Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Jun. 05, 2015 | Sep. 30, 2014 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | FALSE | ||
Document Period End Date | 31-Mar-15 | ||
Document Fiscal Year Focus | 2015 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | CRVL | ||
Entity Registrant Name | CORVEL CORP | ||
Entity Central Index Key | 874866 | ||
Current Fiscal Year End Date | -28 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 20,091,126 | ||
Entity Public Float | $386,692,000 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Income Statement [Abstract] | |||
Revenues | $492,625,000 | $478,816,000 | $429,310,000 |
Cost of revenues | 392,656,000 | 370,335,000 | 337,650,000 |
Gross profit | 99,969,000 | 108,481,000 | 91,660,000 |
General and administrative | 54,405,000 | 51,974,000 | 47,765,000 |
Income before income taxes | 45,564,000 | 56,507,000 | 43,895,000 |
Income tax provision | 16,974,000 | 22,115,000 | 17,165,000 |
Net income | $28,590,000 | $34,392,000 | $26,730,000 |
Net income per share: | |||
Basic | $1.38 | $1.63 | $1.20 |
Diluted | $1.37 | $1.61 | $1.19 |
Weighted average shares outstanding: | |||
Basic | 20,669,000 | 21,104,000 | 22,256,000 |
Diluted | 20,890,000 | 21,372,000 | 22,458,000 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
Current Assets | ||
Cash and cash equivalents | $25,516,000 | $34,866,000 |
Customer deposits | 17,319,000 | 16,142,000 |
Accounts receivable (less allowance for doubtful accounts of $1,745,000 at March 31, 2014 and $1,645,000 at March 31, 2015) | 57,537,000 | 57,229,000 |
Prepaid expenses and taxes | 11,675,000 | 5,862,000 |
Deferred income taxes | 7,181,000 | 6,861,000 |
Total current assets | 119,228,000 | 120,960,000 |
Property and equipment, net | 56,299,000 | 51,253,000 |
Goodwill | 36,814,000 | 36,814,000 |
Other intangible assets, net | 4,736,000 | 5,193,000 |
Other assets | 1,677,000 | 261,000 |
Total assets | 218,754,000 | 214,481,000 |
Current Liabilities | ||
Accounts and taxes payable | 15,770,000 | 18,465,000 |
Accrued liabilities | 58,318,000 | 53,375,000 |
Total current liabilities | 74,088,000 | 71,840,000 |
Deferred income taxes | 16,743,000 | 16,119,000 |
Total liabilities | 90,831,000 | 87,959,000 |
Commitments and contingencies (Notes E, F, H, I, J and L) | ||
Stockholders' Equity | ||
Common stock, $.0001 par value: 120,000,000 shares authorized at March 31, 2014 and 2015; 53,126,866 shares issued (20,979,392 shares outstanding, net of Treasury shares) and 53,243,157 shares issued (20,250,669 shares outstanding, net of Treasury shares) at March 31, 2014 and March 31, 2015, respectively | 3,000 | 3,000 |
Paid-in-capital | 123,440,000 | 118,831,000 |
Treasury Stock, at cost (32,147,474 and 32,992,488 shares at March 31, 2014 and 2015, respectively) | -360,278,000 | -328,480,000 |
Retained earnings | 364,758,000 | 336,168,000 |
Total stockholders' equity | 127,923,000 | 126,522,000 |
Total liabilities and stockholders' equity | $218,754,000 | $214,481,000 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful debts, accounts receivable | $1,645,000 | $1,745,000 |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 120,000,000 | 120,000,000 |
Common stock, shares issued | 53,243,157 | 53,126,866 |
Common stock, shares outstanding | 20,250,669 | 20,979,392 |
Treasury stock, shares | 32,992,488 | 32,147,474 |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholders' Equity (USD $) | Total | Common Stock [Member] | Paid-in Capital [Member] | Treasury Stock [Member] | Retained Earnings [Member] |
Beginning balance at Mar. 31, 2012 | $110,382,000 | $3,000 | $105,907,000 | ($270,574,000) | $275,046,000 |
Beginning balance, shares at Mar. 31, 2012 | 52,523,748 | -29,906,202 | |||
Stock issued under employee stock purchase plan | 313,000 | 313,000 | |||
Stock issued under employee stock purchase plan, shares | 14,056 | ||||
Stock issued under stock option plan, net of shares repurchased | 3,399,000 | 3,399,000 | |||
Stock issued under stock option plan, net of shares repurchased, shares | 299,458 | ||||
Stock-based compensation expense | 997,000 | 997,000 | |||
Income tax benefits from stock option exercises | 308,000 | 308,000 | |||
Purchase of treasury stock | -30,727,000 | -30,727,000 | |||
Purchase of treasury stock, shares | -1,410,812 | -1,410,812 | |||
Net Income | 26,730,000 | 26,730,000 | |||
Ending balance at Mar. 31, 2013 | 111,402,000 | 3,000 | 110,924,000 | -301,301,000 | 301,776,000 |
Ending balance, shares at Mar. 31, 2013 | 52,837,262 | -31,317,014 | |||
Stock issued under employee stock purchase plan | 346,000 | 346,000 | |||
Stock issued under employee stock purchase plan, shares | 8,489 | ||||
Stock issued under stock option plan, net of shares repurchased | 3,386,000 | 3,386,000 | |||
Stock issued under stock option plan, net of shares repurchased, shares | 281,115 | ||||
Stock-based compensation expense | 2,140,000 | 2,140,000 | |||
Income tax benefits from stock option exercises | 2,035,000 | 2,035,000 | |||
Purchase of treasury stock | -27,179,000 | -27,179,000 | |||
Purchase of treasury stock, shares | -830,460 | -830,460 | |||
Net Income | 34,392,000 | 34,392,000 | |||
Ending balance at Mar. 31, 2014 | 126,522,000 | 3,000 | 118,831,000 | -328,480,000 | 336,168,000 |
Ending balance, shares at Mar. 31, 2014 | 53,126,866 | -32,147,474 | |||
Stock issued under employee stock purchase plan | 400,000 | 400,000 | |||
Stock issued under employee stock purchase plan, shares | 2,439,296 | 12,299 | |||
Stock issued under stock option plan, net of shares repurchased | 1,603,000 | 1,603,000 | |||
Stock issued under stock option plan, net of shares repurchased, shares | 103,992 | ||||
Stock-based compensation expense | 2,209,000 | 2,209,000 | |||
Income tax benefits from stock option exercises | 397,000 | 397,000 | |||
Purchase of treasury stock | -31,798,000 | -31,798,000 | |||
Purchase of treasury stock, shares | -845,014 | -845,014 | |||
Net Income | 28,590,000 | 28,590,000 | |||
Ending balance at Mar. 31, 2015 | $127,923,000 | $3,000 | $123,440,000 | ($360,278,000) | $364,758,000 |
Ending balance, shares at Mar. 31, 2015 | 53,243,157 | -32,992,488 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
CASH FLOWS FROM OPERATING ACTIVITIES | |||
Net Income | $28,590,000 | $34,392,000 | $26,730,000 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 17,995,000 | 16,411,000 | 15,739,000 |
Loss on write down or disposal of property or capitalized software | 285,000 | 78,000 | 412,000 |
Stock-based compensation expense | 2,209,000 | 2,140,000 | 997,000 |
Provision for doubtful accounts | 1,730,000 | 1,332,000 | 2,123,000 |
Provision for deferred income taxes | 304,000 | -2,519,000 | 2,276,000 |
Changes in operating assets and liabilities: | |||
Accounts receivable | -2,038,000 | -9,456,000 | -1,894,000 |
Customer deposits | -1,176,000 | -6,035,000 | -4,291,000 |
Prepaid expenses and taxes | -5,813,000 | 1,556,000 | 4,845,000 |
Other assets | -18,000 | 159,000 | -111,000 |
Accounts and taxes payable | -2,695,000 | 2,535,000 | 814,000 |
Accrued liabilities | 4,943,000 | 14,207,000 | 7,179,000 |
Net cash provided by operating activities | 44,316,000 | 54,800,000 | 54,819,000 |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Investment in private equity | -1,400,000 | ||
Purchases of property and equipment | -22,868,000 | -18,344,000 | -14,887,000 |
Net cash used in investing activities | -24,268,000 | -18,344,000 | -14,887,000 |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Exercise of employee stock purchase options | 400,000 | 346,000 | 313,000 |
Exercise of common stock options | 1,603,000 | 3,386,000 | 3,399,000 |
Tax benefits from stock options | 397,000 | 2,035,000 | 308,000 |
Purchase of treasury stock | -31,798,000 | -27,179,000 | -30,727,000 |
Net cash used in financing activities | -29,398,000 | -21,412,000 | -26,707,000 |
Net increase (decrease) in cash and cash equivalents | -9,350,000 | 15,044,000 | 13,225,000 |
Cash and cash equivalents at beginning of year | 34,866,000 | 19,822,000 | 6,597,000 |
CASH AND CASH EQUIVALENTS AT END OF YEAR | 25,516,000 | 34,866,000 | 19,822,000 |
Supplemental cash flow information | |||
Income taxes paid | 19,528,000 | 20,791,000 | 9,663,000 |
Accrual of software license purchase | 2,343,000 | ||
Tenant improvement allowance | $3,100,000 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Accounting Policies [Abstract] | |||||||||||||
Summary of Significant Accounting Policies | Note A — Summary of Significant Accounting Policies | ||||||||||||
Organization: CorVel Corporation (“CorVel” or “the Company”), incorporated in Delaware in 1987, provides services and programs nationwide that are designed to enable insurance carriers, third party administrators and employers with self-insured programs to administer, manage and control the cost of workers’ compensation and other healthcare benefits. The Company provides case management, claims administration, and medical bill review services to these payors. | |||||||||||||
The Company evaluated all subsequent events or transactions through the date of this filing. During the period subsequent to March 31, 2015, the Company repurchased 182,113 shares for $6.5 million or an average of $35.89 per share. These shares were repurchased under the Company’s ongoing share repurchase program described in Note G. | |||||||||||||
Basis of Presentation: The consolidated financial statements include the accounts of CorVel and its wholly-owned subsidiaries. Significant intercompany accounts and transactions have been eliminated in consolidation. | |||||||||||||
Use of Estimates: The preparation of financial statements in compliance with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amounts reported in the accompanying financial statements. Actual results could differ from those estimates. Significant estimates include the values assigned to intangible assets, capitalized software development, the allowance for doubtful accounts, accrual for income taxes, share-based payments related to performance based awards, loss contingencies, estimated claims for claims administration revenue recognition, estimates used in stock options valuations, and accrual for self-insurance reserves. | |||||||||||||
Cash and Cash Equivalents: Cash and cash equivalents consist of short-term, interest-bearing highly-liquid investment-grade securities with maturities of 90 days or less when purchased. The carrying amounts of the Company’s financial instruments approximate their fair values at March 31, 2014 and 2015 due to the short-term nature of those instruments. Customer deposits represent cash that is expected to be returned or applied towards payment within one year through our provider reimbursement services. | |||||||||||||
Fair Value of Financial Instruments: The Company applies ASC 820, “Fair Value Measurements and Disclosures,” which defines fair value, establishes a framework for measuring fair value, and provides for disclosures about fair value measurements with respect to fair value measurements of (a) nonfinancial assets and liabilities that are recognized or disclosed at fair value in the Company’s Consolidated Financial Statements on a recurring basis (at least annually) and (b) all financial assets and liabilities. ASC 820 prioritizes the inputs used in measuring fair value into the following hierarchy: | |||||||||||||
Level 1 Quoted market prices in active markets for identical assets or liabilities; | |||||||||||||
Level 2 Observable inputs other than those included in Level 1 (for example, quoted prices for similar assets in active markets or quoted prices for identical assets in inactive markets); and | |||||||||||||
Level 3 Unobservable inputs reflecting management’s own assumptions about the inputs used in estimating the value of the asset. | |||||||||||||
The carrying amount of the Company’s financial instruments (i.e. cash, accounts receivable, accounts payable, etc.) are all Level 1 and approximate their fair values at March 31, 2014 and 2015 due to the short-term nature of those instruments. The Company has no Level 2 or Level 3 assets. | |||||||||||||
Investment in Private Equity: During the quarter ended June 30, 2014, the Company’s board of directors approved an investment of $2,000,000 into a private equity limited partnership that invests in start-up companies. The Company invested $1,400,000 into the partnership during the fiscal year ended March 31, 2015 and expects to invest the remaining $600,000 commitment within the next 12 months. The Company accounts for the investment on the cost method. The investment is recorded in other assets on the accompanying consolidated balance sheets. There have been no identified events or changes in circumstances that may have a significant adverse effect on the fair value of the investment and in accordance with ASC 825-10-50-16 through 50-19 it is not practicable to estimate the fair value of the investment. | |||||||||||||
Revenue Recognition: The Company recognizes revenue when there is persuasive evidence of an arrangement, the services have been provided to the customer, the sales price is fixed or determinable, and collectability is reasonably assured. For the Company’s services, as the Company’s professional staff performs work, they are contractually permitted to bill for fees earned in fraction of an hour increments worked or by units of production. The Company recognizes revenue as the time is worked or as units of production are completed, which is when the revenue is earned and realized. Labor costs are recognized as the costs are incurred. The Company derives the majority of its revenue from the sale of Network Solutions and Patient Management services. Network Solutions and Patient Management services may be sold individually or combined with any of the services the Company provides. When a sale combines multiple elements, the Company accounts for multiple element arrangements in accordance with the guidance included in ASC 605-25. | |||||||||||||
