Cash conversion remains highly erratic, evidenced by an OCF/NI ratio of 23.11x in 2024Q3 and a consistent failure to generate positive free cash flow.
| Cash from Operations | -1.69M | -1.78M | -593.73K | 2.01M | 888.84K |
| Operating CF Margin % | - | -10.77% | -3.7% | 11.13% | 4.14% |
| Operating CF Growth % | -181.77% | -200.05% | -129.57% | 125.94% | - |
| Net Income | -7.47M | -7.34M | 174.87K | 542.35K | 1.69M |
| Depreciation & Amortization | 869.63K | 689.09K | 427.32K | 507.57K | 96.47K |
| Stock-Based Compensation | 597K | 5.36M | 0 | 0 | 0 |
| Deferred Taxes | -108.82K | -187.11K | -195.11K | -27.61K | 409.83K |
| Other Non-Cash Items | 4.85M | 273.04K | 341.88K | 433.57K | 0 |
| Working Capital Changes | -430.43K | -575.5K | -1.34M | 552.34K | -1.31M |
| Change in Receivables | -558.29K | -289.66K | -243.29K | 646.63K | -1.27M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 316.2K | 483.69K | 66.95K | 261.4K | -114.08K |
| Cash from Investing | 1.04M | -5.86M | -1.21M | -1.09M | -65.38K |
| Capital Expenditures | -162.8K | -355.37K | -1.2M | -85.6K | -65.38K |
| CapEx % of Revenue | 0.97% | 2.15% | 7.51% | 0.47% | 0.3% |
| Acquisitions | 500K | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - |
| Other Investing | 700K | -5.5M | -8K | -1.01M | 0 |
| Cash from Financing | -253.01K | 8.28M | 907.36K | -205.87K | -518.55K |
| Debt Issued (Net) | -253.01K | -127.58K | 1.1M | 0 | -141.5K |
| Equity Issued (Net) | 0 | 8.46M | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | -377.05K |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 0 | -50K | -192.64K | -205.87K | 0 |
| Net Change in Cash | -903.67K | 644.78K | -898.36K | 711.12K | 304.92K |
| Free Cash Flow | -1.85M | -2.14M | -1.81M | 1.12M | 823.46K |
| FCF Margin % | -10.99% | -12.91% | -11.26% | 6.23% | 3.83% |
| FCF Growth % | 45.54% | -18.34% | -260.65% | 36.5% | - |
| FCF per Share | -0.09 | -0.12 | -0.12 | 0.07 | 0.07 |
| FCF Conversion (FCF/Net Income) | 0.25x | 0.24x | -3.40x | 3.70x | 0.53x |
| Interest Paid | 3.65K | 0 | 5.85K | 20.41K | 20.41K |
| Taxes Paid | 0 | 0 | 240K | 0 | 0 |
Liquidity and operational insolvency
As reported in financial statements, TOPP exhibits a chronic inability to convert net income into operating cash flow, with the OCF/NI ratio frequently oscillating into extreme territory, such as the 23.11x observed in 2024Q3, signaling that accounting losses are consistently compounded by actual cash outflows.
The recurring divergence between net income and operating cash flow suggests that the company's accrual-based losses are not merely paper adjustments but are reflective of underlying cash-burning operations. Investors should monitor this relationship closely, as the lack of a stable conversion ratio implies that the business model is fundamentally unable to generate self-sustaining cash flow from its core logistics activities.
According to recent quarterly filings, TOPP's free cash flow remains consistently negative, with FCF margins reaching as low as -41.4% in 2025Q1, indicating that the company is unable to fund its operations or capital requirements through internal cash generation alone.
The persistent negative FCF trajectory suggests that the company is trapped in a cycle of capital consumption that shows no signs of abating. This trend warrants further investigation into how the firm intends to bridge its funding gap, as the current cash burn rate appears unsustainable relative to the company's limited liquidity position.
Based on the provided cash flow data, working capital changes have been highly erratic, with a significant outflow of $732.1K in 2024Q3, suggesting that the company struggles to manage the timing of its receivables and payables effectively within its specialized recycling export supply chain.
The volatility in working capital movements appears to reflect the operational challenges of managing low-margin, high-liability freight. This inconsistency in cash management may indicate that the company is forced to absorb the costs of port-related delays or customer payment cycles, further straining its already limited cash reserves.
As noted in recent financial disclosures, the company's cash flow statement is heavily impacted by non-cash adjustments and acquisition activity, such as the $500K inflow from acquisitions in 2026Q1, which masks the underlying weakness of the core trucking operations.
The reliance on non-operating cash inflows to supplement the cash flow statement suggests that the core business is not generating sufficient liquidity to cover its own costs. Analysts should be wary of these one-time items, as they may be providing a temporary, artificial buffer that obscures the true extent of the company's operational cash burn.
Quick answers to the most common questions about buying TOPP stock.
Toppoint Holdings Inc. (TOPP) generated $-1.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Toppoint Holdings Inc. (TOPP) reported negative free cash flow of $2.1M in 2025, indicating capital requirements exceeded cash from operations.
Toppoint Holdings Inc. (TOPP) spent $0.4M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.