SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

Pursuant to Rule 13a-16 or 15d-16 under

the Securities Exchange Act of 1934

For the month of March 2011

Commission File Number 001-33535

China Kanghui Holdings

(Translation of Registrant’s Name Into English)

No.1-8 Tianshan Road, Xinbei District

Changzhou, Jiangsu Province 213022, People’s Republic of China

(86-519) 8519-5556

(Address of Principal Executive Offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F  x            Form 40-F  ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):            

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):            

Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934:

Yes  ¨             No  x

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-            

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

China Kanghui Holdings
By:	/S/    JUNWEN WANG
Name:	Junwen Wang
Title:	Chief Financial Officer

Date: March 23, 2011

China Kanghui Holdings Reports Fourth Quarter and Full Year 2010 Financial Results

4Q10 Net Revenue Up 33.1% YOY to RMB72.3 Million

4Q10 Non-GAAP Net Income Up 45.4% YOY to RMB28.2 Million

CHANGZHOU, March 23, 2011 – China Kanghui Holdings (NYSE: KH) (“Kanghui” or the “Company”), a leading domestic developer, manufacturer and marketer of orthopedic implants in China, today announced financial results for the fourth quarter and full year of 2010.

Mr. Libo Yang, the Company’s Chief Executive Officer, stated, “Our fourth quarter financial results reflect our continued fundamental strength as we finished a landmark year in our Company’s history. In 2010, we completed a successful IPO and achieved record financial results. In January 2011, we launched our first partnership to enable our entry into the joint reconstruction market. We are more excited than ever about the fast-growing Chinese orthopedic device market, and we continue to establish Kanghui as a leading international provider of innovative and diversified orthopedic products.”

Fourth Quarter 2010 Financial Highlights

• Net revenue increased 33.1% to RMB72.3 million ($11.0 million¹) from RMB54.3 million in the same period of the prior year;

• Gross profit increased 33.4% to RMB52.3 million ($7.9 million) from RMB39.2 million in the same period of the prior year;

• Operating income increased 49.3% to RMB30.6 million ($4.6 million) from RMB20.5 million in the same period of the prior year;

• Net income increased 63.7% to RMB27.5 million ($4.2 million) from RMB16.8 million in the same period of the prior year. This is equivalent to approximately RMB1.10 ($0.17) per diluted ADS² in the fourth quarter of 2010;

• Non-GAAP net income, which excludes share based compensation expense, increased 45.4% to RMB28.2 million ($4.3 million)from RMB19.4 million in the same period of the prior year. This is equivalent to approximately RMB1.12 ($0.17) per diluted ADS in the fourth quarter of 2010.

Fourth Quarter 2010 Financial Performance

Net revenue increased 33.1% to RMB72.3 million ($11.0 million) in the fourth quarter 2010 from RMB54.3 million in the fourth quarter of 2009. Net revenue from trauma products increased 22.7% to RMB43.8 million from RMB35.7 million in the corresponding period of the prior year. Net revenue from spine products increased 69.5% to RMB22.2 million from RMB13.1 million in the corresponding period of the prior year. Net revenue from OEM products increased 14.5% to RMB6.3 million from RMB5.5 million in the corresponding period of the prior year. Domestic sales of proprietary products increased 34.6% year over year to RMB55.2 million from RMB41.0 million, while international sales of proprietary products increased 38.5% year over year to RMB10.8 million from RMB7.8 million. In addition, net revenue increased sequentially 13.7% in the fourth quarter of 2010, from net revenue of RMB63.6 million in the third quarter of 2010.

In the fourth quarter of 2010, gross profit increased 33.4% to RMB52.3 million ($7.9 million) from RMB39.2 million in the corresponding period of the prior year. Gross margin for the fourth quarter of 2010 was 72.3%, compared to 72.2% in the fourth quarter of 2009. In addition, gross profit increased sequentially 14.4% in the fourth quarter of 2010, from gross profit of RMB45.7 million in the third quarter of 2010.

