1
HIGHLIGHTS

• Turnover increased 66.3% to HK$702.8 million
• Operating profit increased 23.1% to HK$47.5 million and EBITDA was up 26.5% to
HK$57.2 million
• Bank balances and cash increased 70.9% to HK$100.4 million
• The Group launched its latest global VoIP service “ZoiPPE” in December 2006
• The Group continues its efforts to penetrate into the China market
• In February 2007, altogether HK$64.3 million was raised by placing 52 million shares
in the Company and an institutional investor subscribing for 5% shareholding interest
in the subsidiary operating the ZoiPPE business
RESULTS

The board of directors (the “Board”) of e-Kong Group Limited (the “Company”) is pleased
to announce the audited consolidated financial results of the Company and its subsidiaries
(collectively, the “Group”) for the year ended 31 December 2006, together with comparative
figures for 2005, as follows:
Consolidated Income Statement
Year ended 31 December
2006 2005

Notes HK$’000 HK$’000
Turnover 2 702,810 422,590
Cost of sales (509,718) (267,649)
Gross profit 193,092 154,941
Interest income 2,326 589
Other income 397 8,313
195,815 163,843

Selling and distribution expenses (55,343) (42,212)
Business promotion and marketing expenses (4,635) (3,068)
Operating and administrative expenses (76,419) (66,760)
Other operating expenses (11,928) (13,237)
Profit from operations 47,490 38,566
Finance costs 6 (2,859) (34)
Profit before taxation 6 44,631 38,532
Taxation (charges)/credit 3 (3,999) 8,544
Profit for the year attributable to
equity holders of the Company 40,632 47,076
EBITDA 4 57,205 45,216

HK$ HK$
Earnings per share 5
Basic 0.09 0.10
Diluted N/A N/A
e-Kong Group Limited
(Incorporated in Bermuda with limited liability)
www.e-kong.com
(Stock Code: 524)
FINAL RESULTS
FOR THE YEAR ENDED 31 DECEMBER 2006

2
Consolidated Balance Sheet
As at 31 December
2006 2005

Notes HK$’000 HK$’000
Non-current assets
Property, plant and equipment 17,117 12,144
Intangible assets 7 51,659 —
Deferred tax assets 10,866 10,881
79,642 23,025

Current assets
Trade and other receivables 8 86,630 67,140
Pledged deposits 1,547 2,476
Bank balances and cash 100,362 58,742
188,539 128,358

Current liabilities
Trade and other payables 9 99,686 59,502
Current portion of bank borrowings 9,188 —
Current portion of obligations under finance leases 198 191
Provision for taxation 3,996 —
113,068 59,693

Net current assets 75,471 68,665
Total assets less current liabilities 155,113 91,690
Non-current liabilities
Bank borrowings 22,577 —
Obligations under finance leases 419 618
NET ASSETS 132,117 91,072

Capital and reserves
Share capital 4,709 4,709
Reserves 127,408 86,363
TOTAL EQUITY 132,117 91,072

Notes:
1. Basis of preparation and accounting policies
The consolidated financial statements have been prepared in accordance with the Hong Kong Financial
Reporting Standards (“HKFRS”), which collective term includes all applicable individual HKFRS, Hong
Kong Accounting Standards and Interpretations issued by the Hong Kong Institute of Certified Public
Accountants (“HKICPA”), accounting principles generally accepted in Hong Kong and applicable
requirements under the Rules Governing the Listing of Securities on The accounting policies and basis of preparation adopted in these financial
statements are consistent with those adopted in the Company’s 2005 Annual Report.
The Group has not early adopted the new/revised standards and interpretations issued by HKICPA that
are not yet effective for the current year. The Group anticipates that the adoption of these new/revised
HKFRS in future periods will have no material impact on the results of the Group.

