$IQST - IQSTEL Reports $57.6M Q1 Revenue in First NASDAQ

New Post Public Reply Private Reply Replies (1) Message Board
Lee Adams
218
$IQST - IQSTEL Reports $57.6M Q1 Revenue in First NASDAQ Shareholder Letter, Reaffirms Path to $1 Billion by 2027 as Global Tech Evolution Accelerates

NEW YORK, May 15, 2025 /PRNewswire/ -- IQSTEL Inc. (NASDAQ: IQST), a multinational telecommunications and technology company, today released its Q1 2025 Shareholder Letter—its first since being uplisted to the NASDAQ Capital Market.

In the letter, CEO Leandro Iglesias details the company's performance, strategic vision, and transformation into a high-tech multinational on course to reach $1 billion in annual revenue by 2027.

Highlights from the Q1 2025 Shareholder Letter:

$57.6 million in revenue, up 12% YoY
$0.59 million in Adjusted EBITDA (Telecom Division)
$0.25 million in Net Income (Telecom Division)
$1.93 million in Gross Profit, up 40% YoY
3.36% Gross Margin, up 25% from 2.68% in Q1 2024
$11.6 million in Stockholders' Equity or $4.38 per common share
$13.4 million revenue between subsidiary synergies
QXTEL contributed 37% of total revenue, leading international growth
Strategic goal to reach a $400M run rate by year-end, with 20% from tech services
The full financial details are available in the company's Form 10-Q, filed today with the SEC.

Shareholder Letter – May 15, 2025

Dear Shareholders,

It is with great pride that I share IQSTEL's Q1 2025 financial results—our first earnings release as a NASDAQ-listed company. This marks a pivotal milestone in our journey: a strategic evolution from a global telecommunications company into a scalable, high-tech corporation positioned for long-term value creation.

On May 14, 2025, IQSTEL began trading on the NASDAQ Capital Market under the ticker symbol IQST, following seven years of consistent performance and growth on the OTC Markets. This uplisting opens a new chapter in our story and places IQSTEL on a global stage with enhanced credibility, visibility, and access to institutional capital.

A Track Record of Delivering on Our Promises

Over the past seven years, IQSTEL has consistently delivered on every major commitment to our shareholders:

Sustained Revenue Growth: From $13.8 million in 2018 to $283 million in 2024, consistently meeting or exceeding annual forecasts.
Robust Corporate Governance: Fully established Audit, Compensation, and Ethics Committees; an independent Board of Directors; and annual shareholder meetings supporting transparency and accountability.
NASDAQ Uplisting Achieved: Successfully advanced from Pink to QB to OTCQX, culminating in a NASDAQ listing in 2025—with no capital raise or shareholder dilution.
Enhanced Shareholder Value: Revenue Per Share now exceeds $100, reflecting disciplined growth and execution.
Balance Sheet Transformation: Met NASDAQ's stockholders' equity requirement without raising new capital, demonstrating financial strength and operational efficiency.
Equity Growth: IQSTEL's net stockholders' equity improved from ($1.6 million) or -$0.11 per share in 2018 to $11.6 million or $4.38 per common share as of March 31, 2025—a powerful indicator of the value we've created over time.
Q1 2025: Financial Highlights That Reflect a Solid Foundation

Revenue: $57.6 million (up 12% YoY from $51.4M)
Gross Profit: $1.93 million (up 40% YoY)
Gross Margin: 3.36% (up 2.68% YOY)
Adjusted EBITDA (Telecom Division): $0.59 million
Net Income (Telecom Division): $0.25 million
Stockholders' Equity: $11.6 million or $4.38 per common share
Subsidiary Synergies: $13.4 million revenue between Company subsidiaries
QXTEL Contribution: 37% of revenue, leading in Europe, Middle East & Caribbean
Q4 2024 Revenue Reference: $98.9M, highlighting strong momentum
IQSTEL's Q1 performance demonstrates the strength of our Telecom Division, which represents over 99% of our revenue. Through our roll-up strategy, we are actively integrating our subsidiaries to extract maximum efficiency, scale, and profitability. QXTEL, our international flagship, continues to lead this charge.

