Tickers: XCNQ:HSI, XTSX:HSI
Tags: Technology

VANCOUVER, BRITISH COLUMBIA / TheNewswire / December 6, 2017 - H-Source Holdings Ltd. (TSX VENTURE:HSI)(OTCQB:HSCHF) (the "Company" or "H-Source") reported its Q3 2017 financial results for the three- and nine-month periods ending September 30, 2017. This marks the company's first quarter with revenue driven through transaction volume on its platform. All results are reported under International Financial Reporting Standards ("IFRS") and in U.S dollars, unless otherwise specified.

Operational Highlights

-Quarterly revenue of $135,000;

-Contracted facilities that have signed up to participate on the network has surpassed 1,000; platform participants now include medical facilities including IDNs, Hospital Associations, surgery centers, post-acute and hospital pharmacies;

-Active facilities that have bought or sold on the network has reached 160, a 20% increase over the second quarter;

-Total "higher turning" inventory on the platform grew to $1,460,000 at the end of Q3;

-Kickoff of full-service transactional engagement with 700 bed hospital where H-Source assists clients with identifying, managing, and listing inventory, enabling greater cost recovery for the client and a higher revenue percentage for H-Source;

-Expanded team with Director of Account Management, Victor Garcia, who is tasked with growing active facilities in the South-Central region of the U.S.;

-Improved platform inter-connectivity, enhanced user interface and new reporting capabilities;

-Delivered new functionality for pharmacy, Food and Drug Administration ("FDA") recalls, Single Warehouse, member communications and system optimization; and

-Continued exploration of additional revenue channels.

Q3 2017 Key Performance Indicators

Starting in the third quarter, the Company will report quarterly the following key performance indicators:

-Revenue

-Contracted facilities

-Active facilities

Inventory

John Kupice, CEO and director, commented "We are pleased to announce that transactions have started flowing through the platform and generating revenue for the company. With a growing number of active medical facilities on the platform and more than 1,000 contracted medical facilities, we continue to see increased transaction volumes month over month, though we anticipate some seasonality in December due to holidays. We continue to enhance the platform allowing for additional participants to benefit from our unique scalable platform, and we are well positioned for continued growth in 2018."

About H-Source Holdings Ltd.

H-Source Holdings Ltd. is a technology company operating within the healthcare industry through its wholly owned subsidiary, H-Source, Inc. The Company has developed a transaction platform that provides a private, secure and trusted marketplace for member hospitals to buy, sell and transfer excess inventory supplies and capital equipment with each other. Member hospitals can conduct secure transactions within Integrated Delivery Networks, the complete H-Source network or customize their own group hospitals using H-Source's built-in filters. This network is specifically designed to reduce health care costs and medical product waste. For more information, please visit http://h-source.com/.

On behalf of the board of directors of H-Source Holdings Ltd.

"John Kupice"

John Kupice

CEO & Director

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-looking statements

Some of the statements contained in this news release are forward-looking statements and information within the meaning of applicable securities laws. Forward-looking statements and information can be identified by the use of words such as "plans", "expects", "intends", "is expected", "potential", "suggests" or variations of such words or phrases, or statements that certain actions, events or results "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements and information are not historical facts and are subject to a number of risks and uncertainties beyond H-Source's control. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this news release. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements, except as may be required by law.

For further information, please contact:

John Kupice, CEO and Director

H-Source Holdings Ltd.

Telephone: 1-888-900-4549

Email: jkupice@h-source.com

or

Nicole Marchand

Telephone: 416-428-3533

Email: investors@h-source.com

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