Incident: Company announcement The board of directors deliberated and approved the appointment of Gao Liqiang as the company's president and as a non-independent director of the company. The core view is that industry leaders join, and the company's SaaS strategy is promising: Mr. Gao Liqiang has been deeply involved in the field of computer software and services for 25 years and has rich industry experience. Previously, he served as Vice President of Oracle, Global Vice President of Oracle (China), Global Vice President of Oracle (China), and General Manager of Technology in China, and has deep influence in the industry. We believe that since starting the transformation in 2014, the company has successively completed the acquisition of marketing targets such as Shunwei, Qisi, and Li Xuan, and further confirmed the steady growth and development of the short to medium term marketing business. The medium to long term is committed to extending from digital marketing to enterprise-level Saas service, building an enterprise-level Saas service ecosystem and platform. Entering 2016, the company invested 93 million to win 10% of the shares of about 170 million people and about 15% of the shares. At the end of 2016, the company's actual controllers set up an enterprise-level SaaS ecosystem to launch an enterprise-level SaaS ecosystem. The fund is based on investing in high-quality targets in the enterprise-level Saas service sector, as an incubation platform for listed companies' out-of-body assets; in July 2017, the company further increased its capital by 15 million to 60% of Beijing Microlianda's shareholding, targeting six degrees and value-added distributors of Saas products. At this point, the company initially realized the layout of Saas targets in vertical industries and general services, and the majority shareholders set up an industrial merger and acquisition fund to lock in participation in the early stages of the quality target. It shows that the company continues to focus on upstream and downstream of the industrial chain. Layout. In the future, through point-to-point integration of data, interfaces, users, etc., an enterprise-grade SaaS platform ecosystem will gradually be formed. From digital marketing to enterprise-level SaaS, the company actively absorbs industry expert resources. Previously, it has successively introduced well-known industry experts such as Xuan Richard Gu (former general manager of SAP China service business), Ma Qiji (deeply involved in the field of digital marketing), and Cao Junbo (currently the head of Baidu Capital Research Department) to serve as the company's sole director to protect strategy formulation and execution. This time, industry expert Gao Liqiang is expected to further develop professional expert resources, strengthen the implementation of the company's Saas business strategy, carry out resource introduction, and improve the company's understanding of the company Investment and research capabilities for Saas-like targets. The launch of a plan to increase the ownership of actual controllers shows the steady development of confidence: Currently, the company's marketing targets are developing steadily. At the same time, the company has further increased investment in R&D, continuously updated and published the Maida Saas Index and the Maida Open Course in the Saas field, creating an industrial ecosystem platform, and continuously improving industry understanding and integrating industry resources. Judging from the business situation of Liudouren in 2016, its order revenue reached 117 million yuan (YOY 127.41%), 241,300 new payment terminals (YOY 88.52%), and a retention rate of 80.61% for paying customers, far exceeding the requirements for dealing with gambling requirements of 80%, 40%, and 80%, showing that the development prospects of the target are improving. On August 1, the actual controller of the company announced that they intend to increase their holdings of the company's shares by no more than 20 million yuan within six months, demonstrating optimism. Profit forecast and valuation: We expect the company to achieve net profit of 1.03/1.30/148 million yuan in 2017-2019, respectively: 1.03/1.30/148 million yuan, corresponding to EPS: 0.18/0.23/0.26 yuan/share; corresponding current stock price valuation: 46/37/33 x PE, respectively. There has been a clear correction in corporate valuation since this year. Equity incentives and majority shareholders' holdings are conducive to strengthening the target company's steady growth and operation, and ensuring steady progress in the company's expansion of the SaaS service field through digital marketing. This time, the company is further introduced as president. In the future, it is optimistic that the company will continue to make efforts around enterprise-level SaaS services, further open up the interface and data between its target companies, and strengthen the company's ability to invest in SaaS business, forming a SaaS service ecosystem, giving it a highly recommended rating. Risk warning: The company's enterprise-grade SaaS is not progressing smoothly, consolidation risks, and industry growth is slowing down.