The focus is on the transformation of the company's consumer-grade drones. In the future, drones can be used as air flight platforms to load various applications, and in combination with VR glasses alone, they may bring about a huge hardware market. The company's strong alliance with Zero Intelligent Control and Tencent to master technology and channel advantages will fully benefit from the explosion in the drone market! In terms of robot transformation, the company has exported intelligent manufacturing solutions based on its own automation upgrading and transformation experience, which has been well received by customers, and this business will also become the company's highlight! In the short term, this year, Leber Technology will vigorously explore the Internet cafe e-sports game peripherals market. With the company's strong execution, it is expected to become a cash flow business and support the transformation of drones and robots. Investment points 1. The founder has an excellent vision and has grasped opportunities many times. The company has Zeng Hao, the leader of the Bull Stock Genomics Company, keenly grasped the 2.4 GHz technology opportunities in 2008, and completed the establishment of a national sales channel in 3 months with strong execution, leading the wireless mouse revolution and reshaping the industry pattern. Facing a declining industry, the company is actively transforming drones and robots. Through a horizontal comparison, the founder took the lead in arranging drones with zero degree intelligent control with a keen eye, surpassing most well-known institutions in terms of investment. 2. Consumer-grade drones are expected to once again make the company a dark horse. Zero-degree intelligent control in cooperation with DJI was born in the same era. The core technology of drones is comparable, and the gap between the two will gradually narrow with the passage of time and capital assistance. The company cooperates with Tencent to develop and sell drones. Aerial scare content will be uploaded to the drone community through WeChat and QQ. Relying on Tencent's strong marketing channels, drone sales are expected to increase rapidly, provide a foundation for the creation of a drone ecosystem, and are expected to spawn more monetization models. 3. Is sales of e-sports game peripherals expected to exceed expectations this year and provide financial support for the transformation? The company launched peripheral products for e-sports games at the end of last year, leading the industry in terms of quality, price, and after-sales. At present, the company has begun a “strong V line” nationwide Internet cafe promotion battle. With still strong execution power as it was back then, if the Internet cafe penetration rate of 15% is completed, it will increase revenue by 700 million yuan. 4. Investment advice: The company predicted a loss of 424 million yuan in performance last year. Among them, Lehui World made extensive plans to throw the burden of losses on 2015. However, as the expansion and transformation of the Internet cafe game peripherals business accelerates, we expect the company to achieve net profit of 340 million yuan (including profit from non-operating income) and 200 million yuan in 16/17, corresponding to PE 34 times and 59 times, which is highly recommended. 5. Risk warning: The gaming peripherals business falls short of expectations, and the robot and drone market expansion falls short of expectations.