From January to June 2010, the company achieved operating income of 980 million yuan, a year-on-year decrease of 28.48%, operating profit of 66.78 million yuan, a year-on-year decrease of 63.67%, and net profit attributable to shareholders of listed companies of 57.18 million yuan, a year-on-year decrease of 63.58%. Achieved earnings of 0.10 yuan per share. The company's main revenue comes from the sale of self-produced urea and purchased urea. The sales revenue of self-produced urea in the first half of the year was 248 million yuan, a year-on-year decrease of 53.32%. We think this is mainly due to the following two reasons: on the one hand, the company's 600,000-ton/year one-chemical urea unit stopped working for 70 days in the first quarter due to insufficient gas supply; on the other hand, natural disasters in the first half of the year affected demand for agricultural fertilizer, causing urea prices in the first half of the year to reach a low point after a short rise; the decline in sales volume and price caused the gross profit of self-produced urea to drop by 151 million yuan year on year. The company's outsourced fertilizer sales accounted for 71.7% of the company's main sales revenue, but since the gross margin of outsourced fertilizer was only 0.26%, it lowered the company's overall gross profit margin. Under the premise that construction of the company's first chemical plant starts normally in the second half of the year and that the second chemical plant is successfully put into operation, we expect urea production to reach 350,000 tons in the second half of the year. The company's 2010 and 2011 EPS are expected to be 0.24 yuan and 0.42 yuan respectively, and the corresponding PE is 38 and 21.7 yuan, maintaining the company's “neutral” rating.