In 2024, we also achieved nearly $100 million in organic growth—a testament to customer trust. We believe our new NASDAQ status will further catalyze commercial growth and new opportunities.

Building a Scalable, High-Tech Growth Engine

IQSTEL's business has now reached critical mass in terms of infrastructure, scale, and market presence. With over 100 employees operating across more than 20 countries, and 600+ business relationships involving direct network interconnections, we have built a platform that is both robust and difficult to replicate.

This unique foundation—built over years of execution and trust—positions us to introduce and scale high-margin, high-tech services including:

High Tech Telecom Solutions: eSIM, roaming, and cloud numbering
Fintech Services: digital payments and mobile banking
AI Telecom Services: automation, customer support, lead generation
Cybersecurity Services: enterprise-grade telecom infrastructure protection
Our integration into the networks and operations of top-tier global telecom carriers allows us to rapidly scale new offerings with minimal incremental cost, meaning every new dollar of revenue has a direct and amplified impact on EBITDA.

FY-2025 Financial and Operational Objectives

IQSTEL's 2025 roadmap is focused on profitable growth, operational scale, and long-term value creation:

FY-2025 TargetsRevenue: $340 millionAdjusted EBITDA (Operating Subsidiaries): $3 million+Net Income (Operating Subsidiaries): 7-digitRevenue Run Rate Mix Goal: 80% Telecom / 20% TechYear-End Run Rate: $400 million, with 20% from tech services
Strategic AcquisitionsActively pursuing acquisitions in telecom, fintech, and cybersecurityFocused on targets that contribute positive EBITDA and align with our long-term strategic vision
What Shareholders and Investors Can Expect as a NASDAQ-Listed Company

With our successful uplisting to the NASDAQ Capital Market, IQSTEL has entered a new era—one that is expected to accelerate growth, elevate our valuation, and unlock new channels for long-term value creation. Here's what shareholders and investors can anticipate:

Greater Global Visibility and LiquidityBeing listed on NASDAQ positions IQSTEL directly in front of institutional investors and global funds that were previously restricted from investing in OTC-listed or sub-$3 stocks.Enhanced visibility is expected to broaden our shareholder base, increase daily trading volume, and strengthen investor confidence across both U.S. and international markets.
Expanded Institutional AccessNASDAQ uplisting unlocks access to trading platforms and institutional funds in the UK and EU, many of which previously restricted OTC stocks.Thousands of customers, vendors, and partners who already know and trust IQSTEL can now invest with ease through compliant international platforms.
Strengthened Shareholder StructureIQSTEL maintains a disciplined capital structure with fewer than 3 million shares outstanding.All convertible instruments mature in Q1 2026, eliminating short-term dilution risk and preserving long-term shareholder value.
Accelerated Commercial GrowthNASDAQ status enhances our reputation with enterprise clients and global partners—many of whom are listed corporations themselves.This credibility is already opening doors to larger contracts, strategic partnerships, and expanded customer relationships.
Improved Acquisition CapabilitiesAs a listed company with strong fundamentals and a clean share structure, IQSTEL is now better positioned to pursue accretive acquisitions.Our equity can be used as effective deal currency for telecom, fintech, and AI targets with positive EBITDA—without unnecessary dilution.
Valuation RecalibrationIQSTEL is currently trading at just ~0.10x 2024 revenue, while peer companies on NASDAQ typically trade at 1.0x or higher—even without profitability.Our scalable business model, strong balance sheet, and growing adjusted EBITDA create the foundation for a potential revaluation in line with industry benchmarks.
Execution Toward $1 Billion VisionIQSTEL has a clear roadmap to scale its operations and profitability, targeting $1 billion in revenue by 2027.We are building a high-tech global company powered by strong fundamentals, global infrastructure, and a seasoned leadership team.
Looking Ahead

We believe our business is positioned to deliver increasing EBITDA, high-margin revenue, and stronger shareholder value—starting now.

