Summary of the results for the first three quarters of 2010. The consolidated statement shows that from January to September 2010, the company achieved operating income of 102 million yuan, an increase of 365.82% over the same period last year; operating profit of 8.6262 million yuan, a loss of 210000 yuan in the same period last year; net profit belonging to the parent company was 1.1388 million yuan, down 13.47% from the same period last year; and basic earnings per share was 0.007 yuan.

In the third quarter of 2010 (July-September), the company achieved operating income of 27.9248 million yuan, an increase of 232.68% over the same period last year; operating profit of 1.9891 million yuan, a loss of 2.1 million yuan in the same period last year; net profit loss of 573300 yuan belonging to the parent company, 1.2164 million yuan less than the same period last year; basic earnings per share-0.003 yuan.

Performance analysis. In the first three quarters, the company's operating income and operating profit increased significantly compared with the same period last year, mainly due to the carry-over income of Yantai Huilongwan Investment Co., Ltd. (the company holds 60%). The year-on-year decline in net profit belonging to the parent company is due to changes in the composition of profits. In the same period last year, the company liquidated its subsidiary Yantai Hualian Communication Technology Co., Ltd. (95% directly and 5% indirectly), resulting in an investment income of 5.69 million yuan. at the same time, the operating income in the same period last year mainly came from the "New World Phase II" project (the company accounted for 100%). However, the company has no investment income in this period, and the operating profit mainly comes from the "Oak Bay" project developed by Yantai Huilongwan Investment Co., Ltd. The minority shareholders of the company had more profits and losses in the first three quarters, and the net profit attributed to the parent company accounted for relatively small. During the reporting period, the net profit attributed to the parent company only accounted for 20.36% of the net profit in the consolidated statement.

An overview of fundamentals. At present, the company's main business is real estate and property management, pharmaceutical, commodity wholesale and retail. In the first half of the year, the company's real estate and property management business achieved operating income of 43.8949 million yuan, an increase of 391.21% over the same period last year; gross profit margin decreased by 5.89% to 40.54%, which is the main source of profits of the company. The pharmaceutical business is mainly carried out through Guangdong Shenwei Pharmaceutical Co., Ltd. (the company holds 55%). In the first half of the year, the operating income reached 29.1415 million yuan, an increase of 563.98% over the same period last year. However, the gross profit margin of this business is low, and the gross profit margin in the first half of the year increased by 30 percentage points compared with the same period last year. Only 2.27%. At present, the company mainly has two real estate projects, most of the buildings of the "Oak Bay" project have been capped and entered the interior decoration stage, and the foundation construction of the two blocks has begun. The "New World Phase III" project is currently in the demolition stage.

Profit forecast and investment rating. Taking into account the company's current small scale of its own funds and assets, less land reserves, lack of continuity in project development, there is no profit forecast and investment rating.