Top Line optimistic to drive growth in 2025

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CEBU-BASED fuel retailer Top Line Business Development Corp. is riding on the momentum it had for growth next year as it tries to complete the regulatory process for its planned initial public offering (IPO) next year.

“We are hoping to ride on our momentum for growth for 2025, same with the past several years,” Top Line President and CEO Erik Lim told The Manila Times last week.

According to its financial statement from its preliminary prospectus filed to the stock exchange, Top Line recorded a 191.3-percent spike in net income for the first half of 2024, to P60.5 million compared to P20.8 million recorded last year.

The surge in net income was attributed to the increase in volume sales for the period, better gross margin and the rental income from its subsidiary Pier88.

Revenues reached P204.5 million, or 15 percent higher compared to last year, outperforming all other comparable periods in the past.

Its gross margin rose to 8.6 percent for the period compared to 7.1 percent in 2023.

In November, Top Line deferred its supposed IPO for this month to the first quarter of next year to give potential institutional investors ample time to do their due diligence.

“Top Line will share the official announcement once we’ve completed the regulatory processes for our IPO,” Lim said.

“We’re working closely with our underwriters to make sure everything is in place, and we’ll keep everyone updated along the way,” he concluded.

Top Line aims to raise up to P2.75 billion for the issuance of some 3.68 billion primary shares, with up to 368.31 million overallotment option shares, priced at up to P0.78 apiece.

It plans to use the proceeds to build fuel depots in Mactan, Cebu, and in Bohol, purchase fuel tankers and tank trucks, and construct additional light fuel service stations, which is expected to be operational by that year or by 2026.

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