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Cactus Truck Parts (CTP)

Updated
2026-06-07

Cactus Truck Parts, Inc. — the group's used-parts yard. When an auction truck turns out to be a bad buy, this company tears it down and sells the parts: to the group's own rebuild shops, and to the public at cactustruckparts.com.

🎯 Headline metrics

Metric Target Actual Variance As-of
Listing velocity (parts listed/week) 🔴 🔴 — —
Inventory turns 🔴 🔴 — —
Bad-buy recoup % (parts revenue / acquisition) 🔴 🔴 — —
Internal supply rate (Cactus Truck Parts → Superior Equipment + Cactus Truck Rebuilder, $/mo) 🔴 🔴 — —

1. Ambition

Be the safety valve and used-parts engine for the HD-rebuild ecosystem — convert rebuild-ecosystem failures (bad-buy trucks at Superior Truck & Equipment) into recoverable revenue, supply Superior Equipment and Cactus Truck Rebuilder with used parts at lower-than-new cost, and run a profitable retail storefront for the long tail of HD truck parts.

2. Where to Play

Three customer paths:

  1. Internal supply — Superior Equipment + Cactus Truck Rebuilder buying used parts for builds (arm's-length B2B)
  2. B2B retail — repeat repair shops nationwide via cactustruckparts.com
  3. Walk-in retail — local Phoenix-area shops and fleet operators

Named benchmarks per WSO audit: Vander Haag's and 4 State Trucks (industry leaders for ecom storefront density).

3. How to Win

Cactus Truck Parts's win condition is the circular economy: Superior Truck & Equipment's bad-buys flow to Cactus Truck Parts, Cactus Truck Parts's teardown output flows back to Superior Equipment + Cactus Truck Rebuilder rebuilds, finished rebuilds exit through Superior Truck & Equipment. Within the family, Cactus Truck Parts gets cheaper feedstock than open market; in the broader market, Cactus Truck Parts can price aggressively because the inventory has internal demand as a floor.

Two trade directions

1. Bad-buy teardown — Superior Truck & Equipment auction buy turns out not worth rebuilding → Cactus Truck Parts buys it from Superior Truck & Equipment → disassembles, photographs, lists, sells parts. Goal: parts revenue recoups Superior Truck & Equipment's bad-buy cost.

1b. Intentional-buy teardown — Cactus Truck Parts flags trucks at auction where "parts > whole" → Superior Truck & Equipment buys → hands to Cactus Truck Parts for teardown. Arbitrage of pricing inefficiencies.

2. Used-parts feedstock — supplies Superior Equipment and Cactus Truck Rebuilder with hoods, cabs, transmissions, doors, mirrors, engines, used water tanks, differentials, walking-beam suspensions, and the long-tail.

3. General retail — storefront on cactustruckparts.com sells to repeat B2B repair shops and walk-ins.

4. How Money Flows

  • Revenue: parts sales — bulk (Superior Equipment, Cactus Truck Rebuilder) + B2B retail + walk-in
  • Cost: truck acquisitions from Superior Truck & Equipment for teardown + teardown labor + storage/photography + listing infrastructure
  • Margin lever: listing velocity × per-part margin

5. Pro Forma — Three-Statement Projection

Assumptions block

  • 🔴 Trucks acquired from Superior Truck & Equipment per month — GAP
  • 🔴 Average acquisition cost per truck — GAP
  • 🔴 Average parts revenue per torn-down truck — GAP
  • 🔴 Teardown labor + processing cost per truck — GAP
  • 🔴 Internal-supply rate (Cactus Truck Parts → Superior Equipment + Cactus Truck Rebuilder) — GAP

Projected P&L (annual)

Line Amount Basis
Revenue (internal supply + B2B retail + walk-in) 🔴 needs volume + price
COGS (acquisitions + teardown + listing) 🔴 needs all four
Gross profit 🔴 derived
Storage / yard / web hosting overhead 🔴 needs overhead
Net operating income 🔴 derived

Projected balance sheet

🔴 GAP — listed-parts inventory value, yard equipment, payables.

Projected cash flow

🟡 Contributes to engine cash velocity by absorbing bad-buys and recycling capital.

🔴 Gap — The unlock

Bad-buy recoup % (parts revenue / acquisition cost) — the headline number that proves Cactus Truck Parts's safety-valve thesis.

6. Path to Delivery (Operating Plan — this year)

Priority initiatives

  1. 🟡 Hector Peck photo capture process at steady state — listing velocity gate
  2. 🔴 Bad-buy recoup tracking per torn-down truck
  3. 🟡 Mexico expansion ("CTP-MX") / Ritchie Bros conduit — warm contact (see group Initiatives)

KPIs & cadence

  • Parts listed per week
  • Inventory turns
  • Bad-buy recoup % per torn-down truck
  • Internal-supply rate
  • B2B retail order velocity

7. Risks

🟢 Confirmed — Operating risks

  • Bad-buy backlog — torn-down trucks awaiting listing tie up yard space and capital
  • Photo capture bottleneck — listing velocity gated by Hector's throughput
  • Inventory dead-load — % of listed parts that become unsellable
  • Internal-supply variability — Superior Equipment + Cactus Truck Rebuilder demand isn't a contracted floor

🔴 Gap — Quantified risk

Dead-load %, bad-buy backlog $ exposure, internal-supply concentration.

8. Gaps (punch-list for this entity)

🔴 Trucks acquired from Superior Truck & Equipment per month · 🔴 average acquisition cost · 🔴 parts revenue per truck · 🔴 teardown labor cost · 🔴 internal-supply rate · 🔴 bad-buy recoup % · 🔴 listing velocity baseline · 🔴 dead-load %.

Appendix · Operational reference

Why this works

  • Auction risk hedged. Bad buys aren't sunk costs; they're convertible inventory.
  • Rebuild costs go down. Superior Equipment and Cactus Truck Rebuilder pull used parts from Cactus Truck Parts at lower cost than new.
  • Storefront revenue runs on its own as third leg of the model.

Financial data

Figures render from the group's financial data layer; the bookkeeping-system wiring lives in the internal appendix (financial data pipeline).