Cardiff Lexington Corporation Reports $11.54 Million Revenue and $5.51 Million Net Loss for Fiscal Year 2025

**Cardiff Lexington Corporation Reports Fiscal Year 2025 Results**

Cardiff Lexington Corporation (CDIX), a healthcare holding company focused on acquiring and building niche healthcare clinics, reported total revenue of $11.54 million for the year ended December 31, 2025. This represents a $3.27 million, or 39.48%, increase compared to the $8.27 million reported for the year ended December 31, 2024. However, excluding a cumulative catch-up reduction to revenue of $1.01 million and a one-time change in accounting estimate of $1.65 million, revenue increased by $609,213, or 5.58%. The company attributes the revenue increase to a rise in patient office visits and a shift towards more complex surgical procedures at its eleven facilities, which served an average of 270-375 patients per month.

The company's cost of sales for 2025 totaled $4.33 million, up $487,702, or 12.70%, from $3.84 million in 2024. As a percentage of revenue, cost of sales decreased from 46.45% in 2024 to 37.53% in 2025. Excluding the aforementioned revenue reductions, cost of sales as a percentage of revenue increased from 35.16% in 2024 to 37.53% in 2025. Selling, general, and administrative expenses increased by $1.27 million, or 31.23%, to $5.33 million in 2025, compared to $4.06 million in 2024. Interest expense also increased significantly, reaching $6.82 million in 2025, compared to $3.05 million in the previous year, primarily due to interest associated with a line of credit.

Cardiff Lexington reported a net loss of $5.51 million for 2025, compared to a net loss of $3.30 million for 2024. The company's loss from continuing operations was $5.75 million, compared to a loss of $3.19 million in the prior year. However, the company recorded income from discontinued operations of $238,285, compared to a loss of $111,312 in 2024, due to the final resolution and disposition of remaining claims in connection with Platinum Tax. As of December 31, 2025, the company's cash balance was $318,535. The report from the company's independent registered public accounting firm included a "going concern" explanatory paragraph.

In December 2025 and January 2026, Cardiff Lexington entered into loan agreements resulting in convertible promissory notes in the aggregate principal amount of $280,000, warrants for the purchase of 73,334 shares of common stock, and 36,667 shares of common stock. On January 29, 2026, the company entered into a conversion agreement with its CEO, Alex Cunningham, to cancel $2.37 million in deferred compensation in exchange for 556,528 shares of common stock. On March 6, 2026, the company entered into a similar agreement with former Chairman Daniel Thompson, cancelling $2.35 million in deferred compensation for 588,249 shares of common stock. The company also entered into a lock-up and compensation resolution agreement with Daniel Thompson, issuing an unsecured promissory note for $116,666.66.