Matter: The company published S 2015 Annual Report. Comment: Performance is in line with expectations. The company achieved revenue of 270 million yuan for the full year of 2015, an increase of 172% over the previous year; net profit of 38.35 million yuan, turning a loss into a profit; EPS of 0.09 yuan, which is basically in line with expectations; at the same time, it generously distributed shares, and plans to transfer 10 shares for every 10 shares to all shareholders using the capital reserve fund. 2015: The year of “inflection point of performance+start of big asset management” In 2015, the company completed equity integration, introduced strategic investors, implemented employee incentives, proposed the strategic goal of “building a comprehensive real estate service ecosystem”, and improved the institutional organization as a guide. Furthermore, it made continuous efforts in integrated mergers and acquisitions, and achieved fruitful results — the core business operated steadily. The average daily passenger flow of Huangting Plaza, the core asset, has stabilized at around 45,000 visitors, and the highest number of visitors in a single day has reached 78,000, setting a record for an 80% increase in the number of visitors to the shopping center during the operating period; the overall satisfaction of customers and merchants with the operation and management of Huangting Plaza has reached more than 90%, and the overall operating income of the square has increased by 154% over the same period last year. The fixed increase was successfully completed. Through fixed increases, the majority shareholders' control over the company has been further strengthened, the independence and integrity of core assets have been enhanced, and at the same time, strategic investors who can integrate with the company's future development strategy and have rich relevant industry operation experience and potential for deep cooperation have been introduced, and the company's debt structure has been greatly improved. Employee incentives are in place. The total size of 200 million yuan, double leverage, and extensive participation of directors and supervisors of listed companies and core employees/groups and subsidiaries within the group system, and Chairman Zheng Kanghao generously escorted the shareholding plan, demonstrating the determination and will of all company employees to stay on the same footing and grow and develop with the company, guarantee the company's talent retention, long-term and short-term benefit adjustments, etc., and also send a positive signal to the capital market! At present, the purchase of the listed company has been completed, and the average cost price is 26.71 yuan; the group has also completed the purchase, but the exact cost has not been announced. It is worth noting that the shareholding scale of 200 million yuan has a huge effect on stabilizing a company with a small tradable share capital like Huangting International; yet this is only the first phase of the employee stock ownership plan. According to the “Employee Stock Ownership Plan (Draft)” announced by the company, the upper limit of employee shareholding is 10% of the total share capital. The institutional organization is perfect. With the goal of “building a comprehensive real estate service ecosystem,” the company has set up a number of companies such as Huangting Online, Huangting Fund, Huangting Real Estate, and Shenzhen International Business Expo to actively explore business transformation. In the future, it will focus on transforming and developing business into related industries such as high-end consumer services and financial services, mainly focusing on the asset-light model, and building a business system for high-end business travel services, real estate management services, and financial value-added services. Core competitiveness has been further enhanced by “increasing aid from abroad.” ① The company's subsidiaries signed contracts with other companies under the group to provide property services to Shenzhen Huanggang Business Center (with the exception of Huangting V Hotel) and Gangxia Huangting Tower. This move is beneficial to the company's expansion of real estate management service business, and is expected to increase the company's operating income and enhance overall competitiveness; ② Joint ventures were established with Beijing Wangfujing Shopping Center Management Co., Ltd. and Beijing Shengli Commercial Investment Management Co., Ltd. respectively, enhancing the company's commercial real estate operation capabilities, export themes for children, entertainment themes, fashion lifestyle and related content; ③ with Beijing Ruixin Investment Management The company established a special merger and acquisition fund for industrial integration in the commercial real estate industry. The company's resources and experience in improving the efficiency of commercial real estate stock will be replicated and expanded externally through this fund. Joined the “Small Loan Central Bank” in Shenzhen and built a “link between people and wealth”, making an important layout for “building a comprehensive commercial real estate service ecosystem”. The main core business of Tongxin Fund is refinancing and Internet finance business. Judging from the core business model, we believe that the role played by Tongxin Fund is equivalent to that of the “central bank” of a “small loan company”. It assumes the responsibility of financing the small loan industry and transfusing blood into the real economy of Shenzhen and the small and micro economy. Licenses are scarce to a certain extent, and business barriers are high! Through the equity acquisition of Tongxin Fund's shares, the company became its largest shareholder, and the company obtained a small reloan business license indirectly, making a substantial start for entering the financial services industry and building a strategic system for Huangting International's financial services. 2016: Become the leading provider of comprehensive real estate solutions in China and build a leading brand in the field of comprehensive real estate services. According to the annual report, in 2016, the company will steadily advance various strategic transformation tasks, provide comprehensive real estate management services as the core, adopt a two-wheel drive development approach of endogenous growth and epitaxial mergers and acquisitions to build a first-class asset management platform and a multi-dimensional comprehensive real estate service ecosystem to achieve the convergence and linking of people and wealth -- 1. The company will conduct detailed and in-depth research on the implementation steps of the strategy, and conduct in-depth research on operational services based on real estate operations, assets Financial services with management as the core, content services featuring children's themes, entertainment themes, and fashion lifestyles make strategic adjustments to the three business segments, using the capital market to lay out emerging industries; 2. Integrate existing industries according to the strategic needs of each business sector, accelerate the expansion of new businesses, further acquire projects in line with the company's strategic transformation direction, promote the company's brand image, and enhance the company's core competitiveness; 3. Focus on building e-plans to integrate related businesses through Royal Court Online to create a unified promotion platform for customers to achieve strategic transformation of the company; 4. For those that have already been acquired Cooperative projects carry out post-investment management and operation, strictly control financial risks, formulate practical business development models, ensure investment returns, and strive to become the company's new profit growth point as soon as possible; 5. Support the steady and rapid development of Tongxin Fund, accelerate the company's financial services sector layout, and obtain more financial licenses through appropriate means while expanding existing business; 6. Strengthen the Royal Palace Plaza brand and business format planning through cooperation with Wangfujing Management Company and its management team, further improve the level of commercial management, enhance the operating income and net profit of Huangting Plaza, and achieve real estate management on this basis Quick copy. The prototype of “big asset management” has been formed, and it is expected to achieve high growth and maintain the “buy” rating. We believe that the company has initially completed the construction of the “big asset management” business field through a series of integration and mergers and acquisitions since last year. In the future, it is hoped to build a closed loop of “people and wealth connections” in the commercial real estate segment, and expand the value-added efficiency of the stock of commercial real estate and non-performing asset management (commercial real estate segment) and investment and financing business for owners and entrepreneurs. “Big asset management” is a big opportunity for China in the future. We are optimistic about the company's growth in this field, and expect its future performance to grow exponentially: 2016-2018 net profit was 250 million yuan/450 million yuan/900 million yuan, respectively, and the compound growth rate in 2015-2018 reached 186%! EPS is 0.44/0.78/1.57 yuan respectively, maintaining the “buy” rating!