Business Overview Financial Summary
MOS House is a retailer and supplier of foreign-made tiles in Hong Kong. It sells high-end European imported quartz, ceramic and mosaic tiles. The group's operations are heavily dependent on Hong Kong's foreign-made tile retail business, followed by sanitary ware retail business. In addition to retail sales, the Group also supplies tile products for large-scale property development projects and commercial and residential property renovation projects in Hong Kong and Macau, and sells tiles and sanitary ware to Chinese distributors on a project basis. The Group does not participate in the production process of Group products. On September 18, 2018, the Group had a total of 18 retail stores, all strategically located in prime locations suitable for retail home repair, remodeling and refurbishment materials in Hong Kong.
Competitive advantage
The Group is the market leader in the foreign tile retail industry in Hong Kong
The Group is a trend indicator for the foreign tile retail industry, provides product combinations of various brands, and has an excellent track record of successful brands and product management
The group has an extensive retail network in a prime location, and is backed by sufficient inventory supply
Risk Factors
The group's business and operating performance are susceptible to fluctuations in the market price and demand of tiles
A group's success is determined by the group's ability to respond to changes in consumer preferences, perceptions, or consumption patterns
The group is affected by the level of demand in the real estate development industry
Use of proceeds
Approximately 25.6% was used to expand the Group's retail network in Hong Kong
Approximately 42.5% was used to obtain exclusive distribution rights from famous European tile manufacturers
Approximately 31.3% were used as suitable strategic acquisition opportunities
Approximately 0.6% is used as general working capital