Data hiding is a technique for embedding secret data into cover media. It is important to multimedia security and has been widely studied. Reversible data hiding methods are becoming prevalent in the area because they can reconstruct the original cover image while extracting the embedded data. In this paper, we propose a new reversible method for vector quantization (VQ) compressed images. Our method takes advantages of the relationship among the side match neighbouring (SMN) blocks to achieve reversibility. The experimental results show that the proposed method has higher compression rate and larger capacity than other existing reversible methods.