The company's 2015 annual performance situation: The main business was stable, and asset disposal helped reverse losses. In 2015, the company achieved revenue of 88.33 million yuan, a year-on-year decrease of 0.26%, net profit attributable to the parent company of 12.73 million yuan (loss of 166 million yuan in 2014), and EPS of 0.03 yuan, of which total income from asset disposal was 8.51.2 million yuan, using this performance to turn losses into profits. Using capital power to control high-quality resources, it is in the two major directions of “outdoor activities and entertainment,” and sports and performing arts projects are progressing smoothly. On the sports side: 1. The joint development project for the National Winter Games that the company undertook at the end of February last year has been implemented and is in the revenue settlement stage; 2. Two major sports industry funds have been set up to complete a 51% equity investment in Yingbo News and a 55% equity investment in Harlem Show through China Travel's new performance (5% shareholding), thus achieving project implementation in the direction of sports content production, sports training, and sports tourism segmentation. 3. On March 10, it was announced that a partnership with Xiaogong Culture will be authorized by the State Administration of Sports to develop and operate the China eSports Carnival for a period of 3 years and officially enter the e-sports field. In terms of performing arts: Over the past two years, we have collaborated with Shanshui Festival to launch the “Zhaojun Out” acting project (a 16-year global tour program) and the location and development of live entertainment programs in Nanjing and Xiamen; recently, it has invested in VR startup Rongzhi Xunda to enter the two major fields of VR panoramic cameras (hardware) and shows (application scenarios). The shareholding ratio of the majority shareholders rose to 29.01% after the recent fixed increase was completed. It is recommended to continue to pay attention to the business conditions of their in vitro cultivation projects Yingbo News and Harin Xiuwang, and to the company's continued actions in both outdoor sports and culture and entertainment. Profit forecast and valuation: Due to the low investment ratio (5%), the performance promises of the two major projects held by China Travel Xinji are not being considered yet. It is estimated that in 2016-2018, the company will achieve operating income of 114 million yuan, 172 million yuan, and 258 million yuan respectively, and net profit attributable to the parent company of 13 million yuan, 37 million yuan and 48 million yuan, and EPS of 0.03 yuan, 0.07 yuan and 0.10 yuan respectively. First coverage, giving the company a “recommended” rating. Risk warning: Project progress falls short of expectations