1. The capacity of each product line of the company:

Wind power castings are 40,000 tons this year, 60,000 tons next year, and 80,000 tons the year after next.

35000 tons of steel castings this year (hydropower expansion project reaches production capacity)

The income of forgings last year was more than 100 million, and this year it has a production capacity of 25000 tons. The income can double and strive to reach more than 300 million.

Nuclear power strives for trial production of pump shell by the end of the year.

The production capacity of marine propellers will gradually reach 8000 tons in the next two years.

2. This year's report is not optimistic. The main reason is the decline in demand and the reduction in the price of products. However, the company has plenty of orders on hand, and the 2010 plan set out in the annual report (revenue 1.54 billion, total profit 190 million) can still be achieved.

3. In terms of thermal power, due to the concentration of customers, the company's thermal power business is closely related to the performance of the five major steam turbine plants, which has not improved significantly.

4. The company currently provides wind power castings for 18 enterprises. Products include wind power wheels, machine bases, boxes and planetary racks. In addition to related parties, the company also supplies to foreign customers such as Mitsubishi and Vestas in Japan. After the start of the concession bidding for offshore wind farms this year, the company is expected to gain a larger market share.

5. It is difficult to develop super-large propellers. The main domestic manufacturers are China Shipbuilding heavy Industry and Zhenjiang Zhongchuanwa Ceylon Propeller Company, with few competitors and high gross profit margin. Has sold 12, the market demand is exuberant.

6. The future focus of the company lies in: first, the production capacity release of wind power iron castings and large forgings (wind power forgings are only transitional products, and future forgings will be mainly for other industries); second, the launch of new products such as nuclear power products and marine products.

7. The bargaining power of cost has been improved. When the company signs a contract, it is generally agreed that the product price can be adjusted when the price of raw materials fluctuates by 5%.

8. Profit forecast. We initially estimate that the EPS in 2011 and 2011 will be 0.86 yuan and 1.10 yuan respectively, with a target price of 24 yuan.