Incident: According to reports from Panorama Network, Quick Reading Technology, a wholly-owned subsidiary of the company, officially signed a cooperation agreement with ByteDance ByteDance to become the core agent of TikTok Ads overseas, and obtained overseas marketing business agency rights for TikTok (Douyin International Edition), Topbuzz, Buzzvideo, VigoVideo and other overseas traffic products in more than 150 countries and regions on five continents. On July 10, we invited the company's directors and investors to exchange the basic situation of cooperation with ByteDance and the recent progress of the company's bank IT business through a conference call. The core conclusion is as follows: Comment: The company has deployed mobile Internet marketing for many years and has rich operating experience and brand effects. Since 2016, the company has successively acquired companies such as Jianguo Entertainment, Kashishanghe, and Quick Reading Technology through extended acquisitions, and has successfully expanded the mobile Internet marketing business sector on the basis of mature bank IT business. According to the 2019 annual report, the company's mobile internet marketing business reached 323 million yuan, accounting for 18.36% of revenue, which has become an important growth pole for the company. Kuaidu Technology, a wholly-owned subsidiary that signed a cooperation agreement with ByteDance this time, has rich experience in mobile marketing operations and has gradually formed unique competitive advantages and brand effects. It is an integrated mobile Internet marketing solution and service provider with core competitiveness in the industry. Joining hands with ByteDance, the performance potential is worth looking forward to. According to data released by Sensor Tower, in the first half of 2020, ByteDance's Douyin and its overseas version of TikTok were downloaded 626 million times, ranking first in the world; the revenue generated within Apple and Google systems was US$421 million, ranking third in the world. Considering that the overseas version of TikTok is currently unable to access online shopping platforms such as Amazon and eBay, it currently mainly relies on the advertising business to obtain most of its revenue. Advertising monetization will be its core traffic monetization model right now. Through business cooperation with ByteDance, Fast Reading Technology is expected to accelerate the expansion of the company's overseas mobile marketing business, better serve domestic customers, and accelerate the pace of the company's international business. The business potential is worth looking forward to. Based on a good customer base, the company is expected to fully benefit from the new boom cycle in the banking IT industry. Driven by multiple factors such as localization, digital currency, and IT distributed architecture upgrades, the banking IT industry is in a new boom cycle. The company has been deeply involved in the banking IT industry since 1998, has a good customer base, and is expected to fully benefit from the new boom cycle in the development of the bank IT industry. According to industry research, the company's main core customers (represented by China Construction Bank) and core partners (such as China Construction Bank) and core partners (such as Jianxin Financial Technology) are currently in high demand, and the bank's IT business is developing well. Investment suggestion: This business cooperation with ByteDance will inject new momentum into the performance growth of the company's mobile internet marketing sector. At the same time, based on a good customer base, the company is expected to fully benefit from a new boom cycle in the banking IT industry. Driven by the two wheels of “Bank IT+Mobile Internet Marketing”, we are optimistic that the company's business will enter a path of high growth. The EPS for 2020 and 2021 is expected to be 0.43 or 0.65 yuan, buy a -A rating, and the target price for 6 months is 26 yuan. Risk warning: Business cooperation with ByteDance has progressed less than expected; bank IT industry spending has declined; and increased industry competition has led to a decrease in gross margin.