Profits fell by nearly 50% in the first half of the year. In the first half of the year, the company realized sales income of 74.35 million yuan, an increase of 448% over the same period last year, an operating profit of 6.64 million yuan, an increase of 251% over the same period last year, and a net profit of 1.17 million yuan belonging to the owner of the parent company, a decrease of 45% over the same period last year.

Real estate settlement has increased and pharmaceutical sales have been booming. The income and operating profit increased significantly in the first half of the year, on the one hand, the subsidiary Huilongwan invested in the "Oak Bay" project, realizing an income of 43.98 million, an increase of more than 4 times. On the other hand, the sales of the subsidiary Guangdong Shenwei Pharmaceutical Co., Ltd. increased, and the pharmaceutical revenue increased by more than five times, while the parent company's net profit decreased instead of rising. Mainly due to the company's investment in Huilongwan and non-wholly-owned control of Shenwei Pharmaceutical Co., Ltd., the profit and loss of minority shareholders increased by 4.67 million.

The performance will show a steady trend in the short term. The late real estate income will still come from the "Oak Bay" project. At present, some of the projects are still unsold, with an advance payment of 81.81 million at the end of the period, and other projects are mainly "New World Phase III" (wholly owned). Construction is expected to start this year, optimistically estimated to generate revenue in 2011. in addition, the profit contribution of the pharmaceutical industry is expected to continue to increase, and the company's performance will show steady growth in the short term. The current deficiency lies in the relative shortage of reserve resources, which may affect the development in the medium to long term.

The leverage ratio is high and there is a certain degree of financial pressure. The paper cash at the end of the period is 29.44 million, due to the increase in the project payment of the subsidiary Huilong Bay investment and development project, which is 25% lower than that at the beginning, the asset-liability ratio at the end of the period is 89%, the short-term loan is 30.29 million, there is no long-term loan, and the leverage ratio is too high, although the loan amount is not large, but the continuous investment in "Oak Bay" and "New World Phase III" in the later period will still form a certain financial pressure.

Profit Forecast and Investment rating: it is estimated that 10Universe 11-year EPS 0.03 yuan / 0.08 yuan, the current share price 7.55 yuan, given a "neutral" rating.