Incident: The company achieved revenue of 980 million yuan in 2019, a year-on-year increase of 2.9%, achieved net profit of 170 million yuan, a year-on-year increase of 10.1%, realized net profit of 150 million yuan, a year-on-year increase of 8.2 million yuan in the first quarter of 2020, a year-on-year increase of 54.5%, realized a net profit of 50.7 million yuan, a year-on-year increase of 787.2%, and achieved net profit deducted from non-return mother of 47.76 million yuan, an increase of 2584.7% year on year. Operating efficiency continued to improve in 2019, and operating cash flow performance was good. The company's expenses continued to be optimized. In 2019, the sales expense ratio and management expense ratio decreased by 0.81 percentage points and 0.13 percentage points respectively. At the same time, overall gross margin increased by 3.3 percentage points, further improving operating efficiency. In addition, the company's operating cash flow in 2019 was 95 million, an increase of 25.5% over the previous year, and the performance was quite impressive. Various product lines performed well in 20019, and the imaging diagnostic product line continued to improve. In 2019, the core product DR sold nearly 1,700 units, ranking first in the domestic market share for ten consecutive years. With the increase in mobile DR, the company's DR business is expected to grow rapidly. MRI is the company's second largest product, with a growth rate of about 15%, ranking second among domestic brands. As product models continue to be rich, the MRI business is expected to accelerate growth, and DSA and other products have achieved rapid growth. CT is currently being launched with 16 CT rows. In addition, more high-end CT is being developed. In addition, color ultrasound based on Yum Sheng technology The product was approved at the beginning of this year, and the company's medical imaging product line is showing multiple blooming trends, and is expected to achieve continuous steady growth. 2020Q1 performance has been greatly affected by the pandemic, and mobile DR is being deployed at high speed. Affected by the COVID-19 pandemic in China, the company's demand for mobile DR equipment and the like surged in the 2020Q1. A total of hundreds of units were delivered, driving the company's revenue growth of nearly 55% in the first quarter. Net profit to mother and net profit after deducting non-return to mother increased significantly by 787% and 2585%. Furthermore, the continued outbreak of the overseas epidemic has further opened up demand for mobile DR. The company has received corresponding orders, which is expected to drive the company to continue to grow rapidly in Q2. Wanli Cloud is undervalued and has great potential for future development. The company's Wanli Cloud business has achieved rapid development through models such as online diagnosis+offline imaging center. Revenue in 2019 was 110 million yuan, an increase of 163% over the previous year, a slight loss, and is expected to reverse profit in 2020. In the current COVID-19 epidemic in China, Wanliyun has applied AI technology in many hospitals, which has played an important role in the fight against COVID-19, and the potential value is huge. Profit forecast and investment advice: The company's net profit for 2020-2022 is estimated to be 250 million yuan, 320 million yuan, and 390 million yuan, respectively, with corresponding valuations of 36, 29, and 23 times, maintaining a “buy” rating. Risk warning: Industry demand has declined sharply, and the promotion of new products falls short of expectations.