Net profit in the first quarter of 12 increased by 33%, in line with market expectations: the company achieved revenue of 139 million in the first quarter, an increase of 25.6% over the same period last year, and a net profit of 18.62 million, an increase of 33.1% over the same period last year. EPS0.12 yuan. The operating cash flow per share is 0.21 yuan.

Wilder continues to grow, a combination of Shanghai Baijin and Shuangjian: the parent company's main textile industry grew by about 10% in the first quarter, while the subsidiary Wilder continued to enjoy color ultrasound volume, with revenue growth of about 25%. Shanghai Baijin, a wholly owned subsidiary, began to consolidate in the first quarter, and we expect to contribute more than 20 million for the whole year. Shanghai Baijin, as an excellent domestic agent, will make use of the advantages of channels to expand the hospital general contract agency equipment business and the general generation business of large foreign manufacturers, and the follow-up performance is expected to be elastic.

The gross profit margin is stable and the three fees are well controlled: the company's gross profit margin in the first quarter is 27.1%, which is basically the same as that of the same period last year. The three fees were well controlled, with the expense rate of 11.5% during the period, down 1.9 percentage points from the same period last year, of which the sales expense rate and financial expense rate were stable, while the management expense rate decreased by 2 percentage points compared with the same period last year.

Dingzeng equipment in the field of ultrasound, moving forward to a comprehensive manufacturer of medical devices: the company plans to increase 350 million yuan, mainly invested in equipment in the field of ultrasound, to realize the integration of ultrasonic diagnosis and treatment, while strengthening its dominant position in the field of ultrasound, the company is steadily moving forward to a comprehensive manufacturer of medical devices.

Investment suggestion: "increase the holding", the target price is 16 yuan. As a new force in the medical device industry, the company has the ability (color ultrasound volume, Baijin to expand new business) and motivation (private placement) to achieve high growth. After the refinancing project is put into production, it will fully open up the development space of the company and greatly enhance its profitability. The company reported a pre-increase of 50% to 80% in 12 years, and the high performance growth trend was determined, and we did not consider additional dilution for the time being. We raised the company's EPS for 12-13 years to 0.70,0.88 yuan, an increase of 51% and 26% over the same period last year, and the target price was 16 yuan.