An announcement from the A-share market has sent ripples through the AI and healthcare investment communities—Iflytek Co.,Ltd. released its full-year 2025 performance forecast, projecting a 40% to 70% year-on-year increase in net profit attributable to listed shareholders. Against a backdrop of macroeconomic pressure and widespread valuation corrections in the tech sector, this growth not only highlights the resilience of its core business but also signals a crucial shift: the commercialization of AI-driven vertical scenarios has entered a harvest period. Among Iflytek's seven strategic business units, the healthcare segment has delivered particularly stellar results. As the core vehicle for this segment, XUNFEIHEALTH (02506), which is independently listed on the Hong Kong Exchange, is leveraging its parent company's continuous breakthroughs in foundational AI technology, combined with its own deep roots and implementation experience within China's primary healthcare system, to build a formidable and difficult-to-replicate technological moat and market barrier. Standing at the forefront of the global AI healthcare wave, XUNFEIHEALTH's moment of value reassessment has arrived.

The healthcare segment has become a new growth engine for Iflytek Co.,Ltd.. The robust growth in Iflytek's 2025 performance is not the result of a single product's breakout success but rather the synergistic effect of its "platform + scenario" strategy across multiple tracks. Among these, the healthcare business, as one of the earliest to achieve scaled commercial closed loops, has become a significant contributor to growth. According to internal analysis, XUNFEIHEALTH's market penetration and service capabilities continued to surge in 2025: its core product, the Intelligent Medical Assistant, has been deployed in over 77,000 primary healthcare institutions nationwide; its comprehensive smart hospital solution is applied in more than 500 graded hospitals; and its consumer-facing health assistant app, "Xunfei Xiaoyi," has surpassed 26 million downloads, cumulatively completing over 160 million AI health consultations. Behind these impressive figures lies the reality that XUNFEIHEALTH has evolved beyond a mere "technology showcase" to become genuinely embedded within the national tiered diagnosis and treatment system, forming sustainable B2G (government) and B2B (hospital) business models. This "policy + technology + implementation" triangular closed loop is a core component of the logic supporting its parent company's high profit growth.

The widespread acceptance by medical institutions at all levels stems fundamentally from Iflytek Co.,Ltd.'s solid technological barriers. According to the company's performance announcement, the "Xunfei Spark" large language model is currently the only mainstream, publicly downloadable large model in China trained entirely on domestically produced computing power. Its overall technical indicators consistently benchmark against the global top tier, and it leads globally in model effectiveness for sectors including education, healthcare, security, and energy. Built upon this core foundation, the Spark Medical large model has also become the industry's only medical deep reasoning model trained on fully domestic computing power. It comprehensively outperforms GPT-5 (high) and DeepSeek V3.2-Exp in core medical scenarios such as medical knowledge Q&A, medical language understanding, medical document generation, diagnostic recommendations, multi-turn interaction, and multimodal interaction, with its specialized AI capabilities reaching, for the first time in the industry, the level of a chief physician in a graded hospital. Winning bid data and market share further corroborate its industry clout. In 2025, the total value of Iflytek's large model-related project wins reached 2.316 billion yuan, exceeding the combined total of the second to sixth placed companies in the industry. Within the medical subsector, XUNFEIHEALTH firmly holds the top position. For the AI healthcare industry, the value of technology long transcends laboratory papers and patents; it lies in the transformation into product capabilities that are mass-producible, scalable for deployment, and capable of generating stable profits. Whether it's the Intelligent Medical Assistant or provincial-level medical imaging cloud platforms, only products with a sufficiently high degree of standardization can achieve rapid replication and promotion within such a fragmented healthcare market. This scalability is precisely the certainty global capital most craves from AI healthcare enterprises.

