CorVel Announces Revenues and Earnings
Rhea-AI Summary
CorVel (NASDAQ: CRVL) reported results for the quarter and nine months ended December 31, 2025. Nine-month revenue was $710 million, up 7% versus prior-year $664 million, and nine-month EPS was $1.53, up 16% versus prior-year $1.32. Quarterly revenue was $236 million with diluted EPS of $0.47.
The company ended the quarter with $230 million cash and no borrowings, repurchased $13.4 million of stock, and reported material progress on AI initiatives and integration of a strategic acquisition.
Positive
- Nine-month revenue growth of 7% to $710 million
- Nine-month diluted EPS increased 16% to $1.53
- Quarter-end cash position of $230 million with no borrowings
- Share repurchases of $13.4 million during the quarter
- Reported material progress on AI initiatives and acquisition integration
Negative
- Quarter gross margin at 23%, modest improvement but still moderate
- Quarterly revenue growth of 3% indicates slow near-term topline expansion
News Market Reaction – CRVL
On the day this news was published, CRVL declined 26.05%, reflecting a significant negative market reaction. Argus tracked a trough of -22.8% from its starting point during tracking. Our momentum scanner triggered 72 alerts that day, indicating high trading interest and price volatility. This price movement removed approximately $1.20B from the company's valuation, bringing the market cap to $3.41B at that time. Trading volume was above average at 1.9x the daily average, suggesting increased trading activity.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
CRVL is modestly positive at +0.17% while key peers like GSHD (-3.28%), BWIN (-6.07%), WTW (-1.38%), ERIE (-0.96%) and AON (-1%) are down, indicating a stock-specific reaction to earnings.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Jan 20 | Earnings webcast notice | Neutral | +1.0% | Announcement of upcoming webcast to discuss quarterly earnings and outlook. |
| Jan 15 | Production update | Neutral | +3.8% | Ivanhoe Mines production and guidance update; sector-level resource news. |
| Nov 18 | Executive recognition | Positive | +0.5% | Executive honored on industry list, highlighting leadership in digital transformation and AI. |
| Nov 11 | Growth recognition | Positive | +2.5% | Named to TIME’s America’s Growth Leaders 2026 with strong revenue and gross profit growth. |
| Oct 21 | Earnings webcast notice | Neutral | +3.4% | Planned webcast to review quarterly earnings and strategic initiatives with management. |
Recent CorVel headlines, including webcasts and recognition for growth, have generally coincided with positive next-day price moves, suggesting investors often respond constructively to corporate updates.
Over the past few months, CorVel’s news flow has centered on earnings communications, growth recognition, and leadership visibility. A webcast announcement on Jan 20, 2026 preceded a 0.99% move, while inclusion in TIME’s America’s Growth Leaders list in Nov 2025 followed reports of 7% revenue growth to $240M and 15% gross profit growth to $58.2M. Today’s quarterly and nine‑month earnings update continues this theme of incremental growth and ongoing investment in AI-driven capabilities.
Market Pulse Summary
The stock dropped -26.1% in the session following this news. A negative reaction despite revenue of $710 million for the nine months and EPS of $1.53 would fit a pattern where markets reassess expectations around growth quality or valuation rather than headline numbers. Shares already trade well below the $128.61 52‑week high and under the $86.94 200‑day MA, so sentiment had been cautious. Investors would likely focus on the modest quarterly EPS change and the pace at which AI and acquisition initiatives impact results.
Key Terms
agentic ai technical
ai-enabled workflows technical
AI-generated analysis. Not financial advice.
FORT WORTH, Texas, Feb. 03, 2026 (GLOBE NEWSWIRE) -- CorVel Corporation (NASDAQ: CRVL) announced the results for the quarter and year ended December 31, 2025. Revenues for the nine months ended December 31, 2025 were
Third Quarter Fiscal Year 2026 Highlights
- Revenue increased
3% to$236 million , compared to third quarter of fiscal year 2025. - Gross profit increased
4% to$54.9 million , at23% gross margin, compared to third quarter of fiscal year 2025 gross profit of$52.9 million . - Diluted earnings per share increased
2% to$0.47 , compared to third quarter of fiscal year 2025 diluted earnings per share of$0.46 . - Exited the quarter with
$230 million of cash, cash equivalents, and no borrowings. - The Company repurchased
$13.4 million of common stock during the quarter.
During the quarter, AI initiatives advanced materially across the organization, delivering tangible benefits across products, services, and internal development processes. AI is augmenting operations by improving efficiency, shifting team capacity away from lower-value activities, and enhancing outcomes for partners. In parallel, CorVel is leveraging emerging technologies, including agentic AI, to transform the software development lifecycle from ideation through deployment, increasing velocity and productivity. Our 2026 software development roadmap is robust, and integration of the recent strategic acquisition is progressing ahead of plan, accelerating innovation and expanding our technology capabilities.
