The company's operating performance continues to grow steadily. The company mainly engages in the four businesses of industrial water treatment, municipal sewage treatment, solid waste treatment and flue gas treatment, as well as a comprehensive environmental technology service and industrial innovation platform, forming a “4+1" industrial development pattern. During the reporting period, the company's operating performance continued to grow, mainly because the company's industrial water treatment, solid waste treatment and flue gas treatment business profits were stable, and municipal water treatment business profits continued to grow; at the same time, the company's environmental protection industry technological innovation and technology service platform realized increased profits. A new order of 808 million yuan was received, and the share of the flue gas treatment business increased. In January-September, the company undertook new contracts of 808 million yuan, including: 366 million yuan for industrial water treatment, 0.29 million yuan for municipal sewage treatment, 222 million yuan for sludge treatment, and 191 million yuan for flue gas treatment; it mainly undertook projects such as drainage water and condensate treatment systems for coal-fired power plants in Pakistan and ultra-low flue gas emissions from Quzhou Yuanli Metal Products. As of the end of the reporting period, the total contract amount for which the company had not confirmed revenue was 3.230 billion yuan, of which: 866 million yuan for industrial water treatment, 182 million yuan for municipal sewage treatment, 1,982 million yuan for sludge treatment, and 200 million yuan for flue gas treatment. The various projects are progressing in an orderly manner, and construction of the Changshu sludge project has begun. In terms of project implementation, the CGN Yangjiang Nuclear Power Unit 5 and 6 condensate project is in the equipment delivery stage; the CNNC Tianwan Nuclear Power Unit 3 and 4 condensate project is in the equipment delivery and installation stage; China Salt Kunshan Coal Chemical Waste Water Zero Discharge System technology development and engineering application is in the commissioning and elimination stage; Ningdong Chemical New Material Park Sewage Treatment Plant EPC is in the elimination stage; the Yinchuan No. 7 Sewage Treatment Plant BOT project is in the equipment installation stage; Changshu industrial and municipal sludge treatment (300,000 tons/year) It is in the civil construction phase. PPP orders broke out, and 6 solid waste treatment agreements were signed. Recently, Nanjing CLP Environmental Protection Engineering Co., Ltd., a wholly-owned subsidiary of the company, signed PPP solid waste treatment PPP project agreements with 6 companies including China Resources Electric Power Ancient City Co., Ltd. and Nanjing Chemical Industrial Park Thermal Power Co., Ltd. The company plans to invest 220 million yuan in total capital to build a sludge coupling power generation project, and set up five wholly-owned subsidiaries in Zhumadian, Henan, Nanjing, Jiangsu, etc., to expand and operate solid waste treatment PPP projects locally. The packaging and implementation of PPP projects will help the development of the company's solid waste treatment and municipal sewage businesses, and will also benefit the company's future performance. Profit forecast and rating: According to the latest share capital, we expect the company to achieve EPS of 0.22 yuan, 0.25 yuan, and 0.27 yuan respectively in 16-18. According to the closing price of 2016-10-25, the corresponding PE is 50, 45, and 41 times, respectively, to maintain the “gain” rating. Risk factors: the company's project order volume is lower than expected; accounts receivable recovery risk.