Exporting technology to replicate the Chinese experience. As 2026 begins, the global AI arena is focusing on the healthcare track with unprecedented intensity, leading to a comprehensive upgrade in industry competition. On the international stage, Amazon made a significant move on January 21st by launching its Health AI assistant, formally entering the AI healthcare domain. Earlier, tech giants OpenAI, Anthropic, and Google had already released their own dedicated AI medical products, scrambling to seize market first-mover advantage. This global AI healthcare fervor is far from mere capital speculation; it is the inevitable result of a historic convergence of multiple rigid demands and key technological breakthroughs. From a market potential perspective, the global AI healthcare sector is on a high-growth trajectory with continuously expanding market space. Industry estimates indicate that the global AI healthcare market size surpassed $100 billion in 2025, with a compound annual growth rate steadily above 25%. Within this, AI applications for primary care account for over 30% of the market share, and their growth rate continues to outpace the overall market, establishing them as a core driver of global healthcare digitalization. Notably, the uneven distribution of primary care resources is a common global challenge. Not only developing nations but also some developed countries face dilemmas highly similar to China's primary healthcare issues: insufficient supply of doctors, weak IT infrastructure, and strong government-level demand for digital transformation. Against this backdrop, the mature solutions honed by XUNFEIHEALTH through long-term practice in the domestic market are actively providing actionable, replicable "China Solutions" to this worldwide problem. During the 78th World Health Assembly (WHA78), the English website of China's National Health Commission dedicated a special column to showcase Chinese practices in digitally empowering primary health. XUNFEIHEALTH's Intelligent Medical Assistant was selected for its breakthrough application in intelligently empowering primary care, becoming a key vehicle for communicating Chinese wisdom in primary care development and exporting the China model to the world. If the Chinese market served as the "testing ground" for XUNFEIHEALTH to refine its technology and validate its model, then global emerging markets represent its "second growth curve" for leveraging new growth space. Aligning with the high-growth trend of the global AI healthcare market and the common challenge of uneven primary care resources, XUNFEIHEALTH is systematically exporting its mature primary care AI solutions to gain a competitive edge on the global stage.

A new narrative for the capital markets. Iflytek Co.,Ltd.'s 40%-70% profit growth forecast essentially sends a clear signal to the capital markets: medical AI has transitioned from concept to a phase of scaled profitability, and as an industry leader, XUNFEIHEALTH possesses the capability to consistently deliver on its performance. Currently, valuations among globally listed AI healthcare companies show significant divergence. US companies like Tempus (market cap $11.487 billion as of Jan 29) and Olive AI (once valued at $4 billion), while leading in specific niches, mostly remain loss-making and reliant on financing. In contrast, XUNFEIHEALTH, leveraging China's vast primary care market, has achieved high-speed growth driven by Government, Business, and Consumer segments. Its valuation still has substantial room for appreciation—the core logic being that the company is already profitable, its business model is continuously optimizing, and its technological barriers are difficult to replicate. As the global AI healthcare market continues to expand, its valuation is expected to gradually converge with those of global leaders. More importantly, the sustainability of XUNFEIHEALTH's technological moat provides support for its long-term valuation. Unlike the "single-point technological breakthroughs" of ordinary AI healthcare firms, XUNFEIHEALTH has constructed a complete ecosystem of "large model + data + scenarios": the Spark Medical model provides technical support, massive domestic medical data forms a barrier, and multi-scenario applications in primary care, imaging quality control, and post-diagnosis management are successfully implemented. This ecosystem-based competitive advantage is difficult for peers to replicate and serves as a core source of its valuation premium.

In conclusion, Iflytek Co.,Ltd.'s 2025 performance forecast is essentially a vote of confidence in the commercialization of AI. For XUNFEIHEALTH, this is not merely an "overflow effect" of its parent's performance but a clear signal of its own independent commercial value. Under the triple logic of productization capabilities solving profitability challenges, the GBC model building competitive barriers, and proprietary technology supporting global expansion, XUNFEIHEALTH is carving out a unique path for AI healthcare commercialization, deeply embedded as "new infrastructure" within China's healthcare system transformation. When AI truly integrates into medical institutions and households, it enhances not just healthcare efficiency but the very landscape of global health equity. And this time, we believe the frontrunner hails from China.