Business Description

Elite Health Systems Inc (the “Company”) is developing Medicare Advantage plans and offering other healthcare related services with a focus on improving and providing access to healthcare, primarily to senior and special needs groups in selected locations. The Company operates through its wholly owned subsidiaries, Elite Health Plan, Inc. (“Elite Health”) and Physician Support Systems Inc. (“PSS”). Elite Health designs, markets, and manages a Medicare Advantage plan or Medicare Part C — a government-approved health plan that delivers Medicare benefits through a managed care or coordinated care model. Since January 2026, Elite Health has operated a Medicare Advantage plan in the California counties of Los Angeles, Riverside and San Bernardino. Elite Health is focused on providing affordable and comprehensive plans targeted to improve health outcomes. The Centers for Medicare & Medicaid Services (“CMS”), a US federal agency, regulates, approves, and pays private insurers that administer Medicare Advantage plans. Entities that plan to offer Medicare Advantage plans must secure and maintain a license as a health insurer from the applicable state regulatory body in each state where it operates and enter into a contract with CMS to offer Medicare Advantage plans. PSS provides a comprehensive suite of tailored healthcare management solutions to medical practices that enhance operational efficiency, compliance, and patient care. The Company acquired PSS in November 2025. The Company’s strategy and strategic roadmap is focused on improving clinical outcomes, lowering the total cost of care, and enhancing the patient experience through a coordinated care delivery model that aligns payer and provider capabilities. The Company expects to expand its Medicare Advantage footprint geographically, whether expansion into other California counties or new states, or through the development of specialized products such as a Chronic Condition Special Needs Plan or a C-SNP plan (“C-SNPs or “C-SNP Plan”), a type of specialized Medicare Advantage plan designed for people with certain serious or disabling chronic conditions. C-SNP plans will enable the Company to deliver condition-specific care management programs, improve clinical outcomes, and enhance risk adjustment performance. The Company filed its 2027 C-SNP Application with CMS in February of 2026 with the goal and intention of establishing C-SNP Plans to serve members with the following qualifying conditions: congestive heart failure, diabetes mellitus and cardiovascular diseases. Eligibility for a C-SNP Plan is limited to Medicare beneficiaries diagnosed with one or more CMS-approved chronic conditions. These conditions represent some of the most prevalent chronic illnesses among the Medicare population and frequently require coordinated, multi-disciplinary care management. C-SNPs are designed to provide targeted care management programs, specialist access, and care coordination services tailored to these populations. In addition to the potential expansion of our Medicare Advantage footprint and offering, the Company may pursue (i) acquisitions of physician groups and management service organizations that enhance our ability to manage risk and expand access to coordinated care for our members and (ii) strategic partnerships with physician organizations, health systems, and technology companies to expand our care delivery capabilities and enhance member engagement. 3 Table of Contents The Company is monitoring the recent heightened regulatory scrutiny of Medicare Advantage plans and CMS’s CY 2027 Medicare Advantage & Part D Advance Notice in January 2026 projecting a near-flat net average payment update of ~0.09%, reflecting a modest overall payment increase and reinforcing a more constrained reimbursement outlook for plans. Despite these industry challenges, we believe the continued expansion of the Medicare Advantage program and the broader shift toward value-based care reimbursement models continue to create meaningful opportunities for us to grow our business as well as partner with physicians and expand our integrated care platform. Company Background. The Company is focused on improving and providing access to healthcare and offering other healthcare related services. Through its subsidiaries the Company is developing and offering one or more Medicare Advantage plans and providing healthcare management solutions to physician and other health groups.…