1. This announcement contains translations of certain Renminbi (“RMB”) amounts into US dollars (“$”) at specified rates solely for the convenience of readers. Unless otherwise noted, all translations from Renminbi to US dollars as of and for the quarter and for the year ended December 31, 2010 were made at the noon buying rate of RMB 6.600 to USD1.00 on December 31, 2010 in the City of New York for cable transfers in Renminbi per US dollar as certified for customs purposes by the Federal Reserve Bank of New York. The Company makes no representation that the Renminbi or US dollar amounts referred to in this press release could have been or could be converted into US dollars or Renminbi, at any particular rate or at all.

2. Each of the Company’s American Depositary Shares (“ADS”), which are traded on the New York Stock Exchange, represents six of the Company’s ordinary shares.

Operating income increased 49.3% to RMB30.6 million ($4.6 million) in the fourth quarter of 2010, from RMB20.5 million in the comparable period of 2009. Operating margin increased to 42.3% in the fourth quarter of 2010 from 37.8% in the corresponding period of the prior year.

Selling expenses increased 22.8% to RMB11.3 million ($1.7 million) in the fourth quarter of 2010 from RMB9.2 million in the corresponding period of the prior year. General and administrative expenses increased 22.2% to RMB8.8 million ($1.3 million) in the fourth quarter of 2010 from RMB7.2 million in the corresponding period of the prior year. Research and development expenses decreased 29.2% to RMB 1.7 million ($261,000) in the fourth quarter of 2010 from RMB2.4 million in the corresponding period of the prior year.

Provision for income taxes in the fourth quarter of 2010 decreased to RMB2.6 million ($369,000), representing an effective tax rate of 8.7%, from RMB7.0 million, representing an effective tax rate of 29.3%, in the corresponding period of the prior year. The difference in taxes paid primarily reflects withholding income tax in relation to reinvestment of RMB4.3 million recorded in the fourth quarter of 2009.

Net income was RMB27.5 million ($4.2 million) in the fourth quarter of 2010, up 63.7% from RMB16.8 million in the fourth quarter of 2009. On a diluted per ADS basis, the Company reported RMB1.10 ($0.17) in the fourth quarter of 2010, compared to a loss per diluted ADS of RMB0.77 in the corresponding period of the prior year. Non-GAAP net income, which excludes share based compensation expenses, increased 45.4% to RMB28.2 million ($4.3 million) from RMB19.4 million in the corresponding period of the prior year. The Company reported non-GAAP net income per diluted ADS of RMB1.12 ($0.17) in the fourth quarter of 2010. This compares to a loss per diluted ADS of RMB0.50 in the corresponding period of the prior year. Net income results on a per share and per ADS basis for the fourth quarter of 2009 reflect the impact of accretion of redeemable convertible preferred shares which were converted to ordinary shares in the Company’s August 2010 initial public offering.

During the fourth quarter of 2010, the Company had a weighted average diluted share count of approximately 150.6 million shares, or 25.1 million ADSs, compared to 57.7 million shares, or 9.6 million ADSs, in the fourth quarter of 2009.

Full Year 2010 Financial Highlights

• Net revenue increased 31.7% to RMB242.7 million ($36.8 million) from RMB184.3 million in the prior year;

• Gross profit increased 32.3% to RMB171.4 million ($26.0 million) from RMB129.6 million in the prior year;

• Operating income increased 40.4% to RMB108.0 million ($16.4 million) from RMB76.9 million in the prior year;

• Net income increased 32.9% to RMB99.7 million ($15.1million) from RMB75.0 million for the prior year. This is equivalent to approximately RMB1.60 ($0.24) per diluted ADS for 2010;

• Non-GAAP net income, which excludes share based compensation expense, increased 26.3% to RMB107.7 million ($16.3 million) from RMB85.3 million in the prior year. This is equivalent to approximately RMB2.08 ($0.31) per diluted ADS in the full year 2010.

