1. Incident: The company's net profit is expected to be 16-19 million in '17, an increase of 35%-60% year-on-year. Performance growth was driven by stable business development in the two major sectors of cloud ICT and education, as well as the combination of One Core Intelligence (Internet of Things) and Shanghai Meidu (financial education). 2. The company's traditional network optimization services and equipment are developing steadily: The company is a leading domestic network optimization service provider. With the continuous improvement of 4G network construction and the rapid advancement of NB-IoT construction and the increase in industry concentration, it is expected that the network optimization business will continue to contribute stable revenue and profit to the company 3. The vocational education landscape expands, and asset-light operations develop rapidly: the company's Dingli Academy has grown from 10 to more than 20 in '17, and will continue to strengthen vocational education in '18. growth. 4. The explosive growth of the Internet of Things has surpassed expectations: The application of E-chip smart electronic tags in the field of asset management is growing rapidly. It has obvious competitive advantages in the entire industry chain from equipment manufacturing to downstream design and software platform management. It is expected that E-chip will continue to benefit from the explosion of the IoT industry and drive the company's overall business development. 5. Performance forecast: We expect the company's net profit from 17-19 to be 1.82, 2.32, and 286 million yuan, corresponding to 24, 19, and 15 times PE at the current price. Give it a “Highly Recommended” rating. 6. Risk warning: The gross profit of traditional network optimization services continues to decline; the development of the Internet of Things and education business falls short of expectations.