Dr. Alexander Dobranowski reports

HEALWELL AI PROVIDES CORPORATE UPDATE AND PRELIMINARY FINANCIAL RESULTS FOR THE YEAR ENDED DECEMBER 31, 2023

Healwell AI Inc. has provided a corporate update, including the release of preliminary financial results for its fiscal fourth quarter and year ended Dec. 31, 2023. These results are unaudited and remain subject to the completion of the company's year-end financial reporting processes, audit and any potential adjustments that might result.

Highlights:

• Healwell debuted in the fourth quarter of 2023 and, since then, has achieved significant milestones, including raising approximately $29.5-million, completing the acquisition of a majority interest in AI (artificial intelligence) health care company Pentavere, announcing that it is powering Well AI Decision Support, the first AI-powered physician co-pilot product adopted by Well Health Technologies, and announcing the acquisition of Intrahealth, an enterprise-class EHR (electronic health record) driving current yearly run-rate revenues to over $20-million, most of which is attributable to SaaS (software-as-a-service) and services.
• Management provides a positive outlook based on strong and active acquisition and business development pipeline, with the potential to more than double Healwell's yearly revenue run-rate to over $40-million using the company's existing cash on hand and without further financing resources.
• Healwell AI to hold a conference call and simultaneous webcast next week, details will be provided separately when they are available.

Selected unaudited financial result expectations for the periods include:

• Annual revenue from continuing operations of $7.32-million during fiscal 2023. Quarterly revenue from continuing operations of $1.92-million during Q4 2023.
• Net loss from continuing operations of $30.20-million.
• As at Dec. 31, 2023, Healwell had net assets of $21.96-million and cash of $19.16-million.

Dr. Alexander Dobranowski, Healwell's chief executive officer, commented: "Fourth-quarter was a historic chapter in Healwell's journey as we marked our debut, with an unwavering commitment to revolutionize health care through AI innovation. During the fourth quarter we forged a transformative partnership with Well Health Technologies Corp. (TSX: WELL), secured approximately $29.5-million through convertible debt and equity financings, and completed the acquisition of a majority interest in Pentavere, one of the leading health care AI platforms in Canada. Our recent acquisition of Intrahealth further strengthens Healwell's position as a leading AI and data science company in the health care sector."

Dr. Dobranowski further adds: "We have an extremely positive outlook based on our organic growth profile, and M&A (merger and acquisition) strategy. We currently have a strong and active acquisition pipeline with the potential to more than double our current revenue run-rate of over $20-million to over $40-million per year, by using the existing cash we have on hand. We look forward to providing more details on our upcoming quarterly investor conference call."

Scott Nirenberski, Healwell's chief financial officer, commented: "During the fourth quarter, we solidified our balance sheet, which enabled the company to complete the Intrahealth acquisition in Q1 2024. Our 2023 results are not indicative of the company's current run-rate revenues as Intrahealth is expected to achieve over $12-million revenue this year, and we are expecting both Khure Health and Pentavere revenues to also accelerate in 2024. In addition, we are also expecting to improve our profitability and cash flow profile in the coming quarters."

All figures reported above are preliminary and unaudited, are based on information available to management as of March 21, 2024, and are subject to further changes upon completion of the company's audit and year-end financial reporting processes, audit, and any potential adjustments that may result. This update does not present all necessary information for an understanding of Healwell's financial condition as of the date of this release, or its results of operations for the year and quarter ended Dec. 31, 2023. As Healwell finalizes its financial statements for the periods, it is possible that the company may identify items that require it to make adjustments to the preliminary financial information set forth above, and those changes could be material. Accordingly, investors are cautioned not to place undue reliance on this information. The company does not intend to provide preliminary results in future periods.

Healwell will release its financial results for the year ended Dec. 31, 2023, next week. Details will be provided separately when they are available.

About Healwell AI Inc.

Healwell is a health care technology company focused on AI and data science for preventative care. Its mission is to improve health care 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 health care providers detect rare and chronic diseases, improve efficiency of their practice, and ultimately help improve patient health outcomes. Healwell is executing a strategy centred around developing and acquiring technology and clinical sciences capabilities that complement the company's road map.

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