CHINA VANGUARD<08156> - Results Announcement (Q1, 2006/2007, Summary)



China Vanguard Group Limited announced on 14/11/2006:
(stock code: 08156 )

Year end date                         :30/06/2007
Currency                              :HKD
Auditors' report                      :N/A
1st 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 01/07/2006   from 01/07/2005
                                         to 30/09/2006     to 30/09/2005
                                                 $'000             $'000

Turnover                              :         22,914            21,476
Profit/(Loss) from Operations         :        (7,336)             5,303
Finance cost                          :          (613)             (726)
Share of Profit/(Loss) of Associates  :              0             1,201
Share of Profit/(Loss) of Jointly
         Controlled Entites           :            N/A               N/A
Profit/(Loss) after Taxation & MI     :          3,523             5,851
% Change Over the Last Period         :         -39.79%
EPS / (LPS)
          Basic (in dollar)           :     HKD 0.0056        HKD 0.0121
          Diluted (in dollar)         :     HKD 0.0054        HKD 0.0119
Extraordinary (ETD) Gain/(Loss)       :            N/A               N/A
Profit (Loss) after ETD Items         :          3,523             5,851
1st Quarter Dividends per Share       :            NIL               NIL
(specify if with other options)       :            N/A               N/A
B/C Dates for 1st 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
China Vanguard Group Limited

Signature :
Name      : Lau Hin Kun
Title     : Director

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 preparation and accounting policies
	
The unaudited consolidated results have been prepared in accordance
with Hong Kong Financial Reporting Standards, Hong Kong Accounting
Standards and Interpretations issued by the Hong Kong Institute of
Certified Public Accountants and the disclosure requirements of the
Rules Governing the Listing of Securities on the Growth Enterprises
Market of the Stock Exchange of Hong Kong (the "GEM Listing Rules").
	
The unaudited consolidated results have been prepared under the
historical cost convention.
	
The accounting policies and methods of computation used in the
preparation of these unaudited consolidated results are consistent with
those applied in the annual financial statements for the year ended 30
June 2006.
	
2.  Revenue
	
The principal activities of the Group from continuing operations are
(i) the distribution of natural supplementary products, (ii) provision
of lottery-related hardware and software systems, (iii) the sales and
distribution of edible oil, (iv) operation of a restaurant and (v)
mining operation of Xin Jiang Oilfield.
	
Revenue represents invoiced value of sales, net of returns, discounts
allowed or sales taxes where applicable.
	
3.  Income tax expenses
	
No provision for Hong Kong profits tax has been made as the Group did
not have any assessable profits arising in Hong Kong during the period
(2005: Nil).
	
Taxation for other jurisdictions is calculated at the rates prevailing
in the respective jurisdictions.
	
4.  Dividend
	
The Board does not recommend the payment of any dividend for the three
months ended 30 September 2006 (2005: Nil).
	
5.  (Loss)/earnings per share
	
From continuing and discontinued operations
	
The calculation of the basic and diluted earnings per share
attributable to the ordinary equity holders of the Company is based on
the following data:
	
Earnings
	
                                                      (Unaudited)
                                                  Three months ended
                                                       30 September
                                                  2006             2005
                                                 HK$'000       HK$'000
	
Earnings for the purposes of
  basic and diluted earnings
  per share (profit for the
 period attributable to
 equity holders of the Company)       		 3,523            5,851
	
Number of shares
	
                                                       (Unaudited)
                                                  Three months ended
                                                       30 September
                                                  2006             2005
                                                  '000              '000
	
Weighted average number
   of ordinary shares for the
 purposes of basic
  earnings per share                 	        624,053         482,130
	
Effect of dilutive potential
  ordinary shares:
 Share options                       	        26,208             7,988
	
Weighted average number
   of ordinary shares for the
 purposes of diluted
  earnings per share                            650,261         490,118
	
From continuing operations
	
The calculation of the basic and diluted loss per share from continuing
operations attributable to the ordinary equity holders of the Company
is based on the following data.
	
Loss figures are calculated as follows:
	
                                                      (Unaudited)
                                                  Three months ended
                                                       30 September
                                                  2006             2005
                                                 HK$'000       HK$'000
	
Profit for the period attributable
   to equity holders of
   the Company                                  3,523             5,851
	
Less:
  Profit for the period from
 discontinued  operations                      29,342           7,814
	
Loss for the purposes of basic
  and diluted loss per share
  from continuing operations                  (25,819)         (1,963)
	
The denominators used are the same as those detailed above for both
basic and diluted earnings per shares.
	
From discontinued operations
	
Basic earnings per share for the discontinued operations is 4.70 cents
per share (2005: 1.62 cents per share) and diluted earnings per share
for the discontinued operations is 4.51 cents per share (2005: 1.59
cents per share), based on the profit for the period from the
discontinued operations of HK$29,342,000 (2005: HK$7,814,000) and the
denominators detailed above for both basic and diluted earnings per
share.