CHINASOFT<08216> - Results Announcement (Q3, 2006, Summary)

Chinasoft International Limited announced on 03/11/2006:
(stock code: 08216 )

Year end date :31/12/2006
Currency :RMB
Auditors' report :N/A
3rd Quarterly Report Reviewed by :Audit Committee

Important Note :

This result announcement form only contains extracted information from
and should be read in conjunction with the detailed results announcement
of the issuer, which can be viewed on the GEM website at
http://www.hkgem.com

(Unaudited) (Unaudited)
Current Last Corresponding
Period Period
from 1/1/2006 from 1/1/2005
to 30/9/2006 to 30/9/2005
RMB'000 RMB'000

Turnover : 226,241 254,801
Profit/(Loss) from Operations : 47,329 32,212
Finance cost : (8) (39)
Share of Profit/(Loss) of Associates : 1,189 763
Share of Profit/(Loss) of Jointly
Controlled Entites : N/A N/A
Profit/(Loss) after Taxation & MI : 39,974 28,718
% Change Over the Last Period : +39.19%
EPS / (LPS)
Basic (in dollar) : RMB 0.0538 RMB 0.0405
Diluted (in dollar) : RMB 0.0396 RMB 0.0389
Extraordinary (ETD) Gain/(Loss) : N/A N/A
Profit (Loss) after ETD Items : 39,974 28,718
3rd Quarter Dividends per Share : NIL NIL
(specify if with other options) : N/A N/A
B/C Dates for 3rd Quarter Dividends : N/A
Payable Date : N/A
B/C Dates for (-) General Meeting : N/A
Other Distribution for Current Period : NIL
B/C Dates for Other Distribution : N/A
(bdi: both days inclusive)

For and on behalf of
Chinasoft International Limited

Signature :
Name : Fok Ming Fuk
Title : Company Secretary

Responsibility statement

The directors of the Company (the "Directors") as at the date hereof
hereby collectively and individually accept full responsibility for the
accuracy of the information contained in this results announcement form
(the "Information") and confirm, having made all reasonable inquiries,
that to the best of their knowledge and belief the Information are
accurate and complete in all material respects and not misleading and
that there are no other matters the omission of which would make the
Information herein inaccurate or misleading.The Directors acknowledge
that the Stock Exchange has no responsibility whatsoever with regard to
the Information and undertake to indemnify the Exchange against all
liability incurred and all losses suffered by the Exchange in connection
with or relating to the Information.

Remarks:

1. BASIS OF PRESENTATION

The financial statements of the Group have been prepared in
accordance with the applicable disclosure requirements of Chapter
18 of the Rules Governing the Listing of Securities on the GEM
of the Stock Exchange and Hong Kong Accounting Standard
("HKAS")34 "Interim Financial Reporting" issued by the Hong Kong
Institute of Certified Public Accountants.

2. TURNOVER

Turnover, which is stated net of valued-added tax and other sales
tax and returns, represents amounts invoiced to customers, except
in respect of provision of solutions services and IT outsourcing
services where turnover represents the value of work done during
the year, including amounts yet to be invoiced.

3. TAXATION

Pursuant to an approval document issued by the State Bureau of
Beijing Haidian District dated 21 November 2000, Beijing
Chinasoft International Information Technology Limited ("Beijing
Chinasoft"), a major operating subsidiary of the Group,
has been designated as an advanced technology enterprise and
is entitled to the three year's exemption from income tax
followed by three years of 50% tax reduction commencing from
the first-profit-making year with effect from 2000.
Beijing Chinasoft is subject to the income tax computed at the
rate of 7.5% for the three years ending 31st December 2005 and
at the rate of 15% on its taxable profit thereafter.

Pursuant to an approval document issued by the Guangzhou Science
and Technology Bureau dated 31 March 2004, Chinasoft International
(Guangzhou) Information Technology Limited("Chinasoft Guangzhou"),
a subsidiary of the Group, had been designated as an advanced
technology enterprise and its income tax rate was reduced from 33%
to 15%. Morever, pursuant to another approval document issued
by the Guangzhou National Tax Bureau dated 2 June, 2004,
Chinasoft Guangzhou was entitled to a two year's exemption
from income tax followed by three years of 50% tax reduction
commencing from the first profit-making year with effect
from 2003.

Pursant to an approval document issued by the Beijing Science
and Technology Bureau dated 25 June 2004, Chinasoft Resources
Information Technology Services Limited ("Chinasoft Resources
Beijing"), a subsidiary of the Company, had been designated as
an advanced technology enterprise and its income tax rate was
reduced from 33% to 15%. Moreover, Chinasoft Resources Beijing
was entitled to three year's exemption from income tax followed
by three years of 50% tax reduction commencing from the first
profit-making year with effect from 2004.

Pursant to an approval document issued by the State Bureau of
Shenzhen Nanshan District dated 1 March, 2005, Shenzhen Chinasoft
Resources Information Technology Services Limited ("Chinasoft
Resources Shenzhen"), a subsidiary of the Company, had been
designated as a newly established software enterprise. As a
result, Chinasoft Resources Shenzhen was entitled to two year's
exemption from income tax followed by three years of 50% tax
reduction commencing from the first profit-making year with effect
from 2004.

No provision for Hong Kong Profits Tax has been made for the
relevant periods as the Group did not have any assessable profit
arised in Hong Kong during the relevant period.

There were no significant unprovided deferred taxation during the
relevant periods and as at the respective balance sheet dates.

4. DIVIDEND

On 30 March 2006, the Company declared final dividends amounting
to HK$18,309,311(equivalent to RMB18,858,590) for the year
ended 31 December 2005 to its shareholders. The dividends were
distributed to Company's shareholders on 25 May 2006. A preference
shares dividends of USD262,192 (equivalent to RMB2,106,449)
are payable for the period ended 30 September 2006.

5. EARNINGS PER SHARE

The calculation of the basic earnings per share for the three
months and the nine months ended 30 September, 2006 was based
on the net profit attributable to equity holder of approximately
RMB15,450,000 and approximately RMB39,974,000 respectively
(three months and nine months ended 30 September, 2005 :
net profit attribuable to equity holder of approximately
RMB10,516,000 and RMB28,718,000 respectively) divided by
the weighted average number of shares issued during the three
months ended 30 September, 2006 of 755,620,755 shares
(2005: 732,372,453 shares) and the nine months ended 30
September, 2006 of 743,272,756 shares (2005: 709,124,151
shares) as if the sub-division of the Company's shares
as described in Appendix of VI of the prospectus of the
Company dated 10 June, 2003 ("Prospectus") had taken place
at the beginning of the relevant periods.

The calculation of diluted earnings per share for the three months
and the nine months ended 30 September, 2006 was based on the net
profit attributable to equity holder of RMB15,450,000 for the
three months ended 30 September, 2006 and RMB39,974,000 for
the nine months ended 30 September, 2006, respectively divided by
the weighted average number of shares used in calculation of
the diluted earnings per share for the three months and the nine
months ended 30 September, 2006 of 1,028,330,755 shares
(2005: 764,242,453 shares) and 1,009,382,453 shares
(2005: 739,154,151 shares) respectively.