FORT WORTH, Texas, Jan. 30, 2024 (GLOBE NEWSWIRE) -- CorVel Corporation (NASDAQ: CRVL) announced the results for the quarter ended December 31, 2023. Revenues for the quarter were $202 million, an increase from $179 million in the December quarter of 2022. Earnings per share for the quarter were $0.99, compared to $0.96 in the same quarter of the prior year.
Revenues for the nine months ended December 31, 2023 were $588 million, compared to $533 million for the nine months ended December 31, 2022. Earnings per share for the nine months ended December 31, 2023, were $3.27, compared to $2.73 for the same nine-month period in 2022.
The 2023 calendar year ended with a 34% increase in new business sold with balanced bookings in the Network Solutions and Patient Management business. Customer retention, as measured by Gross Revenue Retention for the year, was 95%, while Net Revenue Retention was 108%. CorVel's practical application of advanced technology and the corresponding program impact drive improved retention in a market with increased churn.
The Company's payment integrity services have garnered significant attention from large payors and platform vendors seeking proven solutions to address the meaningful growth in medical care ratios. In addition to enhancing current offerings, CERIS has expanded the teams responsible for launching additional reviews in the market.
The implementation of generative AI initiatives has been proven to boost the efficiency and effectiveness of both the P&C and Commercial Claims teams. These updates have gradually reduced time spent on routine tasks, thus creating more time for essential activities that require critical thinking, directly impacting the user experience and results achieved.
About CorVel
CorVel Corporation applies technology including artificial intelligence, machine learning and natural language processing to enhance the managing of episodes of care and the related health care costs. We partner with employers, third-party administrators, insurance companies and government agencies in managing workers' compensation and health, auto and liability services. Our diverse suite of solutions combines our integrated technologies with a human touch. CorVel's customized services, delivered locally, are backed by a national team to support clients as well as their customers and patients.
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 our commercial health-focused operation, improved productivity resulting from automation and augmentation across enterprise business systems. 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, including the risk that the impact of the COVID-19 pandemic on our business, results of operations and financial condition is greater than our initial assessment.
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, 2023 and the Company's Quarterly Report on Form 10-Q for the quarters ended June 30, 2023 and September 30, 2023. 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 Nine months Ended December 31, 2023 (unaudited) and December 31, 2022 (unaudited)
| Quarter Ended | December 31, 2023 | December 31, 2022 | |||||
| Revenues | $ | 202,303,000 | $ | 179,386,000 | |||
| Cost of revenues | 160,143,000 | 139,041,000 | |||||
| Gross profit | 42,160,000 | 40,345,000 | |||||
| General and administrative | 19,798,000 | 18,128,000 | |||||
| Income from operations | 22,362,000 | 22,217,000 | |||||
| Income tax provision | 5,267,000 | 5,368,000 | |||||
| Net income | $ | 17,095,000 | $ | 16,849,000 | |||
| Earnings Per Share: | |||||||
| Basic | $ | 1.00 | $ | 0.98 | |||
| Diluted | $ | 0.99 | $ | 0.96 | |||
| Weighted Shares | |||||||
| Basic | 17,106,000 | 17,245,000 | |||||
| Diluted | 17,326,000 | 17,487,000 | |||||
| Nine Months Ended | December 31, 2023 | December 31, 2022 | |||||
| Revenues | $ | 588,078,000 | $ | 533,119,000 | |||
| Cost of revenues | 459,788,000 | 416,811,000 | |||||
| Gross profit | 128,290,000 | 116,308,000 | |||||
| General and administrative | 55,786,000 | 54,347,000 | |||||
| Income from operations | 72,504,000 | 61,961,000 | |||||
| Income tax provision | 15,706,000 | 13,765,000 | |||||
| Net income | $ | 56,798,000 | $ | 48,196,000 | |||
| Earnings Per Share: | |||||||
| Basic | $ | 3.32 | $ | 2.77 | |||
| Diluted | $ | 3.27 | $ | 2.73 | |||
| Weighted Shares | |||||||
| Basic | 17,124,000 | 17,379,000 | |||||
| Diluted | 17,352,000 | 17,647,000 | |||||
CorVel Corporation
Quarterly Results - Condensed Balance Sheet
December 31, 2023 (unaudited) and March 31, 2023
| December 31, 2023 | March 31, 2023 | ||||||
| Cash | $ | 106,994,000 | $ | 71,329,000 | |||
| Customer deposits | 80,838,000 | 80,022,000 | |||||
| Accounts receivable, net | 92,657,000 | 81,034,000 | |||||
| Prepaid taxes and expenses | 13,903,000 | 11,385,000 | |||||
| Property, net | 85,216,000 | 82,770,000 | |||||
| Goodwill and other assets | 40,304,000 | 39,662,000 | |||||
| Right-of-use asset, net | 25,083,000 | 27,721,000 | |||||
| Total | $ | 444,995,000 | $ | 393,923,000 | |||
| Accounts and taxes payable | $ | 15,133,000 | $ | 15,309,000 | |||
| Accrued liabilities | 173,254,000 | 152,578,000 | |||||
| Long-term lease liabilities | 23,078,000 | 23,860,000 | |||||
| Paid-in capital | 229,788,000 | 218,703,000 | |||||
| Treasury stock | (784,724,000 | ) | (748,195,000 | ) | |||
| Retained earnings | 788,466,000 | 731,668,000 | |||||
| Total | $ | 444,995,000 | $ | 393,923,000 | |||
| Contact: Melissa Storan |
| Phone: 949-851-1473 |
| www.corvel.com |
