Shareholders,


During the course of 2022, Healixa has continued to expand its portfolio of “healing technologies”, while simultaneously commercializing its PurelyRx® digital health care eco-system and launching our Global AquaDuct™ atmospheric water harvesting initiatives. Our team’s dedication to these ethically engineered technologies has resulted in some significant accomplishments for our shareholders and partners alike. I would like to take a moment to thank each person who has contributed their time, creativity, and energy to these very special projects. I would also like to thank our shareholders who have provide the support and confidence we needed to make all this possible. 


Healixa’s Health Care Journey and Highlights


The same COVID-19 pandemic that caused widespread disruption and suffering globally also created a catalyst for an unprecedented digital health care transformation that is driving massive technological and societal shifts that is resulting in better, quicker and less expensive ways for patients to access care. 


PurelyRx® Moving From Beta to Alpha


PurelyRx® platform went through an extensive beta program with the single largest health care organization in the USA and one of the world’s largest tech enabled rideshare companies out pacing several high-profile venture funded companies. This technology is moving out of beta and being released to select pharmacy partners throughout the country as of this quarter.  


Healixa was built for this very moment. Our integrated logistics platform and independent pharmacies network provides a full-service digital pharmacy experience with home delivery service, lowest cost medications available, and access to care coordinators through our Advocate Care division which brings the pharmacy into the overall care team to assist in communication, developing care plans that includes comprehensive medication reviews and adherence programs.


Our innovators worked diligently to create this digital health care offering that significantly enhances independent pharmacies’ ability to service their patients in a way like never before, is simple to navigate, streamlines processes and enriches the pharmacy, providers and patient experience. 


Our ability to realize revenue through PurelyRx® this quarter would not have been possible without the leadership team and technology team that contributed countless development hours to this initiative. This is a significant achievement and one that should be celebrated by our team and shareholders alike. 


Global Water Scarcity - Meeting The Moment


The Bad News


Global changes are altering where and how we get fresh water, sparking the need for worldwide cooperation. Climate change is disrupting weather patterns, leading to extreme weather events, unpredictable water availability, exacerbating water scarcity and contaminating water supplies. Around 74 per cent of natural disasters between 2001 and 2018 were water-related, including droughts and floods. The frequency and intensity of such events are only expected to increase with climate change. 


The Good News


There is water all around us in the atmosphere all the time! We just need away to unlock the constantly replenishing 37.5 quadrillion gallons of water vapor present around us. Healixa has created an efficient away to do just that—the Global AquaDuct™.


Healixa Global AquaDuct™ products are intended to provide a turn-key sustainable water supply in almost any environment bringing clean water where it is otherwise inaccessible. The concept is to mimic Earth’s processes that are responsible for the largest fresh water supplies on the planet (glaciers, mountain tops, et al) and puts it in a box. 


Moving From Proof Of Concept to Mass Production Prototype


Healixa has been preparing the Global AquaDuct™ product for mass production.  During the course of 2022, Healixa has secured a relationship with WATERisLIFE, a nonprofit providing water, sanitation, and hygiene solutions that has reached 60,000,000 people to date. Healixa has secured a supply agreement with a highly skilled US manufacturer to finalize the production prototype and satisfy initial demand.  Our manufacturer has dedicated 150,000 sq ft to initial manufacturing needs. Healixa has already secured order indications of $75 million for its Global AquaDuct™ product. Additionally, Healixa has filed for patent protection in 132 countries to protect this unique technological breakthrough. 


Because of these achievements, our Global AquaDuct™ product is poised to start making an impact in 2023. Once again, I thank every person that has contributed to the achievement and success of this every significant project. 


Our Commitment


As we pursue the opportunities ahead of us, we also we also recognize the growing obligation for us all to be good global citizens. To help people and organizations everywhere achieve more, we are focused on four core pillars.

