Incident: On May 5, 2015, the company received a notice from Mr. Wang Tiantian, the independent director of the company. Wang Tianwen will begin on May 5, 2015, and plans to increase the company's shares within the next 6 months through self-financing through methods permitted by the Shenzhen Stock Exchange trading system (including but not limited to centralized bidding and commodity trading): a cumulative increase in the company's share holdings by 30.197-30197 million shares (accounting for 0.1-1% of the company's share capital). Comment: The increase in sole shareholding shows that the stock price is still attractive. Based on his confidence in the company's future development prospects and reasonable judgment on the value of existing shares, Wang Tianwen has now completed the nickel-iron layout in Indonesia; at the same time, the company still has a number of major ongoing orders in the complete mechanical smelting equipment business, which will greatly improve its performance in 2015. The current increase in holdings also reflects from the side that even after the sharp rise, the stock price is still very attractive, and executives are confident about the company's future prospects. Large orders are delivered, and performance is expected to increase significantly in the first half of the year. The company expects profit of 177-187 million yuan in the first half of the year, an increase of 1058—1123% over the same period last year. The company's profit increased significantly year-on-year, mainly for the following reasons: (1) The large contracts newly signed in 2014 will continue to contribute profits to the enterprise. Currently, the company is executing orders of about 1 billion yuan. According to the production plan, the half-year output value has increased significantly compared to the same period last year, which will increase the net profit attributable to shareholders of listed companies significantly over the same period last year; (2) The company's non-recurring profit and loss amount is expected to be 1.03 million yuan during the reporting period, compared to 900,000 yuan for the same period last year. The Indonesian layout is beginning to take shape. To achieve the company's overseas strategic development plans and extend the company's industrial chain, the company uses Singapore as the headquarters for overseas business, and carries out investment and acquisition of mineral resources and logistics trade in Singapore and Indonesia. In the Indonesian market, the company has obtained many mineral resources such as coal mines, nickel mines, manganese ores, etc., and has begun construction of public facilities such as docks or roads. Currently, coal mines have been put into operation. In February 2014, the company's Indonesian industrial park project was officially launched. Through construction and investment work, the company boosted exports of independent products, and revenue from complete machinery and equipment also increased significantly. The company's current investment project plan in Indonesia has begun to take shape. Indonesia's various acquisition projects will enable the company to own its own coal resources and various mineral resources. At the same time, the Indonesian industrial park project and power plant construction will also bring opportunities for the company's power equipment exports. After the power plant construction is completed, in addition to supplying electricity to its own smelter, it can also sell electricity abroad. The future profit margin of the company's Indonesian project is huge, which will have a profound impact on the company. The Indonesian project was supported by both governments. On March 27, 2015, the Qingdao Municipal People's Government, the company and Indonesia's Central Sulawesi Provincial Government and Indonesia's PT. BatuetjepperResouces Company signed the “Qingdao Municipal Government and Indonesia's Central Sulawesi Provincial Government signed a support agreement for Hengshun Zhongsheng Group and Indonesia's PT. Batuetjeppere Souces to carry out investment projects in Indonesia”. According to the support agreement between the Chinese and Indian governments, the signatories of the agreement will achieve cooperation between the two sides through mutual support (financing, aid, technology transfer, etc.); at the same time, the local governments of the two countries will actively guide and provide various facilities. In order for the company's investment and construction in related fields such as integrated industrial park projects, power plants, and smelter projects currently under construction in Indonesia to proceed smoothly, Indonesia's Central Sulawesi Province will endeavor to speed up all legal procedures and license processing. The signing of the agreement is a full affirmation that the company is in line with the country's “Belt and Road” strategy. At the same time, it also provides government support for the company's integrated industrial park construction and other projects in Indonesia, providing policy guarantees for project development and construction. It is expected that the company's project progress will be completed beyond expectations. Maintain a “buy” investment rating. Relying on Indonesia's Sulawesi Nickel-Iron Industrial Park project, the company integrates Indonesian mining and power plant resources, and uses superior local resources - coal and nickel ore to build a complete nickel industry chain; at the same time, the company will continue to explore overseas sales markets for complete machinery and equipment business, starting from the Indonesian Industrial Park project. It is expected that sales orders and sales revenue will continue to increase in 2015, and the company's performance will continue to grow rapidly. According to the company's performance and project progress, the company's 2015-2016 EPS is expected to be 1.31 yuan and 2.27 yuan respectively. Combining the average valuation level of the nickel sector and the “Belt and Road” to improve the company's valuation level, we gave the company a target price of 78.88 yuan, corresponding to 60 times PE in 2015, and maintaining the “buy” rating. Risk warning. Policy risk; project completion risk; exchange rate fluctuation risk; business integration risk.