China Kangtai Cactus Bio-tech Inc Announces Quarterly Results

China Kangtai Cactus Bio-tech Inc Announces Quarterly Results

November 21, 2006

    NEW JERSEY and HARBIN, China, Nov. 21
/Xinhua-PRNewswire/ -- China Kangtai Cactus Bio-tech Inc
(OTC Bulletin Board: CKGT) according to its filed quarterly
report on Nov. 14, today announced earnings of $1,084,959 or
6 cents per share for the three months ended September 30,
2006 compared to the earnings of $436,499 or 3 cents per
share for the same period in 2005. 

    For the nine months ended September 30, 2006 the
Company reported earnings of $2.7 million or $0.16 per
share compared to the earnings of $1,037,194 or 6 cents per
share for the same period in 2005. 

    Key items for the nine months ended September 30, 2006
compared to the same period in 2005 were:

    -- For the nine months ended September 30, 2006,
revenues increased by 
       $6,548,835 or 118% to $12,099,294 from $5,550,459 in
the corresponding 
       period of the prior year.  The increase in revenues
was attributable
       to the fact that the Company's products are being
more effectively 
       marketed and as a result better accepted by the
domestic market 
       customers. These products include Cactus Protein
Nutrient, Cactus 
       Calcium Peptide Soft Capsule and Cactus Shuxin
Capsule, among others 
       too. 

    -- For the nine months ended September 30, 2006, cost
of sales increased 
       by $4,059,226or 111% to $7,716,097 from $3,656,871
as compared to the 
       corresponding period of the prior year.  The primary
factor 
       responsible for the increase was an increase of
marketing related
       expenditure and costs.

    -- For the nine months ended September 30, 2006,
general and 
       administrative expenses decreased by $297,870 or
50.8% to $288,485 
       from $586,355 as compared to the corresponding
period of the prior  
       year. The primary factor for the decrease was
Company's streamlining
       of its operating team and Company's reducing
expenses on general and 
       administrative items.

    -- For the nine months ended September 30, 2006, net
income increased by 
       $1,699,926 or 163.9%, to $2,737,120 from $1,037,194
for the 
       corresponding period of the prior year.  The
increase was primarily
       due to 1) the Company more effectively marketing its
products and an 
       increased acceptance by the Company's domestic
market customers;
       and 2) the decrease in the Company's cost of sales,
distribution,
       management and operations.

    About China Kangtai Cactus Bio-tech Inc

    China Kangtai Cactus Bio-tech Inc is a U.S. listed
company and specializes in producing cactus-based series of
health products. Currently, the company's cactus planting
area accounts for more than 60% of the total cactus
plantation area in China, and the market share of its
products accounts for more than 70% in China. 

    For more information, please contact:

     Ren Hu
     Tel:   [phone]
     Email: [e-mail]

SOURCE  China Kangtai Cactus Bio-tech Inc