CorVel Shares Fall on Lower ProfitsTuesday, January 31, 2012
Shares of CorVel Corp., an Irvine healthcare services company, fell today on financial results that missed expectations.
CorVel’s shares were down 7% in midday New York trading to a market value of about $555 million.
CorVel sells software and services for managing workers’ compensation claims, reviews medical bills and provides healthcare services to keep insurance costs in check. It also employs nurses who manage the healthcare of workers injured on the job and maintains a network of other service providers.
The company posted a profit of $5.4 million for the three months ended Dec. 31, down 20% from the year-ago quarter. A sole analyst polled by Standard & Poor’s Capital IQ expected CorVel’s profit to come in at $8.7 million.
Quarterly revenue came in at $101.4 million, up 6% but below the analyst’s estimate of $106.9 million.
See this week’s Business Journal print edition for more on CorVel.