The report explains that the company released the 2016 report and the 2017 quarterly report. The steel structure business improved overall, and the steel ring business rebounded: Nisshang Group released the 201 annual report and the 2017 quarterly report. The company achieved operating income of 1,415 billion yuan, up 10.27% year on year; realized net profit attributable to shareholders of listed companies of 688 million yuan, up 96.49% year on year; 2017 quarterly report achieved revenue of 346 million yuan, up 23.35% year on year. The company received the dividends of the “Belt and Road” policy, the overseas steel structure business improved overall, and the steel ring business bottomed out and rebounded. Commenting on the incident, overseas orders are continuing, the steel structure business is improving comprehensively. Under favorable conditions such as the support of policies such as Three Links and Belt and Road, the construction scale and investment level of the West Coast Economic Zone dominated by Fujian Province, and the improvement in the external economic environment, the company has further consolidated and expanded good cooperative relationships with international contractors such as Fluor of the United States, France's Dechnib, Japan's JGC, Chiyoda, Italy's Chiyoda, Italy's Technemont, Taiwan's Zhongding, Sinopec SEG, and CNPC Global. Includes: JGC/Singapore SRC Project (US$4.595 million), Zhongding/Ma Oil RAPID-P1 project (US$10.85 million), Fluor and Dechnib Joint OUIJV/PRPC Utilities and FACILITIES/Ma Oil RAPID-P14 Project (US$568.45 million), Sinopec SEG and Ma Oil RAPID-P2 project (RMB 21.2341 million), Zhongding/Ma Oil RAPP1 platform ladder project (US$1.6082 million), Techneiment and CNPC Spherical Federation/Ma The oil RAPID-P7 project (US$8.4424 million), the US CB&I and the Taiwan Zhongding Consortium CCJV/Oman LIWA-P1 project), etc., currently uncarried over orders for equipment steel structures exceeded 500 million yuan, and the equipment steel structure output in 2016 exceeded 50,000 tons. Considering the characteristics of countercyclical investment in overseas petrochemical projects, it is foreseeable that in the future, driven by policies such as the “Belt and Road”, the company will grow greatly in the field of steel structures for overseas equipment. Joining hands with Tesco to enter the main Japanese car manufacturer, and the future of lightweight steel rings may be promising. Steel rings have begun to enter the production system of major Japanese car manufacturers in small quantities. In addition, the company's steel ring products successfully entered the US blue bird, Vanguard and other manufacturer systems, and the company's layout in the overseas steel ring market has gone one level higher, reflecting the continuous improvement of the company's product quality and recognition by high-level automakers, laying a solid foundation for the future steel ring business to open up new growth points. The company cooperated with Shougang to carry out R&D and production of high-strength lightweight steel rings using a strong and strong partnership model. Currently, the products have passed the Smith Laboratory tests in the US to meet the lightweight requirements of high-end trucks and buses in Europe and the US. Currently, the company's lightweight steel ring products have been used in new energy vehicles from customers such as the Yangtze River (Hangzhou G20 summit designated service vehicles; 100% of the steel rings used by the NEV are supplied by the company), BYD, Jinlong Bus, Universiade, Zhongtong, and Hengtong buses. The domestic sales volume of this series of products has exceeded 20% of total domestic steel ring sales during the reporting period. In the future, with the spread of new energy vehicles, sales of this series of products are expected to increase further. Smart steel ring software and hardware products are about to be replaced. The automotive aftermarket indicates that Zhongyuan Company began laying out Internet+ automotive aftermarket projects in July 2015. Currently, all projects are progressing steadily. On the one hand, the company's high-quality strategic projects in the automotive aftermarket and emerging IoT industries are based on smart wheels to provide customers with value-added services to increase product market share and help customers open source and save money; on the other hand, through the construction of an O2O platform for auto parts, revitalize inventory, reduce channel levels, and effectively reduce user costs. Furthermore, the company strives to solve the collection needs of the first 50 kilometers and the last 50 kilometers of delivery. At present, the company has completed smart steel ring software and hardware products and has begun to be applied, and has achieved a good reputation among commercial vehicle drivers. In the Sichuan and Xiamen regions, the company's smart steel ring products have been thoroughly laid out; in the future, with the upgrading of smart steel ring software and hardware products, users will get a better product user experience and faster additional services, and the company will also use this to gradually enter other provinces. Currently, the company is preparing to test in Henan and Shenyang regions. Profit forecasting and valuation The company's traditional steel structure and steel ring business is developing steadily overseas. Considering the high growth of the equipment steel structure business and the continued expansion of the steel ring business with the support of policies such as the Belt and Road Initiative and the cross-strait three-way link, the company lays out the automotive aftermarket and the integration of lightweight steel rings for new energy vehicles and the industrialization of green buildings, it is expected to form a new profit growth point in the future. We expect the company's EPS in 2017-2019 to be 0.13, 0.17, and 0.31 yuan/share.