Yes: for Edifix to effectively identify where each reference begins and ends, reference lists should be numbered or in alphabetical order.                

When Edifix restructures references, it places each restructured reference in its own paragraph. In the input text, however, there might be a paragraph break at the end of each line, particularly if a reference has been copied and pasted from a PDF. Edifix uses several methods to detect and remove these mid-reference breaks.

For numbered references, Edifix can detect the next number in the sequence and then remove any intervening hard returns before attempting to restructure the references. Edifix will also detect the numbering style used (e.g., number-period-space or [number]), which contributes to effective removal of mid-reference breaks.            

For name-date references, Edifix uses a number of steps to detect mid-reference breaks, including locating new paragraphs that start with a lower-case letter and paragraphs that start with a capital letter that falls earlier in the alphabet than the initial letter of the first author's surname.              

Therefore, for Edifix to remove mid-reference breaks accurately and efficiently, references for processing must be either sequentially numbered or in alphabetical order. 

But note! You don't need to worry about the ordering of references if your reference list contains no incorrect paragraph breaks, or if you manually remove them before submitting the references to Edifix.