3
2. Turnover and segmental information
Analyses of the Group’s turnover and results by geographical and business segments during the year
are as set out below.
(a) by geographical segments:
Year ended 31 December
2006 2005

North Asia North Asia
America Pacific Consolidated America Pacific Consolidated
HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000
Turnover
External sales 598,989 103,821 702,810 308,702 113,888 422,590
Results
Profit from operations 29,925 27,873 57,798 21,720 21,027 42,747
Finance costs (2,859) (34)
Other operating income
and expenses (10,308) (4,181)
Profit before taxation 44,631 38,532
Taxation (charges)/credit (3,999) 8,544
Profit for the year 40,632 47,076
(b) by business segments:
Year ended 31 December
2006 2005

Telecom– Telecom–
munication munication
services Other Consolidated services Other Consolidated
HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000
Turnover
External sales 696,494 6,316 702,810 414,072 8,518 422,590
Results
Profit from operations 57,792 6 57,798 42,503 244 42,747
Finance costs (2,859) (34)
Other operating income
and expenses (10,308) (4,181)
Profit before taxation 44,631 38,532
Taxation (charges)/credit (3,999) 8,544
Profit for the year 40,632 47,076

4
3. Taxation (charges)/credit
Year ended 31 December
2006 2005

HK$’000 HK$’000
Current tax
Hong Kong profits tax — —
Overseas income taxes (3,964) —
(3,964) —
Deferred tax
Origination and reversal of temporary differences (35) 8,544
(3,999) 8,544
Overseas taxation represents income taxes provided by certain subsidiaries, calculated at the tax rates
prevailing in the countries in which the subsidiaries operate.
4. EBITDA

EBITDA represents earnings before interest expenses, taxation, depreciation, amortisation and impairments.
5. Earnings per share
The calculation of basic earnings per share for the year ended 31 December 2006 was based on the
consolidated profit attributable to equity holders of the Company of HK$40,632,000 (2005: HK$47,076,000)
and on the 470,894,200 (2005: 470,894,200) shares in issue during the year.
The diluted earnings per share for the years ended 31 December 2006 and 2005 have not been presented
as the exercise prices of the share options were higher than the average market price of the shares.
6. Profit before taxation
This was arrived at after charging/(crediting):
Year ended 31 December
2006 2005

HK$’000 HK$’000
Finance costs
Interest on bank loan and other borrowings 2,832 —
Finance charges on obligations under finance leases 27 34
Amortisation of intangible assets included in other
operating expenses 4,411 —
Depreciation of property, plant and equipment 5,304 4,756
Gain on disposal of an available-for-sale investment
included in other income — (5,200)
Impairment loss on an available-for-sale investment — 1,894

5
7. Intangible assets
As at 31 December
2006 2005

HK$’000 HK$’000
Development costs 3,137 —
Customer contracts 52,933 —
56,070 —
Less: amortisation (4,411) —
51,659 —
Development costs represent costs incurred in 2006 for the development of IP-based communication
products and services, which services were launched in December 2006. Amortisation of the development
costs will commence in 2007.
The customer contracts represent intangible assets purchased as a result of an asset purchase agreement
with a third party to acquire certain telecommunication service assets in connection with the provision
of long distance telecommunication services in the United States. The costs are capitalised and amortised
under the straight-line method over 5 years.
8. Trade and other receivables
As at 31 December
2006 2005

HK$’000 HK$’000
Trade receivables 76,119 54,364
Other receivables
Deposits, prepayments and other debtors 10,511 12,776
86,630 67,140

The Group’s credit terms on sales mainly range from 30 days to 90 days. Included in trade and other
receivables are trade debtors (net of provision for bad and doubtful debts) with the following ageing
analysis:
As at 31 December
2006 2005

HK$’000 HK$’000
Current 68,042 46,109
1 to 3 months 7,858 8,020
More than 3 months but less than 12 months 219 235
76,119 54,364

6
9. Trade and other payables
As at 31 December
2006 2005

HK$’000 HK$’000
Trade payables 44,924 25,930
Other payables
Accrued charges and other creditors 54,762 33,572
99,686 59,502

Included in trade and other payables are trade creditors with the following ageing analysis:
As at 31 December
2006 2005

HK$’000 HK$’000
Current 26,733 16,756
1 to 3 months 17,992 9,011
More than 3 months but less than 12 months 199 163
44,924 25,930

10. Comparative figures
Certain comparative figures have been reclassified to conform to the current year presentation.
FINAL DIVIDEND

The Board does not recommend the payment of a dividend for the year ended 31 December
2006 (2005: Nil).
BUSINESS REVIEW

