In Q1 2009, the company achieved operating revenue of Rmb533mn (-16.3% yoy), operating profit of Rmb32.33mn (+20.8% yoy), net profit attributable to parent of Rmb20.38mn (+24.9% yoy) and basic EPS of 0.10; besides, it predicted 1H2009 net profit attributable to parent to see less than 30% growth. Performance of Q1 2009 was slightly above our expectation.
2009-2010E EPS is forecasted to be Rmb0.54 and Rmb0.65 respectively, representing 2009 P/E ratio at 31x based on closing price of Rmb16.52 on April 23, 2009; we hold optimistic view on performance growth prospect of the company, thus “Overweight” rating is hereby maintained.