Key investment events: The company announced its 2018 annual report. 2018 revenue was 3.729 billion yuan, up 18.6% year on year, net profit attributable to shareholders of listed companies was 145 million yuan, down 5.8% year on year, and net profit from non-return was 152 million yuan, up 9.2% year on year. The gross profit margin was 15.0%, down 2.6 percentage points from 2017. At the same time, the company plans to distribute a cash dividend of 2.66 yuan for every 10 shares, with a dividend ratio of 139%. Revenue is growing steadily, and aftermarket business is growing rapidly. The company's traditional fine chemicals business achieved revenue of 2.74 billion yuan in 2018, an increase of 8.2% over last year. Affected by factors such as the increase in raw material prices, the gross margin of fine chemicals was 16.8%, down 1.4 percentage points from 2017. The automobile sales and maintenance business achieved revenue of 770 million yuan, up 67.7% year on year. Affected by increased market competition, gross margin was about 7.0%, down about 4.5 percentage points from 2017. The fee rate for the period was 11.30%, an increase of 0.13 percentage points over 2017. Among them, the sales expense ratio, management expense ratio, and financial expense ratio were 4.23%, 6.39%, and 0.68% respectively, with year-on-year changes of 0.05%, -0.30%, and 0.38%, respectively. Business development was steady, and the dual main business strategy continued to advance. The company adheres to the overall development strategy of “automotive OEMs business+automotive aftermarket business”. In terms of developing the traditional fine chemicals business, the company has successfully developed many traditional and new energy vehicle OEMs such as Great Wall Motor, Byton Motor, Weimar Motor, and Singularity Automobile. At the same time, the company has expanded the coverage of “factory bases”. At the same time, the company has expanded the coverage of “factory bases”. Qingdao Delian and Foshan Delian Phase II have continued to step up construction. In terms of automotive aftermarket business development, the company's aftermarket business achieved revenue of 200 million yuan in 2018. Currently, the aftermarket business has declined to third- and fourth-tier cities in all aspects. As of the end of 2018, there were more than 500 regional operating service providers, an increase of more than 170 over the end of 2017. Profit forecasts and investment advice. The company's net profit for 2019-2021 is estimated to be 1.7/1.9/210 million yuan, corresponding EPS of 0.22/0.25/0.27 yuan, respectively, and corresponding PE valuations of 23 times, 21 times, and 19 times respectively, maintaining the “increased holdings” rating. Risk warning: Risk of aftermarket business development or falling short of expectations, NEV business development or falling short of expectations, and large fluctuations in raw material prices.