Investment highlights: The performance exceeded the market and our expectations by 21%. In the first quarter of 2016, the company achieved operating income of 574 million yuan, a year-on-year increase of 273.1%, operating costs of 475 million yuan, a year-on-year increase of 263.9%, and realized net profit attributable to shareholders of listed companies of 58 million yuan, corresponding to a comprehensive dilution of EPS of 0.18 yuan, an increase of 1588.2% over the previous year, exceeding market and our expectations by 21% (we expect net profit of 48 million yuan, up 1,300% year on year in the first quarter report). At the same time, the company expects net profit of 0.85 to 110 million yuan for the first half of 2016, an increase of 699.2%-940.4% over the previous year. Gross margin has risen, and net profit has exploded. The gross profit margin for the first quarter of '16 was 17.2%, up 2.1% from 15.1% in the first quarter of '15. The main reasons are: (1) Weiying Interactive and Cloud Spatio-Temporal Gross Margin, which added consolidated statements, were higher than Jinyuan Interactive's (2) divestment of the traditional low-margin lightning protection equipment business. Net profit for the first quarter of '16 was 58 million yuan, up 1588.2% year on year. The explosive increase in profit was mainly due to three reasons: (1) Jinyuan Interactive developed rapidly, and profit increased significantly in the first quarter; (2) the acquisition of Weiying Interactive, Cloud Time and Space began merging in January 2016: (3) The traditional lightning protection device loss business divested the company's main entity in January 2016, while also bringing in 5 million investment income. Divesting the surge business, the mobile marketing layout tends to improve. The company has divested the power surge business and completely bid farewell to the original business. Mingjia Joint has initially formed the layout of the entire mobile marketing industry chain. The “three controls, multiple parameters” strategy optimizes the company's internal resources, and the synergy effect is remarkable. From the perspective of the company's business, Jinyuan Interactive provides mobile Internet media advertising and mobile search advertising services. Weiying Interactive, Cloud Spatio-Temporal, and Audience Information are mainly biased towards app applications, WAP, and mobile game promotion; Xiaozi Technology uses data analysis as its core competitive advantage and continues to advance into DSP, while Youcai Network focuses on human resources O2O and dual-line layout of the mobile video advertising market. However, online and offline, which participated in the stock market in March of this year, is deeply involved in SMS marketing services and has accumulated a large amount of data. In the future, when combined with Xiaozi Technology, which has the ability to analyze big data, more accurate marketing services will be achieved, and the company will basically complete the mobile marketing layout through external mergers and acquisitions. In addition to this, Tapjoy, which the company has invested in, has long-term overseas advertising experience and is the largest mobile advertising platform in the world. The number of app registrations on its advertising platforms has exceeded 300,000, and the average number of monthly active users is about 500 million. Joying in Tapjoy can facilitate future expansion of the company's business overseas. The company's strategy has been further implemented, and the “increase in holdings” rating has been reaffirmed. At the beginning of the year, the company participated in dual lines, online and offline, and Tapjoy, and continued to push forward the strategy of external mergers and acquisitions. We maintain the company's profit forecasts of EPS 0.70, 0.92 yuan, and 1.21 yuan/share for 2016-18. The current stock price corresponds to the 2016-2018 50/38/29 times PE valuation level, which is basically the same as the current average PE level of the Internet marketing industry in 2016 of 50 times. If we consider the impact of epitaxial mergers and acquisitions in 2016, there is room for further sharp decline in valuation. Since Mingjia Technology is currently the only pure target focusing on mobile Internet marketing in the A-share market, we are optimistic that the company will maintain an “increase in holdings” rating based on the strategic layout of the entire mobile Internet industry chain and the pace of subsequent external mergers and acquisitions.