Toppoint (TOPP) Registration Filing summary

Company overview and business model

• Provides truckload services focused on the recycling export supply chain, with a leading market share in waste paper export drayage in New Jersey and Pennsylvania ports.

• Diversifies offerings to include scrap metal, wood products, and import container deliveries, serving over 280 recycling centers and commodity traders at nearly 2,300 locations.

• Operates a scalable brokerage model, supporting drivers to become owner-operators and expanding fleet capacity through exclusive agreements.

• Utilizes proprietary analytics and telematics systems for real-time shipment visibility and operational efficiency.

• Maintains a fully remote, globally distributed team and emphasizes a culture of support for drivers and owner-operators.

Financial performance and metrics

• 2023 revenue was $18.0M, down 16% from $21.5M in 2022, primarily due to a decline in waste paper export volumes.

• Net income for 2023 was $542K, a 68% decrease from $1.69M in 2022; gross profit margin fell from 23% to 15%.

• For the six months ended June 30, 2024, revenue was $8.4M (down 14% YoY), with net income of $255K (down 22% YoY).

• Cash as of June 30, 2024 was $1.02M; total assets were $5.0M and total liabilities $2.4M.

• The company has primarily funded operations through positive cash flows, with no significant acquisitions to date.

Use of proceeds and capital allocation

• 60% of net proceeds will fund geographic expansion, including new locations and potential acquisitions.

• 20% allocated to physical and IT infrastructure upgrades.

• 10% for expanding the sales team and marketing efforts.

• 10% for general working capital and other corporate purposes.