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): August 4, 2015
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
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:
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02 Results of Operations and Financial Condition.
On August 4, 2015, CorVel Corporation issued a press release announcing its financial results for the three months ended June 30, 2015. 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 liability 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.
Item 9.01 Financial Statements, Pro Forma Financial Information and Exhibits.
(d) Exhibits
| Exhibit |
Description of Exhibit | |
| 99.1 | Press Release, dated August 4, 2015, announcing CorVel Corporation’s financial results for the three months ended June 30, 2015 (furnished herewith but not filed pursuant to Item 2.02). | |
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.
| CORVEL CORPORATION, | ||||||
| a Delaware corporation (Registrant) | ||||||
| Date: August 4, 2015 | By: | /s/ Richard Schweppe | ||||
| Name: | Richard Schweppe | |||||
| Title: | Chief Financial Officer | |||||
EXHIBIT INDEX
| Exhibit |
Description | |
| 99.1 | Press Release, dated August 4, 2015, announcing CorVel Corporation’s financial results for the three months ended June 30, 2015 (furnished herewith but not filed pursuant to Item 2.02). | |
Exhibit 99.1
| Date: August 4, 2015 | CorVel Corporation | |||
| 2010 Main Street | ||||
| Suite 600 | ||||
| Irvine, CA 92614 | ||||
| FOR IMMEDIATE RELEASE | Contact: Heather H. Burnham | |||
| Phone: 949-851-1473 | ||||
| http://www.corvel.com | ||||
CorVel Announces Revenues and Earnings
IRVINE, California, August 4, 2015 — CorVel Corporation (NASDAQ: CRVL) announced the results for the quarter ended June 30, 2015. Revenues for the quarter ended June 30, 2015 were $127 million and were $124 million in the same quarter of the prior year. Earnings per share for the quarter ended June 30, 2015 were $0.34 and were $0.39 for the same quarter of the prior year.
Revenue growth for the quarter was driven by an increase in the Company’s claims management services. Additionally, revenues from the Company’s facility claim review service in the health market continued to grow as payors face increasing pressure to help contain inflating medical costs. The market continues to react to the Affordable Care Act, with continued focus on cost reduction which has increased interest in CorVel’s claim review services.
Recent advances in computing and data storage technology provide the capability to achieve improved outcomes in disability management. During the quarter the Company reached a milestone in the development of its proprietary claims management system CareMC. Complete integration of the various components of managed care and claims handling within a single platform has been the Company’s long-term goal. Such systems pave the way for the expansion of CorVel’s “eco-system” that connects employers, healthcare professionals, payors, claims professionals and patients.
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, 2015 and the Company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2014, September 30, 2014 and December 31, 2014. 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 Ended June 30, 2015 (unaudited)
| Quarter Ended | June 30, 2014 | June 30, 2015 | ||||||
| Revenues |
124,364,000 | 126,939,000 | ||||||
| Cost of revenues |
96,664,000 | 100,756,000 | ||||||
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| Gross profit |
27,700,000 | 26,183,000 | ||||||
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| General and administrative |
14,205,000 | 14,962,000 | ||||||
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| Income from operations |
13,495,000 | 11,221,000 | ||||||
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| Income tax expense |
5,196,000 | 4,321,000 | ||||||
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| Net income |
8,299,000 | 6,900,000 | ||||||
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| Earnings Per Share: |
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| Basic |
$ | 0.40 | $ | 0.34 | ||||
| Diluted |
$ | 0.39 | $ | 0.34 | ||||
| Weighted Shares |
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| Basic |
20,935,000 | 20,149,000 | ||||||
| Diluted |
21,210,000 | 20,335,000 | ||||||
CorVel Corporation
Quarterly Results - Condensed Balance Sheet
March 31, 2015 (audited) and June 30, 2015 (unaudited)
| March 31, 2015 | June 30, 2015 | |||||||
| Cash |
25,516,000 | 27,102,000 | ||||||
| Customer deposits |
17,319,000 | 18,807,000 | ||||||
| Accounts receivable, net |
57,537,000 | 56,910,000 | ||||||
| Prepaid expenses and taxes |
11,675,000 | 6,683,000 | ||||||
| Deferred income taxes |
7,181,000 | 7,390,000 | ||||||
| Property, net |
56,299,000 | 56,187,000 | ||||||
| Goodwill and other assets |
43,227,000 | 43,543,000 | ||||||
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| Total |
218,754,000 | 216,622,000 | ||||||
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| Accounts and taxes payable |
15,770,000 | 17,350,000 | ||||||
| Accrued liabilities |
58,318,000 | 55,332,000 | ||||||
| Deferred tax liability |
16,743,000 | 16,743,000 | ||||||
| Paid in capital |
123,443,000 | 124,893,000 | ||||||
| Treasury stock |
-360,278,000 | -369,354,000 | ||||||
| Retained earnings |
364,758,000 | 371,658,000 | ||||||
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| Total |
218,754,000 | 216,622,000 | ||||||
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