8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 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 27, 2006

CORVEL CORPORATION

(Exact Name of Registrant as Specified in Charter)

DELAWARE (State or Other Jurisdiction of Incorporation)	000-19291 (Commission File Number)	33-0282651 (IRS Employer Identification No.)
2010 Main Street, Suite 600, Irvine, California (Address of Principal Executive Offices)		92614 (Zip Code)

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

N/A
(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

TABLE OF CONTENTS

	Item 2.02. Results of Operations and Financial Condition.
	Item 7.01. Regulation FD Disclosure.
	Item 9.01. Financial Statements and Exhibits.
SIGNATURES
Exhibit 99.1

Item 2.02. Results of Operations and Financial Condition.

     On July 27, 2006, CorVel Corporation (the “Company”) issued a press release which includes a discussion of the Company’s preliminary results of fiscal quarter ended June 30, 2006. A copy of the press release is furnished herewith as Exhibit No. 99.1.

Item 7.01. Regulation FD Disclosure.

     On July 27, 2006, CorVel Corporation (the “Company”) issued a press release which includes a discussion of the Company’s preliminary results of fiscal quarter ended June 30, 2006. A copy of the press release is furnished herewith as Exhibit No. 99.1.

     The information contained in this report and in the exhibit attached to this report is being furnished to the Securities and Exchange Commission and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section, or incorporated by reference in any filing under the Exchange Act or the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such a filing.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

     This report contains forward-looking statements. Forward-looking statements can often be identified by words such as “anticipates,” “expects,” “intends,” “plans,” “predicts,” “believes,” “seeks,” “estimates,” “may,” “will,” “should,” “would,” “could,” “potential,” “continue,” “ongoing,” similar expressions, and variations or negatives of these words. These forward-looking statements are based on the Company’s current expectations, estimates and projections about its industry, management’s beliefs, and certain assumptions made by the Company, all of which are subject to change. 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, risks associated with the Company’s ability to release new software when planned, the Company’s ability to achieve anticipated results, the success of the Company’s software and services in improving outcomes and savings for its customers, the Company’s ability to file its Form 10-K, and other factors described in the Company’s annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K filed with the Securities and Exchange Commission. The forward-looking statements in this report 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.

Item 9.01. Financial Statements and Exhibits.

     (a) Not Applicable.

     (b) Not Applicable.

     (c) Not Applicable.

     (d) Exhibits.

Exhibit No.	Description of Exhibit
99.1	Press Release, dated July 27, 2006, announcing preliminary
	results for the fiscal quarter ended June 30, 2006.

SIGNATURES

     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.

	CORVEL CORPORATION (Registrant)
Dated: July 27, 2006	/s/ V. GORDON CLEMONS
	V. Gordon Clemons
	Chief Executive Officer

EX-99.1

Exhibit 99.1

NEWS RELEASE

Date: July 27, 2006	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 Preliminary June Quarter Results

IRVINE, California, July 27, 2006 — CorVel Corporation (NASDAQ: CRVL) reported today that preliminary results for the June quarter are estimated to include record field profits for the Company. The Company expects to announce complete results for the quarter and conduct a conference call following the completion of its independent auditors’ review. Revenues are expected to be approximately $70 million, up sequentially from the December, 2005 and March, 2006 revenues. Results in the quarter reflect ongoing strengthening of CorVel’s Network Solutions services, partially offset by reduced results in Patient Management services.

Results for the quarter are expected to reflect strong performance in Network Solutions, offset by continuing softness in Patient Management. In addition, substantial costs of compliance with Sarbanes Oxley audit requirements have further increased administrative expenses.

At the end of the quarter the Company’s Board approved a one million share expansion in the stock repurchase program, raising the total program from 7.1 million shares to 8.1 million shares. However, no shares were repurchased in the quarter, and as a result, cash balances moved to over $20 million dollars at the end of the June quarter, from approximately $8 million at December 31, 2005 and $14 million at the end of the March quarter. The Company has previously repurchased 7.1 million common shares and currently has 9.4 million shares outstanding net of all prior repurchases. Cash flow reflects a combination of improving earnings and modest capital investment requirements.

During the June quarter Network Solutions results benefited from increasing performance in the Company’s popular MedCheck medical review software. Savings Outcomes for customers have been improving throughout the last couple of years as MedCheck’s capabilities have been expanded. Following a period of implementation that included increased operating costs, the new software has been increasingly contributing to the Company’s performance. The inclusion of scanning, smart routing and various applications of artificial intelligence have all combined to extend performance.

In the September quarter the Company plans to further expand MedCheck through the Activ release which will include features to facilitate the scheduling of patient visits to directed care network provider facilities as well as integrated and expanded utilization management and provider reimbursement capabilities. For the first time the scope of services included in the MedCheck software will be extended beyond the review of medical reimbursement.

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’ compensation, 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 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 report, 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 financial and performance results. 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 report and the Company’s filings with the Securities and Exchange Commission, including “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended March 31, 2006. The forward-looking statements in this report 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.