CorVel(US:CRVL)2020-11-03 19:55Financial Data and Key Metrics Changes - Earnings per share for the quarter ended September 30, 2020 were $0.65, a decrease of 6% from $0.69 per share in the same quarter of the prior year [22] - Revenues for the period were $136 million, showing recovery from the lows seen during the first few months of the pandemic [22] - Quarterly gross profit increased to a five-year high of 22.4%, led by patient management profit and margins hitting all-time highs [22] Business Line Data and Key Metrics Changes - Revenue for patient management, including third-party administration (TPA) services, was $90 million, an increase of 6% [23] - Gross profit for patient management increased by 20% from the September quarter of 2019 [23] - Revenue for network solutions sold in the wholesale market was $46 million, a decrease of 11% from the same quarter of the prior year, with gross profit down 30% [24] Market Data and Key Metrics Changes - Net claim volume in the workers' compensation market is down around 15% due to the pandemic, with an increase in COVID-19 claims covered under workers' compensation [9] - At least 18 states have extended workers' compensation coverage to include COVID-19 as a work-related illness, with varying coverage across states [10][11] Company Strategy and Development Direction - The company is optimistic about future market opportunities, emphasizing the importance of adapting to new technology and digital strategies accelerated by the pandemic [7] - Strategic software initiatives are being prioritized, with a focus on enhancing analytics and machine learning capabilities [18] - The company is expanding its scope of services and forming long-term partnerships to improve healthcare payment operations [16] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, noting that the pandemic has created opportunities for those well-positioned to meet evolving market needs [7] - The company has seen a steady recovery pattern from the June quarter through the September quarter, with new sales being a strong bright spot [25] - There is an expectation for increased demand for virtual mental health visits and psychosocial treatment models due to the adverse impacts of the pandemic on mental health [13] Other Important Information - The company repurchased 150,325 shares for a total price of $12 million during the quarter, with a total of 36 million shares repurchased to date [26] - The quarter ending cash balance was a record-high $106 million, indicating strong cash flow [26] Q&A Session Summary - The Q&A session did not contain any recorded questions or answers, as the call concluded without further inquiries [27]