Full Year 2010 Financial Performance

For the year ended December 31, 2010, net revenue increased 31.7% to RMB242.7 million ($36.8 million) from RMB184.3 million for the prior year. Net revenue from trauma products increased 36.0% to RMB154.2 million from RMB113.4 million for the prior year. Net revenue from spine products increased 36.4% to RMB68.2 million from RMB50.0 million for the prior year. Net revenue from OEM products decreased 2.9% to RMB20.3 million from RMB20.9 million for the prior year. The increase in revenue for 2010 also reflects international revenue growth of 77.2% and domestic revenue growth of 29.5%, on a year over year basis. Gross profit increased 32.3% to RMB171.4 million ($26.0 million) from RMB129.6 million in the prior year. Operating income increased 40.4% to RMB108.0 million ($16.4 million) for 2010 from RMB76.9 million for 2009.

Net income was RMB99.7 million ($15.1 million) for the year ended December 31, 2010, compared to RMB75.0 million for the prior year. This is equivalent to RMB1.60 ($0.24) per diluted ADS in the full year 2010. Non-GAAP net income, which excludes share-based compensation expenses, was RMB107.7 million ($16.3 million), compared to RMB85.3 million for the prior year. This is equivalent to RMB2.08 ($0.31) per diluted ADS in the full year 2010.

The weighted average number of diluted shares outstanding was approximately 100.3 million, equivalent to 16.7 million ADSs, for the year ended December 31, 2010, compared to a weighted average of 57.7 million diluted shares outstanding, equivalent to 9.6 million ADSs, for the year ended December 31, 2009.

Mr. Yang continued, “We believe our progress in 2010 laid a solid foundation for our continued growth in 2011, and we are focusing on further penetrating both our existing domestic and international markets while expanding into new growth opportunities. On that note, today we furthered our presence into the joint reconstruction market with the announcement of our acquisition of a majority stake in Beijing Wei Rui Li Medical Device Co., Ltd., or Wei Rui Li, a domestic Chinese provider of approved knee and hip systems. The deal enables us to work towards launching a competitive knee product in the Chinese market in 2012, and it nicely complements our recently announced exclusive partnership with Consensus Orthopedics. We are delighted with the progress achieved as we position Kanghui as a leader in product quality in the fast-growing and relatively underserved joint reconstruction market in China.”

Balance Sheet

As of December 31, 2010, the Company had cash and cash equivalents of RMB262.5 million ($39.8 million), compared to RMB122.6 million as of December 31, 2009. As of December 31, 2010, the Company held short-term investments of RMB 266.7 million ($40.4 million), compared to RMB27.0 million as of December 31, 2009. Short-term investments are fixed rate investments with three to twelve months maturities.

Ms. Sarah Wang, Chief Financial Officer of the Company, said, “We are pleased with our fourth quarter results which demonstrate our continued operational strength to enhance our revenue and profitability, as we further increase our market share and expand our presence both domestically and internationally.”

Non-Cash Share-Based Compensation Expense Discussion

The Company recognized non-cash share-based compensation expenses of approximately RMB661,000 ($100,000) and RMB8.0 million ($1.2 million) in the fourth quarter of 2010 and the year ended December 31, 2010 respectively.

The Company classified these non-cash share-based compensation expenses in 2010 and 2009 in its costs of revenue, selling expenses, general and administrative expenses as well as in research and development expenses. The break out of these expenses per line item is provided in the financial tables attached to this press release.

The Company has provided a non-GAAP presentation of results which excludes the non-cash share based compensation expenses. Please refer to the non-GAAP presentation provided in the appendix for a year over year comparison of non-cash share-based compensation expenses. The Company believes that non-GAAP presentation is a helpful tool for the Company to plan and forecast future periods and both management and investors benefit from referring to such non-GAAP presentation in assessing the performance of the Company.

