In the first half of 2013, the company achieved operating income of 756 million yuan, a year-on-year decrease of 54.18%; operating profit of 42.65,500 yuan, a year-on-year decrease of 67.84%; net profit attributable to owners of the parent company of 798.031 million yuan, a year-on-year decrease of 21.25%; and basic earnings per share of 0.0700 yuan. Fundamental description: A leading real estate enterprise in Tianjin. The company is a company based in Tianjin with real estate development and sales as its main business. The products developed include commercial housing, limited-price commercial housing, and affordable housing. The rapid economic development of the Tianjin region, as well as the city's continued increase in investment in guaranteed housing, will provide some support for the company's continued development. During the period, the company seized the “anti-seasonal sales” market from January to March and achieved contract sales area of 1191,000 square meters and contract sales revenue of 1,268 million yuan. There has been an increase in overall gross margin. During the reporting period, the company's comprehensive gross margin was 36.69%, up 14.74 percentage points from the previous year. Looking at specific products, the gross margin of the company's commercial housing business was 42.79%, an increase of 20.42 percentage points over the previous year; the gross margin of the affordable housing business was 15.79%, a decrease of 2.01 percentage points from the previous year. The ability to control costs declined during the period. The company's annual expenses rate during the period was 22.92%, an increase of 14.83 percentage points over the same period last year. Among them, the sales expense ratio was 7.2%, an increase of 4.34 percentage points; the management expense ratio was 11.04%, an increase of 6.61 percentage points over the previous year; and the financial expenses ratio was 4.67%, an increase of 3.88 percentage points over the previous year, mainly due to three reasons: an increase in corporate loans, an increase in interest rates, and a decrease in the capitalization rate. Land acquisition situation. During the reporting period, the company acquired two parcels of land on the west side of Dongting Road in Hexi District of Tianjin, namely Chentang (hanging), Jinxi, plot 2013-029, and Chentang (hanging), 2013-030, Jinxi, respectively, with a planned residential construction area of 502,000 square meters and 88,600 square meters. This land acquisition is mainly used for normal development and future sales, while also increasing the company's land reserves. Currently, it is still in the early stages of development, and it is expected that the contribution to performance will be reflected in the next year. The pre-sale situation of the project is good, and the performance is highly targeted. The cash inflow received by the company during the period from sales of goods and provision of labor services was 1,221 billion yuan, an increase of 130.97% over the previous year. The return of operating cash was significantly better than in the same period last year, and the pre-sale of projects was good. Advance accounts collected at the end of the period were 3,285 billion yuan, up 2.42% year on year. Advance accounts were 1073.36% of 2012 settlement revenue, and the 2013 performance was highly locked in. We previously estimated that the company's earnings per share for 2013-2014 were 0.22 yuan and 0.20 yuan respectively. Based on the closing price of 3.39 yuan on August 29, 2013, the corresponding dynamic price-earnings ratio was 15 times and 17 times, respectively, maintaining an investment rating of “increased holdings”. Risk warning: The industry faces risks such as interest rate hikes, single regional development risks, and policy regulation.