HEALWELL Achieves Revenue of $33 Million, Improved Operating Cash Flow and a Strengthened Balance Sheet in Q2-2026

• HEALWELL achieved revenue from continuing operations of $33.0 million in Q2-2026 compared to revenue of $33.2 million in Q2-2025.  Revenue remained consistent with the prior year, as one-time professional services revenue recognized in Q2 2025 did not recur in the current period. Excluding this impact, quarterly revenue reflects the Company’s continued transition from episodic project-based engagements to higher-margin, recurring enterprise sales.
  
  
• HEALWELL continues to commercialize its AI product suite across its software carriage network, with AI solutions including SMART Search™ and SMART Summary™ being cross-sold into Orion Health’s customer base across the globe.
  
  
• The Company’s indirect interest in SpaceX shares was valued at approximately CAD$23 million as of June 30, 2026, based on prevailing market prices and exchange rates on that date.  The Company intends to monetize the value of its SpaceX position as the shares come off lock up, with the proceeds intended to strengthen HEALWELL’s balance sheet and liquidity position.
  
  
• HEALWELL continues to target an approximately 10% Adjusted EBITDA margin by the end of the year, reflecting continued operating leverage across the platform as we scale our revenue base.  The Company’s positive outlook for 2027 is based on a growing pipeline of AI technology upsell opportunities into the global Orion customer base, margin improvement and increasing subscription-based recurring revenue.    
  

TORONTO, ON, August 6, 2026 – HEALWELL AI Inc. (“HEALWELL” or the “Company”) (TSX: AIDX, OTCQX: HWAIF), a healthcare artificial intelligence company focused on preventative care, is pleased to announce its unaudited interim condensed consolidated financial results for the quarter and six months ended June 30, 2026. A summary of the Company’s financial and operational results is set out below, and more detailed information is contained in the interim financial statements and related management discussion and analysis, which are available on the Company’s SEDAR+ page at www.sedarplus.com. Financial measures described as “Adjusted” or “EBITDA” in this news release are non-IFRS financial measures and may not be comparable to other similar measures disclosed by other companies. Please see Non-IFRS Financial Measures below for more information.

James Lee, Chief Executive Officer of HEALWELL, commented, “Having completed our first full year of Orion Health ownership, we are now seeing our integration work convert into commercial results. We closed multiple SMART Search and SMART Summary upsells into the Orion install base in the first half, and our recurring subscription revenue grew year over year even as we deliberately reduced our exposure to episodic project work. The shift in revenue mix towards recurring enterprise sales, together with anticipated improvements to our margins in the second half of the year and the Company’s growing pipeline of upsell opportunities are expected to build momentum into 2027. We also intend to monetize our SpaceX holding as the lock up expires, which we expect to strengthen our liquidity position.”

Anthony Lam, Chief Financial Officer of HEALWELL, commented, “A key highlight this quarter is the continued positive trajectory of our operating cash flow. We generated $4.5 million of positive operating cash flow for the first half of 2026, a $14.3 million improvement compared to cash used in the prior year period, reflecting the underlying strength and increasing efficiency of our combined operations following the Orion Health acquisition. This shift to sustained positive cash generation strengthens our balance sheet and liquidity position, and we remained in compliance with all covenants under our credit facilities as at June 30, 2026. We continue to target an approximately 10% Adjusted EBITDA margin by the end of the year, reflecting continued operating leverage across the platform as we scale our revenue base and drive further efficiencies across our combined operations.”

Financial Highlights

Significant financial highlights for the Company’s continuing operations during the three months ended June 30, 2026 included:

• HEALWELL achieved quarterly revenue from continuing operations of $33.0 million in Q2-2026, in line to the revenue of $33.2 million generated in Q2-2025. The comparison reflects an unusually strong Q2-2025, which benefited from elevated project-based Professional Services activity, while the Company’s recurring Subscription, Support and Maintenance revenue continued to grow year-over-year.
  
  
• HEALWELL achieved Gross Profit of $17.9 million during Q2-2026, a decrease of 4% compared to $18.7 million in Q2-2025. The decrease is due to a shift in revenue mix within the Data Science & AI segment toward lower-margin, project-based Life Sciences work.
  
