8-K

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 8-K

CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported): July 23, 2003

CORVEL CORPORATION

(Exact Name of Registrant as Specified in Charter)

Delaware	000-19291	33-0282651
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)

2010 Main Street, Suite 600, Irvine, California 92614

(Address of Principal Executive Offices)     (Zip Code)

Registrant’s telephone number, including area code: (949) 851-1473

Not Applicable

(Former Name or Former Address, if Changed since Last Report)

TABLE OF CONTENTS

	Item 7. Financial Statements and Exhibits
	Item 9. Regulation FD Disclosure
SIGNATURE
Index to Exhibits
EXHIBIT 99.1

Item 7. Financial Statements and Exhibits

     (c)  Exhibits

               99.1  Press release dated July 23, 2003.

Item 9. Regulation FD Disclosure

     The information contained in this item 9 is being furnished pursuant to “Item 12. Results of Operations and Financial Condition” in accordance with the SEC Release No. 33-8216. This information and the exhibit attached to this report is being furnished to the SEC and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

     On July 23, 2003, CorVel Corporation issued a press release announcing its unaudited financial results for the three months ended June 30, 2003. A copy of the press release is furnished herewith as Exhibit No. 99.1.

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SIGNATURE

     Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

July 23, 2003
	CORVEL CORPORATION, a Delaware corporation (Registrant)
	By:	/s/ RICHARD J. SCHWEPPE
		Richard J. Schweppe         Chief Financial Officer and Secretary

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Index to Exhibits

Exhibit No.	Description of Exhibit
99.1	Press Release, dated July 23, 2003, announcing CorVel Corporation’s unaudited financial results for the three months ended June 30, 2003.

4 EX-99.1 3 a91679exv99w1.htm EXHIBIT 99.1

EXHIBIT 99.1

NEWS RELEASE
Date: July 23, 2003	CorVel Corporation 2010 Main Street Suite 600 Irvine, CA 92614
FOR IMMEDIATE RELEASE	Contact: Richard Schweppe Phone: 949-851-1473 http://www.corvel.com

CorVel Announces Record Revenues and Earnings

IRVINE, California, July 23, 2003 – CorVel Corporation (NASDAQ: CRVL) reported record earnings per share of $0.40 for the quarter ended June 30, 2003, up 11% from per share earnings of $0.36 for the same quarter of the prior year. Net income for the quarter was also a record $4.4 million compared to $4.0 million for the prior year’s June quarter. June quarter revenues were $76 million, up 15% from $66 million in the June quarter of 2002. Revenues and earnings for the quarter reflected ongoing growth in the Company’s preferred provider organization (PPO), its medical bill review services and internet-based activities.

The Company’s results benefited from ongoing employer interest in methods of controlling the high cost of workers’ compensation insurance. The Iraq War appears to have dampened healthcare usage in March and April, but activity has recovered in the ensuing months. The soft labor market continues to depress workers’ compensation claims activity.

During the quarter, the Company’s existing office automation service line was expanded substantially through the acquisition of Scan One, a provider of scanning, optical character recognition and document management services. All CorVel offices will sell scanning and document management, the services of Scan One. Scanning operations will also be added to a number of the Company’s larger offices. Scan One brings a decade of experience in the supporting technologies to CorVel. These programs are particularly synergistic with the Company’s medical bill review processing.

CorVel’s MedCheck medical review and CorCare PPO revenues were up 21% from the same quarter of the prior year. New accounts and product line expansions contributed to this result. A shift in the mix of services sold in the quarter resulted in lower margins. Product development in this service line continues at a high level.

CorVel’s healthcare management website, CareMC (http://www.caremc.com), remains a focus of much of the Company’s investment. CareMC continues to be a differentiating

feature in CorVel’s service line. During the quarter the number of active users continued to expand. Investments were made in business continuity contingency planning, a data center expansion and ongoing service extensions. In addition, promotional activities in support of the brand were seasonally high.

About CorVel
CorVel Corporation (http://www.corvel.com/) is a national provider of leading-edge services and solutions in the field of managed healthcare. CorVel specializes in applying information technology and e-commerce applications to improve healthcare management in the workers’ompensation, group health, auto and disability management insurance markets. The Company provides networks of preferred providers, case management, utilization management, independent medical evaluations and medical bill review to more than 1,500 clients through its 3,500 associates and 185 offices in 49 states. Leveraging its commitment to flexibility and personal service, CorVel delivers custom solutions for employers, insurers, third party administrators and government entities.

This press release contains forward-looking statements that are subject to risks and uncertainties, including the risk that the historical financial performance of the Company may not be indicative of future financial performance and the risk that the recent performance of the Company’s Common Stock may not be indicative of its future performance, as well as other risks detailed from time to time in the Company’s SEC reports, including the report on Form 10-K for the year ended March 31, 2003, and the Company’s most recent form 10-Q.

CorVel Corporation
Income Statement (unaudited) — Three months Ended June 30, 2002 and 2003

	Three months ended June 30,
	2002		2003
Revenues	$	66,301,000	$	75,912,000
Cost of revenues		53,991,000		62,304,000
Gross profit		12,310,000		13,608,000
General and administrative expenses		5,811,000		6,580,000
Income before income taxes		6,499,000		7,028,000
Income tax provision		2,470,000		2,671,000
Net Income	$	4,029,000	$	4,357,000
Net income per share
Basic	$	.37	$	.41
Diluted	$	.36	$	.40
Weighted average shares outstanding
Basic		10,828,000		10,625,000
Diluted		11,193,000		10,894,000

Summary Balance Sheet Information
As of March 31, 2003 (audited) and June 30, 2003 (unaudited)

	March 31, 2003			June 30, 2003
	(audited)			(unaudited)
Assets
Cash and cash equivalents	$	5,913,000		$	5,454,000
Accounts receivable, net		45,394,000			42,894,000
Prepaid taxes and expenses		1,815,000			2,125,000
Deferred income taxes		5,029,000			5,029,000
Property and Equipment, Net		25,848,000			26,943,000
Other Assets		9,326,000			13,188,000
TOTAL ASSETS	$	93,325,000		$	95,633,000
Liabilities and Stockholders’ Equity
Accounts payable	$	6,880,000		$	9,246,000
Accrued liabilities		13,758,000			11,632,000
Deferred income taxes		5,467,000			5,467,000
Common stock and paid-in-capital		47,467,000			48,189,000
Treasury Stock		(84,127,000	)		(87,138,000	)
Retained earnings		103,880,000			108,237,000
TOTAL LIABILITIES AND EQUITY	$	93,325,000		$	95,633,000

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EX-99.1

CorVel Corporation