Event: the company issued a performance correction notice, saying that it was expected to achieve a 20% 50% increase in net profit attributed to the parent company owner from January to September 2010 over the same period last year. It is now revised to estimate that the company's net profit attributed to the parent company owner from January to September 2010 will increase by 0% MUE 20% over the same period last year.

The company announced that from January to September 2010, the net profit attributed to the owner of the parent company was expected to increase by 20% 50% over the same period last year, but it is now revised to 0% Murray 20%. The main reason is that orders for CNC gantry composite machine tools for high-speed rail have plummeted, and sales of such machines were more concentrated in the same period last year.

We believe that the decline in the company's performance is mainly due to the sharp decline in high-speed rail CNC gantry composite machine tools with the decline in the growth rate of investment in high-speed rail construction, and the decline in gross profit margin due to the sharp decline in orders and the weakening of the company's bargaining power; due to the decline in operating revenue growth and the decline in gross profit margin, the company's performance is lower than originally expected.

Maintain the overweight rating. It is expected that the company's high-speed railway CNC gantry composite machine tools will still be in a relatively depressed state for some time in the future, and the company's nuclear power equipment processing business will hardly show explosive growth in the short term; the company's earnings per share in 2010 and 2011 are expected to be 0.63 yuan and 0.76 yuan respectively, maintaining the company's overweight rating.