Cardiff Lexingtn Corp

Good morning, everyone, and thank you for participating in today's conference call to discuss Cardiff Lexington's financial results for the fourth quarter and year ended December 31st, 2025. At this time, all participants are in a listen only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. I would now like to turn the call over to John Nesbitt and Walter Frank of IMS Investor Relations. Please go ahead.

Thank you, Operator. I would like to welcome everybody to the call. Hosting the call today are Cardiff Lexington's CEO, Alex Cunningham, and CFO, Matt Schaefer. I would like to take a moment to read the Safe Harbor Statement. This conference call contains forward-looking statements as defined within Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements and terms such as anticipate, expect, intend, may, will, should, or other comparable terms involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the future. Those statements include statements regarding the intent, belief, or current expectations of Cardiff Lexington and members of its management, as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, including those described in Cardiff Lexington's periodic reports filed with the SEC, and that actual results may differ materially from those contemplated by such forward-looking statements. Except as required by federal securities law, Carter-Flexington undertakes no obligation to update or revise forward-looking statements to reflect changed conditions. I would now like to turn the call over to the CEO of Carter-Flexington, Alex Cunningham.

Thank you, Walter. Good morning, and thank you for joining our conference call today to discuss our fourth quarter and full year 2025 results. I will start by providing an overview of our performance, progress, and strategy before turning the call over to Matt Schaefer, our Chief Financial Officer, for a deeper dive into our financial results. We will then open the call for a brief Q&A. 2025 was a year of growth and strategic execution as we continued to expand our footprint and make meaningful progress on our long-term goals. As of year end, our subsidiary, Nova Ortho and Spine, is now operating in 11 locations throughout Florida and Georgia. Most recently, we began servicing patients at Doctors Memorial Hospital in Perry, Florida, demonstrating our ongoing commitment to providing best-in-class healthcare to severely underserved and rural patient populations, in addition to the metropolitan areas where we are seeing strong demand for our services. Revenue for the full year was strong at $11.5 million, supporting our net operating margin of 9.5% and an adjusted EBITDA of $1.8 million. Our 2025 revenue represents an increase of 40% compared to full year 2024, driven by increased patient volume and a favorable shift toward more complex, higher value surgical procedures across our NOVA ortho and spine locations. coupled with disciplined expense management, these results supporting strong adjusted EBITDA profitability for the full year. Patient volume continued to increase throughout the year as we expanded our footprint and capabilities. As of December 31, 2025, we see between 270 and 375 patients per month on average, across all our locations, up from 250 to 325 patients per month a year ago, demonstrating strong demand for our services in our existing markets. As we continue to treat more and more patients across an expanding network of locations, we are also adding to our industry-leading team to support our growth. Through 2025, we've welcomed on board key clinical and operational technologies talent across our footprint. Finally, as many of you are already aware, we're taking meaningful steps to actively position Cardiff Lexington for an up listing to a major U.S. stock exchange. This is the key next step in our growth strategy, and it is our expectation that an up listing to a major U.S. stock exchange will enhance our visibility, liquidity, and access to capital and in turn support significantly enhanced long-term value for our shareholders. Our 2025 results are encouraging, and we think it makes sense to view them in the context of the last four years to more accurately show you where we've been and where we believe we're headed. As you can see from the graph on slide four, revenue has more than doubled since 2021, when we reported 5.4 million in revenue for the full year. To date, this growth has largely been supported by the organic growth of Nova Ortho and Spine, which continues to see strong demand in the diverse geographic and socioeconomic markets that we serve throughout Florida and Georgia. We've shown our ability to drive growth and profitability in diverse markets and economic conditions. We have also been able to do this despite having limited access to capital. Given the opportunity in front of us, we have chosen to strategically invest in the business utilizing higher cost capital, which we believe will drive long-term returns for the business. But the increased interest expense has impacted our 2025 gap profitability. As I mentioned in my executive summary, our next step is to uplist Cardiff Lexington's common stock on a major U.S. stock exchange and simultaneously leverage our enhanced access to capital to properly fund the growth of our business. We believe that with the necessary working capital to support enhanced operating activity, combined with our expanding NOVA ortho and spine footprint and our ongoing M&A efforts that remain a key pillar of our strategy, we are well positioned to drive significant growth, value, and profitability for Cardiff Lexington shareholders. At the core of this strategy is a profitable and scalable healthcare platform with a demonstrated ability to drive revenue growth and consistent profitability in orthopedic healthcare, which is statistically one of the fastest growing sectors of healthcare in the United States. Healthcare as an industry is also recession-resistant. People need medical care and services regardless of economic cycles, interest rates, and so on, allowing us to drive results regardless of macro environments that could severely impact businesses in less resilient industries. Another key component of our model and a differentiator for Cardiff-Lexington in the healthcare market is that the majority of our patients typically do not have access to health insurance or critical medical care. Therefore, payment is collected through a combination of automotive insurance settlements, general liability carriers, and private payments. Through these alternative forms of payment, we're able to achieve an industry-leading collection rate of over 95% over a gestation period typically lasting between 12 and 24 months. Our market presence in Florida is strong. We are expanding our footprint into Georgia and further up into the broader mid-Atlantic and southeast U.S. along the I-75 corridor from Florida to Michigan, where there is significant demand for our services. Florida, in particular, has the most personal injury claims per capita in the United States, and we're very well diversified among both metropolitan and rural markets to capture what we believe to be a significant revenue opportunity. As always, M&A remains an integral component of our growth. We view our acquisition strategy through the lens of three synergistic pillars. And I'd like to take a moment to reiterate how we evaluate potential targets to ensure that they will be an accretive value to our existing business. First, we target businesses with strong core cash flows. Position practices are a good example. that we can acquire, optimize, and manage with the goal of enhancing operational efficiencies and driving increased recurring revenue. Our second pillar is focused on acquiring assets that are accreted to our current model, such as real estate, which allows us to expand our geographic footprint along the organic growth of our Nova Ortho and Spine network of locations. Our third and final pillar is focused on driving long-term and sustainable profitability for Cardiff Lexington. By acquiring and managing personal injury accounts receivable instead of selling them off, we're capturing valuable additional revenue and drive long-term income and sustained higher margins of profitability for our business. To summarize, we have a profitable and scalable health care program that we expect will grow at an accelerated rate with enhanced access to working capital needed to fund our business. We're an orthopedic health care provider, which is one of the fastest growing sectors of health care in the United States. Our business is resistant to general market fluctuations and shifting economic landscapes, which allows us to effectively service a severely underserved patient population, regardless of micro environments. The industry has inherently high barriers to entry, and the market is highly fragmented, giving us a significant leg up as an established business in the space. And finally, we've proven our ability to drive growth and profitability and efficiently allocate capital resources across our business. The path forward is clear, and we're working diligently to position Cardiff Lexington for this next phase of growth. With that, I will now hand the call over to our Chief Financial Officer, Matt Schaefer, to take a deeper dive into our financial results for the fourth quarter and the full year. Matt?