IQSTEL reports first-half revenue of $207 million, up 59%

IQSTEL reports first-half revenue of $207 million, up 59%

Chipmakers weigh on stocks, oil edges higher NEW YORK - IQSTEL Inc. (NASDAQ:IQST) announced today preliminary net revenue of approximately $207 million for the first six months of 2026, compared to $130 million during the same period in 2025, according to a press release statement. The company, which provides telecommunications, fintech, and digital infrastructure services, recorded approximately 59% year-over-year revenue growth. IQSTEL noted that its business historically generates stronger revenue during the second half of the year.

The company’s revenue for the last twelve months as of Q1 2026 reached $357 million, though it operates with a gross profit margin of just 2.69%. Despite the market cap of only $5.94 million, InvestingPro analysis suggests the stock is currently undervalued at its current price of $0.88. The company expects to close its previously announced acquisition of Ultranet during the third quarter of 2026.

Following the acquisition, IQSTEL projects it will surpass a $500 million annual revenue run rate and exceed an $8 million annual EBITDA run rate. "Achieving approximately 59% revenue growth during what has traditionally been our slower operating season gives us tremendous confidence heading into the second half of the year," said Leandro Jose Iglesias, Chairman and CEO of IQSTEL. IQSTEL operates in 21 countries with over 600 telecommunications carrier interconnections, delivering international voice, SMS, messaging, connectivity, and mobile financial services.

The company estimates its platform has potential reach of approximately 2.3 billion end users. The company is expanding its IQSTEL Digital Services division, focusing on artificial intelligence communications, cybersecurity services, fintech solutions, digital content distribution, and enterprise digital applications. Management’s strategic priorities for the remainder of 2026 include completing the Ultranet acquisition, surpassing the $500 million annual revenue run rate, exceeding the $8 million annual EBITDA run rate, and continuing expansion of its digital services division.

An InvestingPro tip notes that analysts anticipate sales growth in the current year, supporting management’s optimistic outlook. The stock trades near its 52-week low and has declined 90% over the past year. For deeper insights, IQSTEL is among 1,400+ US equities covered by comprehensive Pro Research Reports, which transform complex data into actionable intelligence for investors.

The company stated it will provide additional updates regarding the Ultranet acquisition and financial outlook as milestones are achieved. In other recent news, iQSTEL Inc. announced a binding memorandum of understanding to acquire a 51% controlling interest in ULTRANET Telecom Group. This transaction is anticipated to add approximately $130 million in annual revenue and $4.5 million in net income, significantly boosting iQSTEL’s financial performance.

Additionally, iQSTEL’s Board of Directors has authorized a share repurchase program of up to 1,000,000 shares of the company’s common stock. The buyback will be funded by cash dividends from QXTEL, one of iQSTEL’s subsidiaries, and reflects the board’s view that the current market valuation does not adequately represent the company’s value. Furthermore, iQSTEL has amended the conversion terms for its Series B Preferred Stock, allowing holders to convert their shares into common stock with a reduced notice period of five days.

Previously, conversions were only possible at the end of a 12-month term. These developments indicate strategic moves by iQSTEL to enhance shareholder value and expand its market presence. The acquisition of ULTRANET and the share buyback program highlight the company’s efforts to strengthen its financial standing and operational capabilities.