#USA #Raleigh #Cardinal Infrastructure #NASDAQ CDNL #A.L. Grading

Overview of Cardinal Infrastructure Group's Performance in 2025

Cardinal Infrastructure Group Inc. (NASDAQ: CDNL) recently disclosed its full-year financial results for 2025, revealing a remarkable 45% revenue increase compared to 2024, alongside positive net income growth. The company also provided an optimistic outlook for 2026, projecting continued success and expansion.

Financial Highlights of 2025

For the fiscal year ending December 31, 2025, Cardinal reported:

• - Revenue: $456 million, reflecting a 45% year-on-year growth and 33% organic growth.
• - Net Income: $31.1 million, up 10% from $28.3 million in 2024.
• - Adjusted EBITDA: $81.5 million, a significant rise of 44% from the previous year, with an adjusted EBITDA margin of 17.9%.
• - Backlog: As of the end of 2025, the backlog stood at $682 million, marking a 33% increase from $512 million in 2024.

CEO Jeremy Spivey expressed immense pride in the team’s achievements, emphasizing the importance of collaboration and hard work in driving the company’s performance.

Key Drivers of Growth

The significant rise in Cardinal's revenue can be attributed to strong demand across its core markets in North Carolina, particularly in residential construction, along with heightened commercial activity.

The company has also diversified its services, which has contributed to organic growth. Furthermore, Cardinal's acquisition of A.L. Grading Contractors, completed in February 2026, positions the firm for further expansion both geographically and operationally, enhancing its margin profile.

Analyzing Financial Metrics

Cardinal’s gross profit for the year was reported at $63.8 million, translating to a gross profit margin of 14%. This marked an improvement from the previous year, where gross profit stood at $46.6 million. Adjusted gross profit surged to $96.1 million, reflecting an adjusted gross profit margin of 21.1%, up from 20.7% in 2024.

The firm’s net income rose to $31.1 million, marking an increase amidst rising operating expenses related to acquisitions and IPO costs. EBITDA for the company was $72.3 million with an EBITDA margin at 15.8%, indicating efficient management and operational scalability.

2026 Outlook and Expectations

Looking ahead, Cardinal Infrastructure Group has affirmed its guidance for 2026, forecasting revenues between $665 million and $678 million and an adjusted EBITDA margin of over 20%. The optimistic forecast is underpinned by current market conditions and robust project execution expectations.

The management team notes that the anticipated contributions from the A.L. Grading acquisition will significantly bolster the company's performance metrics in the upcoming year.

Conclusion

Cardinal Infrastructure Group's performance in 2025 reaffirms its position as one of the leading service providers in the infrastructure sector within the Southeast. With a strong financial foundation and a strategic plan focused on growth and operational improvement, the company is well-prepared to tackle the challenges and opportunities that lie ahead in 2026 and beyond.