Event: The company released the “2014 Third Quarter Report”. From January to September 2014, the company achieved sales revenue of 149 million yuan, a decrease of 17.42% compared with the same period last year; net profit attributable to owners of the parent company was 432.81 million yuan, a decrease of 36.72% compared with the same period last year; and EPS per share was 0.39 yuan. Lower than our previous expectations. Comment: Overseas market business is running well. With the continuous advancement of the company's loss reduction projects and distribution network construction projects in Ghana, the company was recognized by its partner ECG in Ghana, and has established good business ties with neighboring countries in Africa, including South Africa, Kenya, Togo, and Sierra Leone. In the future, as the company promotes the development of new projects in overseas markets, it will steadily advance the company's internationalization process. The development of new products involves smart meters, ultrasonic metering, smart homes, etc. The products currently being developed by the company include 32-bit general-purpose MCUs for smart meter applications, ultrasonic flow measurement SoCs based on TDC technology, and wireless and wired SoCs used in the Internet of Things, communications, security, smart homes, smart cities, and electricity. In the field of power grid construction, the company's technology covers everything from the power consumption end to power generation and distribution, providing customers with a full range of design, service and guidance, which can enrich their industrial chain and expand their market size. Profit forecasting and investment ratings. We forecast the net profit of Fuxing Xiaocheng's shareholders from 2014 to 2016 to be 107 million yuan, 152 million yuan, and 201 million yuan, respectively, with corresponding earnings per share of 0.98 yuan, 1.38 yuan, and 1.84 yuan respectively. We maintain the company's “gain” rating. risk factors. The construction progress of the company's power grid renovation project in Ghana fell short of expectations; Ghanaian sovereignty and single customer risks; the company's chip sales fell short of expectations; and Ghanaian photovoltaic industry policy risks.