Management evaluates agreements with customers in accordance with the provision of the revenue recognition topic that addresses multiple-deliverable revenue arrangements. The multiple-deliverable arrangements entered into consist of bundled managed care which included various units of accounting such as network solutions, and patient management which includes claims administration. Such elements are considered separate units of accounting due to each element having value to the customer on a stand-alone basis. The selling price for each unit of accounting is determined using contract price and management estimates. When the Company’s customers purchase several products the pricing of the products sold is generally the same as if the product were sold on an individual basis. Revenue is recognized as the work is performed in accordance with our customer contracts. Based upon the nature of the Company’s products, bundled managed care elements are generally delivered in the same accounting period. The Company recognizes revenue for patient management claims administration services over the life of the customer contract. The Company estimates, based upon prior experience in managing claims, the deferral amount from when the claim is received to when the customer contract expires. | |||||||||||||
Accounts Receivable: The majority of the Company’s accounts receivable are due from companies in the property and casualty insurance industries, self-insured employers and governmental entities. Credit is extended based on evaluation of a customer’s financial condition and, generally, collateral is not required. Accounts receivable are generally due within 30 days and are stated at amounts due from customers net of an allowance for doubtful accounts. Those accounts outstanding longer than the contractual payment terms are considered past due. The Company determines its allowance by considering a number of factors, including the length of time trade accounts receivable are past due, the Company’s previous loss history, the customer’s current ability to pay its obligation to the Company and the condition of the general economy and the industry as a whole. The Company writes off accounts receivable against the reserve when they become uncollectible. Accounts receivable includes $11,922,000, and $12,357,000 of unbilled receivables at March 31, 2014 and 2015, respectively. Unbilled receivables represent the revenue for the work performed which has not yet been invoiced to the customer. Unbilled receivables are generally invoiced within the following three months. | |||||||||||||
Concentrations of Credit Risk: Substantially all of the Company’s customers are payors of workers’ compensation benefits and property and casualty insurance, which include insurance companies, third party administrators, self-insured employers and government entities. Receivables are generally due within 30 days. Credit losses relating to customers in the workers’ compensation insurance industry consistently have been within management’s expectations. Virtually all of the Company’s cash is invested at financial institutions in amounts which exceed the FDIC insurance levels. No customer accounted for 10% or more of revenue for either fiscal 2013, 2014, or 2015. No customer accounted for 10% or more of accounts receivable at either March 31, 2014 or 2015. | |||||||||||||
Property and Equipment: Additions to property and equipment are recorded at cost. The Company provides for depreciation on property and equipment using the straight-line method by charges to operations in amounts that allocate the cost of depreciable assets over their estimated lives as follows: | |||||||||||||
Asset Classification | Estimated Useful Life | ||||||||||||
Leasehold Improvements | Five years or the life of lease | ||||||||||||
Furniture and Equipment | Five to seven years | ||||||||||||
Computer Hardware | Three to five years | ||||||||||||
Computer Software | Three to five years | ||||||||||||
The Company accounts for internally developed software costs in accordance with ASC 350-40, “Internal – Use Software”. Capitalized software development costs, intended for internal use, totaled $19,360,000 (net of $53,734,000 in accumulated amortization) and $21,327,000 (net of $61,012,000 in accumulated amortization), as of March 31, 2014 and 2015, respectively. These costs are included in computer software in property and equipment and are amortized over a period of five years. | |||||||||||||
Long-Lived Assets: The carrying amount of all long-lived assets is evaluated periodically to determine if adjustment to the depreciation and amortization period or to the unamortized balance is warranted. Such evaluation is based principally on the expected utilization of the long-lived assets and the projected, undiscounted cash flows of the operations in which the long-lived assets are deployed. | |||||||||||||
Goodwill and Long-Lived Assets: The Company accounts for its business combinations in accordance with the Financial Accounting Standards Board (“FASB”) ASC 805-10 through ASC 805-50, “Business Combinations” which requires that the purchase method of accounting be applied to all business combinations and addresses the criteria for initial recognition of intangible assets and goodwill. In accordance with FASB ASC 350-10 through ASC 350-30, goodwill and other intangible assets with indefinite lives are not amortized but are tested for impairment annually, or more frequently if circumstances indicate the possibility of impairment. If the carrying value of goodwill or an intangible asset exceeds its fair value, an impairment loss shall be recognized. Based on the Company’s tests and reviews, no impairment of its goodwill, intangible assets or other long-lived assets existed at March 31, 2015. However, future events or changes in current circumstances could affect the recoverability of the carrying value of goodwill and long-lived assets. Should an asset be deemed impaired, an impairment loss would be recognized to the extent the carrying value of the asset exceeded its estimated fair value. Goodwill amounted to $36,814,000 (net of accumulated amortization of $2,069,000) at March 31, 2014 and at March 31, 2015. | |||||||||||||
Cost of revenues: Cost of services consists primarily of the compensation and fringe benefits of field personnel, including managers, medical bill analysts, field case managers, telephonic case managers, systems support, administrative support, account managers and account executives, and related facility costs including rent, telephone and office supplies. Historically, the costs associated with these additional personnel and facilities have been the most significant factor driving increases in the Company’s cost of services. | |||||||||||||
Income Taxes: The Company provides for income taxes in accordance with provisions specified in ASC 740, “Accounting for Income Taxes”. Accordingly, deferred income tax assets and liabilities are computed for differences between the financial statement and tax bases of assets and liabilities. These differences will result in taxable or deductible amounts in the future, based on tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible. In making an assessment regarding the probability of realizing a benefit from these deductible differences, management considers the Company’s current and past performance, the market environment in which the Company operates, tax-planning strategies and the length of carry-forward periods for loss carry-forwards, if any. Valuation allowances are established when necessary to reduce deferred tax assets to amounts that are more likely than not to be realized. Further, the Company accrues for income tax issues not yet resolved with federal, state and local tax authorities, when it appears more likely than not that a tax liability has been incurred. | |||||||||||||
Share-Based Compensation: The Company accounts for share-based compensation in accordance with the provisions of ASC Topic 718 “Compensation — Stock Compensation”. Under ASC 718, share-based compensation cost is measured at the grant date, based on the calculated fair value of the award, and is recognized as an expense over the employee’s requisite service period (generally the vesting period of the equity grant). Share-based compensation expense is based on awards ultimately expected to vest; therefore, it has been reduced for estimated forfeitures. ASC Topic 718 requires forfeitures to be estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. | |||||||||||||
Accrual for Self-insurance Costs: The Company self-insures for the group medical costs and workers’ compensation costs of its employees. The Company purchases stop loss insurance for large claims. Management believes that the self-insurance reserves are appropriate; however, actual claims costs may differ from the original estimates requiring adjustments to the reserves. The Company determines its estimated self-insurance reserves based upon historical trends along with outstanding claims information provided by its claims paying agents. | |||||||||||||
Earnings Per Share: Earnings per common share-basic is based on the weighted average number of common shares outstanding during the period. Earnings per common shares-diluted is based on the weighted average number of common shares and common share equivalents outstanding during the period. In calculating earnings per share, earnings are the same for the basic and diluted calculations. Weighted average shares outstanding is greater for diluted earnings per share due to the effect of stock options. | |||||||||||||
The difference between the basic shares and the diluted shares for each of the three fiscal years ended March 31, 2013, 2014, and 2015 is as follows: | |||||||||||||
Fiscal 2013 | Fiscal 2014 | Fiscal 2015 | |||||||||||
Basic weighted shares | 22,256,000 | 21,104,000 | 20,669,000 | ||||||||||
Treasury stock impact of stock options | 202,000 | 268,000 | 221,000 | ||||||||||
Diluted weighted shares | 22,458,000 | 21,372,000 | 20,890,000 | ||||||||||
Stock Split: During the quarter ended June 30, 2013, the Company’s Board of Directors approved a two-for-one stock split in the form of a 100% stock dividend with a record date of June 12, 2013 and a distribution date of June 26, 2013. All share and per share amounts have been adjusted retroactively in this report to reflect the stock split for all periods shown. | |||||||||||||
Recently Issued Accounting Standards | |||||||||||||
On May 28, 2014, the FASB issued ASU 2014-09 regarding ASC Topic 606, Revenue from Contracts with Customers. The standard provides principles for recognizing revenue for the transfer of promised goods or services to customers with the consideration to which the entity expects to be entitled in exchange for those goods or services. In April 2015, the FASB issued an exposure draft proposing a one-year delay of the effective date of this new revenue recognition standard. The guidance will be effective for our fiscal year beginning April 1, 2017. Early adoption is not permitted. We are currently evaluating the accounting, transition and disclosure requirements of the standard and cannot currently estimate the financial statement impact of adoption. |
Stock_Options_and_StockBased_C
Stock Options and Stock-Based Compensation | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||
Stock Options and Stock-Based Compensation | Note B — Stock Options and Stock-Based Compensation | ||||||||||||||||||||
Under the Company’s Restated Omnibus Incentive Plan (Formerly The Restated 1988 Executive Stock Option Plan) (“the Plan”) as in effect at March 31, 2015, options for up to 19,365,000 shares of the Company’s common stock may be granted over the life of the Plan to key employees, non-employee directors and consultants at exercise prices not less than the fair market value of the stock at the date of grant. Options granted under the Plan are non-statutory stock options and generally vest 25% one year from date of grant and the remaining 75% vesting ratably each month for the next 36 months. The options granted to employees and the board of directors expire at the end of five years and ten years from date of grant, respectively. | |||||||||||||||||||||
The Company records compensation expense for employee stock options based on the estimated fair value of the options on the date of grant using the Black-Scholes option-pricing model with the assumptions included in the table below. The Company uses historical data among other factors to estimate the expected volatility, the expected option life, and the expected forfeiture rate. The risk-free rate is based on the interest rate paid on a U.S. Treasury issue with a term similar to the estimated life of the option. During fiscal 2015, based upon the historical experience of option cancellations, the Company has an estimated annualized forfeiture rate of 11.8%. Forfeiture rates will be adjusted over the requisite service period when actual forfeitures differ, or are expected to differ, from the estimate. | |||||||||||||||||||||
The fair value of each grant is estimated on the date of grant using the Black-Scholes option-pricing model. The following weighted average assumptions were used for fiscal years ended March 31, 2013, 2014 and 2015: | |||||||||||||||||||||
Fiscal 2013 | Fiscal 2014 | Fiscal 2015 | |||||||||||||||||||
Expected volatility | 47% | 47% | 45% | ||||||||||||||||||
Risk free interest rate | 0.6% to 0.8% | 0.7% to 1.5% | 1.3% to 1.7% | ||||||||||||||||||
Dividend yield | 0.00% | 0.00% | 0.00% | ||||||||||||||||||
Weighted average option life | 4.5 years | 4.4 to 4.5 years | 4.4 to 4.5 years | ||||||||||||||||||
For the fiscal years ended March 31, 2013, 2014 and 2015, the Company recorded share-based compensation expense of $997,000, $2,140,000, and $2,209,000, respectively. The table below shows the amounts recognized in the financial statements for the fiscal years ended March 31, 2013, 2014 and 2015. | |||||||||||||||||||||
Fiscal 2013 | Fiscal 2014 | Fiscal 2015 | |||||||||||||||||||
Cost of revenue | $ | 461,000 | $ | 672,000 | $ | 1,021,000 | |||||||||||||||
General and administrative | 536,000 | 1,468,000 | 1,188,000 | ||||||||||||||||||
Total cost of stock-based compensation included in income before income tax | 997,000 | 2,140,000 | 2,209,000 | ||||||||||||||||||
