Report summary: The company released its 2016 report. During the reporting period, the company achieved operating income of 1,142 billion yuan, an increase of 56.81% over the previous year; net profit attributable to shareholders of listed companies was 129 million yuan, an increase of 314.38% over the previous year; and basic earnings per share of 0.21 yuan. Component sales grew rapidly, and the entire industry chain layout: The company achieved component sales of 673 million yuan in 2016, a sharp increase of 78.33% over the previous year. Of these, the second half of the year achieved component sales revenue of 312 million yuan, which remained basically stable compared with the first half of the year. The company currently has 5 production bases and is laid out in the entire photovoltaic industry chain, completing the collaboration and complementarity of the industrial chain, bringing good cost control and resilience to risks, and contributing to the long-term stable growth of the company's performance. Continued development of its own power plants will support performance: since 2013, the company began to deploy in the field of photovoltaic power plants, achieving rapid growth in electricity revenue. The extension of the company's industrial chain to the power plant sector is conducive to the consumption of its own production capacity, while at the same time laying a solid foundation for performance growth. At the end of 2016, the company had already achieved 240MW of grid-connected ground power plants, and the share of electricity revenue in the company's revenue increased to 18%. In the future, the company will continue to expand in the field of ground power plants, and at the same time continue to advance in distributed and photovoltaic poverty alleviation projects. The power plant business will become an important performance support for the company. EPC revenue has increased dramatically, and the cost advantage is remarkable: the company achieved project revenue of 35.81 million yuan in 2016, showing a good start to the EPC business. The company has integrated advantages in the field of power plant EPC, can provide customers with integrated services for components, design, installation and subsequent operation and maintenance, and has strong cost competitiveness. In 2016, the company's EPC orders continued to land and won the bid in Qinghai. It is expected to maintain a good growth trend in the future. Profit forecast: The company's EPS for 2017-2019 is expected to be 0.28, 0.34 and 0.39 yuan respectively. The company's industrial chain cost control capability is strong, performance is growing steadily, and its own power plants and EPC business continue to gain strength, maintaining an increase rating. Risk warning: (1) power plant and EPC business development falls short of expectations; (2) PV installed capacity falls short of expectations