From January to June 2010, the company achieved operating income of 2,023 billion yuan, a year-on-year increase of 76.19%; operating profit of 9014,600 yuan, a year-on-year increase of 120.15%; net profit attributable to the parent company of 6,8484 million yuan, an increase of 125.53%; and basic earnings per share of 0.013 yuan. The profit situation was better than the same period last year due to a decrease in the expense ratio for the period. The company achieved a gross profit margin of 7.56% during the reporting period, down 1.36 percentage points from the previous year; the expense ratio for the period was 3.71%, down 1.57 percentage points from the previous year. The reduction in the cost ratio during the period was higher than the decline in gross margin, making the company's operating profit increase higher than revenue during the reporting period. Of the company's three period expenses, with the exception of financial expenses, which increased 1.22 times over the same period, there was no significant change in the other period expenses. The reason why the period expenses did not fluctuate greatly with revenue was the reason for the large decline in the period expenses rate during the reporting period. The contract amount is quite large, and sufficient amount of construction can be started in the future. During the reporting period, the company seized the opportunity of the “three-year battle for highway construction” in Heilongjiang Province, optimized the allocation of resources from various sources, and made every effort to explore the construction market in the province. A total of 23 projects and 56 bid sections won, with a total bid amount of 3,882 million yuan, including 3,592 million yuan within the province and 289 million yuan outside the province. The market space in the province is vast. 2010 was the core year of the “three-year battle for highway construction” in Heilongjiang Province. According to the provincial plan, today the province will build 35 key highway projects, 4,659 kilometers, with an annual investment of nearly 28.8 billion yuan. Facing such a huge market in the province, the company, as a leading enterprise in the industry in the province, is focusing mainly on increasing its market share in the province. In the future, business will gradually expand outside of the province. While expanding and strengthening the provincial market, the company is increasing the awareness of corporate concerns, looking at the survival and development of enterprises from a long-term perspective, and opening up a wider market space outside the province. During the reporting period, the company's business outside the province achieved revenue of 22 million yuan, an increase of 477.63% over the previous year. Through experience in recent years, the company's production capacity and resource allocation level have been greatly improved, and it is able to face a fuller volume of tasks. The project continues, and the road toll business is still sustainable. The company signed a repurchase agreement for Tangjia Highway toll management rights with the Heilongjiang Provincial Transportation Department and the Yichun Municipal Government, agreeing that the Heilongjiang Transportation Department would repurchase 513 million yuan. After the repurchase, the company would recover all of the amounts included in other receivables, and the company would lose revenue from the Tangjia Highway toll. During the reporting period, the subsidiary Qimi Company has already begun toll collection operations, which is expected to cover the impact of the repurchase of toll rights on the Tongjia Highway on revenue to a certain extent. Profit forecasts and ratings. We expect EPS for 2010-2012 to be 0.09 yuan, 0.13 yuan, and 0.16 yuan respectively. Based on current stock prices, the corresponding price-earnings ratios are 53 times, 35 times, and 29 times, respectively, maintaining a “neutral” investment rating. Risk warning: There may be a certain loss in the early stages of the Qimi Highway toll, which poses a certain challenge to the growth of the company's performance.