crvl-ex991

IRVINE, California, January 30, 2018 — CorVel Corporation (NASDAQ: CRVL) announced the results for the quarter ended December 31, 2017. Revenues for the quarter ended December 31, 2017 were $141 million, an increase of 10% from revenues of $128 million in the same quarter of the prior year. Earnings per share for the quarter ended December 31, 2017 were $0.50, an increase of 39% from earnings per share of $0.36 in the same quarter of the prior year.

Revenues for the nine months ended December 31, 2017 were $415 million, up 8% from $385 million in the same period of the prior year. Earnings per share for the nine months ended December 31, 2017 were $1.41 and were $1.09 for the same period of the prior year.

Revenue growth for the quarter was driven by an increase in the Company’s claims management services. The successful implementation and evolution of the Company’s adjuster interface, CareMC EdgeSM, has gained interest in the marketplace. The Company’s Network Solutions sold in the wholesale market increased revenues as well. The solutions, particularly in the CERiS segment, continue to expand services into the clinical and coding areas of line item hospital bill payment integrity.

The Company is launching a Managed Accounts Payable Automation service under its Symbeo business franchise. The Treasury and fulfillment service under Symbeo eliminates the manual functions associated with preparing invoices for payment. The Company remains committed to the strategy of using technology to differentiate the solutions delivered to customers, integrating previously siloed information to improve financial and healthcare outcomes.

CorVel Corporation is a national provider of innovative workers’ compensation, liability, auto, and health solutions for employers, insurance companies, third party administrators 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, 2017 and the Company’s Quarterly Report on Form 10-Q for the quarters ended June 30, 2017 and September 30, 2017. 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, 2016 (unaudited) and December 31, 2017 (unaudited)

Quarter Ended	December 31, 2016		December 31, 2017
Revenues		128,403,000		140,734,000
Cost of revenues		102,826,000		115,165,000
Gross profit		25,577,000		25,569,000
General and administrative		14,134,000		15,496,000
Income from operations		11,443,000		10,073,000
Income tax provision		4,394,000		504,000
Net income		7,049,000		9,569,000
Earnings Per Share:
Basic	$	0.36	$	0.51
Diluted	$	0.36	$	0.50
Weighted Shares
Basic		19,426,000		18,849,000
Diluted		19,549,000		19,121,000

Nine Months Ended	December 31, 2016		December 31, 2017
Revenues		385,081,000		414,777,000
Cost of revenues		308,010,000		334,675,000
Gross profit		77,071,000		80,102,000
General and administrative		42,239,000		43,794,000
Income from operations		34,832,000		36,308,000
Income tax provision		13,340,000		9,571,000
Net income		21,492,000		26,737,000
Earnings Per Share:
Basic	$	1.10	$	1.42
Diluted	$	1.09	$	1.41
Weighted Shares
Basic		19,526,000		18,806,000
Diluted		19,679,000		19,029,000

CorVel Corporation
Quarterly Results – Condensed Balance Sheet
March 31, 2017 (audited) and December 31, 2017 (unaudited)

	March 31, 2017			December 31, 2017
Cash		28,611,000			53,593,000
Customer deposits		32,471,000			41,900,000
Accounts receivable, net		62,841,000			63,487,000
Prepaid taxes and expenses		4,944,000			7,610,000
Property, net		63,042,000			63,657,000
Goodwill and other assets		43,474,000			41,748,000
Total		235,383,000			271,995,000
Accounts and taxes payable		16,583,000			16,907,000
Accrued liabilities		73,468,000			92,968,000
Deferred tax liability		6,686,000			1,940,000
Paid-in capital		135,686,000			141,669,000
Treasury stock		(419,802,000	)		(430,988,000	)
Retained earnings		422,762,000			449,499,000
Total		235,383,000			271,995,000

Date: January 30, 2018		CorVel Corporation
		2010 Main Street
		Suite 600
		Irvine, CA 92614

FOR IMMEDIATE RELEASE		Contact: Stefani P. Wendel
		Phone: 949-851-1473
		http://www.corvel.com