CEBU-BASED fuel retailer Top Line Business Development Corp. (Topline) expects to sustain growth ahead of its planned P900-million initial public offering (IPO).
“With our upcoming IPO, we are committed to driving sustained growth and supporting our operational expansion plans,” Topline Chairman, President, and Chief Executive Officer Eugene Erik C. Lim said in an e-mailed statement on Wednesday.
Mr. Lim said this as Topline grew its net income by 157% to P90.5 million in the first nine months of 2024 from P35.2 million in 2023. The company also breached its full-year 2023 net income of P78.2 million.
Nine-month gross revenue climbed by 12% to P2.44 billion from P2.17 billion in 2023.
The company sold about 50.8 million liters of liquid fuels in the first nine months of 2024, up by 19% from the estimated 42.7 million liters of liquid fuels sold in 2023.
“This has been driven by higher volume turnover, demonstrating the effectiveness of our strategic initiatives and our ability to adapt to market demands in the high-growth region of Central Visayas,” Topline First Vice-President and Chief Financial Officer Constance Marie C. Lim said.
He said the company has benefited from its focus on catering to the underserved markets in Central Visayas.
“In view of the competitive market environment with fluctuating fuel prices, Topline has established a carefully calibrated pricing strategy balancing both affordability and value to maintain and further expand our customer base,” Mr. Lim said.
“Our appetite for growth and expansion will continue as we seek to sustain this momentum to further generate value for our customers, employees, and stakeholders,” he added.
On Jan. 22, Topline lowered the size of its planned IPO to around P900 million from the previous P3.16 billion following talks with potential institutional investors.
The company added that it is aiming to be listed on the local bourse by the second quarter of this year after the changes to the IPO.
Topline’s IPO now consists of up to 2.15 billion primary common shares with an overallotment option of up to 214.84 million secondary shares, priced at up to 38 centavos. Its public float will be around 22% assuming the full exercise of the overallotment option.
Topline has business interests in commercial fuel trading, depot operations, and retail fuel in the Visayas region.
The company has two subsidiaries, namely Topline Logistics and Development Corp., envisioned to engage in the importation, trading, distribution, and marketing of petroleum-based products, and Light Fuels Corp., involved in the fuel retail business. — Revin Mikhael D. Ochave