To our 20,000+ shareholders, thank you for your belief and continued support.

We are executing on every promise—and the best is yet to come.

Sincerely,

Leandro Iglesias
President & CEO
IQSTEL Inc. (NASDAQ: IQST)

About IQSTEL Inc.

IQSTEL Inc. (NASDAQ: IQST) is a multinational technology company providing advanced solutions across Telecom, High-Tech Telecom Services, Fintech, AI-Powered Telecom Platforms, and Cybersecurity. With operations in 21 countries and a team of 100 employees, IQSTEL serves a broad global customer base with high-value, high-margin services. Backed by a strong and scalable business platform, the company is forecasting $340 million in revenue for FY-2025, reinforcing its trajectory toward becoming a $1 billion tech-driven enterprise by 2027.

Use of Non-GAAP Financial Measures: The Company uses certain financial calculations such as Adjusted EBITDA, Return on Assets and Return on Equity as factors in the measurement and evaluation of the Company's operating performance and period-over-period growth. The Company derives these financial calculations on the basis of methodologies other than generally accepted accounting principles ("GAAP" , primarily by excluding from a comparable GAAP measure certain items the Company does not consider to be representative of its actual operating performance. These financial calculations are "non-GAAP financial measures" as defined under the SEC rules. The Company uses these non-GAAP financial measures in operating its business because management believes they are less susceptible to variances in actual operating performance that can result from the excluded items, other infrequent charges and currency fluctuations. The Company presents these financial measures to investors because management believes they are useful to investors in evaluating the primary factors that drive the Company's core operating performance and provide greater transparency into the Company's results of operations. However, items that are excluded and other adjustments and assumptions that are made in calculating these non-GAAP financial measures are significant components in understanding and assessing the Company's financial performance. These non-GAAP financial measures should be evaluated in conjunction with, and are not a substitute for, the Company's GAAP financial measures. Further, because these non-GAAP financial measures are not determined in accordance with GAAP, and are thus susceptible to varying calculations, the non-GAAP financial measures, as presented, may not be comparable to other similarly-titled measures of other companies.

Adjusted EBITDA is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity. It is presented here not as an alternative to net income, but rather as a measure of the Company's operating performance. Adjusted EBITDA excludes, in addition to non-operational expenses like interest expenses, taxes, depreciation and amortization; items that we believe are not indicative of our operating performance, such as:

Change in Fair Value of Derivative Liabilities: These adjustments reflect unrealized gains or losses that are non-operational and subject to market volatility.
Loss on Settlement of Debt: This represents non-recurring expenses associated with specific financing activities and does not impact ongoing business operations.
Stock-Based Compensation: As a non-cash expense, this adjustment eliminates variability caused by equity-based incentives.
The Company believes Adjusted EBITDA offers a clearer view of the cash-generating potential of its business, excluding non-recurring, non-cash, and non-operational impacts. Management believes that Adjusted EBITDA is useful in evaluating the Company's operating performance compared to that of other companies in its industry because the calculation of Adjusted EBITDA generally eliminates the effects of financing, income taxes, non-cash and certain other items that may vary for different companies for reasons unrelated to overall operating performance and also believes this information is useful to investors.

Safe Harbor Statement: Statements in this news release may be "forward-looking statements". Forward-looking statements include, but are not limited to, statements that express our intentions, beliefs, expectations, strategies, predictions, or any other information relating to our future activities or other future events or conditions. Words such as "anticipate," "believe," "estimate," "expect," "intend", "could" and similar expressions, as they relate to the company or its management, identify forward-looking statements. These statements are based on current expectations, estimates, and projections about our business based partly on assumptions made by management. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: our ability to successfully market our products and services; our continued ability to pay operating costs and ability to meet demand for our products and services; the amount and nature of competition from other telecom products and services; the effects of changes in the cybersecurity and telecom markets; our ability to successfully develop new products and services; our ability to complete complementary acquisitions and dispositions that benefit our company; our success establishing and maintaining collaborative, strategic alliance agreements with our industry partners; our ability to comply with applicable regulations; our ability to secure capital when needed; and the other risks and uncertainties described in our prior filings with the Securities and Exchange Commission.

