1. Company performance: Financial reports show that as of 2015, Lianzhong's annual revenue was 770 million yuan, up 61.8% year on year; net profit was 114 million yuan, up 17.11% year on year. PC gaming revenue was 346 million, an increase of 13.1%. Mobile games maintained a strong momentum in 2015, with revenue reaching 350 million yuan, doubling year-on-year, and monthly paying users surged 130.9% to 14.2 million. Revenue from the non-gaming business increased from $16 million in 2014 to about $74 million, a year-on-year increase of 346.2%. The main reason is Lianzhong's wholly-owned acquisition of WPT, which is expected to account for more than 15% of the non-gaming business this year. However, operating profit margins are still under pressure. 2. WPT's revenue contribution to the company: Revenue from WPT is mainly divided into three parts, namely licensing, tournaments, and online games. Each block of business revenue is about the same. Since the acquisition was completed in the middle of 2015, the revenue included in the statement was only half a year, so the contribution to profit was not significant. 3. The reason why the company's tax rate is relatively high this year: Because companies previously enjoyed a special policy with a 10% tax rate for high-tech, but in 2016 they were not notified to continue implementing this policy, the 2015 tax rate was calculated at 15%. In February 2016, the competent authorities began restarting the preferential tax rate policy, and the probability of approval is expected to be relatively high. As for the impact after approval, last year's tax rate of about 8 to 9 million will be set back, while this year's tax rate will be calculated at a 10% tax rate. 4. When will the new WPT products be launched: Intensive launch of WPT products is planned in June and July 2016. First, PC products, and then mobile products will follow. In addition to card games, there are many other casino games. 5. The conflict between WPT products and the company's existing products in acquiring customers: First of all, these two products are not one category. WPT has many different platform products and game types, and is a product group that enriches the company's existing product system. Because WPT targets a user group outside of China, the company wants to seize share of the global social game market through the WPT brand. Moreover, WPT has global live television resources, which is a core advantage that other international competitors do not have. 6. The driving force for mobile growth in 2016: The mobile terminal received 130% growth in 2015 and is expected to grow steadily this year, but the chance of doubling again is very difficult, and it should maintain a faster growth rate than the industry. 7. This year's operating profit margin situation: 2015 was an investment year for the company, and many new products will be launched in 2016, so there should be no significant improvement in 2016. WPT is a full line of chess and card products, and the product line is not expected to be completed until the end of the year. The improvement in operating profit margins depends on when the products launched will generate huge revenue. The company believes that every product has great potential for growth. Many of the expenses in 2015 were labor costs. The peak period has passed, and labor costs have slowly declined in 2016, but sales expenses will rise, so the two are balanced with each other. 8. The company's layout in e-sports: In terms of e-sports business, the company invested in Netfishnet Cafe in 2014. Currently, the business is becoming more and more deeply embedded in the company system, following the model of combining online and offline. Netfish provides a venue for competitions. All offline games are held in e-sports halls, and some chess and card qualification tests are also carried out there. In addition, e-sports halls can also generate content, and every game can be broadcast live. 9. The company holds the share of allied e-sports shares: about 45%. 10. Development of the non-gaming business: This business was able to generate relatively large revenue growth in 2016. Most of it comes from WPT. First, only half a year's revenue was included in 2015, and this year's annual revenue was included. At the same time, many new products were launched, and it is expected that the revenue share will reach more than 15%. 11. Summary and suggestions: The company's mobile business drives rapid revenue growth, and WPT will also have good revenue growth this year. The chess and card O2O business is still progressing steadily. It is recommended to pay attention.