Ainos Issues Mid-Year Update: Reaching Strategic Inflection in SmellTech and Immunotherapy

Rhea-AI Summary

Ainos (NASDAQ:AIMD) reported significant progress in H1 2025, marking a strategic transition from R&D to commercial execution. The company achieved 412% year-over-year Q1 revenue growth, primarily driven by its AI Nose technology deployment in Japan's senior care sector. The AI Nose platform, which digitizes scent through MEMS gas sensors and AI algorithms, has expanded into multiple sectors including healthcare, robotics, and semiconductors. Key developments include partnership with ugo Inc. for the world's first robotic smell integration, collaboration with ASE for smart factory operations, and improved accuracy rates reaching 85-90% across applications. Additionally, Ainos' VELDONA oral interferon received approval for human trials in Taiwan targeting HIV-related oral warts and primary Sjögren's syndrome, while showing promising results in veterinary trials for feline chronic gingivostomatitis.

Positive

• Q1 revenue increased 412% year-over-year driven by AI Nose technology
• AI Nose accuracy improved from 80% to 85% across 2,000+ data samples
• Secured strategic partnerships with ugo Inc. for robotics and ASE for semiconductor applications
• Received regulatory approval in Taiwan for VELDONA human clinical trials
• Veterinary trials showed 10-44% symptom improvements with no adverse effects
• Operating in a growing electronic nose market projected to reach $76.5B by 2032

Negative

• Clinical trials completion not expected until 2H 2026-1H 2027
• Limited geographical presence primarily in Japan and Taiwan markets
• Needs to maintain Nasdaq compliance and evaluate capital strategies
• Still in pilot phase for most applications with full commercial rollout planned for 2026

Insights

Biotech Investment Analyst

Ainos transitions from R&D to commercialization with 412% revenue growth, AI Nose deployments, and clinical trial approvals for VELDONA.

Ainos is executing a dual-platform strategy at a crucial inflection point, with tangible progress in both divisions. The company's AI Nose technology has transitioned from R&D to generating actual revenue, with Q1 showing an impressive 412% year-over-year growth primarily from deployments in Japan's senior care sector. The accuracy improvements from 80% to 85% across 2,000+ samples demonstrate iterative progress in a real-world setting.

The AI Nose market opportunity is substantial, positioned within a projected $76.5 billion market by 2032. Ainos has strategically expanded beyond healthcare into robotics and semiconductor manufacturing through partnerships with ugo and ASE, creating multiple potential revenue streams. Their preliminary 90% accuracy in everyday scent classification suggests technological differentiation in an emerging field.

On the therapeutic front, VELDONA has cleared a significant regulatory hurdle with approval to begin human trials in Taiwan for two indications: HIV-related oral warts and primary Sjögren's syndrome. The veterinary program shows preliminary efficacy signals with symptom improvements of 10-44% in feline chronic gingivostomatitis, though the small sample size (7 subjects) warrants caution.

What's particularly notable is Ainos' geographic strategy, using Japan and Taiwan as proving grounds before potential expansion. These markets face demographic pressures that create natural demand for their senior care applications, potentially providing a more receptive initial market for validation.

The company's transition from pure R&D to commercial execution across multiple verticals represents a critical inflection point that reduces some development risk, though significant commercialization challenges remain as they scale from pilots to full deployments in 2026.

AI Nose Platform Advances Toward Scaled Pilot Programs Across Healthcare, Robotics, and Industrials

VELDONA® Oral Interferon Receives Approval to Begin Human Trials in Taiwan

SAN DIEGO, CA / ACCESS Newswire / June 16, 2025 / Ainos, Inc. (NASDAQ:AIMD)(NASDAQ:AIMDW) ("Ainos" or the "Company") today issued a mid-year update outlining key strategic milestones achieved during the first half of 2025. The Company has transitioned from R&D to commercial execution, marked by its first AI Nose-driven revenue, expanded industry partnerships, and regulatory approval for its lead VELDONA human drug candidates to enter clinical trials. These developments position Ainos to launch scaled pilots in 2H 2025 and prepare for commercial rollout in 2026.