Amount of income tax benefit recognized | 395,000 | 835,000 | 862,000 | ||||||||||||||||||
Amount charged to net income | $ | 602,000 | $ | 1,305,000 | $ | 1,347,000 | |||||||||||||||
Effect on basic earnings per share | $ | 0.03 | $ | 0.06 | $ | 0.07 | |||||||||||||||
Effect on diluted earnings per share | $ | 0.03 | $ | 0.06 | $ | 0.06 | |||||||||||||||
All options granted in the three fiscal years ended March 31, 2013, 2014, and 2015 were granted at fair value and are non-statutory stock options. Summarized information for all stock options for the past three fiscal years follows: | |||||||||||||||||||||
Fiscal 2013 | Fiscal 2014 | Fiscal 2015 | |||||||||||||||||||
Options outstanding – beginning of the year | 1,502,046 | 1,100,952 | 1,115,984 | ||||||||||||||||||
Options granted | 246,200 | 441,550 | 241,625 | ||||||||||||||||||
Options exercised | (348,090 | ) | (310,729 | ) | (111,758 | ) | |||||||||||||||
Options cancelled/forfeited | (299,204 | ) | (115,789 | ) | (82,672 | ) | |||||||||||||||
Options outstanding – end of year | 1,100,952 | 1,115,984 | 1,163,179 | ||||||||||||||||||
During the year, weighted average exercise price of: | |||||||||||||||||||||
Options granted | $ | 23.04 | $ | 33.06 | $ | 37.64 | |||||||||||||||
Options exercised | $ | 12.8 | $ | 15.31 | $ | 17.27 | |||||||||||||||
Options forfeited | $ | 21.26 | $ | 23.33 | $ | 32.31 | |||||||||||||||
At the end of the year: | |||||||||||||||||||||
Price range of outstanding options | $ | 7.78-$26.38 | $ | 7.78-$45.55 | $ | 7.78-$45.55 | |||||||||||||||
Weighted average exercise price per share | $ | 18.66 | $ | 24.8 | $ | 27.65 | |||||||||||||||
Options available for future grants | 1,285,056 | 959,295 | 800,342 | ||||||||||||||||||
Exercisable options | 557,924 | 430,294 | 559,168 | ||||||||||||||||||
The following table summarizes the status of stock options outstanding and exercisable at March 31, 2015: | |||||||||||||||||||||
Range of Exercise Prices | Number of | Weighted | Outstanding | Exercisable | Exercisable | ||||||||||||||||
Outstanding | Average | Options – | Options – | Options – | |||||||||||||||||
Options | Remaining | Weighted | Number of | Weighted | |||||||||||||||||
Contractual Life | Average Exercise | Exercisable | Average Exercise | ||||||||||||||||||
Price | Options | Price | |||||||||||||||||||
$7.78 to $21.87 | 278,100 | 2.91 | $ | 15.75 | 251,199 | $ | 15.13 | ||||||||||||||
$21.88 to $23.10 | 261,044 | 3.23 | 22.94 | 137,145 | 22.94 | ||||||||||||||||
$23.11 to $34.78 | 346,323 | 3.29 | 29.65 | 143,601 | 25.96 | ||||||||||||||||
$34.79 to $45.55 | 277,712 | 4.26 | 41.49 | 27,223 | 43.33 | ||||||||||||||||
Total | 1,163,179 | 3.42 | $ | 27.65 | 559,168 | $ | 21.2 | ||||||||||||||
A summary of the status for all outstanding options at March 31, 2015, and changes during the fiscal year then ended is presented in the table below: | |||||||||||||||||||||
Number of | Weighted | Weighted Average | Aggregate | ||||||||||||||||||
Options | Average | Remaining | Intrinsic Value as | ||||||||||||||||||
Exercise Price | Contractual Life | of March 31, 2015 | |||||||||||||||||||
per Share | (Years) | ||||||||||||||||||||
Options outstanding, March 31, 2014 | 1,115,984 | $ | 24.8 | ||||||||||||||||||
Granted | 241,625 | 37.64 | |||||||||||||||||||
Exercised | (111,758 | ) | 17.27 | ||||||||||||||||||
Cancelled – forfeited | (44,854 | ) | 37.78 | ||||||||||||||||||
Cancelled – expired | (37,818 | ) | 26.2 | ||||||||||||||||||
Options outstanding, March 31, 2015 | 1,163,179 | $ | 27.65 | 3.42 | $ | 9,894,029 | |||||||||||||||
Options vested and expected to vest | 1,046,818 | $ | 26.7 | 3.33 | $ | 9,750,025 | |||||||||||||||
Ending exercisable | 559,168 | $ | 21.2 | 2.78 | $ | 7,636,110 | |||||||||||||||
The weighted average fair value of options granted during fiscal 2013, 2014, and 2015 was $9.30, $13.96, and $15.00, respectively. The total intrinsic value of options exercised during fiscal years 2013, 2014, and 2015 were $6,776,000, $7,726,000, and $2,455,000 respectively. | |||||||||||||||||||||
Included in the above-noted stock option grants and stock compensation expense are performance-based stock options pursuant to which vesting occurs only upon the Company achieving certain earnings per share targets as determined by the Company’s board of directors. The options were valued in the same manner as the time-vesting options. However, the Company only recognizes stock compensation to the extent that the targets are probable which allow the performance options to vest. During fiscal years ended March 31, 2013, 2014, and 2015, the Company recognized stock compensation expense for performance-based options in the amount of ($82,000), $630,000, and $211,000, respectively. | |||||||||||||||||||||
The Company received $3,399,000, $3,386,000, and $1,603,000 of cash receipts from the exercise of stock options during fiscal 2013, 2014, and 2015, respectively. As of March 31, 2015, $4,820,000 of total unrecognized compensation costs related to stock options is expected to be recognized over a weighted average period of 3 years. |
Property_and_Equipment
Property and Equipment | 12 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Property and Equipment | Note C — Property and Equipment | ||||||||
Property and equipment, net consisted of the following at March 31, 2014 and 2015: | |||||||||
2014 | 2015 | ||||||||
Computer software | $ | 90,887,000 | $ | 101,955,000 | |||||
Office equipment and computers | 64,525,000 | 64,462,000 | |||||||
Leasehold improvements | 5,134,000 | 8,594,000 | |||||||
160,546,000 | 175,011,000 | ||||||||
Less: accumulated depreciation and amortization | (109,293,000 | ) | (118,712,000 | ) | |||||
$ | 51,253,000 | $ | 56,299,000 | ||||||
Depreciation expense totaled $15,941,000 and $17,537,000 for the fiscal years ended March 31, 2014 and 2015, respectively. |
Accounts_and_Taxes_Payable_and
Accounts and Taxes Payable and Accrued Liabilities | 12 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Payables and Accruals [Abstract] | |||||||||
Accounts and Taxes Payable and Accrued Liabilities | Note D — Accounts and Taxes Payable and Accrued Liabilities | ||||||||
Accounts and income taxes payable consisted of the following at March 31, 2014 and 2015: | |||||||||
2014 | 2015 | ||||||||
Accounts payable | $ | 17,437,000 | $ | 13,578,000 | |||||
Income taxes payable | 1,028,000 | 2,192,000 | |||||||
$ | 18,465,000 | $ | 15,770,000 | ||||||
Accrued liabilities consisted of the following at March 31, 2014 and 2015: | |||||||||
2014 | 2015 | ||||||||
Payroll, payroll taxes and employee benefits | $ | 18,010,000 | $ | 17,774,000 | |||||
Customer deposits | 16,629,000 | 17,760,000 | |||||||
Accrued professional service fees | 6,419,000 | 5,308,000 | |||||||
Self-insurance accruals | 3,190,000 | 3,305,000 | |||||||
Deferred revenue | 5,176,000 | 7,294,000 | |||||||
Accrued rent | 2,493,000 | 5,608,000 | |||||||
Other | 1,458,000 | 1,269,000 | |||||||
$ | 53,375,000 | $ | 58,318,000 | ||||||
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||
Income Taxes | Note E — Income Taxes | ||||||||||||
The income tax provision consisted of the following for the three fiscal years ended March 31, 2013, 2014 and 2015: | |||||||||||||
2013 | 2014 | 2015 | |||||||||||
Current – Federal | $ | 11,236,000 | $ | 21,978,000 | $ | 16,534,000 | |||||||
Current – State | 3,653,000 | 2,656,000 | 136,000 | ||||||||||
Subtotal | 14,889,000 | 24,634,000 | 16,670,000 | ||||||||||
Deferred – Federal | 2,310,000 | (2,367,000 | ) | 312,000 | |||||||||
Deferred – State | (34,000 | ) | (152,000 | ) | (8,000 | ) | |||||||
Subtotal | 2,276,000 | (2,519,000 | ) | 304,000 | |||||||||
$ | 17,165,000 | $ | 22,115,000 | $ | 16,974,000 | ||||||||
The following is a reconciliation of the income tax provision from the statutory federal income tax rate to the effective rate for the three fiscal years ended March 31, 2013, 2014 and 2015: | |||||||||||||
2013 | 2014 | 2015 | |||||||||||
Income taxes at federal statutory rate (35%) | $ | 15,363,000 | $ | 20,633,000 | $ | 15,947,000 | |||||||
State income taxes, net of federal benefit | 1,172,000 | 1,826,000 | 1,535,000 | ||||||||||
Uncertain tax positions | 26,000 | (245,000 | ) | 1,346,000 | |||||||||
Adjustments to returns as filed | 821,000 | (293,000 | ) | (1,978,000 | ) | ||||||||
Other | (217,000 | ) | 194,000 | 124,000 | |||||||||
$ | 17,165,000 | $ | 22,115,000 | $ | 16,974,000 | ||||||||
Income taxes paid totaled $9,663,000, $20,791,000, and $19,528,000 for the fiscal years ended March 31, 2013, 2014, and 2015, respectively. | |||||||||||||
Deferred tax assets and liabilities at March 31, 2014 and 2015 are: | |||||||||||||
2014 | 2015 | ||||||||||||
Deferred income tax assets: | |||||||||||||
Accrued liabilities not currently deductible | $ | 6,672,000 | $ | 7,547,000 | |||||||||
Allowance for doubtful accounts | 692,000 | 631,000 | |||||||||||
Stock-based compensation | 717,000 | 1,044,000 | |||||||||||
Accrued rent | 1,267,000 | 2,152,000 | |||||||||||
Other | 955,000 | 830,000 | |||||||||||
Deferred assets | 10,303,000 | 12,204,000 | |||||||||||
Deferred income tax liabilities: | |||||||||||||
Excess of book over tax basis of fixed assets | (14,409,000 | ) | (15,985,000 | ) | |||||||||
Intangible assets | (4,934,000 | ) | (5,217,000 | ) | |||||||||
Other | (218,000 | ) | (564,000 | ) | |||||||||
Deferred liabilities | (19,561,000 | ) | (21,766,000 | ) | |||||||||
Net deferred tax asset/(liability) | $ | (9,258,000 | ) | $ | (9,562,000 | ) | |||||||
Prepaid expenses and taxes include $1,346,000 and $5,758,000 at March 31, 2014 and 2015, respectively, for income taxes due in the first quarter of the succeeding fiscal year. | |||||||||||||
A reconciliation of the financial statement recognition and measurement of unrecognized tax positions during the current fiscal year is as follows: | |||||||||||||
Balance as of March 31, 2014 | $ | 700,000 | |||||||||||
Additions based on tax positions related to the current year | 1,499,000 | ||||||||||||
Additions for tax positions of prior years | — | ||||||||||||
Reductions for tax positions related to the current year | (60,000 | ) | |||||||||||
Reductions for tax positions of prior years | (150,000 | ) | |||||||||||
Balance as of March 31, 2015 | $ | 1,989,000 | |||||||||||
The Company recognizes interest and penalties related to uncertain tax positions in income tax expense. During the years ended March 31, 2013, 2014 and 2015, the Company recognized approximately $80,000, ($173,000) and $57,000 in interest and penalties, respectively. As of March 31, 2013, 2014 and 2015, accrued interest and penalties related to uncertain tax positions were $257,000, $83,000 and $140,000, respectively. The Company believes there will be a material reduction in its unrecognized tax benefits within the next 12 months as a result of amended state filings for which an estimate cannot be made. | |||||||||||||
The tax fiscal years 2011-2014 remain open to examination by the major taxing jurisdictions to which the Company is subject. |
Employee_Stock_Purchase_Plan
Employee Stock Purchase Plan | 12 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Text Block [Abstract] | |||||||||||||
Employee Stock Purchase Plan | Note F — Employee Stock Purchase Plan | ||||||||||||
The Company maintains an Employee Stock Purchase Plan (“ESPP”) which allows employees of the Company and its subsidiaries to purchase shares of common stock on the last day of two six-month purchase periods (i.e. March 31 and September 30) at a purchase price which is 95% of the closing sale price of shares as quoted on NASDAQ on the last day of such purchase period. Employees are allowed to contribute up to 20% of their gross pay. A maximum of 2,850,000 shares has been authorized for issuance under the ESPP, as amended. As of March 31, 2015, 2,439,296 had been issued pursuant to the ESPP. Summarized ESPP information is as follows: | |||||||||||||
2013 | 2014 | 2015 | |||||||||||
Employee contributions | $ | 313,000 | $ | 346,000 | $ | 400,000 | |||||||
Shares acquired | 14,056 | 8,489 | 12,299 | ||||||||||
Average purchase price | $ | 22.3 | $ | 40.71 | $ | 32.52 |
Treasury_Stock
Treasury Stock | 12 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Equity [Abstract] | |||||||||||||||||
Treasury Stock | Note G — Treasury Stock | ||||||||||||||||
During each of the fiscal years in the three fiscal year period ended March 31, 2015, the Company continued to repurchase shares of its common stock under a plan originally approved by the Company’s Board of Directors in 1996. Including a 2,000,000 share expansion authorized in August 2013, the total number of shares authorized to be repurchased over the life of the plan is 34,000,000 shares. Purchases may be made from time to time depending on market conditions and other relevant factors. The share repurchases for fiscal years ended March 31, 2013, 2014 and 2015 and cumulatively since inception of the authorization are as follows: | |||||||||||||||||
2013 | 2014 | 2015 | Cumulative | ||||||||||||||
Shares repurchased | 1,410,812 | 830,460 | 845,014 | 32,992,488 | |||||||||||||
Cost | $ | 30,727,000 | $ | 27,179,000 | $ | 31,798,000 | $ | 360,278,000 | |||||||||
Average price | $ | 21.78 | $ | 32.73 | $ | 37.63 | $ | 10.92 | |||||||||
During the period subsequent to March 31, 2015, the Company repurchased 182,113 shares for $6.5 million or an average of $35.89 per share. The repurchased shares were recorded as treasury stock, at cost, and are available for general corporate purposes. The repurchases were primarily financed from cash generated from operations and from the cash proceeds from the exercise of stock options. |
Commitments
Commitments | 12 Months Ended |
Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments | Note H — Commitments |
The Company leases office facilities under non-cancelable operating leases. Some of these leases contain escalation clauses. Future minimum rental commitments under operating leases at March 31, 2015 are $15,324,000 in fiscal 2016, $12,906,000 in fiscal 2017, $9,554,000 in fiscal 2018, $5,398,000 in fiscal 2019, $3,212,000 in fiscal 2020, $5,136,000 thereafter, and $51,530,000 in the aggregate. Total rental expense of $13,951,000, $13,890,000, and $15,297,000 was charged to operations for the fiscal years ended March 31, 2013, 2014, and 2015, respectively. |
