WORK Medical Technology Group LTD Subsidiary Obtains Manufacturing Approval for Its AI-Automated Blood Cell Morphology Analyzer
Rhea-AI Summary
WORK Medical Technology Group (Nasdaq: WOK) announced that its subsidiary Hunan Saitumofei received manufacturing approval from the Hunan Provincial Medical Products Administration for a Class II AI‑Automated Human Blood Cell Morphology Analyzer on December 29, 2025. The analyzer combines a main optical imaging unit and embedded analysis software to perform white blood cell differentials and quantify red blood cell and platelet morphology using deep‑learning algorithms.
Manufacturing is scheduled to begin in the first half of 2026. The company says the device aims to increase efficiency, consistency, and accuracy in microscopic exams, reduce manual workload and costs, and support early screening and quality control in hematology and oncology settings.
Positive
- Regulatory approval obtained from Hunan Provincial Medical Products Administration
- Manufacturing scheduled to begin in H1 2026
- Device integrates AI deep‑learning with automated imaging and workflow
- Supports white blood cell differentials and RBC/platelet morphology quantification
Negative
- Approval issued by a provincial regulator (Hunan) rather than a national authority
News Market Reaction
On the day this news was published, WOK gained 24.00%, reflecting a significant positive market reaction. Argus tracked a peak move of +80.8% during that session. Argus tracked a trough of -21.9% from its starting point during tracking. Our momentum scanner triggered 26 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $7K to the company's valuation, bringing the market cap to $35,327 at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
Peers in Healthcare/Medical Devices showed mixed moves: SRTS up 0.26%, while CTSO, ELUT, MDAI, and APYX were down between -2.07% and -4.2%. Only VNRX appeared on momentum scans, up 4.40% without news, suggesting WOK’s reaction was stock-specific rather than a broad sector move.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Dec 24 | Reverse stock split | Negative | -32.9% | Announced 1-for-100 reverse split to support Nasdaq minimum bid compliance. |
| Nov 04 | Service contract win | Positive | +11.3% | Subsidiary retained US$114,000 antibody R&D testing service contract. |
| Oct 21 | Strategic investment | Positive | +9.2% | US$1 million equity investment for 10% stake in Neologics Bioscience. |
| Oct 16 | Reverse stock split | Negative | +1.6% | 1-for-100 reverse split to regain compliance under Nasdaq Rule 5550(a)(2). |
| Oct 14 | Delisting notice | Negative | -4.1% | Nasdaq delisting determination letter after shares closed at or below $0.10. |
Recent history shows largely aligned price reactions: negative moves around delisting risk and reverse splits, and positive reactions to strategic AI/biotech partnerships and contracts, with only one divergence on a prior reverse split.
Over the last few months, WORK Medical navigated listing compliance and capital-raising steps while pursuing AI-related growth. A 1-for-100 reverse split announced on Oct 16, 2025 and another on Dec 24, 2025 aimed to address Nasdaq minimum bid rules, with mixed price reactions. The company also invested US$1 million for a 10% stake in Neologics and secured a US$114,000 service contract, both tied to AI-integrated R&D. Today’s AI blood cell analyzer manufacturing approval fits this pattern of emphasizing AI-enabled medical technology alongside ongoing listing and financing actions.
Market Pulse Summary
The stock surged +24.0% in the session following this news. A strong positive reaction aligns with the milestone nature of obtaining manufacturing approval for a Class II AI-automated blood cell morphology analyzer. Prior AI-focused contracts and investments have also seen constructive responses. However, recent reverse splits and capital-raising activity highlighted in filings add ongoing dilution and listing-risk considerations. Investors would need to weigh technological progress against governance structure, financing mechanisms, and execution toward the planned first-half 2026 manufacturing start.
Key Terms
class II medical device regulatory
artificial intelligence technical
deep-learning algorithms technical
hematology medical
oncology medical
peripheral blood smears medical
cell morphology screening medical
AI-generated analysis. Not financial advice.
