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Cardiff Lexington Corporation Announces Upgrade to OTCQX Best Market

(Very Positive)
Tags

Cardiff Lexington (OTCQX:CDIX) was approved to trade on the OTCQX Best Market effective April 9, 2026, continuing under symbol CDIX. The upgrade highlights enhanced transparency, governance and a step toward a potential uplisting to a national exchange.

For FY2025 the company reported $11.5M revenue (+39.5% vs 2024), $7.2M gross profit (62.5% margin), $1.1M operating income (9.5% margin) and $29.1M total assets (+21.6%). Management cites working capital constraints as the primary limit on utilization and plans capital formation to scale operations and accelerate AR conversion.

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Positive

  • OTCQX upgrade effective April 9, 2026, improving visibility
  • Revenue +39.5% YoY to $11.5M in FY2025
  • Gross margin expanded to 62.5% in FY2025
  • Operating income swing to $1.1M vs loss in 2024
  • Total assets +21.6% to $29.1M

Negative

  • Working capital constraint limits current facility utilization
  • Reliance on future capital to scale patient volume and throughput

Market Context

This announcement highlights Cardiff Lexington’s progression within the OTC Markets, moving to the O...
Analysis

This announcement highlights Cardiff Lexington’s progression within the OTC Markets, moving to the OTCQX Best Market while reporting 2025 revenue of $11.5 million and operating income of $1.1 million. The company emphasizes a high-margin orthopedic and spine platform, asset-backed growth, and better accounts receivable management. Investors may monitor future steps toward a national exchange uplisting, along with how additional working capital translates into higher utilization and sustained profitability.

Key Figures

Revenue 2025: approximately $11.5 million Revenue growth: 39.5% Gross profit 2025: $7.2 million (62.5% of revenue) +4 more
7 metrics
Revenue 2025 approximately $11.5 million Fiscal year ended December 31, 2025; vs $8.3 million in 2024
Revenue growth 39.5% Increase in revenue 2025 vs full year 2024
Gross profit 2025 $7.2 million (62.5% of revenue) Compared with $4.4 million (53.6% of revenue) in 2024
Operating income 2025 $1.1 million (9.5% of revenue) Compared with operating loss of $(193,000) or (2.3%) in 2024
Operating loss 2024 $(193,000) (2.3% of revenue) Full year 2024 operating result before turning profitable in 2025
Total assets 2025 $29.1 million As of December 31, 2025; increased 21.6% year over year
Asset growth 21.6% Increase in total assets to $29.1 million as of December 31, 2025

Historical Context

1 past event · Latest: Jan 20 (Positive)
Pattern 1 events
Date Event Sentiment 24h Move Catalyst
Jan 20 Uplist strategy filing Positive -7.4% Engaged bank and filed Form S-1 to pursue Nasdaq uplisting.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Limited history shows negative reaction (-7.41%) to prior capital markets/uplist news despite strategic intent.

Recent Company History

Over the past six months, Cardiff Lexington’s key market event was a Jan 20, 2026 announcement about engaging an investment bank and filing a Form S-1 to support a planned uplist to the Nasdaq Capital Market. That news carried a capital formation and uplisting focus yet saw a -7.41% 24-hour price reaction. Today’s OTCQX Best Market upgrade continues that capital-markets progression, further formalizing the company’s trajectory toward a national exchange listing.