Contingencies_and_Legal_Procee
Contingencies and Legal Proceedings | 12 Months Ended |
Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies and Legal Proceedings | Note I — Contingencies and Legal Proceedings |
The Company is involved in litigation arising in the normal course of business. Management believes that resolution of these matters will not result in any payment that, in the aggregate, would be material to the financial position or results of the operations of the Company. |
Retirement_Savings_Plan
Retirement Savings Plan | 12 Months Ended |
Mar. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Retirement Savings Plan | Note J — Retirement Savings Plan |
The Company maintains a retirement savings plan for its employees, which is a qualified plan under Section 401(k) of the Internal Revenue Code. Full-time employees that meet certain requirements are eligible to participate in the plan. Employer contributions are made annually, primarily at the discretion of the Company’s Board of Directors. Contributions of $372,000, $338,000 and $443,000 were charged to operations for the fiscal years ended March 31, 2013, 2014, and 2015, respectively. |
Shareholder_Rights_Plan
Shareholder Rights Plan | 12 Months Ended |
Mar. 31, 2015 | |
Text Block [Abstract] | |
Shareholder Rights Plan | Note K — Shareholder Rights Plan |
During fiscal 1997, the Company’s Board of Directors approved the adoption of a Shareholder Rights Plan. The Shareholder Rights Plan provides for a dividend distribution to CorVel stockholders of one preferred stock purchase right for each outstanding share of CorVel’s common stock under certain circumstances. In April 2002, the Board of Directors of CorVel approved an amendment to the Shareholder Rights Plan to extend the expiration date of the rights to February 10, 2012, set the exercise price of each right at $118, and enable Fidelity Management & Research Company and its affiliates to purchase up to 18% of the shares of common stock of the Company without triggering the stockholder rights, with the limitations under the Shareholder Rights Plan remaining in effect for all other stockholders of the Company. In November 2008, the Company’s Board of Directors approved an amendment to the Shareholder Rights Plan to extend the expiration date of the rights to February 10, 2022, remove the ability of Fidelity Management & Research Company and its affiliates to purchase up to 18% of the shares of common stock of the Company without triggering the stockholder rights, substitute Computershare Trust Company, N.A. as the rights agent and effect certain technical changes to the Shareholder Rights Plan. | |
Generally, the Shareholder Rights Plan provides that if a person or group acquires 15% or more of the Company’s common stock without the approval of the Board, subject to certain exceptions, the holders of the rights, other than the acquiring person or group, would, under certain circumstances, have the right to purchase additional shares of the Company’s common stock having a market value equal to two times the then-current exercise price of the right. In addition, if the Company is thereafter merged into another entity, or if 50% or more of the Company’s consolidated assets or earning power are sold, then the right will entitle its holder to buy common shares of the acquiring entity having a market value equal to two times the then-current exercise price of the right. The Company’s Board of Directors may exchange or redeem the rights under certain conditions. |
Line_of_Credit
Line of Credit | 12 Months Ended |
Mar. 31, 2015 | |
Debt Disclosure [Abstract] | |
Line of Credit | Note L — Line of Credit |
In September 2014, the Company renewed a line of credit agreement. The line is with a financial institution to provide a revolving credit facility with borrowing capacity of up to $10 million. Borrowings under this agreement bear interest, at the Company’s option, at a fixed LIBOR-based rate plus 1.50% or at a fluctuating rate determined by the financial institution to be 1.50% above the daily one-month LIBOR rate. The loan covenants require the Company to maintain the current assets to liabilities ratio of at least 1.25:1, debt to tangible net worth not greater than 1.25:1 and have positive net income. The Company’s management believes it was in compliance with all of its loan covenants as of March 31, 2015. As of March 31, 2015, the Company had borrowed on the line of credit in the amount of $618,000, which was included in accrued liabilities on the balance sheet and was paid off on April 1, 2015. Letters of credit in the aggregate amount of $4.5 million have been issued separate from the line of credit and therefore do not reduce the amount of borrowings available under the revolving credit facility. The renewed credit agreement expires in September 2015. |
Quarterly_Results_Unaudited
Quarterly Results (Unaudited) | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||||||
Quarterly Results (Unaudited) | Note M — Quarterly Results (Unaudited) | ||||||||||||||||||||
The following is a summary of unaudited quarterly results of operations for each of the quarters in the two fiscal years ended March 31, 2014 and 2015: | |||||||||||||||||||||
Revenues | Gross Profit | Net Income | Net Income | Net Income | |||||||||||||||||
per Basic | per Diluted | ||||||||||||||||||||
Common | Common | ||||||||||||||||||||
Share | Share | ||||||||||||||||||||
Fiscal Year Ended March 31, 2014: | |||||||||||||||||||||
First Quarter | $ | 118,113,000 | $ | 26,918,000 | $ | 8,609,000 | $ | 0.4 | $ | 0.4 | |||||||||||
Second Quarter | 119,359,000 | 27,320,000 | 8,675,000 | 0.41 | 0.41 | ||||||||||||||||
Third Quarter | 121,098,000 | 27,706,000 | 8,775,000 | 0.42 | 0.41 | ||||||||||||||||
Fourth Quarter | 120,246,000 | 26,537,000 | 8,333,000 | 0.4 | 0.39 | ||||||||||||||||
Fiscal Year Ended March 31, 2015: | |||||||||||||||||||||
First Quarter | $ | 124,364,000 | $ | 27,700,000 | $ | 8,299,000 | $ | 0.4 | $ | 0.39 | |||||||||||
Second Quarter | 123,714,000 | 25,467,000 | 7,883,000 | 0.38 | 0.37 | ||||||||||||||||
Third Quarter | 122,352,000 | 24,128,000 | 6,832,000 | 0.33 | 0.33 | ||||||||||||||||
Fourth Quarter | 122,195,000 | 22,674,000 | 5,576,000 | 0.27 | 0.27 |
Segment_Reporting
Segment Reporting | 12 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Segment Reporting [Abstract] | |||||||||||||
Segment Reporting | Note N — Segment Reporting | ||||||||||||
The Company derives the majority of its revenues from providing patient management and network solutions services to payors of workers’ compensation benefits, automobile insurance claims and health insurance benefits. Patient management services include claims administration, utilization review, medical case management, and vocational rehabilitation. Network solutions revenues include fee schedule auditing, hospital bill auditing, coordination of independent medical examinations, diagnostic imaging review services and preferred provider referral services. The percentages of revenues attributable to patient management and network solutions services for the fiscal years ended March 31, 2013, 2014, and 2015 are listed below. | |||||||||||||
2013 | 2014 | 2015 | |||||||||||
Patient management services | 51.5 | % | 51.9 | % | 54.5 | % | |||||||
Network solutions services | 48.5 | % | 48.1 | % | 45.5 | % | |||||||
100 | % | 100 | % | 100 | % | ||||||||
The Company’s management is structured geographically with regional vice-presidents who report to the Chief Executive Officer of the Company. Each of these regional vice-presidents is responsible for all services provided by the Company in his or her particular region and responsible for the operating results of the Company in multiple states. These regional vice-presidents have area and district managers who are also responsible for all services provided by the Company in their given area and district. | |||||||||||||
Under FASB ASC 280-10, two or more operating segments may be aggregated into a single operating segment for financial reporting purposes if aggregation is consistent with the objective and basic principles, if the segments have similar economic characteristics, and if the segments are similar in each of the following areas: 1) the nature of products and services; 2) the nature of the production processes; 3) the type or class of customer for their products and services; and 4) the methods used to distribute their products or provide their services. The Company believes each of the Company’s regions meet these criteria as they provide similar managed care services to similar customers using similar methods of productions and similar methods to distribute their services. All of the Company’s regions perform both patient management and network solutions services. | |||||||||||||
Because the Company believes it meets each of the criteria set forth above and each of the Company’s regions has similar economic characteristics, the Company aggregates its results of operations in one reportable operating segment. |
Other_Intangible_Assets
Other Intangible Assets | 12 Months Ended | ||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||
Other Intangible Assets | Note O — Other Intangible Assets | ||||||||||||||||||
Other intangible assets consist of the following at March 31, 2014: | |||||||||||||||||||
Item | Life | Cost | Fiscal 2014 | Accumulated | Cost, Net of | ||||||||||||||
Amortization | Amortization at | Accumulated | |||||||||||||||||
Expense | March 31, 2014 | Amortization at | |||||||||||||||||
March 31, 2014 | |||||||||||||||||||
Covenant Not to Compete | 5 years | $ | 775,000 | $ | 34,000 | $ | 742,000 | $ | 33,000 | ||||||||||
Customer relationships | 18-20 years | 7,922,000 | 422,000 | 2,876,000 | 5,046,000 | ||||||||||||||
TPA Licenses | 15 years | 204,000 | 14,000 | 90,000 | 114,000 | ||||||||||||||
Total | $ | 8,901,000 | $ | 470,000 | $ | 3,708,000 | $ | 5,193,000 | |||||||||||
Other intangible assets consist of the following at March 31, 2015: | |||||||||||||||||||
Item | Life | Cost | Fiscal 2015 | Accumulated | Cost, Net of | ||||||||||||||
Amortization | Amortization at | Accumulated | |||||||||||||||||
Expense | March 31, 2015 | Amortization at | |||||||||||||||||
March 31, 2015 | |||||||||||||||||||
Covenant Not to Compete | 5 years | $ | 775,000 | $ | 20,000 | $ | 762,000 | $ | 13,000 | ||||||||||
Customer Relationships | 18-20 years | 7,922,000 | 423,000 | 3,299,000 | 4,623,000 | ||||||||||||||
TPA Licenses | 15 years | 204,000 | 14,000 | 104,000 | 100,000 | ||||||||||||||
Total | $ | 8,901,000 | $ | 457,000 | $ | 4,165,000 | $ | 4,736,000 | |||||||||||
Amortization expense for the next five fiscal years is expected to be $449,000 in fiscal 2016, $437,000 in fiscal 2017, $437,000 in fiscal 2018, $437,000 in fiscal 2019, $437,000 in fiscal 2020, and $2,539,000 thereafter. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Accounting Policies [Abstract] | |||||||||||||
Organization | Organization: CorVel Corporation (“CorVel” or “the Company”), incorporated in Delaware in 1987, provides services and programs nationwide that are designed to enable insurance carriers, third party administrators and employers with self-insured programs to administer, manage and control the cost of workers’ compensation and other healthcare benefits. The Company provides case management, claims administration, and medical bill review services to these payors. | ||||||||||||
The Company evaluated all subsequent events or transactions through the date of this filing. During the period subsequent to March 31, 2015, the Company repurchased 182,113 shares for $6.5 million or an average of $35.89 per share. These shares were repurchased under the Company’s ongoing share repurchase program described in Note G. | |||||||||||||
Basis of Presentation | Basis of Presentation: The consolidated financial statements include the accounts of CorVel and its wholly-owned subsidiaries. Significant intercompany accounts and transactions have been eliminated in consolidation. | ||||||||||||
Use of Estimates | Use of Estimates: The preparation of financial statements in compliance with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amounts reported in the accompanying financial statements. Actual results could differ from those estimates. Significant estimates include the values assigned to intangible assets, capitalized software development, the allowance for doubtful accounts, accrual for income taxes, share-based payments related to performance based awards, loss contingencies, estimated claims for claims administration revenue recognition, estimates used in stock options valuations, and accrual for self-insurance reserves. | ||||||||||||
Cash and Cash Equivalents | Cash and Cash Equivalents: Cash and cash equivalents consist of short-term, interest-bearing highly-liquid investment-grade securities with maturities of 90 days or less when purchased. The carrying amounts of the Company’s financial instruments approximate their fair values at March 31, 2014 and 2015 due to the short-term nature of those instruments. Customer deposits represent cash that is expected to be returned or applied towards payment within one year through our provider reimbursement services. | ||||||||||||
Fair Value of Financial Instruments | Fair Value of Financial Instruments: The Company applies ASC 820, “Fair Value Measurements and Disclosures,” which defines fair value, establishes a framework for measuring fair value, and provides for disclosures about fair value measurements with respect to fair value measurements of (a) nonfinancial assets and liabilities that are recognized or disclosed at fair value in the Company’s Consolidated Financial Statements on a recurring basis (at least annually) and (b) all financial assets and liabilities. ASC 820 prioritizes the inputs used in measuring fair value into the following hierarchy: | ||||||||||||
Level 1 Quoted market prices in active markets for identical assets or liabilities; | |||||||||||||