Hangzhou, China, Dec. 29, 2025 (GLOBE NEWSWIRE) -- WORK Medical Technology Group LTD (Nasdaq: WOK) (“WORK Medical” or the “Company”), a supplier of medical devices in China, through its subsidiary, Work (Hangzhou) Medical Treatment Equipment Co., Ltd. and its subsidiaries in China, today announced that its subsidiary, Hunan Saitumofei Co., Ltd., has received manufacturing approval from the Hunan Provincial Medical Products Administration for its Class II medical device, the Artificial Intelligence (“AI”)-Automated Human Blood Cell Morphology Analyzer. This regulatory approval represents a milestone in WORK Medical’s research and development strategy and is expected to position the Company’s new AI-driven device as a key growth catalyst.
The analyzer consists of a main unit and embedded analysis software. The main unit integrates an optical imaging system, sample-handling module, barcode scanner, automatic oil-immersion unit, control board, and protective housing. It performs white blood cell differential counts on human blood smears and quantifies morphological parameters of red blood cells and platelets, supporting clinicians in cell morphology screening. Powered by advanced AI automation, the analyzer combines high-speed digital imaging, deep-learning algorithms, and a fully automated workflow to identify, pre-classify, and describe the morphology of white blood cells, red blood cells, and platelets in peripheral blood smears. The analyzer, scheduled to begin manufacturing in the first half of 2026, is designed to enhance efficiency, consistency, and accuracy in microscopic examinations while reducing manual workload and operational costs.
Mr. Shuang Wu, the Chief Executive Officer and Chairman of the Board of Directors of WORK Medical, commented: “This new analyzer integrates cutting-edge AI technology into traditional medical testing, improving consistency, efficiency, and accuracy while minimizing manual intervention and associated costs. The device has progressed from an auxiliary image-reading tool into a fully automated, standardized, and remotely accessible core testing platform. With continuous AI-algorithm iteration and pipeline integration, it is expected to become standard equipment in hematology and oncology departments at tertiary hospitals and primary-care laboratories, and is aimed to provide support for early screening of blood disorders, quality-control enhancement, and labor-cost optimization. We are optimistic about this product line’s growth and its revenue potential for the Company.”
About WORK Medical Technology Group LTD
WORK Medical Technology Group LTD, through its subsidiary, Work (Hangzhou) Medical Treatment Equipment Co., Ltd. and its subsidiaries in China, is a supplier of medical devices that develops and manufactures Class I and II medical devices and sells Class I and II disposable medical devices through operating subsidiaries in China. The Company has a diverse product portfolio comprising 21 products, including customized and multifunctional masks and other medical consumables. All the products have been sold in 34 provincial-level administrative regions in China, with 15 of them sold in more than 30 countries worldwide. The Company has received a number of quality-related manufacturing designations and has registered 17 products with the U.S. Food and Drug Administration allowing their products to enter the U.S. market. For more information, please visit the Company’s website: https://www.workmedtech.com/corporate.
Forward-Looking Statements
This press release contains forward-looking statements, including statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements may be identified by words such as “aims,” “anticipates,” “believes,” “could,” “estimates,” “expects,” “forecasts,” “goal,” “intends,” “may,” “plans,” “possible,” “potential,” “seeks,” “will,” and variations of these words or similar expressions that are intended to identify forward-looking statements. Any such statements in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Any forward-looking statements in this press release are based on the Company’s current expectations, estimates and projections only as of the date of this release and are subject to a number of risks and uncertainties that could cause actual results to differ materially and adversely from those set forth in or implied by such forward-looking statements. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results set forth in the Company’s annual report on Form 20-F and other documents filed by the Company with the U.S. Securities and Exchange Commission. The Company explicitly disclaims any obligation to update any forward-looking statements except to the extent required by law.
For more information, please contact:
WORK Medical Technology Group LTD
Investor Relations Department
Email: ir@workmedtech.com
Ascent Investor Relations LLC
Tina Xiao
Phone: +1-646-932-7242
Email: investors@ascent-ir.com