  
• HEALWELL achieved a Gross Margin percentage of 54% during Q2-2026, compared to 56% in Q2-2025.
  
  
• During Q2-2026, the Company’s IFRS net income from continuing operations was $6.4 million compared to a net loss of $4.1 million for the previous year.
  
  
• During Q2-2026, HEALWELL reported positive Adjusted EBITDA¹ of $1.1 million, compared to Adjusted EBITDA of $2.3 million in Q2-2025. Stronger margins from the AI & Data Science segment, which included Mutuo (since divested) in 2025, account for the difference in EBITDA between the periods.
  

Significant financial highlights for the Company’s continuing operations during the six months ended June 30, 2026 included:

• HEALWELL achieved revenue from continuing operations of $66.2 million for the six months ended June 30, 2026, an increase of 60% compared to revenue of $41.2 million generated in the six months ended June 30, 2025. The increase was driven primarily by the Orion Health acquisition, which closed April 1, 2025 and contributed a full six months of revenue in the current period versus a partial period in the prior year.
  
  
• HEALWELL achieved Gross Profit of $37.4 million during the six months ended June 30, 2026, an increase of 62% compared to $23.2 million in the six months ended June 30, 2025. The increase is due to higher revenues in the period, driven primarily by the Orion Health acquisition.
  
  
• HEALWELL achieved a Gross Margin percentage of 57% during the six months ended June 30, 2026, compared to 56% in the six months ended June 30, 2025.
  
  
• Cash flow generated from operating activities was $4.5 million for the six months ended June 30, 2026, compared to cash used of $9.9 million in the prior year period, an improvement of 145%.
  
  
• During the six months ended June 30, 2026, the Company’s IFRS net loss from continuing operations was $0.45 million compared to a net loss of $16.4 million for the six months ended June 30, 2025.
  
  
• During the six months ended June 30, 2026, HEALWELL reported positive Adjusted EBITDA¹ of $1.9 million, compared to Adjusted EBITDA of $0.1 million in the six months ended June 30, 2025, an increase of approximately 2,574%. The increase was primarily attributable to the Orion Health acquisition and improved performance across HEALWELL’s operating segments.
  

Business and Operational Highlights

Significant business and operational highlights for the Company included:

• SpaceX Investment: Based on current market prices and exchange rates, the Company’s value of its indirect interest of SpaceX shares had increased to approximately CAD$23 million as of June 30, 2026, based on their market price and exchange rates in effect on that date, as compared to a carrying value of approximately CAD$4.6 million reflected in the Company’s financial statements as of March 31, 2026. HEALWELL acquired its indirect interest in SpaceX through its prior investment in xAI Corp. in May 2024, which was acquired by SpaceX in February 2026.The holdings remain subject to a customary post-IPO lock-up period of up to six months, and the Company intends to monetize the value of its SpaceX position as the shares come off lock up, with the proceeds intended to strengthen HEALWELL’s balance sheet and liquidity position.
  
  
• AI Cross-Sell into Orion Health Customer Base: HEALWELL continues to commercialize its AI product suite across its software carriage network, with AI solutions including SMART Search™ and SMART Summary™ being cross-sold into Orion Health’s customer base across the globe.
  
  
• WAIDS Demonstrates Strong Results in Diabetes Screening: HEALWELL completed a real-world study demonstrating the effectiveness of its WELL AI Decision Support (WAIDS) platform in identifying patients who may have undiagnosed or unmanaged diabetes. WAIDS analyzed patient records and recommended clinical reviews and point-of-care assessments for high-risk patients. The study highlights WAIDS’ ability to help clinicians identify high-risk patients earlier, support timely clinical intervention, and improve patient outcomes.
  
  
• WELL ID Expands Secure Healthcare Access:  HEALWELL’s VeroSource subsidiary launched Digital ID, a healthcare-grade digital identity and single sign-on platform designed to streamline secure access to EMRs, clinical systems, and AI-enabled tools. Through its partnerships with WELL Health and WELLSTAR Technologies, the platform is now being deployed as WELL ID across the WELL clinic network.  WELL ID reduces login friction, strengthens enterprise-grade security, improves clinician workflows, and provides the foundational digital identity infrastructure needed to enable scalable, interoperable AI adoption across healthcare.
  
