From January to June 2010, the company achieved operating income of 560 million yuan, a year-on-year increase of 19.65%; operating profit of 3.1482 million yuan, the same period last year of -5.4782 million yuan; net profit attributable to owners of the parent company was 2,7668 million yuan, compared with 5694 million yuan for the same period last year; and earnings per share of 0.0051 yuan. The increase in revenue from the main business did not increase profits, and losses from bad debts were recovered and government subsidies provided profits. In the first half of the year, the company's consolidated gross margin was 17.72%, down 2.2 percentage points from the previous year. The main reason for the company's revenue growth and lack of profit is that the gross margin of the grain, oil and food processing business, which accounts for 62.57% of the main revenue, decreased by 0.82 percentage points year on year, while the gross margin of pharmaceuticals, which accounts for 23.18% of main revenue, fell 2.63 percentage points to 40.22% year on year. Although the company's period expense ratio fell 1.8 percentage points to 17.49% year over year, it was still not enough to guarantee the company's profit. The company relied on the recovery of bad debt losses of 4.3669 million yuan and government subsidies of 4.655 million yuan to achieve profit. The scale of grain, oil, and food processing has expanded. In the first half of the year, the company's grain, oil and food processing revenue increased by 34.91% year on year, accounting for a share of main business revenue, an increase of 6.61 percentage points over the same period last year. As the company pays attention to marketing, it is expected that in the future, the company's grain, oil and food business will still occupy a leading position and maintain relatively steady growth. The growth rate of the pharmaceutical industry is slowing down. In the first half of the year, the company's pharmaceutical revenue increased by only 4.47% year on year, and there was a slight decline in gross margin. The situation of high growth and high profitability last year did not last year, mainly because the expansion of production in the third phase of the pharmaceutical industry project was completed, and production capacity began to stabilize. It is expected that the growth rate of this part of the business will remain stable in the future. The focus of operations has changed, and there are still expectations of restructuring. The company is committed to changing the development model from epipillary expansion to connotative growth, and the business mode from production-oriented to marketing-driven. The company set up the Northeast Rice Branch to increase the development of the Japonica rice market and promote the increase in rice sales. At the same time, the company has strengthened the transformation of the results of scientific research projects and increased the development of new products and technological innovation. The current situation where the company's processing of grain and oil products is marginal is difficult to change for the time being; it is only possible to raise the overall profit level from higher margin businesses such as pharmaceuticals, real estate, seed, and dairy. However, Agricultural Bank, the majority shareholder of the company, has gone public; its shares in the company still need to be disposed of, and the company still has expectations of restructuring. Earnings forecasts and ratings. If the company's restructuring expectations are not taken into account, the company's current fundamentals are still poor. The company's EPS for 2010-2012 is expected to be 0.011 yuan, 0.013 yuan, and 0.032 yuan respectively. The company's current stock price is 8.09 yuan, maintaining a “neutral” rating.