Amidst the waves of opportunities, who is leading in AI + Digital Health? Enterprises that adhere to long-term developmentalism have provided the answer with impressive annual performance. On March 21, "the first stock in AI chronic disease management" Ark Health (06086) officially released its first annual report since going public.
In February 2025, the national-level AI model DeepSeek emerged, as the most underestimated application field of AI, "AI + Medical" has attracted strong entry from many leading technology companies and gained favor from global capital. According to Institutions statistics, the total financing in the global AI medical field has exceeded 10 billion yuan in the first two months of 2025. Guolian Minsheng Securities further stated that 2025 is expected to be the inaugural year of "AI + Medical."
Amidst the waves of change, opportunities arise. Who is leading in AI + Digital Health? Companies that adhere to long-term development principles have provided the answer with impressive annual performance. On March 21, "the first stock of AI chronic disease management" Ark Health (06086) officially released its first annual report since going public.
Data shows that as of December 31, 2024, the company recorded a total revenue of 2.707 billion yuan, a year-on-year growth of 11.2%; continuous technical improvements have promoted the increase in operational efficiency, with the annual adjusted Net income reaching 17.119 million yuan, representing a year-on-year increase of 139% compared to 2023. Registered users increased by 6.5 million to reach 49.2 million; monthly active users grew by 20% year-on-year, reaching 10.1 million, leading in the vertical segment of Internet chronic disease management.
"AI + H2H" empowerment, technology innovation drives profit leap.
In recent years, Ark Health has made steady and firm progress on the path of technological innovation upgrades. The quality enhancement and efficiency achieved through technology-driven means have become the core engine for the company's profit leap. The company continuously empowers the two major application scenarios of "patient services" and "doctor work" with emerging technologies such as large language models, Big Data, and Cloud Computing, innovatively developing four core application products: AI Doctor Assistant, AI Customer Service Assistant, AI Procurement Assistant, and AI Creative Assistant, driving continuous service optimization and achieving effective efficiency improvements.
"Users often expect quick responses and high-quality consultations from doctors during online consultations, but this poses a professional pain point for doctors. The AI Doctor Assistant developed by the company is a team that integrates customer service, assistants, and health consultants. It not only alleviates the burden on doctors but also enhances the user service experience, which is also an application product developed by the company focusing on the core needs of over 220,000 doctors," said Xie Fangmin, founder, Chairman, and CEO of Ark Health.
Based on a profound understanding of core user needs, and empowered by a strong technological foundation, the independently developed "Ark Health H2H (Hospital To Home) smart medical new ecosystem innovation platform" continues to iterate, achieving an upgrade of "AI + H2H" in 2024, providing patients with a seamless medical service experience from hospital to home, driving strong growth in platform user scale with advanced technology and high-quality services, significantly enhancing user engagement and loyalty.
During the reporting period, the number of registered users of the company's chronic disease management service platform increased from 42.7 million at the end of 2023 to 49.2 million, adding 6.5 million users; the average monthly active user count rose to 10.1 million, a year-on-year increase of 20%. The platform users maintain high engagement, with a repeat purchase rate for paying users reaching 84.7%. The number of registered doctors on the platform also increased to 0.223 million.
The growth in platform user scale and sustained increase in activity has significantly advanced the company's main business. During the reporting period, the revenue from the company's online retail pharmacy services reached 1.405 billion yuan, a year-on-year increase of 8.3%; the revenue from customized content and marketing solutions was 0.105 billion yuan, up 20.7% year-on-year.
On the other hand, the company has also driven the intelligence upgrade of the supply chain through cutting-edge technology, helping the business develop steadily. As of December 31, 2024, the company collaborated with over 1,500 suppliers and more than 900 pharmaceutical companies, including large multinational corporations and leading domestic enterprises. The close cooperation has enabled the company to expand its pharmaceutical SKU to 0.215 million types, of which about 62% are prescription drug SKUs, meeting patients' wide-ranging medication needs.
Streamlining the medical insurance payment pathway, 'allowing technology to better serve the public.'
After continuous iterations of AI technology, in 2025, Ark Health successively integrated capabilities of richer large models such as DeepSeek-V3 and DeepSeek-R1, and deepened strategic cooperation with Tencent Cloud and Tencent Health to jointly explore innovative applications of AI in pharmaceutical circulation, health management, and other fields, providing smarter solutions for the upgrade of the Digital Health industry.
The purpose of technological upgrades is to better serve the public. While continuously exploring the application of AI technology in the medical and health industry, in 2024, Ark Health will also promote national medical insurance digital management and online payment as key projects, successfully integrating its service platform with the medical insurance platform, fully streamlining the medical insurance payment pathway.
After successfully connecting to the medical insurance platform, through the Ark Health service platform, insured persons in Guangzhou can use medical insurance pooled funds and personal accounts to pay for common outpatient prescription medications. At the same time, the company's online retail pharmacy service platform has launched an immediate settlement function for 'dual-channel' catalog drugs, allowing chronic disease patients to use prescriptions issued by hospitals to pay through the 'Ark Health Medical Insurance Assistant Mini Program' in the Guangdong Medical Insurance system.
This series of measures has been implemented, allowing insured users to benefit from national medical insurance rights, reducing the economic burden of purchasing medication for citizens, while also enjoying the convenience of Digital Health services, better meeting residents' health and medical service needs.
The "AI + Medical" track is favored by capital, and Ark Health shows resilience in long-term development.
With the vigorous development of Global AI technology, all industries are undergoing tremendous progress and transformation.
At the policy level, in November 2024, three departments including the National Health Commission jointly issued the "Guidelines for AI Application Scenarios in the Health Industry," clearly mentioning that AI can be applied to key areas such as patient management, pharmaceutical management, and medical insurance management. The national level's attention and support for "AI + Medical" technology continue to deepen.
"AI +" track is gradually becoming a new favorite in the Capital Markets. A report from Goldman Sachs predicts that the widespread popularity of AI in the next decade is expected to boost the overall profitability of Chinese Stocks by 2.5% annually. Benefiting in the long term from macro trends such as population aging and the younger onset of chronic diseases, China's digital chronic disease market is rapidly expanding, expected to reach 655 billion yuan by 2030, and the long-term opportunities in this track are certain.
Standing at the forefront of "AI + Medical," as a company that adheres to long-termism and professionalism, Ark Health believes that "precision, effectiveness, and long-term" are the fundamentals for Internet medical enterprises to conduct Business. It is essential to solidly meet users' personalized needs, continuously empower industry partners, and achieve a "specialized and refined" business, which is the foundation for the company's long-term development.
Seizing the AI + Medical wave, technological breakthroughs are key. Looking forward, Ark Health will adhere to open innovation, leverage its professional accumulation and technological advantages in the Internet medical field, focus on promoting the deep application and widespread adoption of "AI + Medical" services, build a more resilient core competitive advantage, boost the high-quality development of the Internet medical industry, and lead the industry toward higher and further goals.