  
• Multi-Province AI Pilot and Clinical Validation: On June 17, 2026, HEALWELL announced the successful completion of a multi-province pilot evaluating its DARWEN™-powered SMART Summary™ and SMART Search™ solutions across healthcare settings in British Columbia, Ontario and New Brunswick, within both the OSCAR Pro and Intrahealth Profile electronic medical record environments. The pilot demonstrated how AI-generated, traceable patient summaries and search capabilities can reduce chart-review burden, improve access to relevant patient information, and support more efficient clinical workflows. Results from the pilot were accepted for presentation at the American Medical Informatics Association (AMIA) Annual Symposium, taking place November 7–11, 2026 in Dallas, Texas.
  
  
• Board of Directors Appointment: On April 22, 2026, HEALWELL appointed Brad Porter, Chief Commercial Officer of HEALWELL and CEO of Orion Health, to its Board of Directors, to strengthen the Company’s commercial and strategic expertise. Mr. Porter brings over 15 years of experience in finance, commercial leadership and global healthcare technology, and oversees HEALWELL’s group-wide commercial strategy, revenue growth and go-to-market alignment. In connection with the appointment, Ian McCrae, founder of Orion Health, stepped down from the Board following a successful initial phase of integration of Orion Health into HEALWELL.
  

Webcast and Conference Call Details

HEALWELL will be holding a conference call and simultaneous webcast to discuss its financial results on Friday, August 7, 2026 at 8:30 am ET (5:30 am PT). The call will be hosted by James Lee, Chief Executive Officer, Dr. Alexander Dobranowski, President, and Anthony Lam, Chief Financial Officer. Please dial-in 10 minutes prior to the start of the call.

Date: Friday, August 7, 2026

Time: 8:30 AM ET / 5:30 AM PT

Webcast link: https://bit.ly/AIDX-Q2

Toll-Free North America: (+1) 800 431 2204

International Toll: (+1) 289 514 5015

When connecting to the conference call via phone, please dial in 10 minutes prior to the start of the call and ask to be joined into the “HEALWELL AI Inc. Conference Call.”

Selected Financial Information

(in thousands of Canadian dollars, except percentages and per share amounts)

Non-IFRS Financial Measures

The terms EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin used in this document do not have any standardized meaning under IFRS, may not be comparable to similar financial measures disclosed by other companies and should not be considered a substitute for, or superior to, IFRS financial measures. Readers are advised to review the section entitled “Non-IFRS Financial Measures” in the Company’s management discussion and analysis for the quarter ended June 30, 2026, available on the Company’s SEDAR+ page at www.sedarplus.ca, for a detailed explanation of the composition of these measures and their uses.

The following table reconciles EBITDA and Adjusted EBITDA to net loss from continuing operations for the three and six months ended June 30, 2026 and June 30, 2025:

James Lee

Chief Executive Officer

HEALWELL AI Inc.

About HEALWELL AI

HEALWELL is a healthcare artificial intelligence company focused on preventative care. Its mission is to improve healthcare and save lives through early identification and detection of disease. Using its own proprietary technology, the Company is developing and commercializing advanced clinical decision support systems that can help healthcare providers detect rare and chronic diseases, improve efficiency of their practice and ultimately help improve patient health outcomes. HEALWELL is executing a strategy centered around developing and acquiring technology and clinical sciences capabilities that complement the Company’s road map. HEALWELL is publicly traded on the Toronto Stock Exchange under the symbol “AIDX” and on the OTC Exchange under the symbol “HWAIF”. To learn more about HEALWELL, please visit https://healwell.ai/.