Fiscal Year 2011 Business Outlook

The Company expects year-over-year revenue growth of 20% to 25% in 2011, bringing revenue for the full year 2011 in the range of RMB292 million to RMB303 million. The Company also expects its full year 2011 non-GAAP net income to be in the range of RMB128 million to RMB133 million, excluding the impact of operating expenses related to the exclusive partnership with Consensus Orthopedic and the acquisition of the majority stake in Wei Rui Li. After taking into account the operating expenses relating to these transactions, the Company believes that non-GAAP net income for the full year 2011 will be between RMB121 million and RMB126 million.

Conference Call

The Company will hold a conference call at 8:00 a.m. ET on March 24, 2011 to discuss fourth quarter results. Listeners may access the call by dialing:

United States toll free:	1-866-713-8310
China toll free:	800-712-2655
China toll:	400-881-1629
Hong Kong toll free:	800-963-844
International:	1-617-597-5308
Conference ID:	58703466

A telephone replay will be accessible through April 6, 2011 by dialing:

United States toll free:	1-888-286-8010
International:	1-617-801-6888
Conference ID:	45752045

A webcast will also be available through the Company’s website at www.kanghui.com.

About China Kanghui Holdings

Founded in 1997, Kanghui is a leading domestic developer, manufacturer and marketer of orthopedic implants in China. The Company offers a wide array of proprietary orthopedic implant products in trauma and spine. It has an extensive network of distributors for its products in China. In addition, Kanghui’s products are distributed in 27 countries. Kanghui has strong research and development capabilities, focused on developing new proprietary products, including new product lines, extensions of existing product lines and enhancements of existing products. For more information, please visit www.kanghui.com.

Use of Non-GAAP Financial Measures

The Company has included non-GAAP financial measures in this press release. Non-GAAP financial measures are defined as GAAP gross profit, operating income, net income, net margin, basic earnings per share and per ADS, and diluted earnings per share and per ADS, excluding non-cash share based compensation expense. The Company believes that management and investors benefit from referring to the non-GAAP financial measures in assessing the performance of the Company and when planning and forecasting future periods. These non-GAAP operating measures are useful for understanding and assessing underlying business performance and operating trends. The use of non-GAAP financial measures has limitations and readers should not consider non-GAAP financial measures in isolation from or as alternatives to consolidated financial metrics prepared in accordance with U.S. GAAP. Readers are encouraged to refer to the reconciliation of non-GAAP measures to GAAP measures included herein.

Safe-Harbor Statement

This press release contains statements of a forward-looking nature, including, among other things, the Company’s unaudited operating results for 2010 and anticipated operating results for 2011, the synergy of the Company’s partnership with Consensus Orthopedics and its acquisition of a majority stake in Wei Rui Li, the ability for the Company to enter into the joint reconstruction market and the ability for the Company to launch knee products in the Chinese market in 2012. These statements are made under the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including certain plans, expectations, goals, and projections, which are subject to numerous assumptions, risks, and uncertainties. These forward-looking statements may include, but are not limited to, statements containing words such as “may,” “could,” “would,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “expects,” “intends” and “future” or similar expressions. Among other things, the statements relating to the Company’s expected progress on the new product portfolio may contain forward-looking statements. These forward-looking statements speak only as of the date of this press release and are subject to change at any time. These forward-looking statements are based upon management’s current expectations and are subject to a number of risks, uncertainties and contingencies, many of which are beyond the Company’s control that may cause actual results, levels of activity, performance or achievements to differ materially from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. The Company’s actual results could differ materially from those contained in the forward-looking statements due to a number of factors, including those described under the heading “Risk Factors” in the Company’s final prospectus as filed with the Securities and Exchange Commission, and in documents subsequently filed by the Company from time to time with the Securities and Exchange Commission.

