The incident company has published its 2012 annual report. In 2012, the company achieved operating income of 1,822 million yuan, a year-on-year decrease of 16.5%; net profit attributable to owners of the parent company was 276 million yuan; a year-on-year decrease of 20.38%. Basic earnings per share for the year are $0.39. Investment recommendations We expect basic earnings per share for 2013-2015 to be 0.61 yuan, 0.76 yuan, and 0.99 yuan, respectively, and corresponding price-earnings ratios of 30.2 times, 24.6 times, and 18.7 times, respectively. We are optimistic about the performance growth potential of the company's touch component business and maintain a “recommended” investment rating. Risks suggest that competition in the LCD panel module processing business is intensifying.