Key Terms

otcqx best market, otcqb venture market, accounts receivable, ambulatory surgery centers, +2 more
6 terms
otcqx best market financial
"approved to trade on the OTCQX® Best Market, the highest-level market"
OTCQX Best Market is the top tier of an over‑the‑counter (OTC) trading platform where companies voluntarily meet higher disclosure and governance standards than typical OTC listings. For investors, it signals relatively better transparency and oversight—think of it as a premium section of a flea market where sellers show more paperwork—yet these stocks still carry more liquidity and regulatory risk than listings on major national exchanges.
otcqb venture market financial
"Upgrading to OTCQX from the OTCQB® Venture Market reflects Cardiff Lexington's"
The OTCQB Venture Market is a tier of the over‑the‑counter (OTC) trading platform that groups early‑stage, smaller companies that do not meet the stricter requirements of higher OTC tiers. It gives investors a way to buy and sell shares in these higher‑risk, less mature firms with generally lower reporting and transparency standards; think of it as a marketplace’s “starter lane” where potential is available but uncertainty and volatility are higher, so investors should expect greater risk and do extra homework.
accounts receivable financial
"Retention and management of personal injury-related accounts receivable to maximize"
Money a company is owed by its customers for goods or services already delivered but not yet paid for. Think of it like a stack of IOUs or open tabs: it represents future cash the business expects to collect. Investors watch accounts receivable because large or growing balances can signal strong sales or potential cash shortfalls if customers don’t pay, affecting liquidity, working capital and the company’s financial health.
ambulatory surgery centers medical
"Strategic acquisition of ambulatory surgery centers (ASCs), MRI Clinics, and clinic"
Ambulatory surgery centers are medical facilities where patients undergo planned surgical or diagnostic procedures and leave the same day, without an overnight hospital stay. They matter to investors because they often deliver care more cheaply and efficiently than full hospitals, which can boost patient volume and profit margins; changes in insurance reimbursement, regulation, or patient preference can therefore directly affect revenue and growth potential.
mri medical
"acquisition of ambulatory surgery centers (ASCs), MRI Clinics, and clinic real estate"
Magnetic resonance imaging (MRI) is a medical scan that uses magnetic fields and radio waves to create detailed pictures of the inside of the body, like a high-resolution camera for tissues and organs. Investors care because MRI drives demand for imaging machines, hospital services, diagnostics and can be central to clinical trial results and regulatory decisions—changes in MRI use or technology can affect revenue, capital spending and reimbursement in healthcare and medical device markets.
ebitda financial
"Enhance overall EBITDA generation and cash flow visibility"
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.
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LEXINGTON, KY / ACCESS Newswire / April 9, 2026 / Cardiff Lexington Corporation (OTCQX:CDIX) ("Cardiff Lexington" or the "Company"), a publicly traded healthcare services holding company focused on orthopedic, spine, and pain management platforms, today announced that its common stock has been approved to trade on the OTCQX® Best Market, the highest-level market of the OTC Markets, effective at the commencement of trading on Thursday, April 9th, 2026. The Company will continue to trade under the symbol "CDIX".

The OTCQX Best Market is designed for established, investor-focused companies and requires high financial standards, strong corporate governance, and compliance with applicable securities laws.

Strategic Positioning and Market Advancement

Upgrading to OTCQX from the OTCQB® Venture Market reflects Cardiff Lexington's continued commitment to enhanced transparency and maintaining the highest governance and financial reporting standards available to companies trading on the OTC Markets.

"We view our upgrade to the OTCQX Best Market as a meaningful milestone in Cardiff Lexington's evolution as a disciplined, growth-oriented healthcare platform," said Alex H. Cunningham, Chief Executive Officer of Cardiff Lexington Corporation. "This transition strengthens our visibility within the institutional investor community and reinforces our commitment to building a scalable, high-margin healthcare enterprise with a clear path toward a national exchange listing. Listing on a national exchange would significantly enhance access to working capital to support increased patient volume and procedural throughput without relying on higher-cost financing structures and accelerate our accounts receivable conversion cycles. We look forward to leveraging this enhanced OTCQX visibility alongside our high-margin operating model to drive sustainable revenue growth, expand margins, and enhance long-term shareholder value."

Demonstrated Financial Performance and Operating Leverage

Cardiff Lexington has demonstrated consistent financial growth and operating performance driven by its focused healthcare platform strategy. For the fiscal year ended December 31, 2025, the Company reported:

  • Revenue of approximately $11.5 million compared with $8.3 million in full year 2024, representing a 39.5% increase

  • Gross profit increased to $7.2 million, or 62.5% of total revenue, compared with $4.4 million, or 53.6% of total revenue in full year 2024.

  • Operating income increased to $1.1 million, or 9.5% of total revenue, compared with operating loss of $(193,000), or (2.3%) of total revenue, in full year 2024.

  • Total assets increased 21.6% to $29.1 million as of December 31, 2025

This performance reflects a high-margin operating model within the orthopedic and spine care sector and underscores management's focus on scalable, capital-efficient growth.

Execution of Proven Three-Pillar Growth Strategy

Cardiff Lexington continues to execute on its differentiated three-pillar strategy, designed to drive sustainable revenue growth, expand margins, and enhance long-term shareholder value:

  • Core Cash Flow Platform - Acquisition and optimization of physician orthopedic and related practices to generate consistent, recurring revenue streams

  • Asset Acquisition - Strategic acquisition of ambulatory surgery centers (ASCs), MRI Clinics, and clinic real estate to enhance operating leverage and asset-backed value

  • Finance Strategy - Retention and management of personal injury-related accounts receivable to maximize long-term cash yield versus discounted third-party sales

This integrated approach has enabled the Company to establish a high-margin operating model within a fragmented and supply-constrained healthcare segment, positioning it for disciplined expansion through both organic growth and targeted acquisitions in one of the most resilient segments of U.S. Healthcare that offers an exceptional balance of downside protection, sustainable profitability, and scalable growth.

