Event description The company predicts net profit of 0.82 to 108 million yuan in 2016, an increase of 30% to 70% over the previous year, and an annual EPS of 0.11 to 0.15 yuan. The event review subscribed to Millennium Design and placed it on the design side. After this subscription is completed, the company will indirectly hold 3.75% of Millennium Design's shares through Dongqian Weihai. Millennium Design is a comprehensive design company dedicated to providing “integrated” design services for various types of professional projects for urban construction and integrated urban-rural construction in China. It has excellent design capabilities, and its design business may complement the company's construction business and have a good synergy effect. The fixed increase has been approved, and the release of performance has been accelerated. The company has received approval from the Securities Regulatory Commission for the non-public offering of shares. This fixed increase of 2.47 billion yuan of capital will be completed within about 6 months. It is mainly used to fund the company's investment projects. The availability of capital raised will help the relevant projects proceed smoothly. Order-driven superposition carry-over will bring significant benefits, and the environmental protection sector can be expected in the future. The company is working on a large scale of BT projects. In the future, with the gradual carry-over of BT projects, the problem of high financial expenses can be better alleviated. At the same time, due to the high gross profit of the BT project, the company's performance will improve greatly. It is estimated that the BT turnover for this year and next two years will be around 400 million yuan and 900 million yuan, respectively, which will make a positive contribution to performance. PPP orders received this year accounted for 95% of the total number of orders for the whole year. With the vigorous promotion of PPP, sufficient orders have been brought to the company, and future performance is expected to increase dramatically due to PPP project orders. The company has strong competitive strength to carry out environmental protection business. In addition to cooperating with the company, providing support, and participating in later operations and management in PPP projects, the company can also participate in the renovation of old water plants, water source development and utilization, and hydrological landscape beautification, etc., and has broad market space in the future. Lay out the entertainment industry across main businesses and enter new profit growth points. The company has accelerated the development of its second main business. In addition to the production of film, television and animation games, it has also laid out a professional service industry chain for the film, television, animation, and game industry — by providing key industrialization services including the film, television, animation, and game industries, to solve the main economic and technical problems encountered in the industrialization process of the culture and entertainment industry. At the same time, the company is expected to enter the mobile game industry through the acquisition of Lozuo. The market size of the mobile game industry is about 56.2 billion dollars, a growth rate of 103.7%, a record high, and the future is vast and full of imagination. Investment advice: It is predicted that the company's EPS for 2016-2018 will be 0.15/0.28/0.36 yuan, respectively, and PE will be 60/32/25 times, respectively, giving it a “buy” rating. Risk warning: 1. Accounts receivable risk; 2. Cross-border transformation falls short of expectations.