We have four core beliefs: 

1. Care Communities - We believe in building sustainable communities that focus on quality of life.

2. Continuous Health - We believe that affordable comprehensive quality personal care should be attainable by all.

3. Water Access - We believe access to clean drinking water is a necessity, and a human right. 

4. Energy Sustainability - We believe that advanced green technology is critical to the future of human sustainability.

As we mentioned last year in our Shareholder Letter, Healixa has the capability to produce substantial revenue while simultaneously having a positive healing impact on the world around us. 


We believe that “Doing Well While Doing Good” results in win-win results. We believe that corporate profits are NOT a zero-sum proposition. We have seen first-hand how working together in a collaborative manner with other market participants creates the opportunity for all of us to realize gains and value. 


Focusing On The Long Term


Healixa’s executive leadership has always been focused on long-term value creation rather than just short-term performance:


Investing sufficient capital and talent in priority initiatives to achieving superior market position

Focus on initiatives were projected ROI is backed by undeniable long-term trends shaping society's future (i.e. cost of pharmaceuticals and water scarcity)

Dynamically allocate capital and talent to the businesses and initiatives that create the most value

Generate value for shareholders by ensuring we value our employees, customers, and other stakeholders

Resist the temptation to take actions that boost short-term profits that don’t have a material effect on long term value creation


The fruits of that commitment to long term value creation are just now beginning to be realized. We find that this strategic thinking resolve much of the perceived conflict between stakeholders’ interests and shareholders’ interests. The truth is that these two sets of interests largely converge in the long run. Healixa creates the greatest long-term value for investors when it satisfies customers, engages and motivates employees, and maintain good relations with communities and regulators for its products and services. 


Achievement of 2022 and Goals for 2023


During the course of 2022, we have made tremendous strides on both of our initiatives. 


2022 Healixa Parent

Completed required PCAOB audits and quarterly reviews that are prerequisites to full SEC reporting

Create a majority independent Board of Directors

Created an incredible Advisory Board that includes leadership fortified by people that have served in roles such as Acting Secretary of Defense of the United States, United States Congressman, CTO of Space and Naval Warfare, US Ambassador, state Senator and blue-chip corporate leadership


2022 Health Care Achievements


Created the best positioned health tech solution for independent pharmacies, providers and

patients

Proven results with one of the largest health care organizations in the USA

Unique partnership with one of largest tech-enabled rideshare companies

Created subsidiary, Advocate Care, allowing us to provide significant additional revenue potential to our digital health care eco-system, PurelyRx® 

Attracting top industry professionals to direct and operate this robust digital health care suite

Moved from beta to revenue in the 4th quarter of 2022 


2022 Global AquaDuct™ Achievements


Best positioned atmospheric water harvesting solution

Broad patent filings across the globe because of the uniqueness of the technology

Unique partnership with one of largest UN clean water NGO’s

Secured $75 million in order indications

Secured manufacturing and supply agreement with US manufacture

Secured additional interest from agriculture and sanitation groups expanding the potential market for units 


Goals for 2023


1. Significantly expand our current PurelyRx® customer base and recurring revenues

2. Add additional value and benefits to the PurelyRx® platform to further expand revenue opportunities, including patient best pricing features

3. Continually fortify the PurelyRx® platform with senior health care professionals

4. Move the Global AquaDuct™ in production and begin taking actual purchase orders and making deliveries

5. Begin working on other models of the Global AquaDuct™ to address other markets and use cases

6. Continue preparing and move Healixa to a national stock exchange 


The big question that everyone will ask is, “Can you achieve this?”


The simple answer is, we don’t set unreasonable performance goals. We set achievable performance goals that take into account tenure and actual performance of our leadership and employees. Given our accomplishments to date and the trust I have in the Healixa team, I can say with confidence we are on track to make our 2023 goals a reality. 


We remain forever grateful to the customers who have trusted us with their business, to each other for our dedication to our initiatives and culture, and to our shareholders for their support and confidence. 


Kindest regards,


Ian Parker

CEO

Healixa Inc.