The board of directors of China Neng Xiao Technology (Group) Limited informed the shareholders of the company and potential investors that, based on information currently available, the interim results of the company and its subsidiaries for the six months ended September 30, 2012 is expected to record a profit as compared to a loss for the six months ended September 30, 2011. The Board believes that such possible profit was mainly attributable to the increase in the group's turnover during the period. This positive profit alert announcement is only based on the preliminary review on the unaudited consolidated management accounts of the group for the six months ended September 30, 2012.