Report guide: On July 4, 2017, Yongli Co., Ltd. released the 2017 semi-annual report performance forecast: from January 1, 2017 to June 30, 2017, net profit attributable to shareholders of listed companies was 140 to 156 million yuan, an increase of 160% to 190% over the previous year. Comment: Weifeng International added a consolidated list from January to June. The sharp increase in performance was in line with expectations. In October 2016, the company completed Weifeng International's transfer procedures. The scope of Weifeng International's merger in 2016 was only November to December. Weifeng International achieved net profit of HK$184 million in 2016 (totaling approximately $158 million), accounting for about 51% of the company's net profit for exam preparation. According to this, it is estimated that Weifeng International's merger range from January to June was added in the first half of 2017, which is the main reason for the sharp increase in the company's performance in the first half of the year. The conveyor belt and molding business is growing steadily. It is expected that in the first half of 2017, Yingdong and Weifeng have fulfilled their annual performance promises. The precision molding business in the light conveyor belt, automobile and home appliance industries will maintain steady growth in the first half of 2017. Among them: 1) Yingdong Molding mainly provides precision molding products for high-end brand customers in the automotive and home appliance industry. As the weight of automobiles accelerates, the application ratio of plastic parts in automobiles continues to increase, and automotive plastics are evolving from interior and exterior decoration to functional structural parts; the boom in white electricity such as refrigerators and air conditioners will continue, and it is expected that Yingdong Molding will maintain steady growth throughout the year; 2) Weifeng International is a high-end brand in the field of precision molding, mainly involved in toys, communication equipment, computers and consumer electronics; Weifeng International is competing in the market with leading technology, excellent products, and rapid distribution and efficient market management Established in a pattern It has a competitive position and established long-term cooperation with multinational companies, and is expected to maintain a steady growth trend throughout the year. The intelligent sorting business has begun to expand. 2017 is expected to usher in an explosion. In 2016, the automatic sorting business achieved revenue of 60.6486 million yuan, an increase of 2152.66% over the previous year, and the automatic sorting business began to expand in 2016. According to our estimates, the demand of express delivery companies such as SF Express, “Three Links and One Delivery”, and Debon alone to build and upgrade transit centers over the next 5 years will spawn a demand of 50 billion yuan for intelligent sorting equipment. SF Express raised about 15 billion yuan through the “Three Links and One Delivery” IPO for the intelligent upgrading of transit centers. As one of the few companies with the production capacity of intelligent sorting equipment in China, the holding subsidiary, Xinba Technology has advanced technology and innovatively adopted flexible business models such as piece-rate charging and financial leasing. We expect that with Xinba Technology's technology accumulation and brand awareness increase in 2016, and the company explores more cooperation opportunities through widely distributed customer resource advantages in 2017, the intelligent sorting business is expected to explode in 2017. Profit forecasts and valuations take into account Weifeng International's 2017 annual schedule. We expect the company to achieve revenue of 3.447 billion yuan, 3,948 billion yuan, and 4,512 billion yuan in 2017-2019, a year-on-year increase of 88.67%, 14.56%, and 14.27%; net profit attributable to shareholders of the parent company is $306 million, $378 million, and $452 million, respectively, up 99.27%, 23.68%, and 19.40% year on year; the corresponding EPS is 0.67 yuan, 0.83 yuan, and 1.00 yuan respectively Yuan, corresponding to the current stock price dynamic price-earnings ratio of 25 times, 20 times, and 17 times, maintains the “buy” rating.