$IQSTD -IQSTEL Reports Strong Preliminary Q1 2025 Results: Revenue Growth, Margin Expansion, and Strategic Progress Toward NASDAQ Uplisting
News provided by iQSTEL , May 06, 2025, 08:00 ET
NEW YORK, May 6, 2025 /PRNewswire/ -- IQSTEL Inc. (OTC: IQSTD), a global telecommunications and technology company, today announced its preliminary first quarter 2025 financial results, delivering strong double-digit growth in revenue and a 40% increase in gross profit, reflecting continued improvements toward achieving profitability. These results reinforce the company's commitment to long-term value creation through strategic initiatives, including its planned NASDAQ uplisting and acquisition-driven growth strategy.
The company has a successful track record of improving year over year across key operational financial metrics—including revenue, gross profit, EBITDA, assets, among others—while growing at a gigantic pace of 96% year-over-year. This performance demonstrates consistent execution and the scalability of its business model.
Preliminary Q1 2025 Financial Highlights
Net Revenue: $57.6 million, a 12% increase from $51.4 million in Q1 2024
Gross Profit: $1.93 million, a 40% increase from $1.38 million in Q1 2024
Gross Margin: Improved to 3.36%, a 25% increase from 2.68% in Q1 2024
Adjusted EBITDA (Telecom Division): $593,604
Q4 2024 Revenue Reference: $98.8 million, highlighting the company's strong momentum heading into 2025. Historically, IQSTEL's second-half performance has significantly outpaced the first half, reinforcing confidence in continued growth.
Strategic Path to NASDAQ Uplisting
The company recently executed a reverse stock split as a necessary technical step to meet NASDAQ Capital Market listing requirements. Management believes the uplisting initiative will significantly enhance IQSTEL's visibility, investor access, and long-term valuation potential.
The NASDAQ uplisting is positioned as a long-term value catalyst for IQSTEL. Comparable telecommunications and technology companies listed on NASDAQ and NYSE typically trade at revenue multiples starting at 1.0x, depending on factors such as growth outlook, profitability, market conditions, and industry subsector dynamics.
IQSTEL is currently trading at just 0.07x revenue, highlighting a significant disconnect from typical market benchmarks and signaling a compelling revaluation opportunity as the company continues to scale.
Internal analysis shows that telecom and tech companies with annual revenues exceeding $1 billion generally achieve market capitalizations over $1 billion, except in cases involving financial distress, stagnant growth, or temporary market corrections.
This insight strongly reinforces the company's decision to uplist to NASDAQ. Management believes IQSTEL deserves to be measured on the same basis as its industry peers—particularly as it remains on track to achieve its $1 billion revenue target. Even under conservative assumptions, such a shift in valuation approach could lead to a transformational improvement in shareholder value.
The Real Value of Our Business Platform
IQSTEL's business platform is the result of years of sustained effort, technological development, and commercial trust-building. Establishing this platform required securing interconnection agreements with the largest telecommunications networks worldwide—a process that is highly complex, resource-intensive, and not easily replicated.
Once these technical interconnections are in place, the real value emerges through the cultivation of strong, long-term business relationships. IQSTEL has successfully built a global network of trusted customers and vendors, exchanging hundreds of millions of dollars annually. This level of commercial reliability and mutual trust has created a resilient and strategically valuable operating ecosystem.
Maintaining and growing this platform demands:
Robust technological infrastructure
A highly skilled telecom and engineering team
Deep industry knowledge and consistent execution over time
As a result, IQSTEL has built a stable and scalable business model. With the platform firmly in place, the company is now leveraging it to offer high-tech, high-margin products—including AI-powered tools, fintech services, and cybersecurity solutions—through its existing global customer base.
Once IQSTEL becomes a NASDAQ-listed company, it will enter a new strategic tier. The company will be positioned not only for greater investor visibility and valuation efficiency, but also as a potential acquisition target for larger technology firms seeking immediate access to a global business platform and long-standing commercial relationships—assets that would otherwise take years and significant capital to replicate.
Executive Commentary
"We are very pleased with our Q1 performance. Our business platform continues to demonstrate robust revenue generation, along with steady improvements toward profitability," said Leandro Iglesias, CEO of IQSTEL. "The consistent growth in gross profit and margin reflects our commitment to enhancing the quality of our operations and reinforcing a solid foundation for scalable, high-margin expansion."
A Vision for Scalable Growth
IQSTEL remains focused on executing its strategic roadmap to reach $1 billion in annual revenue by 2027. With a diversified portfolio spanning telecom, AI, fintech, and cybersecurity, operations in over 20 countries, and a team of 100 highly motivated and committed professionals, the company is strongly positioned to scale both revenue and improvements toward profitability in the years ahead.
