Performance continued to grow rapidly. Non-net profit increased by 135.62% in the first three quarters of 2018. In the first three quarters of 2018, the company achieved revenue of 1,022 million yuan (+38.48%), net profit of 226 million yuan (+118.14%), net profit of 226 million yuan (+118.14%), and net profit after deduction of 224 million yuan (+135.62%), and performance continued the rapid growth trend. Notes receivable and accounts receivable for the first three quarters were $1,251 million, up 27.87% year on year. The increase in operating income during the reporting period led to an increase of $332 million in accounts receivable during the credit period and a decrease of $59 million in notes receivable at the end of the period compared to the beginning of the period. Accounts receivable for the first three quarters were 1,067 million yuan, and accounts receivable for the first half of the year were 992 million yuan. As revenue continued to grow, accounts receivable remained relatively stable. We believe this is mainly the result of a gradual decline in terminal sales. Refined marketing brought the “traditional Chinese medicine+premium Chinese medicine+health wine” three cores to drive traditional Chinese medicine sales of 512 million yuan in the first half of the year, an increase of 22.08% over the previous year, mainly because the company implemented an “academic+brand” dual-wheel marketing strategy for traditional Chinese medicine. In the first half of the year, more than 600 new hospitals were developed, and more than 100 academic seminars were held to enhance brand influence; accelerate the systematic layout of the OTC market, deepen cooperation among the top 100 pharmacy chains, and set up pregnancy counters nationwide, etc., effectively improving resource sharing rates and sales efficiency. In the first half of the year, premium traditional Chinese medicine achieved revenue of 88 million yuan, a sharp increase of 78.55% over the previous year. The company accurately focused on high-end consumers of premium traditional Chinese medicine, thoroughly promoted it through cultural experience stores such as the Chinese Pharmacy Hall and the National Medical Center, and built health clubs for high-end customers to attract high-quality customers and increase customer retention. Health wine's revenue for the first half of the year was 22 million yuan, a sharp increase of 180.12% over the previous year. The company marketed the introduction of health wine into the FMCG team. The gross profit margin of the company's products in the first half of the year was 82.37%, an increase of 4.43pp over the same period last year, mainly due to the effects of scale expansion and the company's continuous detailed production control throughout the entire chain industry, reducing the cost of raw materials. Management efficiency was further improved. The company's sales expenses for the first three quarters were 425 million yuan, an increase of 20.7% over the previous year, mainly due to the company's increased investment in marketing, including strengthening market terminal development, hospital expansion, and the addition of pregnancy counters. Management expenses for the first three quarters were 73 million yuan, a year-on-year decrease of 4.1%. Financial expenses were 9.04 million yuan, up 372.35% from the previous year, mainly due to a corresponding increase in interest expenses due to an increase in short-term loans from Guangxi Guangyu in Shanxi Province. The valuation and rating company focuses on the troika of “traditional Chinese medicine+fine traditional Chinese medicine+health wine”, formulates marketing strategies according to product policies, continues to expand market sales, and strengthens terminal promotion and academic promotion. The brand effect is further unleashed, further increasing the sales revenue of the company's various business segments. Shanxi Guangyuyuan completed a total of 99.01% of Dongsheng Group's promised performance in 2016 and 2017. According to the performance compensation agreement, 232,316 shares of the company's restricted tradable shares held by Dongsheng Group were repurchased and cancelled. We forecast EPS for 2018-2020 to be 1.18, 1.67, and 2.20 yuan, respectively, to maintain the “buy” rating. Risk warning: 1. Product sales fall short of expectations; 2. Multi-channel promotion model causes the company's sales expenses to be high; 3. Risk of fluctuations in raw material prices