Revenue for the first three quarters increased by 86.74% year on year, turning a loss into a profit and achieving a net profit of 43.66 million yuan. According to the 2016 interim report, the company achieved operating income of 139.6 million yuan, an increase of 46.28% over the same period of the previous year; realized a deduction of non-net profit of 2,024,200 yuan, turning a loss into a profit over the same period last year. Yesterday, the company released its three-quarter report. In the third quarter alone, the company achieved operating income of 125 million yuan and net profit of 236.3989 million yuan. The single-quarter profit for the third quarter exceeded the profit level of the first half of the year. In the first three quarters, the company achieved a total operating income of 265 million yuan, an increase of 86.74% over the previous year, net profit of 43.6641 million yuan, and basic earnings per share of 0.18 yuan/share. Various business developments continued to improve. According to the 2016 interim report, operator business revenue, including mobile value-added business and mobile video business, increased steadily by 10%, while integrating and optimizing the workforce, operating costs fell 23.14% year on year and gross margin increased by 14.32 points; after establishing a strategy to distribute high-quality international games, the game business cooperated with well-known game producer Rovio to operate its video game interactive mobile game product “Angry Birds Rush” was launched in April 2016, and the revenue revenue of the game business increased 30.55 year-on-year %. After the team of game personnel was streamlined, operating costs dropped sharply, and gross margin increased by 37.96 points; the company's WiFi and traffic resale business scale was further expanded, and WIFI with partner airlines such as Sichuan Airlines and Hainan Airlines progressed smoothly, and the mobile Internet industry application business revenue increased 154.46% year-on-year. The company obtained the first batch of virtual operator licenses from the Ministry of Industry and Information Technology in December 2013, and officially launched WIFI resale business in 2014, mainly in the B2B business format. The products are not restricted by operators or number segments; Mobile Internet Industrial Park ( (Beiwei International Center) completed completion inspection in December 2015 and officially put into commercial use. At the time of disclosure of the company's semi-annual report, the business had already generated an operating income of 8.5032 million yuan, which had basically achieved a balance of profit and loss. The three-quarter report revealed that the occupancy rate had already exceeded 60%. The increase in majority shareholders' holdings shows confidence in the company's major shareholders and actual controller Fu Lemin, accumulated 5,100,000 shares in the secondary market in September. The ratio of company shares held in the total share capital changed from 19.26% before the increase to 21.25%. The average price increase was 18.752 yuan/share and 19.175 yuan/share, respectively, and the market value increase was close to 100 million yuan, demonstrating the majority shareholders' confidence in the company's future business development. The company's transformation expectations are strong, and although the company's current business has turned a loss into a profit, there is limited room for future development of the operator business. If the game business is to enter the first tier, it is very difficult for the game business to enter the first tier. The WIFI resale business alone is likely to experience a period of rapid growth in the future. The company went public in 2007 and currently has a market capitalization of around 5 billion dollars. If it is necessary to expand the scale of revenue and increase market value, in addition to stepping up efforts to develop the mobile WiFi resale business, it is very likely to enter more promising sub-industries to develop business. Future transformation expectations are strong. Profit forecast According to the current business situation forecast, the growth rate of the company's net profit attributable to shareholders of the parent company in 2016-2018 was respectively turning a loss into a profit/ 58.21%/55.27%, EPS was 0.28/0.44/0.69 yuan per share, and the price-earnings ratio corresponding to 21 yuan was 75/47/30 times, and the initial rating was “increased holdings”. Risk warning: business transformation falls short of expectations, business growth slows