Contact Information

Kanghui Investor Relations Department: 646-416-6822

ICR, LLC

In the U.S.: Ashley Ammon De Simone: 1-646-277-1227

In China: Wen Lei Zheng: 86-10-6583-7510

China Kanghui Holdings

Summary - Fourth Quarter And Year Ended December 31, 2010

(RMB in thousands, except for share, ADS, per share data and per ADS data)

	Three months ended December 31,								Year ended December 31,
	2010 Unaudited		2009 Unaudited			% chg			2010 Unaudited		2009 Unaudited			% chg
Net revenue		72,285		54,311			33.1	%		242,754		184,331			31.7	%
Gross profit		52,304		39,213			33.4	%		171,447		129,612			32.3	%
Non-GAAP Gross Profit		52,352		39,264			33.3	%		171,638		129,817			32.2	%
Operating Income		30,550		20,462			49.3	%		107,969		76,875			40.4	%
Non-GAAP Operating Income		31,211		23,053			35.4	%		115,964		87,183			33.0	%
EBITDA		32,848		26,771			22.7	%		118,057		95,835			23.2	%
Net income		27,529		16,813			63.7	%		99,707		74,967			33.0	%
Non-GAAP Net Income		28,190		19,404			45.3	%		107,702		85,275			26.3	%
Earning (Loss) per share - Basic		0.20		(0.13	)					0.30		(0.20	)
Earning (Loss) per ADS - Basic		1.21		(0.77	)					1.81		(1.22	)
Non-GAAP earning per share - Basic		0.21		(0.08	)					0.39		(0.02	)
Non-GAAP earning per ADS - Basic		1.24		(0.50	)					2.36		(0.14	)
Earning (Loss) per share-Diluted		0.18		(0.13	)					0.27		(0.20	)
Earning (Loss) per ADS - Diluted		1.10		(0.77	)					1.60		(1.22	)
Non-GAAP earning per share - Diluted		0.19		(0.08	)					0.35		(0.02	)
Non-GAAP earning per ADS - Diluted		1.12		(0.50	)					2.08		(0.14	)
Revenue By Segment:
- By Product
Trauma		43,747		35,661			22.7	%		154,220		113,380			36.0	%
Spine		22,236		13,126			69.4	%		68,210		50,056			36.3	%
OEM		6,302		5,524			14.1	%		20,324		20,895			(2.7	%)
- By Business Segment
Domestic		55,168		41,007			34.5	%		182,528		140,916			29.5	%
International		10,815		7,780			39.0	%		39,902		22,520			77.2	%
OEM		6,302		5,524			14.1	%		20,324		20,895			(2.7	%)

* Each of the Company’s American Depositary Shares, which are traded on New York Stock Exchange, represents six of the Company’s ordinary shares.

China Kanghui Holdings

Consolidated Balance Sheets

Expressed in thousands

	As of December 31, 2010				As of December 31, 2009
	Unaudited		Unaudited		Audited
	RMB		US$		RMB
Assets
Current assets:
Cash and cash equivalents		262,476		39,769		122,567
Bills receivable		8,163		1,237		4,666
Short-term investments		266,673		40,405		27,044
Accounts receivable, net		55,131		8,353		43,202
Inventories, net		86,266		13,071		75,674
Prepayments and other current assets		11,693		1,772		9,912
Deferred tax assets		12,134		1,838		8,356
Amount due from related parties		644		97		20,468
Total current assets		703,180		106,542		311,889
Non-current assets:
Property, plant and equipment, net		107,237		16,248		72,487
Intangible assets, net		46,995		7,121		50,588
Prepaid land lease payments		23,298		3,530		2,371
Goodwill		131,527		19,928		130,985
Deposits for non-current assets		37,507		5,683		21,799
Deferred tax assets		2,436		369		2,670
Total non-current assets		349,000		52,879		280,900
Total assets		1,052,180		159,421		592,789
Liabilities and shareholders’ equity
Current liabilities:
Accounts payable		15,086		2,286		10,665
Accrued expenses and other liabilities		47,433		7,187		39,727
Income tax payable		2,830		429		3,026
Deferred revenue		289		44		425
Uncertain tax positions		8,004		1,213		13,145
Amount due to related parties		4,040		612		38,960
Total current liabilities		77,682		11,771		105,948
Non-current liabilities:
Deferred government grants		5,511		835		7,832
Deferred tax liabilities		11,700		1,773		12,225
Total non-current liabilities		17,211		2,608		20,057
Total liabilities		94,893		14,379		126,005
Commitments and contingencies