These statements are not guarantees of future performance and involve risks, uncertainties, and assumptions that are difficult to predict. Therefore, actual outcomes and results may and are likely to differ materially from what is expressed or forecasted in forward-looking statements due to numerous factors. Any forward-looking statements speak only as of the date of this news release, and IQSTEL Inc. undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date of this news release.

For more information, please visit www.IQSTEL.com.

https://c212.net/c/img/favicon.png?sn=FL89369...2025-05-15 View original content to download multimedia:https://www.prnewswire.com/news-releases/iqst---iqstel-reports-57-6m-q1-revenue-in-first-nasdaq-shareholder-letter-reaffirms-path-to-1-billion-by-2027-as-global-tech-evolution-accelerates-302457101.html

SOURCE iQSTEL
Scroll down for more posts ▼

Top 10 Most Recent News Articles

Clean Tech's Dual Role: Energy Resilience and Dependency

Updated Category News Views 102

Technology's Double-Edged Sword in Energy You ever chat with someone about moving your whole life onto solar? Seems greener and cheaper, right? But dive into the numbers, and you'll see it comes with its own set of strings attached. According to a fresh-off-the-press report from S&P Global, clean tech is both a saving grace and a looming liability economically and...

Continue Reading
EDB Bolsters AI Governance With Strategic Expertise

Updated Category News Views 98

EDB’s Strategic Move in AI Governance EnterpriseDB (EDB) is throwing some serious weight behind their AI governance strategy by bringing in top-notch talent from CMRD. The buzz? This team didn’t just descend in a parachute—they already have their fingerprints all over the audit infrastructure of EDB’s governance solution. Now, they're officially joining EDB’s...

Continue Reading
Frontera Energy: Solid Gains Amid Strategic Expansions

Updated Category News Views 74

Thriving in a Complex Energy World You know, for Frontera Energy Corporation, it's not just about tossing around tanker loads of cash—it’s about working those numbers into something real. Their Q3 2026 gives us a peep into how they’re keeping the hot iron pressed against opportunity. With a net income of $11.7 million and adjusted EBITDA jumping 16% to top $34.8...

Continue Reading
Lument Finance's Q3 2026 Numbers: A Critical Analysis

Updated Category News Views 23

LFT Posts Significant Loss in Q3 2026 It's third quarter earnings season, and Lument Finance Trust, Inc. (NYSE: LFT) is out here making headlines for all the wrong reasons. We're talking about a whopper of a GAAP net loss totalling $13.5 million—yep, you read that right—equating to a bruising $2.57 per share. Frankly, in this business, such numbers are akin to a...

Continue Reading
Wyndham's Ambitious Ventures Aim to Redefine Hospitality

Updated Category News Views 18

Wyndham Hotels: A New Chapter Begins Cracking open a new chapter in the bustling world of hospitality, Wyndham Hotels & Resorts isn't just taking steps; it's making strides. With the launch of 'Homes & Havens' and the vigorous rollout of Dazzler Select, we're talking about a company that's morphing into a more dynamic beast, ready to snatch up opportunities across the...

Continue Reading
Aflac Boosts 2027 Dividend, Balancing Growth & Stability

Updated Category News Views 96

Dividend Hike: A Sign of Strength When a company like Aflac, with its sprawling presence both in the U.S. and Japan, decides to hike its dividend, it says a lot more than any quarterly report ever could. They just announced a 4.9% bump in the first quarter 2027 dividend, pushing it to $0.64 per share. You better believe this isn't just a pat on the back for their...