During the year under review, the Group recorded a significant increase in turnover while
continuing to maintain profitable operating results. The acquisition of assets in connection with
the provision of long distance telecommunication services in the United States (the “WRLD
Alliance transaction”), as approved by shareholders of the Company in March 2006, was
successfully completed and smoothly integrated with the existing ZONE US operations. Such
assets have proven their value as they helped ZONE US in contributing significantly to the
growth in turnover and EBITDA of the Group.
Turnover of the Group was HK$702.8 million, up 66.3% from HK$422.6 million for the previous
year. This increase was contributed mainly by the increase in revenue of ZONE operations in
the United States. Profit from operations and profit before taxation of the Group for the year
recorded rises of 23.1% and 15.8%, respectively, when compared to the previous year. The
Group recorded net profit of HK$40.6 million compared to HK$47.1 million for the prior year,
however, if the deferred tax effect is excluded, the 2006 net profit would be 5.5% higher
than 2005. EBITDA of HK$57.2 million was up 26.5% from HK$45.2 million for the prior
year.
The Group’s balance sheet remains healthy with total net assets of HK$132.1 million,
representing an increase of 45.1% over the prior year, with bank balances and cash in 2006
exceeding HK$100 million.
ZONE operations in the United States (“ZONE US”) recorded another year of robust growth
almost doubling its turnover from HK$308.7 million for the previous year to HK$599.0 million.
This increased turnover was mainly due to the growth in the carrier business of ZONE US
servicing more than one-third of all independent local exchange carriers (“ILECs”) located
throughout the United States, including those customers acquired under the WRLD Alliance
transaction. Profit from operations for the year totalled HK$29.9 million, representing an increase
of 37.8% compared to HK$21.7 million for the prior year. In addition to achievements in
revenue growth, ZONE US has also been actively implementing various strategies to improve
operating efficiencies and increase gross margins. Such improvements and increases are being
achieved through, among others, the integration of the ZONE US existing operation base in

7
the North East with the facilities of WRLD Alliance headquartered in Utah, and also the benefits
of greater economies of scale as a result of more competitive pricing from carrier partners.
In the coming year, ZONE US will focus on increasing its market share for its core businesses
and continuing to improve margins and productivity while, at the same time, seeking
opportunities to introduce new and complementary products and services.
Turnover from ZONE Hong Kong and ZONE Singapore (collectively, “ZONE Asia”) for 2006
amounted to HK$97.5 million compared to HK$105.4 million for 2005. Profit from ZONE Asia’s
operations for the year under review were HK$27.9 million, representing an increase of 34.1%
compared to HK$20.8 million for the previous year. ZONE Asia was able to achieve higher
operating profits, despite a slight decrease in turnover, by further increasing its gross margins
and continuing its efforts to improve operating productivity.
Following the award of the Services-Based Operator (“SBO”) Licence from the Office of the
Telecommunications Authority (“OFTA”) of Hong Kong in March 2006 and subsequent resolution
of the issues on interconnection with the fixed telecommunication network services (“FTNS”)
providers, ZONE Hong Kong completed its interconnection arrangements and became the first
licensee to provide Voice-over-Internet Protocol (“VoIP”) services with local Hong Kong
telephone numbers allocated by OFTA under the terms of the SBO licences. This service is
not only available to customers based in Hong Kong, but is also available to persons in any
part of the world that obtain broadband access to ZONE’s network, thus extending ZONE Hong
Kong’s reach to a new overseas potential customer base.
In addition, ZONE Hong Kong continues to be the main resource base for penetrating into
the China market. Towards the end of 2005 and in 2006, ZONE Hong Kong deployed technical
and business teams to provide management expertise and support to its partners’ operations in
China.
ZONE Singapore continued on its growth path and achieved notable results in 2006. Creative
and targeted marketing initiatives have led to an increased acquisition rate for new members,
a more stable user base and a higher average rate per user (“ARPU”), all of which contributed
to the higher revenue level. Effective cost management and negotiations with carriers have
contributed to better margins and record-high operating results. While ZONE Singapore keeps
reinforcing its position in its core services, it has also deployed, in conjunction with ZONE
Hong Kong, new IP-based technologies to service its customers with offices worldwide. Looking
ahead to 2007, ZONE Singapore plans to form alliances to further develop expansion into the
region while expanding its business in Singapore through innovative product packaging and
value-added services to differentiate it from competitors.
In December 2006, ZONE Asia officially launched its latest global VoIP service “ZoiPPE”
(www.zoippe.com) at the ITU Telecom World 2006. Since the successful launch, ZoiPPE has
unveiled a number of partnership and marketing programmes to enhance brand recognition and
grow its user base. As an example, in conjunction with AsiaXPAT, ZONE Asia is promoting
the co-branded “AsiaXPAT & ZoiPPE” service to the expatriate community in Asia. Also, its
recent “Free Calls to China” promotional offer during the Lunar New Year festive season has
encouraged many users in the Chinese community around the world to use its services.
In February 2007, the Group successfully completed a placement of 52 million shares of the
Company, generating net proceeds of approximately HK$44.8 million. At the same time, the
Group raised additional capital of US$2.5 million (HK$19.5 million) from an institutional
investor for development of the ZoiPPE business.
Looking ahead to 2007, the Group is excited about the prospects of expanding its ZONE
businesses within and beyond its current operations in the United States, Hong Kong and
Singapore. ZONE will continue to organically grow its market share in these countries while
seeking acquisition targets, such as the WRLD Alliance transaction, that once integrated with
the current operations can bring synergistic value to the Group. The Group will also take
business development initiatives to expand the ZONE business model to other countries.
The Group has obtained additional funds for growth and development from those transactions
in February. It considers that establishing a business presence and securing reliable local partners
in the larger markets, including China and India, will be a priority for 2007, and during the
year ZoiPPE will step up its efforts to enhance its technology robustness and scalability to
improve user experience and to introduce new multimedia features and functionalities, while
at the same time intensifying its promotional drive globally.