China Kanghui Holdings

Consolidated Balance Sheets

Expressed in thousands

	As of December 31, 2010						As of December 31, 2009
	Unaudited			Unaudited			Audited
	RMB			US$			RMB
Mezzanine equity:
Series A redeemable convertible preferred shares (par value of US$0.001 per share; 13,173,160 shares authorized, issued and outstanding as of December 31, 2009 and nil issued and outstanding as of December 31, 2010 (unaudited))		—			—			71,198
Series B redeemable convertible preferred shares (par value of US$0.001 per share; 26,061,610 shares authorized, issued and outstanding as of December 31, 2009 and nil issued and outstanding as of December 31, 2010 (unaudited))		—			—			318,262
Series B-1 redeemable convertible preferred shares (par value of US$0.001 per share; 1,824,930 shares authorized, issued and outstanding as of December 31, 2009 and nil issued and outstanding as of December 31, 2010 (unaudited))		—			—			15,921
Total mezzanine equity		—			—			405,381
Shareholders’ equity:
Ordinary shares (par value of US$0.001 per share; 958,940,300 shares authorized as of December 31, 2009 and December 31, 2010 (unaudited); 57,714,400 shares issued and outstanding as of December 31, 2009 and 136,821,600 shares issued and outstanding as of December 31, 2010 (unaudited))		999			151			462
Additional paid-in capital		892,298			135,196			28,053
Accumulated other comprehensive loss		(16,737	)		(2,536	)		(13,536	)
Statutory reserves		31,247			4,734			20,782
Retained earnings		49,480			7,497			25,642
Total shareholders’ equity		957,287			145,042			61,403
Total liabilities, mezzanine equity and shareholders’ equity		1,052,180			159,421			592,789

China Kanghui Holdings

Consolidated Statements of Operations

Expressed in thousands, except share and per share data

	Three months ended December 31,									Year ended December 31,
	2010						2009			2010						2009
	RMB Unaudited			US$ Unaudited			RMB Unaudited			RMB Unaudited			US$ Unaudited			RMB Audited
Net revenue		72,285			10,952			54,311			242,754			36,781			184,331
Cost of revenue		(19,981	)		(3,027	)		(15,098	)		(71,307	)		(10,804	)		(54,719	)
Gross profit		52,304			7,925			39,213			171,447			25,977			129,612
Operating expenses:
Selling expenses		(11,273	)		(1,708	)		(9,194	)		(28,230	)		(4,277	)		(23,246	)
General and administrative expenses		(8,756	)		(1,327	)		(7,202	)		(29,765	)		(4,510	)		(25,615	)
Research and development costs		(1,725	)		(261	)		(2,355	)		(5,483	)		(831	)		(3,876	)
Operating income		30,550			4,629			20,462			107,969			16,359			76,875
Interest income		1,058			160			332			2,915			442			974
Government grants		3,130			474			3,150			3,490			529			9,807
Other income		91			14			13			569			86			318
Other expenses		(422	)		(64	)		(79	)		(735	)		(112	)		(337	)
Foreign exchange loss		(4,259	)		(645	)		(86	)		(7,340	)		(1,112	)		(286	)
Income before income taxes		30,148			4,568			23,792			106,868			16,192			87,351
Income tax expense		(2,619	)		(397	)		(6,979	)		(7,161	)		(1,085	)		(12,384	)
Net income		27,529			4,171			16,813			99,707			15,107			74,967
Accretion of redeemable convertible preferred shares:
Series A		—			—			(2,896	)		(7,572	)		(1,147	)		(10,739	)
Series B		—			—			(20,300	)		(54,988	)		(8,332	)		(73,180	)
Series B-1		—			—			(1,049	)		(2,844	)		(431	)		(2,736	)
Earnings allocated to participating preferred shareholders		—			—			—			(7,582	)		(1,149	)		—
Net income (loss) attributable to ordinary shareholders		27,529			4,171			(7,432	)		26,721			4,048			(11,688	)
Earning (Loss) per share
Basic		0.20			0.03			(0.13	)		0.30			0.05			(0.20	)
Diluted		0.18			0.03			(0.13	)		0.27			0.04			(0.20	)
Shares used in earnings (loss) per share computation:
Basic		136,821,600			136,821,600			57,714,400			88,408,057			88,408,057			57,714,400
Diluted		150,615,232			150,615,232			57,714,400			100,346,612			100,346,612			57,714,400
Share-based compensation charges incurred during the period related to:
Cost of revenue		48			7			51			191			29			205
Selling expenses		107			16			116			455			69			414
General and administrative expenses		457			69			2,381			7,158			1,084			9,519
Research and development expenses		49			8			43			191			29			170
Total		661			100			2,591			7,995			1,211			10,308

