GlobeNewswire Inc | Feb 2, 2021 06:15AM EST

February 02, 2021

IRVINE, Calif., Feb. 02, 2021 (GLOBE NEWSWIRE) -- CorVel Corporation (NASDAQ: CRVL) announced its results for the quarter ended December 31, 2020. Earnings per share for the quarter ended December 31, 2020 were 63 cents. Revenues for the period were $142 million. Earnings per share for the nine months ended December 31, 2020 were $1.74 and revenues for the nine months ended December 31, 2020 were $407 million.

Although the global pandemic continues, CorVels business performance in this quarter improved over the December 2019 quarter. This result is attributed to advances in operational performance in addition to increased business development. New sales were a record for the calendar year, with particular success in claims administration and CERiS commercial health review business.

CorVel's technical foundation supported the agility to quickly transition to work from home, easily scale to meet the tenfold increase in telehealth demand, and effectively respond to evolving customer needs. From a strategic perspective, the Companys position and ability to continue adapting, responding and thriving in this dynamic environment is strong.

The health market is evolving their payment integrity processes to a prepay approach, which requires bill review to be completed within stringent time requirements. The CERiS processing operation, which has been gaining momentum going into this year, was developed to support prepayment processing. By leveraging technology and advanced analytics to automate tasks and compress processing time, clients are able to make payments with confidence that billing and coding information is accurate.

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 organizations 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 Companys current expectations, estimates and projections about the Company, managements beliefs, and certain assumptions made by the Company, and events beyond the Companys control, all of which are subject to change. Such forward-looking statements include, but are not limited to, statements relating to the Companys telehealth services and the Companys continued investment in these and other innovative technologies, and statements relating to the Companys strategic alliances within the healthcare market. These forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause the Companys 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 Companys filings with the Securities and Exchange Commission, including but not limited to Risk Factors in the Companys Annual Report on Form 10-K for the year ended March 31, 2020 and the Companys Quarterly Report on Form 10-Q for the quarters ended June 30, 2020 and September 30, 2020. 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 CorporationQuarterly Results ? Income StatementQuarters and Nine Months Ended December 31, 2020 (unaudited) and December 31,2019 (unaudited) Quarter Ended December31, 2020 December31, 2019 Revenues $ 141,506,000 $ 148,092,000 Cost of revenues 110,613,000 118,839,000 Gross profit 30,893,000 29,253,000 General and administrative 16,937,000 17,000,000 Income from operations 13,956,000 12,253,000 Income tax provision 2,576,000 2,901,000 Net income $ 11,380,000 $ 9,352,000 Earnings Per Share: Basic $ 0.64 $ 0.51 Diluted $ 0.63 $ 0.50 Weighted Shares Basic 17,899,000 18,253,000 Diluted 18,180,000 18,526,000

Nine Months Ended December31, 2020 December31, 2019 Revenues $ 407,134,000 $ 445,200,000 Cost of revenues 319,228,000 350,024,000 Gross profit 87,906,000 95,176,000 General and administrative 48,084,000 49,290,000 Income from operations 39,822,000 45,886,000 Income tax provision 8,275,000 10,256,000 Net income $ 31,547,000 $ 35,630,000 Earnings Per Share: Basic $ 1.76 $ 1.94 Diluted $ 1.74 $ 1.91 Weighted Shares Basic 17,939,000 18,410,000 Diluted 18,156,000 18,695,000

CorVel CorporationQuarterly Results ? Condensed Balance SheetDecember 31, 2020 (unaudited) and March 31, 2020 (audited) December31, 2020 March31, 2020 Cash $ 128,829,000 $ 83,223,000 Customer deposits 54,371,000 48,991,000 Accounts receivable, net 63,579,000 65,767,000 Prepaid taxes and expenses 12,453,000 11,010,000 Property, net 72,483,000 75,900,000 Goodwill and other assets 39,517,000 40,703,000 Right-of-use asset, net 86,633,000 90,666,000 Total $ 457,865,000 $ 416,260,000 Accounts and taxes payable $ 17,494,000 $ 16,363,000 Accrued liabilities 141,328,000 117,326,000 Deferred tax liability 6,893,000 7,764,000 Long-term lease liabilities 82,277,000 85,096,000 Paid-in capital 179,678,000 168,938,000 Treasury stock (553,889,000 ) (531,764,000 )Retained earnings 584,084,000 552,537,000 Total $ 457,865,000 $ 416,260,000

Contact: Melissa StoranPhone: 949-851-1473 http://www.corvel.com