The board of directors of China Neng Xiao Technology (Group) Limited announced to the shareholders of the company and potential investors that, based on information currently available, the third quarter results of the company and its subsidiaries for the nine months ended December 31, 2012 is expected to record a profit as compared to a loss for the nine months ended December 31, 2011. The Board believes that such possible profit was mainly attributable to the increase in the Group's turnover during the period.