Overview of the results for the first quarter of 2010. From January to January 2010, the company achieved operating income of 339 million yuan, a year-on-year increase of 3.77%; operating profit of 5.6619 million yuan, a year-on-year decrease of 210.02%; net profit attributable to the parent company - 9.421 million yuan, a year-on-year decrease of 401.58%; and achieved basic earnings per share of -0.014 yuan. The decline in real estate settlement revenue is dragging down the company's performance. Due to a sharp decrease in the number of homes available for sale by the company and its holding subsidiaries during the reporting period, real estate business revenue declined, and some sold homes did not meet the revenue recognition requirements, resulting in a decline in the share of real estate business revenue. Overall gross margin fell 3.91 percentage points year on year. As a result, net profit fell sharply year on year. Overview of fundamentals. The company's business includes real estate development, construction, biomedicine, etc. In 2009, real estate development, construction, and biomedicine achieved revenue of 1.8 billion yuan and 315 million yuan respectively, accounting for 82.72% and 14.46% of operating revenue; gross profit of 178 million yuan and 261 million yuan, accounting for 39.46% and 57.9% of the company's gross profit, respectively. Implement management policies with real estate and pharmaceuticals as the main business. In terms of real estate, the company explored the implementation model of “science and technology real estate”, and successively established Chengdu Zhongguancun Technology Development Co., Ltd. and Zhongguancun Technology (Dalian) Co., Ltd., which achieved a sales floor area of more than 15,000 square meters and achieved sales revenue of more than 300 million yuan in 2009; the Songzhongguancun project in Harbin, which had been dormant for many years, fully resumed work, and it is expected that part of it can be sold in 2010. The company's pharmaceutical business is mainly carried out through Beijing Huasu Pharmaceutical Co., Ltd., and its main product, Huasu tablets, achieved sales of 166 million yuan during the reporting period, an increase of 36.88% over the previous year, ranking among the top five in the field of oral and throat products; Beijing Zhongguancun Youth Venture Capital Co., Ltd., which holds 88.75% of the company's shares, is mainly engaged in venture capital businesses such as project investment. The rich project resources of Beijing Huasu Pharmaceutical Co., Ltd. and Youth Venture Capital Co., Ltd. are expected to benefit from the spin-off and listing. Profit forecasts and investment ratings. The company is expected to achieve earnings of 0.12 yuan, 0.18 yuan, and 0.25 yuan respectively in 2010-2012. Based on the closing price of 7.36 yuan on April 26, the corresponding dynamic price-earnings ratios are 63 times, 42 times, and 30 times, respectively, maintaining a “neutral” investment rating. Risk warning. The company currently has a relatively high level of debt and is involved in multiple lawsuits and arbitrations.