Goldman maintains high German software bid rating unchanged

Sina Science and technology news Beijing time, August 18, Goldman Sachs released its investment report today, maintaining a "buy" rating and a 22 dollar target. The following is a summary of the report: The Gold Software released its second-quarter earnings in Wednesday, when revenue and GAAP net profits reached $32.9 million trillion and 9.6 million dollars respectively, essentially the same as our previous forecasts. We expect High German software revenue and GAAP net profit to be 30.1 million US dollars and 9.8 million dollars respectively.　　Based on the good performance of all three business units, the company also raised its 2011 Full-year revenue forecasts from $117 million to $120 million to $122 million to $125 million. The following is the second-quarter financial results of the company's software: 1 The auto navigation business grew 20% per cent, a record 22.9 million dollars. The company expects Audi's investment plan in China to help support its growth in the second half of 2011 and its long-term performance, making it more of a midsize-car customer in 2012, and 2 per cent of the wireless business sector growing 45% on a month-on-month basis to $5.4 million trillion. We estimate that the revenue for this business will account for 17.5% of the total software revenues, 3 of total operating expenditure, up 39% per cent, to $13 million trillion, above our estimated $10 million trillion, indicating that the total number of our software employees is up to two a quarter ahead of our estimate.　　We believe that this rapid expansion shows that the high tech software is confident in the development of its new technology and business. In view of this, we maintain the "buy" rating and the 22 dollar target share price for the Gould software stock unchanged. The main risk for the company's software is the increased competition in the automotive navigation industry. (Xuan Chen)