IQST - IQSTEL Highlights Accelerating Growth, Margin Expansion Strategy, and Path to Profitability in Executive Interview

A Global Distribution Platform Reaching 2.3 Billion End Users

NEW YORK, April 23, 2026 /PRNewswire/ -- IQSTEL Inc. (NASDAQ:IQST), a multinational telecommunications and technology company, today shared key strategic insights from a recent executive interview, outlining the Company's continued revenue growth, improving margins, and transformation into a high-margin digital services platform for the global telecom industry.

For the fiscal year ended December 31, 2025, IQSTEL reported $316.9 million in total revenue, representing 11.0% year-over-year growth, and achieved $9.46 million in gross profit, an increase of 14.3% over 2024. The Company also highlighted that its operations are already profitable, generating approximately $2.7 million in EBITDA and close to $2 million in net income, as it moves toward consolidated net profitability.

"We are entering a clear inflection point," said Leandro Iglesias, President & CEO of IQSTEL. "Our telecom platform continues to scale, and now we are layering high-tech, high-margin services on top of it, which will drive EBITDA and net income expansion."

Transformation into a High-Margin Digital Services Platform

IQSTEL emphasized its strategic transformation from a telecommunications provider into a global digital services platform for the telecom industry, offering a comprehensive portfolio including Artificial Intelligence, Cybersecurity, Fintech, and Digital Health.

These services are expected to significantly enhance profitability, with gross margins that can reach up to 40%, and are based on monthly recurring revenue models, creating strong, predictable long-term cash flow.

The Company highlighted that these sectors are experiencing rapid global expansion and increasing demand, representing a substantial market opportunity. IQSTEL plans to leverage its existing infrastructure and relationships to deploy these services efficiently and at scale.

Unmatched Commercial Platform and Global Reach

A key differentiator for IQSTEL is its established commercial platform, which currently reaches over 600 of the largest telecom operators worldwide, providing access to approximately 2.3 billion end users.

By leveraging this distribution network, IQSTEL is able to introduce new digital services rapidly, with minimal additional cost and integration time.

"We have already achieved the most difficult part—being integrated into our customers' networks, billing systems, and operations," Iglesias added. "This gives us a powerful advantage to deploy new services quickly and generate high-margin revenue across our platform."

Operational Efficiency Driving Margin Expansion

IQSTEL reported continued improvements in operational efficiency, with gross margin increasing from 2.74% in Q4 2024 to 3.46% in Q4 2025, representing a 26.28% increase.

This improvement is driven by intercompany routing optimization and platform consolidation, with approximately 70% of revenue and EBITDA currently operating on a unified technological platform. The Company is targeting 95% integration, which is expected to further enhance efficiency, reduce costs, and improve margins.

Additionally, IQSTEL noted that approximately 70% of its revenue and EBITDA is generated by subsidiaries that are increasingly operating as an integrated group, leveraging synergies and shared capabilities.

Sustained Growth and Expansion Strategy

IQSTEL's telecom business continues to demonstrate strong growth, with SMS traffic increasing 25.18% year-over-year, from 13.9 billion to 17.4 billion messages. The Company expects to maintain and potentially accelerate this growth, supported by ongoing operational improvements and strategic acquisitions.

The Company also confirmed plans to expand its global footprint from 20 to 30 countries, strengthening its position in emerging markets and increasing its global reach.

Balanced Revenue Mix and Future Shift Toward High-Margin Services

Currently, approximately 80% of IQSTEL's revenue is generated from telecom services and 20% from fintech. However, this mix is expected to shift significantly as digital services scale and begin contributing a larger share of revenue and EBITDA.

IQSTEL expects these high-margin services to drive substantial margin expansion and recurring revenue growth, transforming the Company's overall financial profile.

Digital Health: A Billion-Dollar Opportunity

IQSTEL recently announced a strategic partnership in the Digital Health sector, marking the Company's entry into a rapidly growing global market.

The Company plans to leverage its telecom distribution platform to commercialize digital health solutions globally. Management noted that even a 1% penetration of its existing customer base could represent a billion-dollar recurring revenue opportunity.

Strong Capital Structure and Growing Investor Interest

IQSTEL highlighted its clean capital structure, with no outstanding convertible notes or warrants, positioning the Company to attract a higher-quality investor base.

The Company also noted increasing engagement with institutional investors, including more than 20 family offices the Company has met with during the last month and a half, as market awareness continues to grow.

Path to $1 Billion Revenue and Profitability

IQSTEL reaffirmed its goal of reaching $1 billion in annual revenue within the next 24 months, supported by telecom growth, strategic acquisitions, and the expansion of high-margin digital services.

Management expects the Company to achieve consolidated net profitability within the next 12 months, as it continues to scale its platform and improve margins.

"We believe we are at the beginning of a very significant growth cycle," Iglesias concluded. "The opportunity ahead for IQSTEL is substantial, and we are building a platform designed to scale revenue, expand margins, and generate long-term shareholder value."

About IQSTEL Inc.

IQSTEL Inc. (NASDAQ: IQST) is a global telecom and technology company operating in 21 countries with over 600 Telecommunication Carrier Interconnections. The company delivers international voice, SMS, messaging, connectivity, and mobile financial services to telecom operators and enterprise customers worldwide. Built through a decade of organic growth and strategic acquisitions, IQSTEL is now expanding into AI-powered communications and cybersecurity through its RealityBorder.com AI Division and Cycurion partnership.

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

Official Investors Landing Page: www.landingpage.iqstel.com

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.

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SOURCE iQSTEL