Impacted by the rise of smart terminals such as iPhones in the domestic market, the company's traditional business declined. The company belongs to the traditional manufacturing industry, and the customer base is mainly children aged 0-14. Beginning in 2012, due to the replacement of smart terminals such as the Iphone and Ipad, the company's single electronic electric toy was relatively poor in functionality, and its products declined significantly among children aged 6-14. The company's current development strategy is to vigorously promote the development of new businesses while maintaining the development of its main business. The company achieved revenue of 500 million yuan in 2013, a year-on-year decrease of 0.77%. In the first half of 2014, it achieved revenue of 220 million yuan, a year-on-year decrease of 19.6%. The company's net profit on the other hand declined for three consecutive years. In 2013, it achieved net profit of 24.47 million yuan, a year-on-year decrease of 43.9%, and in the first half of 2014, net profit of a net profit of 1.57 million yuan, a year-on-year decrease of 34.9%. Through external mergers and acquisitions of game companies, industrial upgrading is carried out, and Internet business development companies seek business breakthroughs through epitaxial mergers and acquisitions, carry out industrial upgrades, and mergers and acquisitions of Startron Internet, mainly considering that their customer base is basically the same as the company's original customer base. The Startron Internet customer base is mainly 11-29 years old, which is a good complement to the company's original customer base. After the merger and acquisition is completed, the customer base will reach the 0-29 age group. In the future, derivative products can be developed, and the original products can be upgraded. The national hero of Startron Internet products. In the second half of the year, ARPU expects a monthly turnover of 150 yuan and a monthly turnover of 10 million yuan. Two new products will be launched in the second half of the year. The company's performance will accelerate after the announcement, but the current valuation already reflects expectations of performance growth. The company has not rated traditional business revenue for the time being, and there is little fluctuation up and down. However, when going public, to build a plant and expand production capacity, expenses will need to be amortized, so the company's net profit has declined. This year, the company invested in Guangdong Yueke Financial Leasing Co., Ltd. and participated in 20% of the shares, which will also benefit from net profit. It is estimated that the company's traditional business will profit between 28 million and 30 million yuan throughout the year. At the same time, the company acquired Xingchuang Internet, and the net profit of Xingchuang's exam preparation performance in 2014 was 120 million yuan. Considering the uncertainty of the merger schedule, the profit for exam preparation was less than 120 million yuan in the company's statements. Combining the above factors, the company's annual profit is estimated to be around 59 million. After the company merges and acquires Startron Internet, the company's performance will also accelerate due to the increase in the growth rate of game performance, but it may take time to digest the current valuation. The 14-year valuation expectations corresponding to other comparable game companies are between 85-95. Currently, the company's 14-year valuation level is close to the industry's unanimous expectations, and the company is not rated yet.