In 2010, the company achieved operating income of 9.654 billion yuan, a year-on-year increase of 19.64%; operating profit of 696 million yuan, a year-on-year increase of 28.25%; net profit attributable to owners of the parent company was 652 million yuan, an increase of 17.70% over the previous year; fully diluted earnings per share of 0.81 yuan/share; and the distribution plan was to distribute 4 shares for every 10 shares, an increase of 6 shares, and a payout of 0.50 yuan (tax included). The company saw significant growth in excavators, large presses, and axle products, which minimized the adverse effects of sluggish investment in the metallurgical industry. In 2010, the company's business showed a trend of differentiation. Excavators, large presses, and axle products grew significantly; excavation and coking equipment grew 24.30%, rolling and forging equipment grew 24.45%, and train axles and wheel rims business grew 25.77%. These three businesses accounted for nearly 60% of revenue, an increase of nearly 6 percentage points; affected by the steel and other industries, the sales situation of metallurgical cranes, oil film bearings and other products was severe; lifting equipment revenue fell 7.69%, and revenue accounted for about 20%, a decrease of about 6 percentage points. The metallurgical industry's influence on the company's performance has declined further. On the basis of the existing business structure, the company has deepened business transformation and further expanded into the fields of coal chemicals, mining machinery, construction machinery, and wind power. Substantial progress has been made in business expansion, and product and technology reserves are sufficient. In the coal chemical industry, a complete seawater desalination lignite drying project has been signed, and breakthrough progress has been achieved. In terms of wind power equipment, a 5MW wind power grower has received an order. The complete 3MW wind turbine and 5MW gearbox in 2011 are expected to generate revenue, and the company has already formed a supply capacity for high-power wind power equipment. In terms of construction machinery, the crane business expanded from the metallurgical industry to the construction machinery industry. During the reporting period, the company completed the development of construction machinery cranes and received orders. The TZC660 large crawler crane, TZL750 full-surface truss boom crane, and 500t full-surface telescopic boom crane are expected to generate revenue in 2011. In terms of mining machinery, the 7650 t/h semi-mobile crushing plant received an order and will achieve output in 2011. The development of a complete set of 9000t/h semi-continuous mining equipment for large-scale open pit mines has been completed. In terms of forging and excavating equipment, on the basis of maintaining rapid growth in existing business, new products will be further developed. In 2011, 15m3 hydraulic excavators, 75m3 excavators, and 125MN fast forging presses are expected to achieve revenue. 2008 fund-raising project - The Tianjin Lingang Heavy Equipment Development Base is expected to be put into operation in 2011, achieve revenue in 2012, and generate 10 billion yuan in sales revenue after delivery. The project will double the company's performance over the next 2-3 years. The project mainly focuses on new energy equipment such as wind power, nuclear power, and coal chemicals. The others mainly come from large-scale lifting and transportation equipment, heavy containers, and large-scale forging equipment. The product is positioned as high-end, with final assembly as the main focus. The large-scale casting and forging technology transformation project is also expected to be put into operation in 2011, contributing to performance in 2012. The project will enhance the production capacity of the company's large-scale castings and forgings and provide strong support for the development of new products such as nuclear power, wind power, and shipbuilding. It is expected that privately added distribution in 2010 and investment in high-speed rail and railway axle projects will further boost the company's growth, and the company's growth period will continue until 2014. The project is expected to contribute to performance in 2013. After delivery, the project will add 2 billion yuan in sales revenue and 380 million yuan in after-tax profit. The company has long-term production experience in the production of railway axles, and is expected to become the only enterprise in China that can produce high-speed rail axles and wheels. Profit forecast and rating: The 2011-2013 EPS is expected to be 1.00 yuan, 1.35 yuan, and 1.80 yuan respectively, and the price-earnings ratio corresponding to the latest closing price of 24.07 yuan is 24 times, 18 times, and 13 times, respectively, maintaining the “increased holdings” investment rating.