Level 2 Observable inputs other than those included in Level 1 (for example, quoted prices for similar assets in active markets or quoted prices for identical assets in inactive markets); and | |||||||||||||
Level 3 Unobservable inputs reflecting management’s own assumptions about the inputs used in estimating the value of the asset. | |||||||||||||
The carrying amount of the Company’s financial instruments (i.e. cash, accounts receivable, accounts payable, etc.) are all Level 1 and approximate their fair values at March 31, 2014 and 2015 due to the short-term nature of those instruments. The Company has no Level 2 or Level 3 assets. | |||||||||||||
Investment in Private Equity | Investment in Private Equity: During the quarter ended June 30, 2014, the Company’s board of directors approved an investment of $2,000,000 into a private equity limited partnership that invests in start-up companies. The Company invested $1,400,000 into the partnership during the fiscal year ended March 31, 2015 and expects to invest the remaining $600,000 commitment within the next 12 months. The Company accounts for the investment on the cost method. The investment is recorded in other assets on the accompanying consolidated balance sheets. There have been no identified events or changes in circumstances that may have a significant adverse effect on the fair value of the investment and in accordance with ASC 825-10-50-16 through 50-19 it is not practicable to estimate the fair value of the investment. | ||||||||||||
Revenue Recognition | Revenue Recognition: The Company recognizes revenue when there is persuasive evidence of an arrangement, the services have been provided to the customer, the sales price is fixed or determinable, and collectability is reasonably assured. For the Company’s services, as the Company’s professional staff performs work, they are contractually permitted to bill for fees earned in fraction of an hour increments worked or by units of production. The Company recognizes revenue as the time is worked or as units of production are completed, which is when the revenue is earned and realized. Labor costs are recognized as the costs are incurred. The Company derives the majority of its revenue from the sale of Network Solutions and Patient Management services. Network Solutions and Patient Management services may be sold individually or combined with any of the services the Company provides. When a sale combines multiple elements, the Company accounts for multiple element arrangements in accordance with the guidance included in ASC 605-25. | ||||||||||||
Management evaluates agreements with customers in accordance with the provision of the revenue recognition topic that addresses multiple-deliverable revenue arrangements. The multiple-deliverable arrangements entered into consist of bundled managed care which included various units of accounting such as network solutions, and patient management which includes claims administration. Such elements are considered separate units of accounting due to each element having value to the customer on a stand-alone basis. The selling price for each unit of accounting is determined using contract price and management estimates. When the Company’s customers purchase several products the pricing of the products sold is generally the same as if the product were sold on an individual basis. Revenue is recognized as the work is performed in accordance with our customer contracts. Based upon the nature of the Company’s products, bundled managed care elements are generally delivered in the same accounting period. The Company recognizes revenue for patient management claims administration services over the life of the customer contract. The Company estimates, based upon prior experience in managing claims, the deferral amount from when the claim is received to when the customer contract expires. | |||||||||||||
Accounts Receivable | Accounts Receivable: The majority of the Company’s accounts receivable are due from companies in the property and casualty insurance industries, self-insured employers and governmental entities. Credit is extended based on evaluation of a customer’s financial condition and, generally, collateral is not required. Accounts receivable are generally due within 30 days and are stated at amounts due from customers net of an allowance for doubtful accounts. Those accounts outstanding longer than the contractual payment terms are considered past due. The Company determines its allowance by considering a number of factors, including the length of time trade accounts receivable are past due, the Company’s previous loss history, the customer’s current ability to pay its obligation to the Company and the condition of the general economy and the industry as a whole. The Company writes off accounts receivable against the reserve when they become uncollectible. Accounts receivable includes $11,922,000, and $12,357,000 of unbilled receivables at March 31, 2014, and 2015, respectively. Unbilled receivables represent the revenue for the work performed which has not yet been invoiced to the customer. Unbilled receivables are generally invoiced within the following three months. | ||||||||||||
Concentrations of Credit Risk | Concentrations of Credit Risk: Substantially all of the Company’s customers are payors of workers’ compensation benefits and property and casualty insurance, which include insurance companies, third party administrators, self-insured employers and government entities. Receivables are generally due within 30 days. Credit losses relating to customers in the workers’ compensation insurance industry consistently have been within management’s expectations. Virtually all of the Company’s cash is invested at financial institutions in amounts which exceed the FDIC insurance levels. No customer accounted for 10% or more of revenue for either fiscal 2013, 2014, or 2015. No customer accounted for 10% or more of accounts receivable at either March 31, 2014 or 2015. | ||||||||||||
Property and Equipment | Property and Equipment: Additions to property and equipment are recorded at cost. The Company provides for depreciation on property and equipment using the straight-line method by charges to operations in amounts that allocate the cost of depreciable assets over their estimated lives as follows: | ||||||||||||
Asset Classification | Estimated Useful Life | ||||||||||||
Leasehold Improvements | Five years or the life of lease | ||||||||||||
Furniture and Equipment | Five to seven years | ||||||||||||
Computer Hardware | Three to five years | ||||||||||||
Computer Software | Three to five years | ||||||||||||
The Company accounts for internally developed software costs in accordance with ASC 350-40, “Internal – Use Software”. Capitalized software development costs, intended for internal use, totaled $19,360,000 (net of $53,734,000 in accumulated amortization) and $21,327,000 (net of $61,012,000 in accumulated amortization), as of March 31, 2014 and 2015, respectively. These costs are included in computer software in property and equipment and are amortized over a period of five years. | |||||||||||||
Long-Lived Assets | Long-Lived Assets: The carrying amount of all long-lived assets is evaluated periodically to determine if adjustment to the depreciation and amortization period or to the unamortized balance is warranted. Such evaluation is based principally on the expected utilization of the long-lived assets and the projected, undiscounted cash flows of the operations in which the long-lived assets are deployed. | ||||||||||||
Goodwill and Long-Lived Assets | Goodwill and Long-Lived Assets: The Company accounts for its business combinations in accordance with the Financial Accounting Standards Board (“FASB”) ASC 805-10 through ASC 805-50, “Business Combinations” which requires that the purchase method of accounting be applied to all business combinations and addresses the criteria for initial recognition of intangible assets and goodwill. In accordance with FASB ASC 350-10 through ASC 350-30, goodwill and other intangible assets with indefinite lives are not amortized but are tested for impairment annually, or more frequently if circumstances indicate the possibility of impairment. If the carrying value of goodwill or an intangible asset exceeds its fair value, an impairment loss shall be recognized. Based on the Company’s tests and reviews, no impairment of its goodwill, intangible assets or other long-lived assets existed at March 31, 2015. However, future events or changes in current circumstances could affect the recoverability of the carrying value of goodwill and long-lived assets. Should an asset be deemed impaired, an impairment loss would be recognized to the extent the carrying value of the asset exceeded its estimated fair value. Goodwill amounted to $36,814,000 (net of accumulated amortization of $2,069,000) at March 31, 2014 and at March 31, 2015. | ||||||||||||
Cost of Revenues | Cost of revenues: Cost of services consists primarily of the compensation and fringe benefits of field personnel, including managers, medical bill analysts, field case managers, telephonic case managers, systems support, administrative support, account managers and account executives, and related facility costs including rent, telephone and office supplies. Historically, the costs associated with these additional personnel and facilities have been the most significant factor driving increases in the Company’s cost of services. | ||||||||||||
Income Taxes | Income Taxes: The Company provides for income taxes in accordance with provisions specified in ASC 740, “Accounting for Income Taxes”. Accordingly, deferred income tax assets and liabilities are computed for differences between the financial statement and tax bases of assets and liabilities. These differences will result in taxable or deductible amounts in the future, based on tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible. In making an assessment regarding the probability of realizing a benefit from these deductible differences, management considers the Company’s current and past performance, the market environment in which the Company operates, tax-planning strategies and the length of carry-forward periods for loss carry-forwards, if any. Valuation allowances are established when necessary to reduce deferred tax assets to amounts that are more likely than not to be realized. Further, the Company accrues for income tax issues not yet resolved with federal, state and local tax authorities, when it appears more likely than not that a tax liability has been incurred. | ||||||||||||
Share-Based Compensation | Share-Based Compensation: The Company accounts for share-based compensation in accordance with the provisions of ASC Topic 718 “Compensation — Stock Compensation”. Under ASC 718, share-based compensation cost is measured at the grant date, based on the calculated fair value of the award, and is recognized as an expense over the employee’s requisite service period (generally the vesting period of the equity grant). Share-based compensation expense is based on awards ultimately expected to vest; therefore, it has been reduced for estimated forfeitures. ASC Topic 718 requires forfeitures to be estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. | ||||||||||||
Accrual for Self-insurance Costs | Accrual for Self-insurance Costs: The Company self-insures for the group medical costs and workers’ compensation costs of its employees. The Company purchases stop loss insurance for large claims. Management believes that the self-insurance reserves are appropriate; however, actual claims costs may differ from the original estimates requiring adjustments to the reserves. The Company determines its estimated self-insurance reserves based upon historical trends along with outstanding claims information provided by its claims paying agents. | ||||||||||||
Earnings Per Share | Earnings Per Share: Earnings per common share-basic is based on the weighted average number of common shares outstanding during the period. Earnings per common shares-diluted is based on the weighted average number of common shares and common share equivalents outstanding during the period. In calculating earnings per share, earnings are the same for the basic and diluted calculations. Weighted average shares outstanding is greater for diluted earnings per share due to the effect of stock options. | ||||||||||||
The difference between the basic shares and the diluted shares for each of the three fiscal years ended March 31, 2013, 2014, and 2015 is as follows: | |||||||||||||
Fiscal 2013 | Fiscal 2014 | Fiscal 2015 | |||||||||||
Basic weighted shares | 22,256,000 | 21,104,000 | 20,669,000 | ||||||||||
Treasury stock impact of stock options | 202,000 | 268,000 | 221,000 | ||||||||||
Diluted weighted shares | 22,458,000 | 21,372,000 | 20,890,000 | ||||||||||
Stock Split | Stock Split: During the quarter ended June 30, 2013, the Company’s Board of Directors approved a two-for-one stock split in the form of a 100% stock dividend with a record date of June 12, 2013 and a distribution date of June 26, 2013. All share and per share amounts have been adjusted retroactively in this report to reflect the stock split for all periods shown. | ||||||||||||
Recently Issued Accounting Standards | Recently Issued Accounting Standards | ||||||||||||
On May 28, 2014, the FASB issued ASU 2014-09 regarding ASC Topic 606, Revenue from Contracts with Customers. The standard provides principles for recognizing revenue for the transfer of promised goods or services to customers with the consideration to which the entity expects to be entitled in exchange for those goods or services. In April 2015, the FASB issued an exposure draft proposing a one-year delay of the effective date of this new revenue recognition standard. The guidance will be effective for our fiscal year beginning April 1, 2017. Early adoption is not permitted. We are currently evaluating the accounting, transition and disclosure requirements of the standard and cannot currently estimate the financial statement impact of adoption. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Accounting Policies [Abstract] | |||||||||||||