China Kanghui Holdings

Reconciliations Of Non-GAAP Results To GAAP Results Of Operations Measures to the Nearest Comparable GAAP Measures

(RMB in thousands, except for share, ADS, per share data and per ADS data)

	Three months ended December 31,						Year ended December 31,
	2010 Unaudited			2009 Unaudited			2010 Unaudited			2009 Unaudited
Net revenue		72,285			54,311			242,754			184,331
Non-GAAP net income		28,190			19,404			107,702			85,275
Non-GAAP net margin		39.0	%		35.7	%		44.4	%		46.3	%
Share-based compensation		(661	)		(2,591	)		(7,995	)		(10,308	)
GAAP net income		27,529			16,813			99,707			74,967
GAAP net margin		38.1	%		31.0	%		41.1	%		40.7	%
Non GAAP earnings (loss) per share -Basic		0.21			(0.08	)		0.39			(0.02	)
Non GAAP earnings (loss) per share -Diluted		0.19			(0.08	)		0.35			(0.02	)
Non GAAP earnings (loss) per ADS -Basic		1.24			(0.50	)		2.36			(0.14	)
Non GAAP earnings (loss) per ADS -Diluted		1.12			(0.50	)		2.08			(0.14	)
GAAP earnings (loss) per share -Basic		0.20			(0.13	)		0.30			(0.20	)
GAAP earnings (loss) per share -Diluted		0.18			(0.13	)		0.27			(0.20	)
GAAP earnings (loss) per ADS -Basic		1.21			(0.77	)		1.81			(1.22	)
GAAP earnings (loss) per ADS -Diluted		1.10			(0.77	)		1.60			(1.22	)
Shares used in computation of:
Basic earnings (loss) per share		136,821,600			57,714,400			88,408,057			57,714,400
Diluted earnings (loss) per share		150,615,232			57,714,400			100,346,612			57,714,400
Basic earnings (loss) per ADS		22,803,600			9,619,067			14,734,676			9,619,067
Diluted earnings (loss) per ADS		25,102,539			9,619,067			16,724,435			9,619,067
Non-GAAP operating income		31,211			23,053			115,964			87,183
Non-GAAP operating margin		43.2	%		42.4	%		47.8	%		47.3	%
Share-based compensation		(661	)		(2,591	)		(7,995	)		(10,308	)
GAAP operating income		30,550			20,462			107,969			76,875
GAAP operating margin		42.3	%		37.7	%		44.5	%		41.7	%
Non-GAAP gross profit		52,352			39,264			171,638			129,817
Non-GAAP gross margin		72.4	%		72.3	%		70.7	%		70.4	%
Share-based compensation		(48	)		(51	)		(191	)		(205	)
GAAP gross profit		52,304			39,213			171,447			129,612
GAAP gross margin		72.4	%		72.2	%		70.6	%		70.3	%