Repurchase amount exceeding HKD 100 million year-to-date, Huajian Medical breaks new ground in AI innovation with an altruistic mindset.

The scale of China's healthcare and health industry has surpassed 20 trillion yuan. However, the industry’s characteristics—long cycles, slow pace, and heavy investment—continue to test participants’ strategic resolve and execution resilience. On this 'difficult yet correct' path, only companies that steadfastly advance technological implementation and pragmatically address real-world pain points can earn sustained market trust.

Huajian Healthcare (01931.HK), as a globally leading high-tech intellectual property capital operation platform in the life sciences sector, has consistently adhered to the original aspiration of 'benefiting the country, the people, and the world.' With the core philosophy of 'from knowledge to capital,' it strengthens grassroots service capabilities through independent innovation in AI healthcare, breaks through resource barriers via mergers and acquisitions, and conveys confidence in development through concrete repurchase actions, achieving a unification of commercial value and social responsibility.

Equitable access to quality medical resources is the core essence of the 'Healthy China' strategy and an important issue facing the current healthcare system. Data from the National Health Commission shows that 10% of tertiary hospitals handle over 62% of outpatient visits, resulting in structural imbalances in the healthcare system: on one end, top-tier hospitals are overcrowded with expert appointments being 'almost impossible to secure'; on the other end, grassroots medical institutions face triple gaps in technology, talent, and experience, leaving grassroots doctors often feeling inadequate when dealing with complex cases.

AI technology, which was expected to be the key to breaking the deadlock, faces three major challenges during implementation: at the technical level, most products remain at the rule-driven knowledge base stage, failing to make the leap from question-answering to clinical decision-making; at the data level, information silos exist across 'medical examination, diagnosis, and pharmaceutical' processes, constraining service efficiency; at the resource level, high-quality medical expertise struggles to scale down to the grassroots level.

In response to these challenges, Huajian Healthcare firmly directs the focus of AI technology R&D and application toward the grassroots, practicing its original aspiration through 'technological inclusiveness.' This strategic choice aligns closely with national policies—the National Health Commission’s '4128 Plan' establishes a digital health system centered on 'convenience for the public, support for doctors, assistance for governance, and promotion of research'; the 'Implementation Opinions on the Application Development of Artificial Intelligence + Healthcare' jointly issued by five departments explicitly proposes achieving full coverage of intelligent auxiliary primary care diagnosis by 2030, providing a clear blueprint for the industry.

Huajian Healthcare does not merely follow policies but instead builds systematic solutions based on grassroots realities: in the diagnostic process, it promotes the comprehensive deployment of AI-assisted systems to provide grassroots doctors with full-process support in diagnosis, prescription, and follow-up; in the field of health management, it leverages AI to optimize chronic disease management and early disease screening, driving the transformation of the medical model toward 'health-centered' care; at the industrial level, it constructs an independently controllable technological system to foster new productive forces.

We firmly believe that serving the health needs of the broadest population equates to embracing the most valuable market opportunities. Making top-tier medical expertise accessible to the grassroots through digital means is not only Huajian Healthcare’s technological pursuit but also a tangible manifestation of our commitment to social responsibility.

True inclusive healthcare cannot be achieved without systematic capabilities and ecosystem synergy. The strategic acquisition of B-Soft Healthcare in November 2025 marks a critical step for Huajian Healthcare in completing its AI-driven medical ecosystem.

The core value of this acquisition lies in strengthening our ability to fulfill our mission of inclusiveness. As a leader in medical informatization, B-Soft Healthcare boasts a distribution network covering over 7,000 medical institutions and has undertaken more than 370 public health projects in districts and counties. Its 300 million resident health records and 100 million electronic medical records constitute invaluable 'data fuel' for AI implementation.

Of particular note is its technological first-mover advantage: the BsoftGPT medical large language model and the APTS early diagnosis system have already achieved a 42% improvement in early diagnosis rates at pilot hospitals, earning recognition as part of Zhejiang Province's 'Digital Intelligence Excellence Program.'

Upon completion of the acquisition, both parties will form powerful synergies:

Integration of data and algorithms:Leveraging real-world clinical data to accelerate AI algorithm iteration, creating a 'Clinical Intelligence Middleware' that covers the entire diagnostic and treatment process.

Channel and market complementarity:The combination of Huajian Healthcare’s IVD network spanning 1,711 tertiary hospitals and B-Soft Healthcare’s grassroots resources will drive the rapid penetration of closed-loop solutions.

Ecosystem and capital synergy:Using the 'Huajian Ecosystem' (K2) as a platform, innovative capital pathways such as intellectual property securitization (K3) will be explored to reinvest in technology R&D and market expansion.

This strategic acquisition aligns with the national 'AI+' initiative's strategic direction, accelerating the vision of empowering grassroots healthcare through technology. By incorporating Chuangye Huikang into the 'K×A' intelligent capital empowerment system, we are breaking down barriers in 'data + technology + application scenarios' to build a more inclusive new healthcare ecosystem.

Huajian Healthcare’s 'altruistic' mission is reflected not only in its commitment to public welfare but also in its dedication to rewarding shareholder value. Through intensive share repurchases, the company clearly communicates management’s recognition of intrinsic value and confidence in the AI healthcare sector.

Since 2025, Huajian Healthcare has continued to intensify its repurchase efforts: completing the repurchase of 4.02 million shares in the first half of the year at a cost of HKD 8.9042 million, which have been canceled, directly boosting earnings per share and shareholder equity.

In the second half of the year, the company further accelerated its repurchase pace. In November alone, it conducted eight repurchases, cumulatively spending HKD 74.7254 million. To date, the company's total repurchase amount for the year has exceeded HKD 100 million, fully demonstrating management’s firm confidence in the company’s future.

This series of repurchase actions stems from Huajian Healthcare’s core strategy of 'driving sustainable profitability through intelligent capital.' Through the value growth flywheel of 'financing - acquisitions - integration - sustained profitability,' we systematically invest in life science enterprises that meet the 'high-tech, globalized, large-asset' criteria. Combined with industrial synergy across 'three major curves' and AI algorithm empowerment, we solidify long-term profitability. The ongoing repurchase program is a natural extension of this strategy and a tangible demonstration of sharing development outcomes with shareholders.

Positioned at the historical turning point of AI healthcare breakthroughs, Huajian Healthcare, with its unique paradigm of 'acquisitions as form, algorithms as essence,' is outlining a future landscape of technological inclusiveness and industrial win-win scenarios.

We have not only built an independently controllable AI healthcare technology system but also forged a development path that balances social value with commercial sustainability. Grassroots doctors enhance their capabilities through AI assistance; patients in remote areas receive timely services via telemedicine; and chronic disease patients achieve precise management through intelligent monitoring—quality medical resources are reaching every corner in need with unprecedented efficiency.

Huajian Healthcare understands that true innovation must not only lead at the technological frontier but also ensure that its outcomes benefit people's livelihoods. We firmly believe that the light of AI will ultimately illuminate more urban and rural corners, transforming the vision of 'bringing quality healthcare to ordinary households' into reality.

Though the road ahead may be long, the direction is already clear. In its journey guided by the mission of 'benefiting the nation, the people, and the world,' Huajian Healthcare will continue to write a new chapter in China's AI-driven healthcare development, using technology as its pen and responsibility as its ink.