WORK Medical Aims for ¥10M Target with New AI Blood Analyzer in China

HANGZHOU, China – December 29, 2025 – In a significant move to modernize hematology diagnostics, WORK Medical Technology Group LTD (Nasdaq: WOK) has secured a strategic partnership to launch its new artificial intelligence-powered blood analyzer into one of China's most vital economic regions. The company announced that its subsidiary, Hunan Saitumofei Medical Treatment Technology Co., Ltd., has signed a one-year exclusive distribution agreement with Shanghai Benke Medical Technology Co., Ltd. for its newly approved AI-Automated Blood Cell Morphology Analyzer (CM-B600).

The agreement, effective throughout 2026, sets an ambitious minimum sales target of RMB 10 million (approximately US$1.4 million) and is poised to accelerate the large-scale commercialization of the cutting-edge device. This collaboration signals strong market confidence in WORK Medical's technology and marks a pivotal step in the company's strategy to expand its footprint in the high-tech medical device sector.

A Strategic Push into a Core Economic Hub

The exclusive distribution rights granted to Shanghai Benke cover East China's powerhouse provinces of Jiangsu and Zhejiang, as well as the municipality of Shanghai. This territory, encompassing the core of the Yangtze River Delta region, is not only China's most economically dynamic area but also a hub for advanced medical facilities and healthcare innovation. By partnering with Shanghai Benke, a company with an established sales network and deep regional expertise, WORK Medical is strategically positioning the CM-B600 analyzer for rapid market penetration and adoption.

Under the terms of the deal, Shanghai Benke is tasked with achieving a sales goal of at least RMB 10 million for the analyzer between January 1 and December 31, 2026. Demonstrating its commitment, Shanghai Benke has prepaid a performance bond of RMB 1 million. This bond will either be deducted from the final payment upon successful completion of the sales target or refunded without interest, underscoring the confidence both parties have in the product's market potential.

Mr. Shuang Wu, Chief Executive Officer and Chairman of WORK Medical, commented on the strategic importance of the timing and the partnership. “We are pleased to announce this agency agreement shortly after receiving manufacturing approval, which underscores both the commercial readiness of the Analyzer and the market’s recognition of our technology and brand,” he stated. “By leveraging Shanghai Benke’s established medical device sales network and deep roots in the East China market, we aim to accelerate market penetration of the Analyzer and further strengthen WORK Medical’s nationwide brand presence.”

Revolutionizing Hematology with Advanced AI

The CM-B600 analyzer represents a significant leap forward from traditional blood cell analysis. For decades, the gold standard for examining blood cell morphology has been manual microscopic examination of a peripheral blood smear. While highly informative, this method is labor-intensive, time-consuming, and heavily dependent on the skill and experience of the laboratory technician, leading to potential inconsistencies and delays in diagnosis.

WORK Medical’s new analyzer automates this critical process. Having received manufacturing approval as a Class II medical device in November 2025, the system leverages high-resolution digital imaging technology to simulate the meticulous workflow of a human expert. It employs sophisticated algorithms, including region-based level set segmentation and Support Vector Machine (SVM) models, to automatically scan, identify, and classify blood cells with remarkable speed and precision.

The device boasts impressive performance metrics. It can process up to 150 samples in a single batch, with an additional slot for emergency samples, and completes the analysis of a single blood smear in no more than three minutes on average. This high throughput is critical for busy clinical laboratories seeking to improve efficiency. Furthermore, the system achieves a classification accuracy of no less than 90% for key white blood cells such as lymphocytes, neutrophils, eosinophils, and basophils. Its capabilities extend to identifying 17 different subtypes of white blood cells and providing detailed morphological analyses of red blood cells—detecting abnormalities like acanthocytes and target cells—as well as characterizing platelet size and aggregation. The analyzer’s database can store over 350,000 high-definition blood cell images, creating a valuable resource for review, training, and quality control.

Interpretable AI: A Safer Approach to Clinical Diagnosis

In a field where accuracy and trust are paramount, WORK Medical has made a notable technological choice that sets the CM-B600 apart. Instead of relying on deep-learning or 'black box' AI models, the analyzer uses non-deep-learning feature extraction algorithms. These methods analyze quantifiable characteristics such as the nucleus-to-cytoplasm ratio and cellular granularity. This approach offers high interpretability, meaning clinicians and technicians can understand the specific features the AI used to make its classification.

This 'explainable AI' (XAI) is crucial for reducing potential clinical risks and building confidence among medical professionals. Unlike opaque algorithms where the reasoning is hidden, an interpretable system allows for verification and builds a collaborative relationship between the machine and the human expert. It ensures that the analyzer serves as a powerful, consistent, and transparent tool that augments, rather than blindly replaces, the diagnostic judgment of skilled laboratory staff.

This rapid transition from regulatory approval to a major commercialization agreement highlights WORK Medical's efficient execution and the market's demand for innovative diagnostic solutions. The rollout in East China is seen as a benchmark for wider adoption. As Mr. Wu noted, this initiative is expected to lay “a solid foundation for future expansion across China and into international markets,” positioning the company for sustained growth and establishing its brand as a leader in AI-driven medical technology.