Across the Property & Casualty and CERIS businesses, these investments align well with customer priorities that continue to shift toward efficiency, transparency, and measurable outcomes. In P&C, the intentional application of intelligence, automation, and modernized data exchange is delivering a simpler, more accurate claims experience across the care continuum. In CERIS, ongoing technology enhancements address rising medical costs, increased regulatory scrutiny, and vendor consolidation by combining deep clinical expertise with AI-enabled workflows to prevent improper payments earlier in the claims process.
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, improved productivity resulting from automation and augmentation across enterprise business systems. 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 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 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, 2025, and the Company’s Quarterly Report on Form 10-Q for the quarters ended June 30, 2025 and September 30, 2025. 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, 2025 (unaudited) and December 31, 2024 (unaudited)
| Quarter Ended | December 31, 2025 | December 31, 2024 | ||||||
| Revenues | $ | 235,625,000 | $ | 227,973,000 | ||||
| Cost of revenues | 180,709,000 | 175,115,000 | ||||||
| Gross profit | 54,916,000 | 52,858,000 | ||||||
| General and administrative | 22,684,000 | 22,058,000 | ||||||
| Income from operations | 32,232,000 | 30,800,000 | ||||||
| Income tax provision | 8,058,000 | 7,029,000 | ||||||
| Net income | $ | 24,174,000 | $ | 23,771,000 | ||||
| Earnings Per Share: | ||||||||
| Basic | $ | 0.47 | $ | 0.46 | ||||
| Diluted | $ | 0.47 | $ | 0.46 | ||||
| Weighted Shares | ||||||||
| Basic | 51,317,000 | 51,388,000 | ||||||
| Diluted | 51,582,000 | 52,038,000 | ||||||
| Nine Months Ended | December 31, 2025 | December 31, 2024 | ||||||
| Revenues | $ | 709,979,000 | $ | 664,075,000 | ||||
| Cost of revenues | 540,125,000 | 512,528,000 | ||||||
| Gross profit | 169,854,000 | 151,547,000 | ||||||
| General and administrative | 66,439,000 | 64,043,000 | ||||||
| Income from operations | 103,415,000 | 87,504,000 | ||||||
| Income tax provision | 24,100,000 | 18,758,000 | ||||||
| Net income | $ | 79,315,000 | $ | 68,746,000 | ||||
| Earnings Per Share: | ||||||||
| Basic | $ | 1.55 | $ | 1.34 | ||||
| Diluted | $ | 1.53 | $ | 1.32 | ||||
| Weighted Shares | ||||||||
| Basic | 51,328,000 | 51,384,000 | ||||||
| Diluted | 51,739,000 | 51,999,000 | ||||||
CorVel Corporation
Quarterly Results – Condensed Balance Sheet
December 31, 2025 (unaudited) and March 31, 2025
| December 31, 2025 | March 31, 2025 | |||||||
| Cash | $ | 230,033,000 | $ | 170,584,000 | ||||
| Customer deposits | 115,427,000 | 101,472,000 | ||||||
| Accounts receivable, net | 102,100,000 | 104,126,000 | ||||||
| Prepaid taxes and expenses | 16,363,000 | 10,507,000 | ||||||
| Property, net | 114,122,000 | 92,052,000 | ||||||
| Goodwill and other assets | 47,293,000 | 46,410,000 | ||||||
| Right-of-use asset, net | 19,447,000 | 20,825,000 | ||||||
| Total | $ | 644,785,000 | $ | 545,976,000 | ||||
| Accounts and taxes payable | $ | 29,998,000 | $ | 16,792,000 | ||||
| Accrued liabilities | 220,449,000 | 187,244,000 | ||||||
| Long-term lease liabilities | 18,616,000 | 19,953,000 | ||||||
| Paid-in capital | 260,840,000 | 250,412,000 | ||||||
| Treasury stock | (867,518,000 | ) | (831,510,000 | ) | ||||
| Retained earnings | 982,400,000 | 903,085,000 | ||||||
| Total | $ | 644,785,000 | $ | 545,976,000 | ||||
| Contact: Melissa Storan |
| Phone: 949-851-1473 |
| www.corvel.com |
FAQ
What were CorVel's (CRVL) revenues and EPS for the nine months ended December 31, 2025?
How did CorVel (CRVL) perform in the December 2025 quarter versus prior year?
What is CorVel's (CRVL) cash and capital return position as of December 31, 2025?
How are AI initiatives affecting CorVel's (CRVL) business and product development?
What progress has CorVel (CRVL) reported on its recent strategic acquisition integration?
