By Victoria “NIKE” De Dios
Harping on its stellar performance and historic milestone of 33% YOY growth to ₱2.8 billion in 2023, and H1 2024 revenue’s 15% year-on-year growth position, Cebu-based fuel retailer Top Line Business Development Corp. gears up for expansion and has filed a registration statement and listing application with the Securities and Exchange Commission and the Philippine Stock Exchange, Inc., respectively, to its planned initial public offering (IPO).
Pending the formal approval, Top Line will make its initial public offering of 3,683,100,000 primary common shares with an overallotment option of up to 368,310,000 secondary common shares. The indicative offer price is up to PhP0.78 per share subject to a bookbuilding process.
The tentative offer period will be from 9:00 a.m. on October 28, 2024, to 5:00 p.m. on November 5, 2024.
“With our accelerating growth in recent years in the fuel sector of the Visayas region, we are poised for the company’s historic milestone of listing on the PSE,” Erik Lim, Top Line’s Chairman, President and CEO, said.
Top Line’s first half gross revenues in 2024 accelerated by 15% at PhP1.56 billion compared to the same period last year at ₱1.36 billion. Its first half net income has also surged by 190% year-on-year at ₱60.6 million from ₱20.8 million.
“Earnings from our commercial fuel trading boosted our sales in the first half with robust fuel demand in Metro Cebu and Cebu Province,” Lim added.
Top Line’s commercial fuel trading operations caters to customers with requirements of at least 4,000 liters per order in transportation, construction, shipping, and mining, among others.
In terms of retail fuel under the Light Fuels brand, two new Light Fuels service stations are expected to open this month which will bring the Company’s total operating retail fuel stations to three.
“We are still set to meet our target of 10 operating service stations this year. Our expansion in the retail fuel market will further support our vertical integration plans, supporting Top Line’s continued growth,” Lim said.
The Company is currently constructing five more Light Fuels service stations and two Light Fuels Express stations in Metro Cebu and Cebu Province. The Light Fuels Express stations are meant to meet the needs of motorcycle riders and other lighter vehicles which are growing rapidly in terms of vehicle type usage in Metro Cebu.
