Annual Report: Danhua Technology achieved operating income of 1.1 billion yuan in 2012, an increase of 98% over the previous year; net profit of 27.75 million yuan, which reversed losses; net profit after deducting non-recurring profit and loss was -137 million yuan, with basic earnings per share of 0.0356 yuan. Profit forecast: According to the 50% operating rate of the Henan 2 project in 2013, the operating rate of 80% in Tongliao, the sales price is 400 yuan/ton; the 50% operating rate of the Anyang and Yongcheng projects in 2014, Xinxiang, Puyang, and Tongliao are all calculated at 80% operating rates. The company's EPS for 2013-2014 is expected to be 0.35 yuan and 0.71 yuan, respectively. In the future, the company will build a production capacity of 1.2 million tons, equity production capacity of 380,000 tons, and performance flexibility is high. Risk warning: Uncertainty still comes from the stability of operating rates.