Working Capital Expansion and Operational Scaling

The Company's operating platform, anchored by its subsidiary Nova Ortho and Spine, continues to experience strong demand across its markets and currently operates below full capacity primarily due to working capital constraints rather than clinical or operational limitations.

Cardiff Lexington is actively pursuing strategic initiatives to:

  • Expand working capital to support increased patient volume and procedural throughput

  • Reduce reliance on higher-cost financing structures

  • Accelerate accounts receivable conversion cycles

  • Enhance overall EBITDA generation and cash flow visibility

Cardiff Lexington has demonstrated and proven the ability to deploy capital at a very high rate of return. Management believes that improving access to cost-efficient growth capital will allow the Company to materially increase utilization rates and unlock embedded operating leverage across its platform.

Alignment with Uplisting Strategy

The OTCQX upgrade represents an important step in Cardiff Lexington's broader capital markets strategy, which includes pursuing a future uplisting to a national securities exchange, such as the NYSE American or Nasdaq Capital Market, subject to meeting applicable listing requirements.

"We believe our progression to OTCQX appropriately reflects the maturation of our business and strengthens our positioning as we evaluate strategic capital formation opportunities and a potential uplisting," Cunningham added.

Investor Information

Investors can find current financial disclosure and real-time Level 2 quotes for the Company on www.otcmarkets.com.

No action is required by current shareholders in connection with this upgrade.

About Cardiff Lexington Corporation

Cardiff Lexington Corporation is a publicly traded healthcare services holding company focused on building a regional and national platform in orthopedic, spine, and pain management markets. Through its operating subsidiaries, including Nova Ortho and Spine, the Company delivers a comprehensive suite of services including diagnostics, interventional pain management, surgical coordination, and specialty care.

The Company's strategy is centered on disciplined capital deployment, operational efficiency, and scalable growth through acquisitions and strategic partnerships within highly fragmented healthcare markets.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements regarding the Company's growth strategy, capital markets plans, working capital initiatives, and potential uplisting. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied. The Company undertakes no obligation to update these statements except as required by law.

Cardiff Lexington Investor Relations
investorsrelations@cardifflexington.com
(800) 628-2100 ext. 705

or

IMS Investor Relations
cardifflexington@imsinvestorrelations.com
(203) 972-9200

SOURCE: Cardiff Lexington Corporation



View the original press release on ACCESS Newswire

FAQ

What does Cardiff Lexington's OTCQX upgrade mean for CDIX shareholders?

It increases visibility and governance standards for CDIX shareholders, effective April 9, 2026. According to the company, OTCQX status signals improved transparency and access to institutional investors, which management says supports future capital formation and a potential uplisting to a national exchange.

What were Cardiff Lexington's FY2025 revenue and growth for CDIX?

FY2025 revenue was approximately $11.5 million, a 39.5% increase versus 2024. According to the company, the growth reflects its focused orthopedic and spine platform and contributed to improved margins and operating leverage across its businesses.

How did Cardiff Lexington's profitability change in FY2025 for CDIX?

The company reported operating income of $1.1 million, a positive swing from a 2024 operating loss. According to the company, higher gross margins (62.5%) and revenue growth drove the shift to positive operating income and improved EBITDA visibility.

What operational limits did Cardiff Lexington cite for CDIX's growth?

Management identified working capital constraints as the main limit on utilization and throughput. According to the company, securing cost-efficient growth capital and faster accounts receivable conversion are priorities to increase utilization and unlock operating leverage.

Does the OTCQX upgrade change Cardiff Lexington's ticker or trading details for CDIX?

No, the company will continue to trade under the symbol CDIX and began OTCQX trading on April 9, 2026. According to the company, investors can access Level 2 quotes and disclosure on otcmarkets.com for real-time information.

Is Cardiff Lexington planning to list CDIX on a national exchange after the OTCQX upgrade?

The company is pursuing a potential uplisting to a national exchange, subject to meeting listing requirements. According to the company, OTCQX is an intermediate step to strengthen governance and evaluate strategic capital formation for a future uplisting.