09:16     CHINASOFT<08216> - Quarterly Results Announcement (2)               

                                                                              
       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.                   
                                                                              
       No provision for Hong Kong Profits Tax has been made for the           
       relevant periods as the Group did not have any assessable profit       
       during the Relevant Periods.                                           
                                                                              
       There were no significant unprovided deferred taxation                 
       during the relevant periods and as at the respective                   
       balance sheet dates.                                                   
                                                                              
    4. DIVIDEND                                                               
                                                                              
       The directors do not recommend the payment of an interim dividend      
       for the three months ended 31st March, 2005 (2004: Nil).               
                                                                              
    5. EARNINGS PER SHARE                                                     
                                                                              
       The Calculation of the earnings per share for the three months ended   
       31st March, 2005 was based on the net profit of approximately          
       RMB8,045,000 during the three months ended 31st March, 2005 (three     
       months ended 31st March, 2004: RMB5,458,000) divided by the            
       weighted average number of ordinary shares then issued of              
       697,500,000 shares during the three months ended 31st March            
       2005 (2004: 640,000,000 shares)                                        
                                                                              
       The Calculation of diluted earnings per share for the three months     
       ended 31st March, 2005 was based on the net profit of RMB8,045,000     
       for the three months ended 31st March, 2005 (three months ended        
       31st March, 2004: RMB5,458,000) divided by the weighted average        
       number of shares used in calculation of diluted earnings per share     
       for the three months ended 31st March, 2005 of 761,240,000shares       
       (2004:642,808,608shares).