8
FINANCIAL REVIEW

Results
For the year ended 31 December 2006, the Group recorded consolidated turnover of HK$702.8
million representing an increase of HK$280.2 million, or 66.3%, as compared to 2005.
Turnover from ZONE US increased by 94.0% from HK$308.7 million in 2005 to HK$599.0
million in 2006, while ZONE Asia, comprising the Group’s telecommunication business in Hong
Kong and Singapore, recorded a 7.5% decrease in turnover from HK$105.4 million for 2005
to HK$97.5 million for 2006.
The Group’s gross profit increased by 24.6% from HK$154.9 million in 2005 to HK$193.1
million in 2006.
The operating profit for the year was HK$47.5 million compared to HK$38.6 million for the
previous year.
The consolidated net profit for the year was HK$40.6 million compared to a net profit of
HK$47.1 million, which included a deferred tax credit of HK$8.5 million, for 2005.
EBITDA for the Group increased by 26.5%, or HK$12.0 million, from HK$45.2 million for
2005 to HK$57.2 million in 2006.
Assets
As at 31 December 2006, the net assets of the Group amounted to HK$132.1 million as
compared to HK$91.1 million in 2005.
Liquidity and Financing
Cash and bank balances (excluding pledged deposits) were HK$100.4 million as at 31 December
2006 (2005: HK$58.7 million). The Group had pledged deposits amounting to HK$1.5 million
as at 31 December 2006 (2005: HK$2.5 million) to banks for guarantees made by them to
certain telecommunication carriers for payments due by the Group.
In 2006, a bank loan of HK$46.8 million was advanced to a subsidiary of the Company for
the purpose of the WRLD Alliance transaction, of which HK$15.0 million was repaid during
2006, and the balance thereof as at 31 December 2006 amounted to HK$31.8 million (2005:
Nil). This bank loan, comprising the Group’s entire bank borrowings, was made in United States
dollars at a fixed interest rate and secured through, among others, a pledge of the trade
receivables of the subsidiary.
As at 31 December 2006, the Group’s liabilities under equipment lease financing arrangements
amounted to HK$0.6 million (2005: HK$0.8 million).
The Group’s gearing ratio, measured on the basis of total borrowings as a percentage of net
assets was 24.5% (2005: 0.9%). Such increase principally arose as a result of the bank
borrowings referred to above.
Foreign Exchange Exposure
Since most of the Group’s assets and liabilities, revenue and payments are denominated in Hong
Kong and United States dollars, the Group considers there is no significant exposure to foreign
exchange fluctuations so long as the Hong Kong-United States dollar exchange rate remains
pegged. As cash contributions from the Singapore operations continue to grow, the Group will
closely monitor the Singapore-United States dollar exchange rate and, whenever appropriate, take
any necessary action to reduce such exchange risks.
Contingent Liabilities and Commitments
As at 31 December 2006, there were no material contingent liabilities and commitments.
Post Balance Sheet Events
On 16 February 2007, the Group entered into a placing and subscription agreement whereby
52 million shares of the Company were placed and subscribed for at the price of HK$0.90
per share, subject to adjustment for commissions, costs and expenses incurred in relation thereto.
Details of the placing and subscription agreement were disclosed in the announcement of the
Company dated 16 February 2007.

