The results of the 2016 mid-year report were in line with expectations. Perting also brought high growth. The company achieved revenue of 464 million yuan in the first half of 2016, an increase of 30.91% over the previous year, and achieved net profit of 71.2 million yuan, an increase of 129.24% over the previous year. The increase in revenue and net profit mainly comes from the newly merged subsidiary Xiamen Poting. In the first half of the year, Perting contributed 249 million yuan in revenue and 49.56 million yuan in net profit, accounting for 69%. Perting's overseas business is strong, and orders and performance are expected to exceed expectations. Perting is an internationally renowned integrated service provider for bulk materials transportation and storage systems. It has core technology and strong international competitiveness. Its business is all over the world, and overseas construction needs are strong. Pa Ting's current orders exceed 1 billion yuan, mainly in Southeast Asia. With the exception of Vietnam's Hejing Wharf conveyor project, which was completed in June, all other projects are progressing smoothly. Perting has a good relationship with Formosa Plastics Group. Formosa Plastics has an investment plan of nearly 40 billion US dollars for the construction of chemical parks in the US. As a strategic partner of Formosa Plastics, Perting is expected to receive large orders for conveyor belts from Formosa Plastics US Chemical Park in the future, which will bring high flexibility in performance. Perting's 16-17 performance promises are $0.97 and $131 million. Under the impetus of abundant orders, we expect performance to exceed promises. The company plans to take the opportunity to carry out supporting financing to support the stock price. The supporting financing for the company's acquisition of Perting's asset restructuring has been approved by the Securities Regulatory Commission. It plans to issue shares to fixed investors at a price of 17.71 yuan/share to raise no more than 555 million yuan in supporting capital. The company has signed share subscription agreements with all two subscribers, Symbiosis 1 Fund and Kyushu Securities, and will continue to actively promote supporting financing and take advantage of opportunities. The price of supporting financing provides a certain safety cushion for the company's stock price. Roca's environmental management situation is good. The construction of the Wen'an Biomass Power Plant went smoothly. Beijing Loca Environmental Protection, a subsidiary of the company, is doing well. It is not very difficult to complete the performance promise of 41 million yuan in 2016. On August 3, it was announced that Roca signed a 115 million yuan comprehensive exhaust gas disposal contract with the Zouping Qixing Development Zone Thermal Power Plant. The leading position in the traditional filter business is stable, but due to industry bottlenecks, there was a decline in the first half of the year. The future expansion of atmospheric treatment into the non-electrical sector will bring new vitality to the company's filter material business. The Wen'an Zhongxin biomass power plant is over halfway through construction and is expected to contribute to performance in '17. Xiamen Perting and Roca Environmental, which were acquired by profit forecasting and rating companies, are highly profitable and have plenty of orders in hand. They are expected to maintain high growth over the next few years, which is likely to exceed performance promises. We expect the company's net profit for 2016-2018 to be 1,86/2.48/313 million yuan, EPS 0.49/0.66/0.83 yuan, respectively, and the corresponding PE is 39/29/23, maintaining the purchase rating.