Operating income increased sharply year on year, and earnings per share remained basically the same. The company's main revenue was 10.092 billion yuan, up 34.85% year on year. Net profit attributable to shareholders of listed companies was 210 million yuan, a slight decrease of 2.41% year on year; earnings per share were 0.32 yuan, which was basically the same as last year. External demand is sluggish, production capacity is expanding rapidly, and the paste resin business is under pressure. The paste resin business contributed half of the company's net profit, but it faced three major tests: sluggish external demand, rapid expansion of industry production capacity, and overall relocation of the old factory area. According to the production schedule, the industry's paste resin production capacity increased by 290,000 tons in 2012, and the industry's production capacity reached 1 million tons. Real estate policies are difficult to relax in the short term, and it will take time for the acrylic business to reverse. The country's real estate policy is difficult to relax in the short term, and the acrylic business is under pressure. At the same time, the acrylic capacity of the industry was expanded by 260,000 tons in 2012, and the total production capacity of the industry reached 1.21 million tons. The CPP unit needs to consider adjusting the operating mode. After the Ministry of Commerce increased the company's original quota, the CPP and DCC units were basically fully operational, but the CPP units are still operating according to the ethylene priority model, and the dry gas production rate is high, and consideration needs to be given to adjusting the operating mode to increase efficiency and revenue. The stock price is reasonable, giving it an “increase in holdings” rating. The company's earnings per share for 12-13 are expected to be 0.42 yuan and 0.53 yuan, respectively, maintaining the “gain” rating, and the target price is 7.5 yuan. Uncertainty: The old factory area may be relocated due to urban transformation.