Schedule of Estimated Economic Useful Lives of Property and Equipment | The Company provides for depreciation on property and equipment using the straight-line method by charges to operations in amounts that allocate the cost of depreciable assets over their estimated lives as follows: | ||||||||||||
Asset Classification | Estimated Useful Life | ||||||||||||
Leasehold Improvements | Five years or the life of lease | ||||||||||||
Furniture and Equipment | Five to seven years | ||||||||||||
Computer Hardware | Three to five years | ||||||||||||
Computer Software | Three to five years | ||||||||||||
Schedule of Earnings Per Share Basic and Diluted | The difference between the basic shares and the diluted shares for each of the three fiscal years ended March 31, 2013, 2014, and 2015 is as follows: | ||||||||||||
Fiscal 2013 | Fiscal 2014 | Fiscal 2015 | |||||||||||
Basic weighted shares | 22,256,000 | 21,104,000 | 20,669,000 | ||||||||||
Treasury stock impact of stock options | 202,000 | 268,000 | 221,000 | ||||||||||
Diluted weighted shares | 22,458,000 | 21,372,000 | 20,890,000 | ||||||||||
Stock_Options_and_StockBased_C1
Stock Options and Stock-Based Compensation (Tables) | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||
Weighted Average Assumptions | The following weighted average assumptions were used for fiscal years ended March 31, 2013, 2014 and 2015: | ||||||||||||||||||||
Fiscal 2013 | Fiscal 2014 | Fiscal 2015 | |||||||||||||||||||
Expected volatility | 47% | 47% | 45% | ||||||||||||||||||
Risk free interest rate | 0.6% to 0.8% | 0.7% to 1.5% | 1.3% to 1.7% | ||||||||||||||||||
Dividend yield | 0.00% | 0.00% | 0.00% | ||||||||||||||||||
Weighted average option life | 4.5 years | 4.4 to 4.5 years | 4.4 to 4.5 years | ||||||||||||||||||
Stock Compensation Expense for Time Based Options and Performance Based Options | The table below shows the amounts recognized in the financial statements for the fiscal years ended March 31, 2013, 2014 and 2015. | ||||||||||||||||||||
Fiscal 2013 | Fiscal 2014 | Fiscal 2015 | |||||||||||||||||||
Cost of revenue | $ | 461,000 | $ | 672,000 | $ | 1,021,000 | |||||||||||||||
General and administrative | 536,000 | 1,468,000 | 1,188,000 | ||||||||||||||||||
Total cost of stock-based compensation included in income before income tax | 997,000 | 2,140,000 | 2,209,000 | ||||||||||||||||||
Amount of income tax benefit recognized | 395,000 | 835,000 | 862,000 | ||||||||||||||||||
Amount charged to net income | $ | 602,000 | $ | 1,305,000 | $ | 1,347,000 | |||||||||||||||
Effect on basic earnings per share | $ | 0.03 | $ | 0.06 | $ | 0.07 | |||||||||||||||
Effect on diluted earnings per share | $ | 0.03 | $ | 0.06 | $ | 0.06 | |||||||||||||||
Stock Options | Summarized information for all stock options for the past three fiscal years follows: | ||||||||||||||||||||
Fiscal 2013 | Fiscal 2014 | Fiscal 2015 | |||||||||||||||||||
Options outstanding – beginning of the year | 1,502,046 | 1,100,952 | 1,115,984 | ||||||||||||||||||
Options granted | 246,200 | 441,550 | 241,625 | ||||||||||||||||||
Options exercised | (348,090 | ) | (310,729 | ) | (111,758 | ) | |||||||||||||||
Options cancelled/forfeited | (299,204 | ) | (115,789 | ) | (82,672 | ) | |||||||||||||||
Options outstanding – end of year | 1,100,952 | 1,115,984 | 1,163,179 | ||||||||||||||||||
During the year, weighted average exercise price of: | |||||||||||||||||||||
Options granted | $ | 23.04 | $ | 33.06 | $ | 37.64 | |||||||||||||||
Options exercised | $ | 12.8 | $ | 15.31 | $ | 17.27 | |||||||||||||||
Options forfeited | $ | 21.26 | $ | 23.33 | $ | 32.31 | |||||||||||||||
At the end of the year: | |||||||||||||||||||||
Price range of outstanding options | $ | 7.78-$26.38 | $ | 7.78-$45.55 | $ | 7.78-$45.55 | |||||||||||||||
Weighted average exercise price per share | $ | 18.66 | $ | 24.8 | $ | 27.65 | |||||||||||||||
Options available for future grants | 1,285,056 | 959,295 | 800,342 | ||||||||||||||||||
Exercisable options | 557,924 | 430,294 | 559,168 | ||||||||||||||||||
Stock Options Outstanding and Exercisable | The following table summarizes the status of stock options outstanding and exercisable at March 31, 2015: | ||||||||||||||||||||
Range of Exercise Prices | Number of | Weighted | Outstanding | Exercisable | Exercisable | ||||||||||||||||
Outstanding | Average | Options – | Options – | Options – | |||||||||||||||||
Options | Remaining | Weighted | Number of | Weighted | |||||||||||||||||
Contractual Life | Average Exercise | Exercisable | Average Exercise | ||||||||||||||||||
Price | Options | Price | |||||||||||||||||||
$7.78 to $21.87 | 278,100 | 2.91 | $ | 15.75 | 251,199 | $ | 15.13 | ||||||||||||||
$21.88 to $23.10 | 261,044 | 3.23 | 22.94 | 137,145 | 22.94 | ||||||||||||||||
$23.11 to $34.78 | 346,323 | 3.29 | 29.65 | 143,601 | 25.96 | ||||||||||||||||
$34.79 to $45.55 | 277,712 | 4.26 | 41.49 | 27,223 | 43.33 | ||||||||||||||||
Total | 1,163,179 | 3.42 | $ | 27.65 | 559,168 | $ | 21.2 | ||||||||||||||
Outstanding Options | A summary of the status for all outstanding options at March 31, 2015, and changes during the fiscal year then ended is presented in the table below: | ||||||||||||||||||||
Number of | Weighted | Weighted Average | Aggregate | ||||||||||||||||||
Options | Average | Remaining | Intrinsic Value as | ||||||||||||||||||
Exercise Price | Contractual Life | of March 31, 2015 | |||||||||||||||||||
per Share | (Years) | ||||||||||||||||||||
Options outstanding, March 31, 2014 | 1,115,984 | $ | 24.8 | ||||||||||||||||||
Granted | 241,625 | 37.64 | |||||||||||||||||||
Exercised | (111,758 | ) | 17.27 | ||||||||||||||||||
Cancelled – forfeited | (44,854 | ) | 37.78 | ||||||||||||||||||
Cancelled – expired | (37,818 | ) | 26.2 | ||||||||||||||||||
Options outstanding, March 31, 2015 | 1,163,179 | $ | 27.65 | 3.42 | $ | 9,894,029 | |||||||||||||||
Options vested and expected to vest | 1,046,818 | $ | 26.7 | 3.33 | $ | 9,750,025 | |||||||||||||||
Ending exercisable | 559,168 | $ | 21.2 | 2.78 | $ | 7,636,110 | |||||||||||||||
Property_and_Equipment_Tables
Property and Equipment (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Property and Equipment, Net | Property and equipment, net consisted of the following at March 31, 2014 and 2015: | ||||||||
2014 | 2015 | ||||||||
Computer software | $ | 90,887,000 | $ | 101,955,000 | |||||
Office equipment and computers | 64,525,000 | 64,462,000 | |||||||
Leasehold improvements | 5,134,000 | 8,594,000 | |||||||
160,546,000 | 175,011,000 | ||||||||
Less: accumulated depreciation and amortization | (109,293,000 | ) | (118,712,000 | ) | |||||
$ | 51,253,000 | $ | 56,299,000 | ||||||
Accounts_and_Taxes_Payable_and1
Accounts and Taxes Payable and Accrued Liabilities (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Payables and Accruals [Abstract] | |||||||||
Accounts and Income Taxes Payable , Accrued Liabilities | Accounts and income taxes payable consisted of the following at March 31, 2014 and 2015: | ||||||||
2014 | 2015 | ||||||||
Accounts payable | $ | 17,437,000 | $ | 13,578,000 | |||||
Income taxes payable | 1,028,000 | 2,192,000 | |||||||
$ | 18,465,000 | $ | 15,770,000 | ||||||
Accrued liabilities consisted of the following at March 31, 2014 and 2015: | |||||||||
2014 | 2015 | ||||||||
Payroll, payroll taxes and employee benefits | $ | 18,010,000 | $ | 17,774,000 | |||||
Customer deposits | 16,629,000 | 17,760,000 | |||||||
Accrued professional service fees | 6,419,000 | 5,308,000 | |||||||
Self-insurance accruals | 3,190,000 | 3,305,000 | |||||||
Deferred revenue | 5,176,000 | 7,294,000 | |||||||
Accrued rent | 2,493,000 | 5,608,000 | |||||||
Other | 1,458,000 | 1,269,000 | |||||||
$ | 53,375,000 | $ | 58,318,000 | ||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||
Summary of Income Tax Provision | The income tax provision consisted of the following for the three fiscal years ended March 31, 2013, 2014 and 2015: | ||||||||||||
2013 | 2014 | 2015 | |||||||||||
Current – Federal | $ | 11,236,000 | $ | 21,978,000 | $ | 16,534,000 | |||||||
Current – State | 3,653,000 | 2,656,000 | 136,000 | ||||||||||
Subtotal | 14,889,000 | 24,634,000 | 16,670,000 | ||||||||||
Deferred – Federal | 2,310,000 | (2,367,000 | ) | 312,000 | |||||||||
Deferred – State | (34,000 | ) | (152,000 | ) | (8,000 | ) | |||||||
Subtotal | 2,276,000 | (2,519,000 | ) | 304,000 | |||||||||
$ | 17,165,000 | $ | 22,115,000 | $ | 16,974,000 | ||||||||
Summary of Reconciliation Income Tax Provision from the Statutory Federal Income Tax Rate | The following is a reconciliation of the income tax provision from the statutory federal income tax rate to the effective rate for the three fiscal years ended March 31, 2013, 2014 and 2015: | ||||||||||||
2013 | 2014 | 2015 | |||||||||||
Income taxes at federal statutory rate (35%) | $ | 15,363,000 | $ | 20,633,000 | $ | 15,947,000 | |||||||
State income taxes, net of federal benefit | 1,172,000 | 1,826,000 | 1,535,000 | ||||||||||
Uncertain tax positions | 26,000 | (245,000 | ) | 1,346,000 | |||||||||
Adjustments to returns as filed | 821,000 | (293,000 | ) | (1,978,000 | ) | ||||||||
Other | (217,000 | ) | 194,000 | 124,000 | |||||||||
$ | 17,165,000 | $ | 22,115,000 | $ | 16,974,000 | ||||||||
Summary of Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities at March 31, 2014 and 2015 are: | ||||||||||||
2014 | 2015 | ||||||||||||
Deferred income tax assets: | |||||||||||||
Accrued liabilities not currently deductible | $ | 6,672,000 | $ | 7,547,000 | |||||||||
Allowance for doubtful accounts | 692,000 | 631,000 | |||||||||||
Stock-based compensation | 717,000 | 1,044,000 | |||||||||||
Accrued rent | 1,267,000 | 2,152,000 | |||||||||||
Other | 955,000 | 830,000 | |||||||||||
Deferred assets | 10,303,000 | 12,204,000 | |||||||||||
Deferred income tax liabilities: | |||||||||||||
Excess of book over tax basis of fixed assets | (14,409,000 | ) | (15,985,000 | ) | |||||||||
Intangible assets | (4,934,000 | ) | (5,217,000 | ) | |||||||||
Other | (218,000 | ) | (564,000 | ) | |||||||||
Deferred liabilities | (19,561,000 | ) | (21,766,000 | ) | |||||||||
Net deferred tax asset/(liability) | $ | (9,258,000 | ) | $ | (9,562,000 | ) | |||||||
Reconciliation of the Financial Statement Recognition and Measurement of Unrecognized Tax Positions During the Current Fiscal Year | A reconciliation of the financial statement recognition and measurement of unrecognized tax positions during the current fiscal year is as follows: | ||||||||||||
Balance as of March 31, 2014 | $ | 700,000 | |||||||||||
Additions based on tax positions related to the current year | 1,499,000 | ||||||||||||
Additions for tax positions of prior years | — | ||||||||||||
Reductions for tax positions related to the current year | (60,000 | ) | |||||||||||
Reductions for tax positions of prior years | (150,000 | ) | |||||||||||
Balance as of March 31, 2015 | $ | 1,989,000 | |||||||||||
Employee_Stock_Purchase_Plan_T
Employee Stock Purchase Plan (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Text Block [Abstract] | |||||||||||||
Summary of Employee Stock Purchase Plan | Summarized ESPP information is as follows: | ||||||||||||
2013 | 2014 | 2015 | |||||||||||
Employee contributions | $ | 313,000 | $ | 346,000 | $ | 400,000 | |||||||
Shares acquired | 14,056 | 8,489 | 12,299 | ||||||||||
Average purchase price | $ | 22.3 | $ | 40.71 | $ | 32.52 |
Treasury_Stock_Tables
Treasury Stock (Tables) | 12 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Equity [Abstract] | |||||||||||||||||
Summary of Share Repurchases and Cumulatively Since Inception of Authorization | The share repurchases for fiscal years ended March 31, 2013, 2014 and 2015 and cumulatively since inception of the authorization are as follows: | ||||||||||||||||
2013 | 2014 | 2015 | Cumulative | ||||||||||||||
Shares repurchased | 1,410,812 | 830,460 | 845,014 | 32,992,488 | |||||||||||||
Cost | $ | 30,727,000 | $ | 27,179,000 | $ | 31,798,000 | $ | 360,278,000 | |||||||||
Average price | $ | 21.78 | $ | 32.73 | $ | 37.63 | $ | 10.92 |
Quarterly_Results_Unaudited_Ta
Quarterly Results (Unaudited) (Tables) | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||||||
Summary of Unaudited Quarterly Results of Operations | The following is a summary of unaudited quarterly results of operations for each of the quarters in the two fiscal years ended March 31, 2014 and 2015: | ||||||||||||||||||||
Revenues | Gross Profit | Net Income | Net Income | Net Income | |||||||||||||||||
per Basic | per Diluted | ||||||||||||||||||||
Common | Common | ||||||||||||||||||||
Share | Share | ||||||||||||||||||||
Fiscal Year Ended March 31, 2014: | |||||||||||||||||||||
First Quarter | $ | 118,113,000 | $ | 26,918,000 | $ | 8,609,000 | $ | 0.4 | $ | 0.4 | |||||||||||
Second Quarter | 119,359,000 | 27,320,000 | 8,675,000 | 0.41 | 0.41 | ||||||||||||||||
Third Quarter | 121,098,000 | 27,706,000 | 8,775,000 | 0.42 | 0.41 | ||||||||||||||||
Fourth Quarter | 120,246,000 | 26,537,000 | 8,333,000 | 0.4 | 0.39 | ||||||||||||||||
Fiscal Year Ended March 31, 2015: | |||||||||||||||||||||
First Quarter | $ | 124,364,000 | $ | 27,700,000 | $ | 8,299,000 | $ | 0.4 | $ | 0.39 | |||||||||||
Second Quarter | 123,714,000 | 25,467,000 | 7,883,000 | 0.38 | 0.37 | ||||||||||||||||
Third Quarter | 122,352,000 | 24,128,000 | 6,832,000 | 0.33 | 0.33 | ||||||||||||||||
Fourth Quarter | 122,195,000 | 22,674,000 | 5,576,000 | 0.27 | 0.27 |
Segment_Reporting_Tables
Segment Reporting (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Segment Reporting [Abstract] | |||||||||||||
Schedule of Percentages of Revenues Attributable to Patient Management and Network Solutions Services | The percentages of revenues attributable to patient management and network solutions services for the fiscal years ended March 31, 2013, 2014, and 2015 are listed below. | ||||||||||||
2013 | 2014 | 2015 | |||||||||||
Patient management services | 51.5 | % | 51.9 | % | 54.5 | % | |||||||
Network solutions services | 48.5 | % | 48.1 | % | 45.5 | % | |||||||
100 | % | 100 | % | 100 | % | ||||||||
Other_Intangible_Assets_Tables
Other Intangible Assets (Tables) | 12 Months Ended | ||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||
Other Intangible Assets | Other intangible assets consist of the following at March 31, 2014: | ||||||||||||||||||
