The company's performance in the first half of the year declined slightly year-on-year due to intense competition for low-pressure products in the current market, leading to a decline in gross margin and a sharp decline in deferred revenue confirmed by government subsidies. The DC3.7V8.5Ah polyimide (PI) diaphragm nickel-cobalt-manganese lithium-ion monomer battery sent by the company. The polyimide (PI) diaphragm increases the 4C cycle to 750%, more than 7,500 times, and keeps the capacity above 70%. We believe that batteries with high energy density and high power density are one direction that humans are looking for. This kind of diaphragm will cause fundamental changes in the battery industry, but whether it can be industrialized is still uncertain. It will be widely used in power batteries and energy storage power plants in the future. There is still no obvious change in the use of polyimide fiber mainly in filter materials. The main reason is what we have previously analyzed, such as the weak environmental protection policy and the poor profitability of the application industry. We can only expect an increase in environmental protection policies in this area. In terms of polyimide usage, since the material itself has flame retardancy, warmth, no moisture absorption, and native far-infrared functions (this function has been verified and tested by relevant agencies), we believe it is still widely used in civilian apparel, including health care products (such as knee pads, socks, etc.), outdoor equipment (storm underwear, etc.), household goods (bed blankets, which focus on heating+flame retardancy, etc.), etc. We are most optimistic about the wide application of health care products. First, because the price market is acceptable; second, because most regions of the country are relatively cold and humid in winter; and third, because our country's aging is getting worse year by year. Using far infrared light to improve microcirculation will be a blessing for the elderly. Regarding the company's views, we still feel that it is difficult to see results in the short term. Following up on the company's projects, as long as there are trend changes, it is the best opportunity to buy. The 2013 EPS is expected to be around 0.08 yuan, which is too high, but we think that the application of polyimide consumption may be very quick, and we will temporarily give it an “increase in holding” rating.