Key investment points: The interim report performance increased 7 times, and the strength of public safety was verified. The company released an interim report, achieving operating income of 675 million yuan, an increase of 1.6 times over the previous year, and net profit to mother of 72.89 million yuan, an increase of 7 times over the previous year, slightly exceeding market expectations. The transformation of public safety and smart energy was initially realized. Recently, it has successively won bids for Chuzhou's 296 million security project and the 57.37 million yuan security construction project for the Hohhot high-security prison renovation and expansion project, verifying the company's strength in the field of public safety. The company has the technology and qualifications for all aspects of “cloud management”. As a complex IOT, smart cities require front-end equipment and end-to-end technology, and the market space is 500 billion dollars in terms of demand. The subsidiary CLP Xingfa has all front-end and back-end equipment and control platform technology, undertakes projects at the same time, and has recently completed the exchange of national-level qualifications for computer information system integration. The strength of information systems engineering has been underestimated by the market; it achieved operating income of 610 million yuan and 653 million yuan in 2013 and 14, respectively, and net profit of 84.55 million yuan and 52.93 million yuan respectively. We believe it is expected to exceed expectations. Our own technology produces charging piles and develops smart energy. The company has its own core technology, developed and produced by two postdocs from Tsinghua University. Currently, it has slow charging, fast charging and wireless charging products, which can meet the vast majority of charging targets. The capital raised this time to expand production capacity is 1.5 years, and the subsidiary and Jinxi Industrial established a joint venture to establish Longxi New Energy Company, which is expected to use Jinxi Industrial's sales experience to open up the charging pile market. We believe that combined with the company's own advantages, the smart energy industry chain is also expected to be extended. Maintain profit forecasts and maintain buying ratings. According to the plan, orders for charging piles have been placed in small batches, explosion-proof robots, etc. are progressing smoothly. The private sale meeting was held on June 22, and the fixed increase was carried out smoothly. The company's layout in all fields has developed smoothly. EPS is expected to be 0.34/0.39/0.50 yuan respectively in 16-18, and the corresponding PE is 51/44/35X, respectively, maintaining the purchase rating.