Item | Life | Cost | Fiscal 2014 | Accumulated | Cost, Net of | ||||||||||||||
Amortization | Amortization at | Accumulated | |||||||||||||||||
Expense | March 31, 2014 | Amortization at | |||||||||||||||||
March 31, 2014 | |||||||||||||||||||
Covenant Not to Compete | 5 years | $ | 775,000 | $ | 34,000 | $ | 742,000 | $ | 33,000 | ||||||||||
Customer relationships | 18-20 years | 7,922,000 | 422,000 | 2,876,000 | 5,046,000 | ||||||||||||||
TPA Licenses | 15 years | 204,000 | 14,000 | 90,000 | 114,000 | ||||||||||||||
Total | $ | 8,901,000 | $ | 470,000 | $ | 3,708,000 | $ | 5,193,000 | |||||||||||
Other intangible assets consist of the following at March 31, 2015: | |||||||||||||||||||
Item | Life | Cost | Fiscal 2015 | Accumulated | Cost, Net of | ||||||||||||||
Amortization | Amortization at | Accumulated | |||||||||||||||||
Expense | March 31, 2015 | Amortization at | |||||||||||||||||
March 31, 2015 | |||||||||||||||||||
Covenant Not to Compete | 5 years | $ | 775,000 | $ | 20,000 | $ | 762,000 | $ | 13,000 | ||||||||||
Customer Relationships | 18-20 years | 7,922,000 | 423,000 | 3,299,000 | 4,623,000 | ||||||||||||||
TPA Licenses | 15 years | 204,000 | 14,000 | 104,000 | 100,000 | ||||||||||||||
Total | $ | 8,901,000 | $ | 457,000 | $ | 4,165,000 | $ | 4,736,000 | |||||||||||
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||
Jun. 30, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2016 | Jun. 12, 2015 | Jun. 30, 2014 | |
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | |||||||
Number of shares authorized to repurchase | 845,014 | 830,460 | 1,410,812 | ||||
Share price | $31,798,000 | $27,179,000 | $30,727,000 | ||||
Average price | $37.63 | $32.73 | $21.78 | ||||
Maturities of short term investment interest-bearing securities | 90 days | ||||||
Investments approved by board of directors | 2,000,000 | ||||||
Investment in private equity | 1,400,000 | ||||||
Accounts receivable due period | 30 days | ||||||
Unbilled account receivables | 12,357,000 | 11,922,000 | |||||
Capitalized software development costs | 21,327,000 | 19,360,000 | |||||
Accumulated amortization of software development costs | 61,012,000 | 53,734,000 | |||||
Amortization period of computer software | 5 years | ||||||
Impairment of goodwill, intangible assets or other long-lived assets | 0 | ||||||
Goodwill | 36,814,000 | 36,814,000 | |||||
Accumulated amortization of goodwill | 2,069,000 | 2,069,000 | |||||
Stock split ratio | 2 | ||||||
Stock dividend percentage | 100.00% | ||||||
Stock dividend distribution date | 26-Jun-13 | ||||||
Stock dividend recording date | 12-Jun-13 | ||||||
Scenario, Forecast [Member] | |||||||
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | |||||||
Investment in private equity | 600,000 | ||||||
Customer Concentration Risk [Member] | Sales Revenue, Net [Member] | |||||||
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | |||||||
Maximum customer risk percentage | 10.00% | 10.00% | 10.00% | ||||
Number of customer | 0 | 0 | 0 | ||||
Credit Concentration Risk [Member] | Accounts Receivable [Member] | |||||||
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | |||||||
Maximum customer risk percentage | 10.00% | 10.00% | |||||
Number of customer | 0 | 0 | |||||
Fair Value, Inputs, Level 2 [Member] | |||||||
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | |||||||
Transfer of assets | 0 | ||||||
Fair Value, Inputs, Level 3 [Member] | |||||||
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | |||||||
Transfer of assets | 0 | ||||||
Subsequent Event [Member] | |||||||
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | |||||||
Number of shares authorized to repurchase | 182,113 | 182,113 | |||||
Share price | $6,500,000 | $6,500,000 | |||||
Average price | $35.89 | $35.89 |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Schedule of Estimated Economic Useful Lives of Property and Equipment (Detail) | 12 Months Ended |
Mar. 31, 2015 | |
Leasehold Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and Equipment, five years or the life of lease | Five years or the life of lease |
Furniture and Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of property and equipment | 5 years |
Furniture and Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of property and equipment | 7 years |
Computer Hardware [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of property and equipment | 3 years |
Computer Hardware [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of property and equipment | 5 years |
Software and Software Development Costs [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of property and equipment | 3 years |
Software and Software Development Costs [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of property and equipment | 5 years |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies - Schedule of Earnings Per Share Basic and Diluted (Detail) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Earnings Per Share [Abstract] | |||
Basic weighted shares | 20,669,000 | 21,104,000 | 22,256,000 |
Treasury stock impact of stock options | 221,000 | 268,000 | 202,000 |
Diluted weighted shares | 20,890,000 | 21,372,000 | 22,458,000 |
Stock_Options_and_StockBased_C2
Stock Options and Stock-Based Compensation - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock grants | 19,365,000 | ||
Options expected forfeiture rate, percentage | 11.80% | ||
Weighted-average grant-date fair value of options granted | $15 | $13.96 | $9.30 |
Total intrinsic value of options exercised | $2,455,000 | $7,726,000 | $6,776,000 |
Cash received from exercise of stock options | 1,603,000 | 3,386,000 | 3,399,000 |
Unrecognized compensation costs related to stock options | 4,820,000 | ||
Weighted average period to recognized compensation cost | 3 years | ||
Employee [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Non-statutory stock options expiration period | 5 years | ||
Director [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Non-statutory stock options expiration period | 10 years | ||
Performance Based Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Recognized stock compensation expense | 211,000 | 630,000 | -82,000 |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Non-statutory stock options vesting period | 1 year | ||
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Non-statutory stock options vesting period | 36 months | ||
Time Based Options [Member] | Performance Based Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Recognized stock compensation expense | $2,209,000 | $2,140,000 | $997,000 |
Vest One Year from Date of Grant [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting Percentage | 25.00% | ||
Vest Ratably Each Month Over 36 Months [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting Percentage | 75.00% |
Stock_Options_and_StockBased_C3
Stock Options and Stock-Based Compensation - Weighted Average Assumptions (Detail) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility | 45.00% | 47.00% | 47.00% |
Risk free interest rate, Minimum | 1.30% | 0.70% | 0.60% |
Risk free interest rate, Maximum | 1.70% | 1.50% | 0.80% |
Dividend yield | 0.00% | 0.00% | 0.00% |
Weighted average option life | 4 years 6 months | ||
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average option life | 4 years 6 months | 4 years 6 months | |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average option life | 4 years 4 months 24 days | 4 years 4 months 24 days |
Stock_Options_and_StockBased_C4
Stock Options and Stock-Based Compensation - Stock Compensation Expense for Time Based Options and Performance Based Options (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||||||||||
Effect on basic earnings per share | $0.27 | $0.33 | $0.38 | $0.40 | $0.40 | $0.42 | $0.41 | $0.40 | $1.38 | $1.63 | $1.20 |
Effect on diluted earnings per share | $0.27 | $0.33 | $0.37 | $0.39 | $0.39 | $0.41 | $0.41 | $0.40 | $1.37 | $1.61 | $1.19 |
Performance Based Options [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||||||||||
Total cost of stock-based compensation included in income before income tax | $211,000 | $630,000 | ($82,000) | ||||||||
Time Based Options [Member] | Performance Based Options [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||||||||||
Total cost of stock-based compensation included in income before income tax | 2,209,000 | 2,140,000 | 997,000 | ||||||||
Amount of income tax benefit recognized | 862,000 | 835,000 | 395,000 | ||||||||
Amount charged to net income | 1,347,000 | 1,305,000 | 602,000 | ||||||||
Effect on basic earnings per share | $0.07 | $0.06 | $0.03 | ||||||||
Effect on diluted earnings per share | $0.06 | $0.06 | $0.03 | ||||||||
Time Based Options [Member] | Performance Based Options [Member] | Cost of revenue [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||||||||||
Total cost of stock-based compensation included in income before income tax | 1,021,000 | 672,000 | 461,000 | ||||||||
Time Based Options [Member] | Performance Based Options [Member] | General and administrative [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||||||||||
Total cost of stock-based compensation included in income before income tax | $1,188,000 | $1,468,000 | $536,000 |
Stock_Options_and_StockBased_C5
Stock Options and Stock-Based Compensation - Stock Options (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options outstanding, beginning balance | 1,115,984 | 1,100,952 | 1,502,046 |
Options granted | 241,625 | 441,550 | 246,200 |
Options exercised | -111,758 | -310,729 | -348,090 |
Options cancelled/forfeited | -82,672 | -115,789 | -299,204 |
Options outstanding, ending balance | 1,163,179 | 1,115,984 | 1,100,952 |
Options granted, weighted average exercise price | $37.64 | $33.06 | $23.04 |
Options exercised, weighted average exercise price | $17.27 | $15.31 | $12.80 |
Options forfeited, weighted average exercise price | $32.31 | $23.33 | $21.26 |
Weighted average exercise price per share | $27.65 | $24.80 | $18.66 |
Options available for future grants | 800,342 | 959,295 | 1,285,056 |
Exercisable options | 559,168 | 430,294 | 557,924 |
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Price range of outstanding options | $45.55 | $45.55 | $26.38 |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Price range of outstanding options | $7.78 | $7.78 | $7.78 |
Stock_Options_and_StockBased_C6
Stock Options and Stock-Based Compensation - Stock Options Outstanding and Exercisable (Detail) (USD $) | 12 Months Ended | |||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Number of Outstanding Options | 1,163,179 | 1,115,984 | 1,100,952 | 1,502,046 |
Weighted Average Remaining Contractual Life | 3 years 5 months 1 day | |||
Outstanding Options - Weighted Average Exercise Price | $27.65 | $24.80 | $18.66 | |
Exercisable Options - Number of Exercisable Options | 559,168 | |||
Exercisable Options - Weighted Average Exercise Price | $21.20 | |||
Range of Exercise Price, $7.78 to $21.87 [Member] | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Range of Exercise Price, lower limit | $7.78 | |||
Range of Exercise Price, upper limit | $21.87 | |||
Number of Outstanding Options | 278,100 | |||
Weighted Average Remaining Contractual Life | 2 years 10 months 28 days | |||
Outstanding Options - Weighted Average Exercise Price | $15.75 | |||
Exercisable Options - Number of Exercisable Options | 251,199 | |||
Exercisable Options - Weighted Average Exercise Price | $15.13 | |||
Range of Exercise Price, $21.88 to $23.10 [Member] | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Range of Exercise Price, lower limit | $21.88 | |||
Range of Exercise Price, upper limit | $23.10 | |||
Number of Outstanding Options | 261,044 | |||
Weighted Average Remaining Contractual Life | 3 years 2 months 23 days | |||
Outstanding Options - Weighted Average Exercise Price | $22.94 | |||
Exercisable Options - Number of Exercisable Options | 137,145 | |||
Exercisable Options - Weighted Average Exercise Price | $22.94 | |||
Range of Exercise Price, $23.11 to $34.78 [Member] | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Range of Exercise Price, lower limit | $23.11 | |||
Range of Exercise Price, upper limit | $34.78 | |||
Number of Outstanding Options | 346,323 | |||
Weighted Average Remaining Contractual Life | 3 years 3 months 15 days | |||
Outstanding Options - Weighted Average Exercise Price | $29.65 | |||
Exercisable Options - Number of Exercisable Options | 143,601 | |||
Exercisable Options - Weighted Average Exercise Price | $25.96 | |||
Range of Exercise Price, $34.79 to $45.55 [Member] | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Range of Exercise Price, lower limit | $34.79 | |||
Range of Exercise Price, upper limit | $45.55 | |||
Number of Outstanding Options | 277,712 | |||
Weighted Average Remaining Contractual Life | 4 years 3 months 4 days | |||
Outstanding Options - Weighted Average Exercise Price | $41.49 | |||
Exercisable Options - Number of Exercisable Options | 27,223 | |||
Exercisable Options - Weighted Average Exercise Price | $43.33 |
Stock_Options_and_StockBased_C7
Stock Options and Stock-Based Compensation - Outstanding Options (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Options outstanding, beginning balance | 1,115,984 | 1,100,952 | 1,502,046 |
Granted, Number of Options | 241,625 | 441,550 | 246,200 |
Exercised, Number of Options | -111,758 | -310,729 | -348,090 |
Cancelled - forfeited, Number of Options | -44,854 | ||
Cancelled - expired, Number of Options | -37,818 | ||
Options outstanding, ending balance | 1,163,179 | 1,115,984 | 1,100,952 |
Options vested and expected to vest, Number of Options | 1,046,818 | ||
Ending exercisable, Number of Options | 559,168 | ||
Options outstanding, Weighted Average Exercise per Share, beginning balance | $24.80 | $18.66 | |
Granted, Weighted Average Exercise Price per Share | $37.64 | $33.06 | $23.04 |
Exercised, Weighted Average Exercise Price per Share | $17.27 | $15.31 | $12.80 |
Cancelled - forfeited, Weighted Average Exercise Price per Share | $37.78 | ||
Cancelled - expired, Weighted Average Exercise Price per Share | $26.20 | ||
Option outstanding, Granted, Weighted Average Exercise per Share, ending balance | $27.65 | $24.80 | $18.66 |
