The integration of mergers and acquisitions increased significantly. The revenue of companies with good sports business development in January-September was 404 million yuan, up 57.71% year on year; net profit attributable to shareholders of listed companies was 41.08 million yuan, up 41.89% year on year; net profit attributable to shareholders of listed companies deducted from non-recurring profit and loss was 33.51 million yuan, up 31.84% year on year. Among them, operating income for the third quarter of this year was 153 million yuan, up 73.48% year on year; net profit attributable to shareholders of listed companies was 14.43 million yuan, up 58.18% year on year; net profit attributable to shareholders of listed companies after deducting non-recurring profit and loss was 10.53 million yuan, up 20.27% year on year. The significant increase in revenue and profit was mainly due to the inclusion of Tuoxiang Technology, which completed the acquisition at the end of 2015, in the scope of the financial report merger. The company has developed well in the field of sports resource development and marketing. In the first three quarters, sports resources achieved sales revenue of 42.47 million yuan, an increase of 27.08% over the previous year. At present, the company has achieved full coverage of Lehman LED displays for 16 Chinese League 1 clubs. It has long-term business development rights in the Chinese League 1 field, and is expected to benefit from the continuous increase in the commercial value of China League 1. The acquisition of shares in Huashi New Culture started the subway television media business. During the reporting period, the company completed the acquisition of 49% of Huashi New Culture's shares, paid 380 million yuan in cash, and announced the completion of business changes in early September. Huashi New Culture operates the subway television media advertising business originally belonging to Huashi Media (Huashi Media used December 31, 2015 as the transfer base date to inject its entire subway television media advertising business into Huashi New Culture). Currently, it operates subway television media advertising business in 19 cities across the country. This move will help to further promote the company's sports industry development strategy. Profit forecasts and investment recommendations estimate the company's net profit for 2016-2018 to be 0.60/0.81/105 million yuan, respectively, and EPS of 0.17/0.23/0.30 yuan, respectively, corresponding to 103/77/59 times PE. We are optimistic about the company's future development strategy for LED and sports, and maintain the “buy” rating. The risk suggests that the LED lighting industry market competition is fierce; there is uncertainty about sports resource development, marketing, and media business development, and short-term valuations are too high.