"The first half of 2025 was an inflection point for Ainos," said Eddy Tsai, Chairman, President & CEO. "Q1 revenue increased 412% year-over-year, primarily driven by our AI Nose project in Japan's senior care sector. We're now operating in real-world settings, turning vision into execution."

Eddy added, "Japan and Taiwan are ideal proving grounds for AI Nose smelltech due to their demographic pressures and demand for care innovation. Our presence at Computex 2025 catalyzed strong new partnership interest. As we enter scaled pilots across verticals, we are also actively pursuing new strategic collaborations to unlock long-term value."

AI Nose: From Innovation to Scaled Validation

The global electronic nose market is projected to grow from $29.8 billion in 2025 to $76.5 billion by 2032. Ainos' AI Nose platform digitizes scent through MEMS gas sensors and AI algorithms to generate proprietary "Smell IDs" - structured data representations of odors. This sensing capability is positioned to extend across healthcare, robotics, and industrial applications.

Senior Care: Commercial Revenue & Accuracy Gains

• 1H 2025: Ainos shipped its first AI Nose modules to Japan, supporting hygiene monitoring in long-term care facilities. Accuracy improved from 80% to 85% across more than 2,000 data samples.

• 2H 2025: Ainos will initiate scaled pilot deployments with new partners in Japan and evaluate commercial opportunities in Taiwan.

Robotics: First Robotic Smell Platform Enters Field Testing

• 1H 2025: Ainos and ugo, Inc., Japan's leading service robot developer, completed the world's first robotic smell integration. The first AI Nose unit was installed on a ugo service robot in April, with software integration finalized shortly after.

• 2H 2025: Field tests will begin across public infrastructure sites in Japan, with pilot programs targeting utility, maintenance, and airport scenarios.

Semiconductors: ASE Collaboration Expands Deployment

• 1H 2025: Ainos partnered with ASE, the world's largest semiconductor packaging and testing company, to integrate AI Nose into its smart factory operations. Over 30 use cases have been planned.

• 2H 2025: Ainos will commence pilot deployments across prioritized ASE facilities within its network of 56 smart factories.

Next Phase: Digitizing the Everyday

Ainos is expanding AI Nose capabilities to classify everyday scents - such as meat, food, and beverages, growing its proprietary Smell ID database. Preliminary accuracy exceeds 90%.

"I believe Smell is the next AI token," said Eddy. "AI has mastered vision, speech and sound. Smell is AI's next emerging sense, and Ainos is driving this new frontier. We're turning olfaction into intelligent, machine-readable data with high-impact applications across multiple industries."

VELDONA®: Progress in Human and Veterinary Programs

Human Trials

• 1H 2025: VELDONA®, a low-dose oral interferon, received clearance in Taiwan to begin clinical trials for HIV-related oral warts and primary Sjögren's syndrome (PSS).

• 2H 2025: Patient enrollment to begin. Trial completion is expected in 2H 2026 for HIV-related warts and 1H 2027 for PSS.

Veterinary Trials

• 1H 2025: Ongoing trials in Taiwan for feline chronic gingivostomatitis (FCGS) showed promising results. Among 3 completed and 4 ongoing subjects, symptom improvements of 10-44% were observed, with steroid reduction and no adverse effects.

• 2H 2025: Clinical studies will continue, with final analysis expected in mid-2026.

2H 2025 Execution Roadmap

• Scale AI Nose pilot deployments in Japan's senior care sector

• Launch ugo robot field tests in public infrastructure environments

• Expand AI Nose deployment across ASE's semiconductor factories

• Pursue new strategic partnerships in healthcare and industrial sectors

• Advance Ainos Flora clinical program

• Grow Smell ID dataset with broader scent classification

• Begin human VELDONA® trials for HIV-related warts and PSS

• Continue veterinary trials and explore new indications

• Maintain Nasdaq compliance and evaluate growth-aligned capital strategies

1H 2025 Market Visibility & Investor Engagement

• Featured in Forbes for SmellTech and robotics innovation

• Joint exhibition with ugo at Computex 2025, driving partnership interest

• Participated in investor webinars with Water Tower Research

• Launched brand campaigns on Bloomberg, CNBC, and Fox Business

"Ainos is executing across multiple verticals," Eddy concluded. "With momentum building in Japan and Taiwan, and our story reaching global audiences, we're laying the groundwork for a scent-aware future powered by AI and data."