Options vested and expected to vest, Weighted Average Exercise Price per Share | $26.70 | ||
Ending exercisable, Weighted Average Exercise Price per Share | $21.20 | ||
Option outstanding, Weighted Average Remaining Contractual Life (Years) | 3 years 5 months 1 day | ||
Options vested and expected to vest, Weighted Average Remaining Contractual Life (Years) | 3 years 3 months 29 days | ||
Ending exercisable, Weighted Average Remaining Contractual Life (Years) | 2 years 9 months 11 days | ||
Option outstanding, Aggregate Intrinsic Value | $9,894,029 | ||
Options vested and expected to vest, Aggregate Intrinsic Value | 9,750,025 | ||
Ending exercisable, Aggregate Intrinsic Value | $7,636,110 |
Property_and_Equipment_Propert
Property and Equipment - Property and Equipment, Net (Detail) (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $175,011,000 | $160,546,000 |
Less: accumulated depreciation and amortization | -118,712,000 | -109,293,000 |
Property and equipment, net | 56,299,000 | 51,253,000 |
Software and Software Development Costs [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 101,955,000 | 90,887,000 |
Office Equipment And Computers [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 64,462,000 | 64,525,000 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $8,594,000 | $5,134,000 |
Property_and_Equipment_Additio
Property and Equipment - Additional Information (Detail) (USD $) | 12 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation expense | $17,537,000 | $15,941,000 |
Accounts_and_Taxes_Payable_and2
Accounts and Taxes Payable and Accrued Liabilities - Accounts and Income Taxes Payable (Detail) (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
Payables and Accruals [Abstract] | ||
Accounts payable | $13,578,000 | $17,437,000 |
Income taxes payable | 2,192,000 | 1,028,000 |
Accounts and taxes payable | $15,770,000 | $18,465,000 |
Accounts_and_Taxes_Payable_and3
Accounts and Taxes Payable and Accrued Liabilities - Accrued Liabilities (Detail) (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
Payables and Accruals [Abstract] | ||
Payroll, payroll taxes and employee benefits | $17,774,000 | $18,010,000 |
Customer deposits | 17,760,000 | 16,629,000 |
Accrued professional service fees | 5,308,000 | 6,419,000 |
Self-insurance accruals | 3,305,000 | 3,190,000 |
Deferred revenue | 7,294,000 | 5,176,000 |
Accrued rent | 5,608,000 | 2,493,000 |
Other | 1,269,000 | 1,458,000 |
Total Accrued Liabilities | $58,318,000 | $53,375,000 |
Income_Taxes_Summary_of_Income
Income Taxes - Summary of Income Tax Provision (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
Current - Federal | $16,534,000 | $21,978,000 | $11,236,000 |
Current - State | 136,000 | 2,656,000 | 3,653,000 |
Subtotal | 16,670,000 | 24,634,000 | 14,889,000 |
Deferred - Federal | 312,000 | -2,367,000 | 2,310,000 |
Deferred - State | -8,000 | -152,000 | -34,000 |
Subtotal | 304,000 | -2,519,000 | 2,276,000 |
Total | $16,974,000 | $22,115,000 | $17,165,000 |
Income_Taxes_Summary_of_Reconc
Income Taxes - Summary of Reconciliation Income Tax Provision from the Statutory Federal Income Tax Rate (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
Income taxes at federal statutory rate (35%) | $15,947,000 | $20,633,000 | $15,363,000 |
State income taxes, net of federal benefit | 1,535,000 | 1,826,000 | 1,172,000 |
Uncertain tax positions | 1,346,000 | -245,000 | 26,000 |
Adjustments to returns as filed | -1,978,000 | -293,000 | 821,000 |
Other | 124,000 | 194,000 | -217,000 |
Total | $16,974,000 | $22,115,000 | $17,165,000 |
Income_Taxes_Summary_of_Reconc1
Income Taxes - Summary of Reconciliation Income Tax Provision from the Statutory Federal Income Tax Rate (Parenthetical) (Detail) | 12 Months Ended |
Mar. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Federal statutory tax rate | 35.00% |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
Income taxes paid | $19,528,000 | $20,791,000 | $9,663,000 |
Prepaid expenses and taxes | 5,758,000 | 1,346,000 | |
Recognizes interest and penalties related to uncertain tax positions | 57,000 | -173,000 | 80,000 |
Accrued interest and penalties related to uncertain tax positions | $140,000 | $83,000 | $257,000 |
Period of unrecognized tax benefits | 12 months |
Income_Taxes_Summary_of_Deferr
Income Taxes - Summary of Deferred Tax Assets and Liabilities (Detail) (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
Deferred income tax assets: | ||
Accrued liabilities not currently deductible | $7,547,000 | $6,672,000 |
Allowance for doubtful accounts | 631,000 | 692,000 |
Stock-based compensation | 1,044,000 | 717,000 |
Accrued rent | 2,152,000 | 1,267,000 |
Other | 830,000 | 955,000 |
Deferred assets | 12,204,000 | 10,303,000 |
Deferred income tax liabilities: | ||
Excess of book over tax basis of fixed assets | -15,985,000 | -14,409,000 |
Intangible assets | -5,217,000 | -4,934,000 |
Other | -564,000 | -218,000 |
Deferred liabilities | -21,766,000 | -19,561,000 |
Net deferred tax asset/(liability) | ($9,562,000) | ($9,258,000) |
Income_Taxes_Reconciliation_of
Income Taxes - Reconciliation of the Financial Statement Recognition and Measurement of Unrecognized Tax Positions During the Current Fiscal Year (Detail) (USD $) | 12 Months Ended |
Mar. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Balance as of March 31, 2014 | $700,000 |
Additions based on tax positions related to the current year | 1,499,000 |
Additions for tax positions of prior years | 0 |
Reductions for tax positions related to the current year | -60,000 |
Reductions for tax positions of prior years | -150,000 |
Balance as of March 31, 2015 | $1,989,000 |
Employee_Stock_Purchase_Plan_A
Employee Stock Purchase Plan - Additional Information (Detail) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Employee Stock Purchase Plan [Line Items] | |||
Percentage of employees contribution of their gross pay | 20.00% | ||
Shares issued pursuant to ESPP | 2,439,296 | ||
Employee Stock Purchase Plan [Member] | |||
Employee Stock Purchase Plan [Line Items] | |||
Percentage as purchase price of closing sale price of shares | 95.00% | ||
Maximum shares authorized for issuance under the ESPP | 2,850,000 | ||
Shares issued pursuant to ESPP | 12,299 | 8,489 | 14,056 |
Employee_Stock_Purchase_Plan_S
Employee Stock Purchase Plan - Summary of Employee Stock Purchase Plan (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Employee Stock Purchase Plan [Line Items] | |||
Employee contributions | $400,000 | $346,000 | $313,000 |
Shares acquired | 2,439,296 | ||
Employee Stock Purchase Plan [Member] | |||
Employee Stock Purchase Plan [Line Items] | |||
Shares acquired | 12,299 | 8,489 | 14,056 |
Average purchase price | $32.52 | $40.71 | $22.30 |
Treasury_Stock_Additional_Info
Treasury Stock - Additional Information (Detail) (USD $) | 12 Months Ended | ||||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | Jun. 12, 2015 | Aug. 31, 2013 | |
Class of Stock [Line Items] | |||||
Common stock repurchased shares | 845,014 | 830,460 | 1,410,812 | ||
Purchase of treasury stock | $31,798,000 | $27,179,000 | $30,727,000 | ||
Average price | $37.63 | $32.73 | $21.78 | ||
Subsequent Event [Member] | |||||
Class of Stock [Line Items] | |||||
Common stock repurchased shares | 182,113 | 182,113 | |||
Purchase of treasury stock | $6,500,000 | $6,500,000 | |||
Average price | $35.89 | $35.89 | |||
Minimum [Member] | |||||
Class of Stock [Line Items] | |||||
Number of shares authorized to repurchase | 2,000,000 | ||||
Maximum [Member] | |||||
Class of Stock [Line Items] | |||||
Number of shares authorized to repurchase | 34,000,000 |
Treasury_Stock_Summary_of_Shar
Treasury Stock - Summary of Share Repurchases and Cumulatively Since Inception of Authorization (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Equity [Abstract] | |||
Shares repurchased | 845,014 | 830,460 | 1,410,812 |
Cost | $31,798,000 | $27,179,000 | $30,727,000 |
Average price | $37.63 | $32.73 | $21.78 |
Shares repurchased, Cumulative | 32,992,488 | 32,147,474 | |
Cost, Cumulative | $360,278,000 | $328,480,000 | |
Average price, Cumulative | $10.92 |
Commitments_Additional_Informa
Commitments - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | |||
2016 | $15,324,000 | ||
2017 | 12,906,000 | ||
2018 | 9,554,000 | ||
2019 | 5,398,000 | ||
2020 | 3,212,000 | ||
Thereafter | 5,136,000 | ||
Aggregate | 51,530,000 | ||
Total rental expense | $15,297,000 | $13,890,000 | $13,951,000 |
Retirement_Savings_Plan_Additi
Retirement Savings Plan - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Compensation and Retirement Disclosure [Abstract] | |||
Employer contribution | $443,000 | $338,000 | $372,000 |
Shareholder_Rights_Plan_Additi
Shareholder Rights Plan - Additional Information (Detail) (USD $) | 12 Months Ended |
Mar. 31, 2015 | |
Equity [Abstract] | |
Shareholder rights exercise price | $118 |
Shareholder rights purchase | Fidelity Management & Research Company and its affiliates to purchase up to 18% of the shares of common stock of the Company without triggering the stockholder rights. |
Shareholder rights purchase, percentage | 18.00% |
Shareholder rights expiration date | 10-Feb-22 |
Shareholder Rights Plan, description of acquired entity | Shareholder Rights Plan provides that if a person or group acquires 15% or more of the Company's common stock |
Shareholder Rights Plan, percentage of acquired entity | 15.00% |
Shareholder Rights Plan, description of merged entity | Company is thereafter merged into another entity, or if 50% or more of the Company's consolidated assets or earning power are sold, then the right will entitle its holder to buy common shares of the acquiring entity having a market value equal to two times the then-current exercise price of the right. |
Shareholder Rights Plan, percentage of merged entity | 50.00% |
Line_of_Credit_Additional_Info
Line of Credit - Additional Information (Detail) (USD $) | 12 Months Ended |
Mar. 31, 2015 | |
Debt Disclosure [Abstract] | |
Credit facility with borrowing capacity | $10,000,000 |
Debt instrument, basis spread on variable rate | 1.50% |
Fluctuating rate determined by financial institution | Fluctuating rate determined by the financial institution to be 1.50% above the daily one-month LIBOR rate. |
Debt to tangible net worth not greater than | Debt to tangible net worth not greater than 1.25:1 |
Current assets to liabilities ratio | 1.25 |
Debt to tangible net worth | 125.00% |
Amount borrowed under line of credit | 618,000 |
Line of credit paid off date | 1-Apr-15 |
Letters of credit in aggregate amount | $4,500,000 |
Renewed credit agreement expiration period | Sep-15 |
Quarterly_Results_Unaudited_Su
Quarterly Results (Unaudited) - Summary of Unaudited Quarterly Results of Operations (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Revenues | $122,195,000 | $122,352,000 | $123,714,000 | $124,364,000 | $120,246,000 | $121,098,000 | $119,359,000 | $118,113,000 | $492,625,000 | $478,816,000 | $429,310,000 |
Gross Profit | 22,674,000 | 24,128,000 | 25,467,000 | 27,700,000 | 26,537,000 | 27,706,000 | 27,320,000 | 26,918,000 | 99,969,000 | 108,481,000 | 91,660,000 |
Net Income | $5,576,000 | $6,832,000 | $7,883,000 | $8,299,000 | $8,333,000 | $8,775,000 | $8,675,000 | $8,609,000 | $28,590,000 | $34,392,000 | $26,730,000 |
Net Income per Basic Common Share | $0.27 | $0.33 | $0.38 | $0.40 | $0.40 | $0.42 | $0.41 | $0.40 | $1.38 | $1.63 | $1.20 |
Net Income per Diluted Common Share | $0.27 | $0.33 | $0.37 | $0.39 | $0.39 | $0.41 | $0.41 | $0.40 | $1.37 | $1.61 | $1.19 |
Segment_Reporting_Schedule_of_
Segment Reporting - Schedule of Percentages of Revenues Attributable to Patient Management and Network Solutions Services (Detail) (Product Concentration Risk [Member], Sales Revenue, Services, Net [Member]) | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Revenue, Major Customer [Line Items] | |||
Patient management and network solutions services, revenues | 100.00% | 100.00% | 100.00% |
Patient Management Services [Member] | |||
Revenue, Major Customer [Line Items] | |||
Patient management and network solutions services, revenues | 54.50% | 51.90% | 51.50% |
Network Solutions Services [Member] | |||
Revenue, Major Customer [Line Items] | |||
Patient management and network solutions services, revenues | 45.50% | 48.10% | 48.50% |
Segment_Reporting_Additional_I
Segment Reporting - Additional Information (Detail) | 12 Months Ended |
Mar. 31, 2015 | |
Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 1 |
Other_Intangible_Assets_Other_
Other Intangible Assets - Other Intangible Assets (Detail) (USD $) | 12 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | ||
Life | 5 years | |
Cost | $8,901,000 | $8,901,000 |
Amortization Expense | 457,000 | 470,000 |
Accumulated Amortization | 4,165,000 | 3,708,000 |
Cost, Net of Accumulated Amortization | 4,736,000 | 5,193,000 |
Covenants Not to Compete [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Life | 5 years | 5 years |
Cost | 775,000 | 775,000 |
Amortization Expense | 20,000 | 34,000 |
Accumulated Amortization | 762,000 | 742,000 |
Cost, Net of Accumulated Amortization | 13,000 | 33,000 |
Customer Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 7,922,000 | 7,922,000 |
Amortization Expense | 423,000 | 422,000 |
Accumulated Amortization | 3,299,000 | 2,876,000 |
Cost, Net of Accumulated Amortization | 4,623,000 | 5,046,000 |
Customer Relationships [Member] | Minimum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Life | 18 years | 18 years |
Customer Relationships [Member] | Maximum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Life | 20 years | 20 years |
TPA Licenses [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Life | 15 years | 15 years |
Cost | 204,000 | 204,000 |
Amortization Expense | 14,000 | 14,000 |
Accumulated Amortization | 104,000 | 90,000 |
Cost, Net of Accumulated Amortization | $100,000 | $114,000 |
Other_Intangible_Assets_Additi
Other Intangible Assets - Additional Information (Detail) (USD $) | Mar. 31, 2015 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
2016 | $449,000 |
2017 | 437,000 |
2018 | 437,000 |
2019 | 437,000 |
2020 | 437,000 |
Thereafter | $2,539,000 |