Report Summary: Traditional enterprises enter the Internet marketing industry. The company started with traditional polyurethane foam polyether materials. Under the influence of various factors such as the recent slowdown in macroeconomic growth and policy changes in the energy saving industry, the company's performance has been hovering at a low level. The management is forging ahead and actively transforming across industries. Additional acquisitions of the Internet marketing companies Shanghai Xinhe, Shanghai Excellence, and Shanghai Lindong were completed in July '15 and April '16. The additional offer prices were 26.4 yuan/share and 58.4 yuan/share, respectively, and the ancillary fund-raising price increased by 69.2 yuan/share. After the additional issuance was completed, the actual shareholding ratio of the company's controller was 28%, maintaining a controlling interest. The Internet marketing industry is growing rapidly, and the automobile industry has invested the most. At present, the total output value of China's advertising industry is about 600 billion yuan, with an average annual growth rate of 15%, while the Internet advertising market has reached the level of 200 billion, accounting for about 30% of the total, while the growth rate has reached more than 30%. Among the nearly 45 billion Internet display advertisements, the automobile industry accounted for the highest share of investment, reaching 22%, with a year-on-year growth rate of more than 30%. The company's internet marketing landscape is beginning to be seen. The Shanghai Xinhe team has more than ten years of Internet marketing experience, achieved net profit of 120 million yuan in the four years since its establishment, and its performance in 15 years has greatly exceeded the promised performance. Shanghai Jichuang is a leading advertising and marketing company in the automotive industry in China. Its main customers include Shanghai GM and GAC, which have strong design and creative capabilities. After integration with Shanghai Xinhe, the new company is expected to become one of the largest companies that can compete with Huayang Lianzhong in the advertising and marketing of the domestic automobile industry, and has a complete set of business plans integrating a full range of creative services and distribution through online channels. Shanghai Lindong's main business is public relations, and its addition will support the new company for advertisers to carry out offline advertising and marketing. Profit forecast. We expect the company to have EPS of 0.48, 0.68 and 0.78 yuan in 16-18, corresponding to 42 times, 30 times and 26 times PE, giving it a “recommended” rating for the first time.