About Ainos, Inc.

Headquartered in San Diego, California, Ainos, Inc. develops disruptive medical and healthcare solutions based on its proprietary AI Nose and VELDONA® technologies. The name "Ainos" combines "AI" and "Nose" to signify the Company's commitment to enabling AI with the ability to smell and individuals to live healthier. The Company's clinical-stage product pipeline includes AI-driven, telehealth-friendly POCT solutions powered by AI Nose, VELDONA® human and animal oral therapeutics, and human orphan drugs. To learn more, visit https://www.ainos.com. Follow Ainos on X, formerly known as Twitter, (@AinosInc) and LinkedIn to stay up-to-date.

Forward-Looking Statements

Certain statements in this press release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are forward-looking statements. Forward-looking statements are based on management's current assumptions and expectations of future events and trends, which affect or may affect the Company's business, strategy, operations or financial performance, and actual results and other events may differ materially from those expressed or implied in such statements due to numerous risks and uncertainties. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. There are a number of important factors that could cause actual results, developments, business decisions or other events to differ materially from those contemplated by the forward-looking statements in this press release. These factors include, among other things, our expectation that we will incur net losses for the foreseeable future; our ability to become profitable; our ability to raise additional capital to continue our product development; our ability to accurately predict our future operating results; our ability to advance our current or future product candidates through clinical trials, obtain marketing approval and ultimately commercialize any product candidates we develop; the ability to obtain and maintain regulatory approval of our product candidates; delays in completing the development and commercialization of our current and future product candidates; developing and commercializing additional products, including diagnostic testing devices; our ability to compete in the marketplace; compliance with applicable laws, regulations and tariffs, and factors described in the Risk Factors section of our public filings with the Securities and Exchange Commission (SEC). Because forward-looking statements are inherently subject to risks and uncertainties, you should not rely on these forward-looking statements as predictions of future events. These forward-looking statements speak only as of the date of this press release and, except to the extent required by applicable law, the Company undertakes no obligation to update or revise these statements, whether as a result of any new information, future events and developments or otherwise.

Contact Information
Feifei Shen
ir@ainos.com

SOURCE: Ainos, Inc.

View the original press release on ACCESS Newswire

FAQ

What is Ainos (AIMD) AI Nose technology and how does it work?

Ainos' AI Nose platform digitizes scent using MEMS gas sensors and AI algorithms to create 'Smell IDs' - structured data representations of odors, achieving 85-90% accuracy across various applications in healthcare, robotics, and industrial sectors.

What are the key partnerships announced by Ainos (AIMD) in 2025?

Ainos partnered with ugo Inc. for the first robotic smell integration and ASE (world's largest semiconductor packaging company) to integrate AI Nose into smart factory operations across 56 facilities.

What is the market potential for Ainos (AIMD) electronic nose technology?

The global electronic nose market is projected to grow from $29.8 billion in 2025 to $76.5 billion by 2032, with Ainos positioned across healthcare, robotics, and industrial applications.

What progress has Ainos (AIMD) made with VELDONA clinical trials?

VELDONA received approval in Taiwan to begin human trials for HIV-related oral warts and primary Sjögren's syndrome, while veterinary trials showed 10-44% symptom improvements in feline chronic gingivostomatitis.

When does Ainos (AIMD) expect to begin commercial rollout of its technologies?

Ainos plans to launch scaled pilots in second half of 2025 and prepare for full commercial rollout in 2026, following successful pilot programs in Japan and Taiwan.