Cardinal Infrastructure Group Inc. (CDNL) saw its shares plummet 5.01% during intraday trading on Thursday, following the release of its full-year 2025 financial results.

The company reported revenue of $456.0 million, a 45% year-over-year increase that surpassed the FactSet consensus estimate of $448.7 million. However, the market reaction was negative, likely driven by a significant compression in net income margin. Net income for the year was $31.1 million, representing a margin of 6.8%, down from 9.0% in the prior year. The company attributed this to higher non-recurring general and administrative expenses, including increased acquisition and IPO-related costs.

Despite the margin pressure, Cardinal affirmed its 2026 guidance, projecting revenues between $665 million and $678 million and an adjusted EBITDA margin of 20% or higher. The company also highlighted a record backlog of $682 million, up 33% from the previous year, and the recent acquisition of A.L. Grading Contractors as a platform for future growth.