9
On 16 February 2007, Cyberman Limited (a wholly-owned subsidiary of the Company),
Cannizaro Hong Kong Limited (acting as the investment manager of its fund) and ZONE
Resources Limited (“ZRL”) entered into a subscription and shareholders agreement whereby
Cannizaro subscribed or procured subscriptions for 500 shares of ZRL, representing 5% of the
issued share capital of ZRL, for a consideration of US$2.5 million. ZRL remains to be a 95%
subsidiary of the Company. Details of the subscription and shareholders agreement were
disclosed in the announcement of the Company aforesaid.
The transactions contemplated by the said placing and subscription agreement and the
subscription and shareholders agreement were completed in February 2007.
EMPLOYEE REMUNERATION POLICIES

As at 31 December 2006, the Group had 145 employees (2005: 136 employees) in Hong Kong
and overseas. The Group’s total staff costs amounted to HK$71.3 million (2005: HK$64.9
million). Pursuant to the share option schemes adopted by the Company, share options may
be granted to, among others, eligible employees of the Group to subscribe for shares in the
Company under the terms and conditions stipulated therein. Altogether, 147,500 share options
remained outstanding as at 31 December 2006.
The Group’s remuneration policies are formulated on the basis of the performance and
experience of individual employees and are in line with local market practices where the Group
operates. The Group has established incentive bonus schemes to motivate and reward employees
at all levels to achieve the Group’s objectives. In addition to salary and bonus payments, the
Group also offers other fringe benefits, including provident fund and medical benefits, to its
employees.
CORPORATE GOVERNANCE

The Company is committed to maintaining high standards of corporate governance. No director
of the Company is aware of any information which would reasonably indicate that the Company
is not, or was not, at any time during the year ended 31 December 2006, acting in compliance
with the Code on Corporate Governance Practices as set out in Appendix 14 to the Listing
Rules.
MODEL CODE FOR SECURITIES TRANSACTIONS BY DIRECTORS

The Company has adopted the Model Code for Securities Transactions by Directors of Listed
Issuers (the “Model Code”) as set out in Appendix 10 to the Listing Rules as its own securities
code. All directors have confirmed, following specific enquiries by the Company, that they have
fully complied with the required standards set out in the Model Code throughout the year ended
31 December 2006.
AUDIT COMMITTEE

The Audit Committee has reviewed, with the management and the auditors of the Company,
the accounting principles and practices adopted by the Group and discussed auditing, internal
control systems and financial reporting matters, including a review of the audited consolidated
financial statements of the Group for the year ended 31 December 2006.
PURCHASE, SALE OR REDEMPTION OF THE COMPANY’S LISTED SECURITIES
During the year, neither the Company nor any of its subsidiaries purchased, sold or redeemed
any of the Company’s listed securities.
PUBLICATION OF FURTHER INFORMATION

The 2006 annual report of the Company containing all information required by Appendix 16
to the Listing Rules will be published on both the websites of The Stock Exchange of Hong
Kong Limited and the Company in due course.

10
APPRECIATION

The Board would like to thank all customers, shareholders, business associates and professional
advisers for their support and extend its appreciation to all employees for their hard work,
dedication and commitment to the Group.
By Order of the Board
Richard John Siemens
Chairman
Hong Kong, 23 March 2007
As at the date of this announcement, the Board of the Company comprised of Executive
Directors, Richard John Siemens, Kuldeep Saran and Lim Shyang Guey; Non-executive Director,
William Bruce Hicks and Independent Non-executive Directors, Shane Frederick Weir, John
William Crawford and Gerald Clive Dobby.
Please also refer to the published version of this announcement in The Standard.