Event: The company released its 2014 annual report and achieved annual revenue of 227 million yuan (+4.57%). Net profit of 53.61 million yuan (-16.63%) was realized. Earnings per share were $0.34 (-15.00%). The company plans to pay 1 yuan in dividends for every 10 shares and increase 10 shares by 8 shares. In addition, the company released a performance forecast for the first quarter of 2015. Net profit was 158.64 million yuan to 17.454 million yuan, an increase of 0-10% over the previous year. Comment: Revenue grew steadily, and the decline in net profit narrowed quarter by quarter. Driven by traditional products such as the incubator series, especially foreign markets, the company achieved revenue of 227 million yuan in 2014, an increase of 4.57% over the previous year. Affected by market development expenses, increased R&D investment, and reduced interest income, etc., net profit was 53.61 million yuan, a year-on-year decrease of 16.33%. However, judging from the company's quarterly data, the decline in growth rate has narrowed from quarter to quarter. By Q4, net profit fell 1.8% year on year, which is basically the same as the same period last year. The growth rate of major products stopped falling and rebounded, and product categories continued to be enriched. During the reporting period, infant incubators achieved revenue of 123 million yuan, an increase of 7.85% over the previous year. The baby radiation warmer achieved revenue of 51.0462 million yuan, a slight decrease of 3.04% over the previous year. Revenue from neonatal jaundice treatment equipment was 22.5022 million yuan, a year-on-year decrease of 9.11%, and the revenue growth rate of major products improved markedly from '13. The company focused on reproduct development, and invested 11.862 million yuan in R&D during the reporting period, an increase of 18.96% over the previous year. The share of R&D investment in revenue increased from 3.7% in 2012 to 5.22% in 2014. In 2014, a number of new products and upgraded products were launched, such as medical air-oxygen mixers, neonatal jaundice treatment beds, neonatal jaundice treatment devices, and infant incubators. Profitability has declined, and net cash flow has maintained a relatively rapid growth rate. The increase in sales and R&D expenses and the decrease in interest income caused the company's net interest rate to drop by 6 percentage points. In 2014, the company's net operating cash flow increased 20% year on year to 67.79 million yuan, with excellent performance. Profit forecasts and ratings. It is estimated that the EPS from 2014 to 2016 will be 0.38, 0.43, and 0.49 yuan, and the corresponding PE will be 113, 99, and 87 times. The company is a leading enterprise in the field of baby care equipment