News provided by iQSTEL , May 06, 2025, 08:00 ET
NEW YORK, May 6, 2025 /PRNewswire/ -- IQSTEL Inc. (OTC: IQSTD), a global telecommunications and technology company, today announced its preliminary first quarter 2025 financial results, delivering strong double-digit growth in revenue and a 40% increase in gross profit, reflecting continued improvements toward achieving profitability. These results reinforce the company's commitment to long-term value creation through strategic initiatives, including its planned NASDAQ uplisting and acquisition-driven growth strategy.
The company has a successful track record of improving year over year across key operational financial metrics—including revenue, gross profit, EBITDA, assets, among others—while growing at a gigantic pace of 96% year-over-year. This performance demonstrates consistent execution and the scalability of its business model.
Preliminary Q1 2025 Financial Highlights
Net Revenue: $57.6 million, a 12% increase from $51.4 million in Q1 2024
Gross Profit: $1.93 million, a 40% increase from $1.38 million in Q1 2024
Gross Margin: Improved to 3.36%, a 25% increase from 2.68% in Q1 2024
Adjusted EBITDA (Telecom Division): $593,604
Q4 2024 Revenue Reference: $98.8 million, highlighting the company's strong momentum heading into 2025. Historically, IQSTEL's second-half performance has significantly outpaced the first half, reinforcing confidence in continued growth.
Strategic Path to NASDAQ Uplisting
The company recently executed a reverse stock split as a necessary technical step to meet NASDAQ Capital Market listing requirements. Management believes the uplisting initiative will significantly enhance IQSTEL's visibility, investor access, and long-term valuation potential.
The NASDAQ uplisting is positioned as a long-term value catalyst for IQSTEL. Comparable telecommunications and technology companies listed on NASDAQ and NYSE typically trade at revenue multiples starting at 1.0x, depending on factors such as growth outlook, profitability, market conditions, and industry subsector dynamics.
IQSTEL is currently trading at just 0.07x revenue, highlighting a significant disconnect from typical market benchmarks and signaling a compelling revaluation opportunity as the company continues to scale.
Internal analysis shows that telecom and tech companies with annual revenues exceeding $1 billion generally achieve market capitalizations over $1 billion, except in cases involving financial distress, stagnant growth, or temporary market corrections.
This insight strongly reinforces the company's decision to uplist to NASDAQ. Management believes IQSTEL deserves to be measured on the same basis as its industry peers—particularly as it remains on track to achieve its $1 billion revenue target. Even under conservative assumptions, such a shift in valuation approach could lead to a transformational improvement in shareholder value.
The Real Value of Our Business Platform
IQSTEL's business platform is the result of years of sustained effort, technological development, and commercial trust-building. Establishing this platform required securing interconnection agreements with the largest telecommunications networks worldwide—a process that is highly complex, resource-intensive, and not easily replicated.
Once these technical interconnections are in place, the real value emerges through the cultivation of strong, long-term business relationships. IQSTEL has successfully built a global network of trusted customers and vendors, exchanging hundreds of millions of dollars annually. This level of commercial reliability and mutual trust has created a resilient and strategically valuable operating ecosystem.
Maintaining and growing this platform demands:
Robust technological infrastructure
A highly skilled telecom and engineering team
Deep industry knowledge and consistent execution over time
As a result, IQSTEL has built a stable and scalable business model. With the platform firmly in place, the company is now leveraging it to offer high-tech, high-margin products—including AI-powered tools, fintech services, and cybersecurity solutions—through its existing global customer base.
Once IQSTEL becomes a NASDAQ-listed company, it will enter a new strategic tier. The company will be positioned not only for greater investor visibility and valuation efficiency, but also as a potential acquisition target for larger technology firms seeking immediate access to a global business platform and long-standing commercial relationships—assets that would otherwise take years and significant capital to replicate.
Executive Commentary
"We are very pleased with our Q1 performance. Our business platform continues to demonstrate robust revenue generation, along with steady improvements toward profitability," said Leandro Iglesias, CEO of IQSTEL. "The consistent growth in gross profit and margin reflects our commitment to enhancing the quality of our operations and reinforcing a solid foundation for scalable, high-margin expansion."
A Vision for Scalable Growth
IQSTEL remains focused on executing its strategic roadmap to reach $1 billion in annual revenue by 2027. With a diversified portfolio spanning telecom, AI, fintech, and cybersecurity, operations in over 20 countries, and a team of 100 highly motivated and committed professionals, the company is strongly positioned to scale both revenue and improvements toward profitability in the years ahead.
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1️⃣I do not provide personal investment advice and I am not a qualified licensed investment advisor. I am an amateur investor.
2️⃣All information found here, including any ideas, opinions, views, predictions, forecasts, commentaries, suggestions, or stock picks, expressed or implied herein, are for informational, entertainment or educational purposes only and should not be construed as personal investment advice. While the information provided is believed to be accurate, it may include errors or inaccuracies.
3️⃣I will not and cannot be held liable for any actions you take as a result of anything you read here.
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4️⃣Not Financial Advice. What I post is my opinion.
Also Paid for Advertising/IR/PR on Emerging Companies
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