Event: The company released its 2017 annual report and quarterly report on April 25. During the reporting period, net profit attributable to owners of the parent company was $857 million, up 63.63% from the same period last year; operating income was $7.441 billion, down 0.99% from the same period last year; and basic earnings per share was $0.45, up 60.71% from the same period last year, with a proposed payment of 1 yuan. Net profit attributable to owners of the parent company for the first quarter of 2018 was 39.0413 million yuan, down 42.29% from the same period last year; operating income was 1,044 million yuan, up 21.88% from the same period last year; and basic earnings per share was 0.02 yuan, down 50.00% from the same period last year. Based on the company's total share capital of 1896690420 shares on December 31, 2017, a cash dividend of 1.00 yuan (tax included) was distributed to all shareholders for every 10 shares. Opinion: Both operating income and net profit increased significantly in 2017. During the reporting period, net profit attributable to owners of the parent company was $857 million, up 63.63% from the same period last year; operating income was $7.441 billion, down 0.99% from the same period last year; and basic earnings per share was $0.45, up 60.71% from the same period last year, with a proposed payment of 1 yuan. Net profit attributable to owners of the parent company for the first quarter of 2018 was 39.0413 million yuan, down 42.29% from the same period last year; operating income was 1,044 million yuan, up 21.88% from the same period last year; and basic earnings per share was 0.02 yuan, down 50.00% from the same period last year. The year-on-year growth rate of net profit was faster than the growth rate of revenue, mainly due to a sharp increase in investment income and a 3.09 percent year-on-year increase in overall gross sales margin. We are still optimistic about the company's future growth. The contract sales volume of nearly 10.334 billion yuan was a good start in '18. During the reporting period, the company achieved a contracted sales area of 887,700 square meters, a sales amount of 10.334 billion yuan, a settlement area of 754,800 square meters, and a settlement amount of 6.142 billion yuan. In 2017, 4.4825 million square meters of construction were resumed, and 1,043 million square meters were completed and delivered, effectively guaranteeing the revenue and profit carry-over of listed companies. In the process of the company's commitment to transformation and upgrading, the company still focuses on active land reserves in first-tier cities such as Beijing and Shanghai, as well as regions such as Beijing-Tianjin-Hebei and the Shanghai economic circle, hot second-tier cities, and some provincial capitals. In 2017, 1.2011 million square meters of land were added through “bidding” and equity acquisitions, and a planned construction area of 1,2875 million square meters. Up to now, the company's land reserves are 2,246,187.42 square meters, which is conducive to the stability of the company's operations. The growth of the company's cultural tourism projects in 2018 was a highlight. In 2017, the company focused on building cultural tourism real estate projects. It has also successively completed the acquisition of CNOOC Cultural Tourism Design and Research (Dalian) Co., Ltd. and Hunan Overseas Tourism Co., Ltd., which has formed the layout of various industries such as cultural tourism, planning and design, finance, real estate development, commerce, hospitality, construction, property services, entertainment, landscape, tourism services, etc., laying a solid foundation for the company to comprehensively promote the achievement of strategic transformation goals in 2018. At present, the main project of the company's national tourism priority project and the first phase of the Changsha Tongguanyao Cultural Tourism Project, a key project in Hunan Province, has been completed. It is expected to open within 2018, and various business formats of the second phase of the project are being actively promoted at the same time; in addition, the company's first cultural tourism project, the east bank of Jiuzi Ancient Town, Wuhu, has been fully completed, and the ocean show has been put into trial operation, receiving positive reviews from many sources. We believe that the growth of the company's cultural tourism projects in 2018 is a highlight and deserves market attention. Children's parks have opened a new path for corporate sector collaboration. On April 27, 2017, the company and the controlling shareholder Xinhualian Holdings increased the capital of the Children's Park Company in the same proportion. The registered capital of the Children's Park Company reached 500 million yuan; during the reporting period, the company's holding subsidiary New Silk Road Cultural Tourism obtained 51% of the shares in Canada's Xin'an Oak Bay project through a share acquisition. The company's Xinhualian Children's Park Co., Ltd. has created and promoted the Xinhualian Children's Dream Park and Children's Dream Kingdom brands, and is developing the children's theme park business in a comprehensive and integrated manner. Among them, Xining Children's Dream Park has already started large-scale construction. The rapid development of the children's theme park business has increased the attractiveness and adhesion of the company's real estate projects, and a new path has been explored to realize the linkage between the company's commercial real estate and cultural tourism real estate sectors. We believe that whether it is a children's park or the cultural tourism industry set up by the company, it is a promising industry recognized by the industry. In particular, integrating this resource with real estate is expected to achieve strategic linkage between multiple sectors, which in turn can achieve faster and better growth than other developers. The financial layout has blossomed. The company has a presence in various fields such as banking, insurance, and fintech, integrating the company's main business with finance. In 2017, the company held 289.4 billion shares of Bank of Changsha through wholly-owned subsidiaries, accounting for 9.4%, making it the second largest shareholder. Currently, Bank of Changsha's initial public stock offering application has received feedback from the China Securities Regulatory Commission; the Asia Pacific Reinsurance Company, which the company participated in initiating the establishment, is awaiting approval from the Insurance Regulatory Commission. During the reporting period, New Silk Road Cultural Tourism acquired 100% of the shares of Shenzhen Youwo Financial Information Service Co., Ltd. by issuing shares to purchase assets. After the acquisition, the company expanded its business into the field of fintech. In the future, the company will invest in other high-quality financial assets in a timely manner through various means such as investment, mergers and acquisitions, etc., and relying on the advantages of the controlling shareholder's diversified development, to promote the company's leapfrog development in the financial field. Conclusion: In 2017, the company resolutely implemented the strategic position of “cultural tourism+real estate+finance”. The transformation was intensified, and the industrial chain continued to expand. The company's efforts to build cultural tourism real estate projects have achieved initial results. Cultural tourism flowers will bloom in 2018. Among them, projects such as cultural tourism in Tongguanyao in Changsha will be a highlight of the company's new business growth. We expect the company's operating income from 2018 to 2020 to be 10.1 billion yuan, 126 billion yuan, and 15 billion yuan respectively, and earnings per share of 0.49 yuan, 0.61 yuan and 0.74 yuan respectively. The corresponding PE is 11.90, 9.58 and 7.86 respectively, maintaining the “highly recommended” rating. Risk warning: Real estate sales fall short of expectations due to major macroeconomic fluctuations, or uncertain risks in the financial industry