Incidents. In the first three quarters, the company achieved operating income of 6.89 billion yuan, an increase of 84.3% over the previous year; net profit attributable to shareholders of listed companies of 795 million yuan, an increase of 1.90 times over the previous year; and achieved basic earnings per share of 0.39 yuan. In the first three quarters of 2016, the company's revenue increased by 84%, driven by a sharp increase in carry-over; due to high carry-over gross margin, the net profit growth rate increased 1.9 times. At the end of the third quarter of 2016, the company added 39,215.62 square meters of real estate reserves. In the third quarter of 2016, the company started a new construction area of 1,135,200 square meters, completed an area of 203,200 square meters, a sales area of 448,900 square meters, and a sales amount of 4.640 billion yuan. In September 2016, the company participated in the subscription for a fixed increase of 14.9 million shares of the Pearl Group. In September 2016, the company obtained 392,000 square meters of residential land in Nanjing. Investment advice. The dual concept of the Fujian Free Trade Zone and the “Silk Road”, “industry-capital two-wheel drive” is worth looking forward to. The company's development model is in line with the direction of new urbanization construction, and is an important target of the Fujian Free Trade Zone and the “Silk Road” theme. Daming City sales are expected to benefit from tax and financial benefits related to free trade zones. The Lanzhou Eastern Science and Technology City project is in the core area of the “Silk Road Economic Belt”. Currently, the company is clearly building a two-wheel drive for the real estate sector and the financial sector. The company clearly stated that it is actively exploring new industries such as financial services, investment and trade, warehousing and logistics, big culture and health. We expect the company's EPS in 2016 and 2017 to be 0.48 yuan and 0.63 yuan respectively, corresponding to RNAV at 13.5 yuan. Considering the company's strong transformation, we maintained a “buy” rating with 1.1 times RNAV, or 14.85 yuan, as the company's target price for the next six months. Risk warning: The industry faces two major risks: interest rate hikes and policy regulation.