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ChinaHealthcare and life sciences2026 – ongoing

111, Inc.

AI agents in back-office support and pharmacy operations at an online pharmacy

111, Inc. said AI agents let it cut back-office staffing as operating expenses fell 16.1%

WorkingCompany's own claim

Problem

111, Inc. runs an online pharmacy in China and carries back-office support and fulfillment costs. Revenue fell 28.3% in the quarter, mainly because the company sold underperforming subsidiaries, so costs needed to fall with it.

Approach

The company adopted AI agents in back-office support roles and began building agent-based tools for pharmacies and healthcare-service settings. It also named demand forecasting, inventory optimization and fulfillment routing as AI uses it was working on.

Results

16.1%fall in operating expenses to RMB155.5 million in Q2 2026; the company credited AI-agent-enabled workforce streamlining as a driverCompany's own claim[1]

Takeaway

The company tied its lower operating expenses to staffing changes made possible by AI agents, but the quarter also included divestments, so the AI share of the saving is not separable. It did not link the fall in fulfillment expenses to AI.

Categories

Business function
Production and quality
Innovation type
Process innovation
AI technology
AI agents
Evidence
Company's own claim

Sources

Source summaries

[1]Pulse 2.018 Sep 2026

Reports 111, Inc.'s second-quarter 2026 results. The company said AI agent adoption enabled workforce streamlining in back-office support, and operating expenses fell 16.1% to RMB155.5 million. Fulfillment expenses fell 29.5% to RMB63.6 million, but the article does not attribute that fall to AI.

Full details are in the original sources.

Added 1 Nov 2026 · Updated 1 Nov 2026
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