Tango Health and Beauty Limited (‘Tango’) is a market leader in Hong Kong’s health and beauty industry. We are a public listed company in Hong Kong and provides a range of beauty and health services and products in Hong Kong, Mainland China and Singapore.
Services and products provided by Tango include (2012-13 data):
a) Beauty & Facial: Contributing 71% of operating profits.
b) Spa & Massage: Contributing 11% of operating profits.
c) Slimming & Fitness*: Break even.
d) Retail Products: Contributing 18% of operating profits.
*Slimming and fitness division will be closed down in Singapore and Hong Kong as a result of a shift in consumer preference. However, this division will be set up in Malaysia (new market) while remain operating in Mainland China due to high demand and potential profitability. On one hand, Tango will shift its equipment, fixtures and fittings from Hong Kong’s Slimming & Fitness division to Mainland China while Singapore to Malaysia.
This report provides an analysis and evaluation of the current and prospective operational situation, profitability, liquidity and financial stability of Tango. Besides, this report will provides a concise plan to expand its existing businesses to Malaysia.
Outlook and Strategies
Hong Kong and Singapore
In 2013, the size of the beauty and health industry in Hong Kong was estimated at US$1.9 billion and is expected to increase by 12% in 2014. Similarly, the industry is worth US$400 million in Singapore and is expected to increase in the future. Among the biggest growth stories in the industry is men’s grooming and Tango is going to adopt a market development approach to satisfy the demand. Our strategy is to offer products and services such as but not limited to men shaving, hair care and skin care. In alignment to the strategy, Tango will expand the capacities of our two types of existing service centers by increasing the number of outlets and equipment in both countries.