,000

30,026,000

Goodwill and other assets

46,117,000

43,196,000

 Total

141,209,000

140,368,000

Accounts and taxes payable

18,553,000

14,495,000

Accrued liabilities

18,653,000

25,455,000

Deferred tax liability

7,706,000

4,690,000

Paid in capital

84,324,000

90,220,000

Treasury stock

-185,762,000

-218,323,000

Retained earnings

197,735,000

223,831,000

Total

141,209,000

140,368,000

SOURCE CorVel Corporation



RELATED LINKS

http://www.corvel.com