Forward Looking Statements

Certain statements in this press release, constitute “forward-looking information” and “forward looking statements” (collectively, “forward looking statements”) within the meaning of applicable Canadian securities laws, including statements about the Company’s continued efforts to commercialize its AI products and services; the Company’s intention to monetize its indirect interest in SpaceX as the shares come off lock-up, and the Company’s expectation that the resulting proceeds will strengthen HEALWELL’s balance sheet and liquidity position; and the Company’s target of achieving an Adjusted EBITDA margin of approximately 10% by the end of the year; and are based on assumptions, expectations, estimates and projections as of the date of this press release. Forward-looking statements are often, but not always, identified by words or phrases such as “intends”, “growing”., “increasing”, “anticipated”, “expected”, “target”, “strengthening”, “building”, “transitioning”, “improving”, “continues to”, “driving”, “scaling” or variations of such words and phrases or statements that certain future conditions, actions, events or results “will”, “may”, “could”, “would”, “should”, “might” or “can” be taken, occur or be achieved, or the negative of any of these terms. Forward-looking statements are necessarily based upon management’s perceptions of historical trends, current conditions and expected future developments, as well as a number of specific factors and assumptions that, while considered reasonable by HEALWELL as of the date of such statements, are outside of HEALWELL’s control and are inherently subject to significant business, economic and competitive uncertainties and contingencies which could result in the forward-looking statements ultimately being entirely or partially incorrect or untrue. Forward looking statements contained in this press release are based on various assumptions, including, but not limited to, the following: HEALWELL’s ability to leverage Orion Health personnel, products, services, customers and relationships; HEALWELL’s ability to maintain and leverage is relationships with its commercial partners; the continued adoption of the software, tools and solutions created by HEALWELL; that HEALWELL will be successful in identifying, executing and integrating new acquisitions, investments and/or partnerships; the terms and timelines on which the Company’s indirectly held SpaceX securities may be distributed out to the Company; the anticipated price per SpaceX share that may be available following the expiry of any lock-up or restricted periods applicable to the Company; the fees and expenses that may be charged in connection with any distribution or monetization of the SpaceX securities; the marketability and transferability of the SpaceX shares that may ultimately be held by the Company; the stability of general economic and market conditions; sufficiency of working capital and access to financing; HEALWELL’s ability to comply with applicable laws and regulations; HEALWELL’s continued compliance with third party intellectual property rights; the effects of competition in the industry; the requirement for increasingly innovative product solutions and service offerings; technologies working as intended or at all; trends in customer growth and the adoption of new technologies in the industry; and that the risk factors noted below, collectively, do not have a material impact on HEALWELL’s business, operations, revenues and/or results. By their nature, forward-looking statements are subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections, or conclusions will not prove to be accurate, that assumptions may not be correct, and that objectives, strategic goals and priorities will not be achieved.

Known and unknown risk factors, many of which are beyond the control of HEALWELL, could cause the actual results of HEALWELL to differ materially from the results, performance, achievements, or developments expressed or implied by such forward-looking statements. Such risk factors include but are not limited to those factors which are discussed under the section entitled “Risk Factors” in HEALWELL’s most recent annual information form dated March 18, 2026, which is available under HEALWELL’s SEDAR+ profile at www.sedarplus.ca. The risk factors are not intended to represent a complete list of the factors that could affect HEALWELL and the reader is cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking statements. There can be no assurance that forward looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are provided for the purpose of providing information about management’s expectations and plans relating to the future. HEALWELL disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, or to explain any material difference between subsequent actual events and such forward-looking statements, except to the extent required by applicable law. All of the forward-looking statements contained in this press release are qualified by these cautionary statements

This news release contains future-oriented financial information and financial outlook information (collectively, “FOFI”) about the Company’s target of achieving an Adjusted EBITDA margin of approximately 10% by the end of the year, which are subject to the same assumptions, risk factors, limitations, and qualifications as set out in the above paragraphs. The actual financial results of the Company may vary from the amounts set out herein and such variation may be material. HEALWELL and its management believe that the FOFI has been prepared on a reasonable basis, reflecting management’s best estimates and judgments. However, because this information is subjective and subject to numerous risks, it should not be relied on as necessarily indicative of future results. Except as required by applicable securities laws, HEALWELL undertakes no obligation to update such FOFI. FOFI contained in this news release was made as of the date hereof and was provided for the purpose of providing further information about HEALWELL’s anticipated future business operations and strategic plan for the coming year. Readers are cautioned that the FOFI contained in this news release should not be used for purposes other than for which it is disclosed herein.

For more information:

Pardeep S. Sangha

Investor Relations, HEALWELL AI Inc.

Phone: 604-572-6392

ir@healwell.ai