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IQSTEL's Impressive Q1 2026 Performance and Strategic Expansion

On May 26, 2026, IQSTEL Inc. (NASDAQ: IQST), a notable name in global telecommunications and technology, announced its financial results for the first quarter of 2026. The company reported a remarkable revenue of $97.9 million, showcasing a growth of 69.9% compared to the same quarter last year. This impressive milestone underlines IQSTEL's strategic pivot from a traditional telecom operator to a powerhouse in high-margin digital services distribution.

Quarter Highlights

During the earnings call on May 21, CEO Leandro Jose Iglesias emphasized that IQSTEL is undergoing a significant transformation. Key financial highlights include:

• - Revenue: $97.9 million
• - Year-over-Year Growth: 69.9%
• - Organic Revenue Generation: 87%
• - Gross Profit: Exceeding $2.0 million, up by 7.8% year-over-year
• - Adjusted EBITDA: Positive at the operating subsidiary level, nearing breakeven on a consolidated basis
• - Book Equity Per Share: Approaching $3.00
• - Debt Status: No convertible debt or earnout obligations outstanding.

Management reiterated its ambitious revenue target of $430 million for the full year of 2026, with long-term aspirations to become a $1 billion annual revenue enterprise. This strategic outlook is aimed at driving growth and maximizing shareholder value.

Competitive Platform as a Strategic Asset

What distinguishes IQSTEL from its competitors? According to Iglesias, the company's most significant asset is not merely its telecom earnings but its global commercial platform. Over the years, IQSTEL has forged commercial relationships with more than 600 telecom operators, established operations across 21 countries, and garnered the potential to reach around 2.3 billion end-users. With an annualized revenue run rate close to $400 million, this robust foundation sets the stage for global commercialization of its digital services.

Launch of High-Margin Digital Services

IQSTEL is keenly focused on launching its digital services to revamp profitability. The earnings call highlighted live activities during the International Telecoms Week held in Washington, where executives engaged with global telecom carriers to introduce their innovative services. Some of the digital offerings launched crucial for the company’s growth include:

• - Cybersecurity Services (in partnership with Cycurion)
• - Digital Health Solutions
• - Fintech Services
• - AI-driven Enterprise Solutions

Feedback from telecom partners regarding these services has been overwhelmingly positive, affirming the company's strategy of leveraging its established relationships for faster market entry. With anticipated margins exceeding 25% for its cybersecurity and digital services, and up to 40% for AI services, these offerings are projected to escalate EBITDA significantly.

Successful Acquisition of GlobeTopper

The earnings call also underscored the successful integration of GlobeTopper, a recent acquisition that contributed an impressive $13 million in quarterly revenue, accounting for about 42% of IQSTEL’s consolidated gross profit. This acquisition aligns with IQSTEL’s strategy of diversifying its portfolio and expanding into fintech services, further enhancing the company's capabilities and revenue sources.

Looking Forward

CEO Leandro Jose Iglesias concluded the call by declaring 2026 a year of transformation for IQSTEL. The heavy investments made over the previous years in AI innovations and platform upgrades are now beginning to bear fruit, transitioning the company into a monetization phase. The management team's focus on marketing and commercializing high-margin digital services is expected to accelerate growth and profitability diversely.

In closing, as IQSTEL navigates through this pivotal moment in its journey, they are well-positioned for sustained success in the digital landscape, fostering increased value for shareholders and expanding their global footprint in telecommunications.

For more detailed information, visit IQSTEL's Investor landing page at IQSTEL Investors.