Comment: The company's performance in the first half of this year grew rapidly, and net profit increased 23.69% over the same period last year. The company has gradually optimized its product structure, increased production capacity and efficiency, and increased product competitiveness while further developing markets in various regions. The layout of domestic and foreign markets has been improved accordingly, so its performance has grown rapidly. In terms of product types, the company's main fine enameled wire revenue increased significantly compared to the same period last year. The growth rate reached 29.62%, while the revenue growth rate for self-adhesive wire was 7.63%. The gross margin of both products declined. The gross margin of self-adhesive wire products decreased by 4.7 percentage points compared to the same period last year, but since this product only accounted for 5% of the company's overall revenue, the impact was not obvious. The gross margin of conventional line products decreased slightly compared to the same period last year. The decline in gross margin was mainly due to rising raw materials and labor costs in the first half of the year. The company's domestic and foreign markets are developing well. The revenue scale of the domestic market increased 25.91% year on year, and the size of the overseas market increased significantly, up 124.1% year on year. The accelerated growth of export products has mainly benefited from increased customer demand due to market prosperity. The growth rate of the company's various expenses during the reporting period was lower than revenue growth. Among them, sales expenses increased 20% year on year, mainly due to increases in labor costs and transportation costs. Management expenses have increased by less than 10%, and R&D expenses and labor costs are the main sources of increase. The company's application for a “national laboratory” was approved during the reporting period. In the future, it will further increase investment in research and development, enhance its core competitiveness and expand market share through innovative technology and products. In the second half of the year, the company will further adjust the product structure and order size, and optimize technology and production efficiency to withstand the impact of cost pressure. The company's emphasis on research and development and large investment will also provide conditions for the company's product upgrades and innovation, forming long-term good expectations. The expansion of domestic and overseas markets is also accelerating. It is estimated that in 2011-2013, the company's EPS will be 0.15 yuan, 0.27 yuan, and 0.34 yuan, respectively, and the corresponding PE will be 48, 27, and 20 times, respectively, giving the company an “increase in holdings” rating.