Continue Reading
Drip Gym Brings Iron Infusions Home Nationwide

Updated Category News Views 35

Revamping Iron Deficiency Treatment Nationwide Now here's something to ponder over your morning coffee: Drip Gym, a New York-based IV therapy outfit, has made it possible for folks all across the U.S. to get hospital-grade iron infusions right from the comfort of their living rooms. Imagine dealing with your iron levels between episodes of your favorite show, instead of...

Continue Reading
'Luz de las Naciones' Event: A Cultural Milestone

Updated Category News Views 114

A Vibrant Showcase of Culture and Faith Grab your seatbelt, because when you hear about a cultural event lighting up the scene, especially one backed by The Church of Jesus Christ of Latter-day Saints, it means something's brewing. We're diving headfirst into 'Luz de las Naciones,' a celebration that's keeping its promise to highlight Latin America's zest and vibrant...

Continue Reading
Flagship, Gates Join Forces on Global Health Front

Updated Category News Views 166

Pioneering Change in Global Health Here’s a collaboration that’s got science enthusiasts pinning it to their bulletin boards. Flagship Pioneering, a big name in crafting trailblazing scientific innovations, has linked arms with the Gates Foundation. They're pooling a cool $25 million to uncover game-changers in health and agriculture aimed squarely at underserved...

Continue Reading
Oman's Hydrogen Expansion: New Projects, Big Ambitions

Updated Category News Views 88

Oman's Green Hydrogen Strategy Takes Bold Steps Say what you will about Oman, they fancy themselves as the green hydrogen pioneers of the future. Here’s the kicker: they’ve just awarded two heavy-hitting green hydrogen projects in Duqm, and they’re not stopping there. Announced at COP31, this is their third auction’s pièce de résistance, asserting Oman’s green...

Continue Reading

Top 5 Most Recently Viewed Articles

Innovative Snap Bin: The Future of Apartment Recycling Systems

Updated Category News Views 248

Transforming Recycling in Apartments with Snap Bin Recycling can often feel overwhelming, especially when living in an apartment. An inventive mind recognized this challenge and set out to create a solution. Meeting this need, the inventor developed the Snap Bin Recycling System, a clever design that takes the hassle out of recycling. The newly conceived system is not...

Continue Reading
Insight into Recent Disclosures by Dowlais Group plc and Investec Bank

Updated Category News Views 191

Understanding Public Dealing Disclosures in the Financial Market In the intricate world of finance, public disclosure plays a pivotal role in maintaining transparency and trust. This is especially true in cases involving exemptions and principal traders recognized for their intermediary status. The recent transactions involving Dowlais Group plc and Investec Bank plc...

Continue Reading
Fennemore Expands Horizons with New Addition in Idaho

Updated Category News Views 302

Fennemore Expands Horizons with New Addition in Idaho Fennemore is making waves in the legal industry with its strategic expansion into the Pacific Northwest. The firm has welcomed attorney Peter J. Smith IV as a Director based in Coeur d'Alene, reinforcing its commitment to innovative legal services. This addition marks a significant milestone in the firm's growth...

Continue Reading
AM Best Upgrades Credit Ratings for Samsung Fire & Marine

Updated Category News Views 226

AM Best Affirms Samsung Fire & Marine Insurance Ratings Recently, AM Best has reaffirmed the Financial Strength Rating (FSR) of A++ (Superior) along with the Long-Term Issuer Credit Ratings (ICR) of 'aa+' (Superior) for Samsung Fire & Marine Insurance Co., Ltd. (SFM) and its subsidiaries. This recognition underscores SFM's stronghold in the insurance sector. Understanding...

Continue Reading
Ferrari's Strategic Buyback Program Update and Insights

Updated Category News Views 192

Ferrari's Commitment to Shareholder Value Ferrari N.V. is renowned for its performance and luxury automobiles, but another significant aspect of the company’s strategy involves its proactive approach to share buybacks. The company recently updated investors on its share buyback program, originally established to leverage its strong financial position and commitment to...

Continue Reading