Investment highlights: The company announced the interim report. During the reporting period, sales revenue of 565 million yuan was achieved, up 215.54% year on year; net profit attributable to listed companies was 111 million yuan, up 408.99% year on year; comprehensive gross margin for the first half of the year was 37.35%, up 2.58 percentage points year on year, and net interest rate was 19.50%; sales of consumer electronics products and Changjing equipment contributed to a significant increase in revenue and profit. Customer A's new smartwatch was released in the first half of the year, and the main supplier of sapphire materials required for its screen cover window was Ored, so it brought large new business growth to the company, which was the main reason driving the sharp increase in revenue and profit. In addition, the company is one of the major suppliers of sapphire long crystal equipment in China. The active expansion of production by industry manufacturers has driven sales of the company's Changjing equipment, which is also one of the factors for the high growth in performance; the added value of new products is high, and the gross margin level has increased. Customer A smartwatch screen window products added in the first half of the year have a higher gross margin than traditional LEDs, smartphone cameras, and HOME button covers, so the overall gross margin level increased by 2.58 percentage points over the same period last year. We believe that the company's consumer electronics product ratio will gradually rise, and we are optimistic about the simultaneous upward trend in gross margin levels; we are optimistic about the future of sapphire in consumer electronics applications. The physical and optical properties of sapphire determine that it must shine in the field of consumer electronics. It already has the conditions for large-scale application of mobile phone screens: in terms of cost, leading manufacturer Ored in the industry has reduced the cost of sapphire covers for 5-inch mobile phone screens to 15 to 20 US dollars by innovatively combining heat exchange with bubble generation methods, reaching a sweet point of price for large-scale applications. On the Apple side, there are five major patent layouts. The new patent overcomes the two major bottlenecks of sapphire's low yield and fragility. In terms of the industrial chain, manufacturers such as Ored, Lansi, and Bourne are competing to expand sapphire production capacity. The application of sapphire in mobile phone screens will cause the supply and demand of sapphire to have a capacity gap of tens of times; the company's vertically integrated production is the biggest beneficiary of the explosion in industry demand. The company's business segment covers upstream equipment in the industrial chain, midstream crystal growth, downstream crystal processing, and integrated operations. It has the advantages of strong product development capabilities and rapid product iteration. The company is a well-deserved leader in the global sapphire industry, and is at the leading level in the world in terms of production capacity and low production costs. As demand for sapphire explodes in consumer electronics fields such as smart wearables and smartphones, the company will surely be the biggest beneficiary; maintaining a “buy” rating, they are optimistic about a major explosion in demand in the consumer electronics sector. As a leader in the industry, Ored will have a better chance of benefiting from the explosion of industry demand through the power of capital once it has set sail again after listing. We predict that in 2015/2016/2017, the company will achieve net profit of 3.04/5.69/914 million yuan respectively, and EPS of 0.40/0.74/1.19 yuan respectively, maintaining a “buy” rating, with a target price of 44.4 yuan (60X in 16 years); Risk warning: Uncertainty about the application of sapphire covers on mobile phone screens will cause customers to grow upstream.