Guangdong Rongtai uses the capital market to actively transform cloud computing Guangdong Rongtai uses capital market platforms to strengthen and expand the cloud computing data center industry. The company's strategic transformation plan selects integrated Internet services as a key development direction in the future. We are firmly optimistic about Rongtai's development prospects in the IDC and cloud computing fields. Main recommendation logic: 1. The company has a firm will to transform. The management is actively promoting the company's development in the fields of IDC and cloud computing, and has taken the lead in putting forward the concept of building a “comprehensive service provider for Internet data publishing”. 2. Combining big data and cloud computing, IDC will comprehensively serve the fields of Internet medicine, Internet of Things, Internet of Things, Internet of Vehicles, smart homes, etc. Zhangbei Rongtai Cloud Computing Center's initial plan for the 6,000 IDC cabinet project was implemented by Zhangbei Rongtai, a wholly-owned subsidiary specially set up by the company. Zhangbei Rongtai is independent of Guangtai Rongtai's wholly-owned subsidiary Senhua Yiteng in terms of organizational structure, assets, business, personnel, finance, etc.; the fund-raising project will partially rely on Senhua Yiteng to provide market, talent and technical support. The construction period for the Zhangbei Rongtai project is 2019 2017-2017. The preliminary plan is to have a production capacity of 2,000 cabinets in early 2020 and a production capacity of 4,000 cabinets in 2021. Full production capacity of 6,000 cabinets. It is expected that the performance of Guangdong Rongtai's third quarter report will continue to increase significantly. Rongtai Chemical's main business achieved net profit of about 1.31 million yuan in the first half of the year due to the continued downturn in the macroeconomic situation and low commodity prices, a decrease from the same period last year. Senhua Yiteng achieved a total net profit of 37.01 million yuan from February to June, effectively improving the company's operating performance. The company's mergers, acquisitions and restructuring effectively changed the company's business situation, and the transformation effect gradually became apparent. The company expects the cumulative net profit from the beginning of the year to the end of the third quarter to increase by 150%-200% compared to the same period last year, mainly due to the merger of Senhua Yiteng's financial reports for the period from February to September. We think it's likely that it will exceed expectations. Profit forecasting and valuation combined with the company's business development situation and industry development, we expect Senhua Yiteng to exceed its performance commitments. We expect that the net profit for 2016-2018 is expected to reach 110 million, 150 million, 200 million, and after that, we expect Guangdong Rongtai's net profit in 2016-2018 to reach 139 million, 197 million, and 247 million dollars. This fixed addition of 6,000 new IDC cabinets will further open up growth space for the company's future development in the field of cloud computing.