IQST - iQSTEL Announces 108% Q1 Revenue Growth To $51.4 Million


NEW YORK, May 15, 2024 /PRNewswire/ -- iQSTEL Inc. (OTC-QX: IQST) ( a US-based, multinational, fully reporting and audited publicly listed telecommunications and technology company preparing for a Nasdaq up-listing today announced publishing the company's Q1 FY-2024 annual report on SEC Form 10Q. The company achieved $51.4 million in Q1 FY-2024, an increase of 108% compared to Q1-FY-2023. Detailed information on Q1 FY-2024 performance can be found in the company's SEC Form 10Q filed today.

As a result of increased expenses coming primarily from non-operating payments associated with recent acquisition transactions and an ongoing Nasdaq up-listing initiative, the company reported a net loss $580,216. It is important to note that the company incurred Q1 acquisition expenses from financing costs and consulting services necessary to complete two acquisitions prior to benefiting from the revenue and bottom line contributions from the acquisitions. The Q1 FY-2024 financial performance is entirely organic and does NOT include any contribution from the recent QXTEL and LYNK acquisitions. More expense specifics are detailed further below.

Q1 FY-2023 vs Q1 FY-2024 analysis (PRNewsfoto/iQSTEL Inc.)


Q1 FY-2023 vs Q1 FY-2024 analysis (PRNewsfoto/iQSTEL Inc.)


Q1 FY-2024 non-operating expense analysis (PRNewsfoto/iQSTEL Inc.)


  1. The company increased its professional services expense in connection with funding its recent M&A activity, and in conjunction with its Nasdaq up-listing initiative.
  2. The increased technological services expense results from the migration of Smartbiz into our Voice Proprietary Platform (VAMP). Etelix and SwissLink are already on VAMP and the Smartbiz migration will improve synergies, and reduce the cost per minute, as well as providing Smartbiz the state of the art features available in our proprietary VAMP telecommunications platform.
  3. In January 2024, the company settled a promissory note with M2B as a prerequisite to the funding for the acquisition of QXTEL.
  4. The increased interest expense is due in part to a non-cash expense associated with the issuance of "kicker shares" to M2B and in part to a cash interest payment made to M2B. Both the cash and non-cash expenses result from the QXTEL acquisition and were specifically orchestrated to minimize dilution in our IQST stock in Q1 FY-2024.

Additional Financial Performance Highlights and Further Analysis

  • Telecom Division stand-alone performance (stronger than ever)

iQSTEL's overall business strategy is built on the foundation of our Telecom Division. We are growing a robust telecom business and building complimentary high margin potential technology businesses at the same time. It is our Telecom Division that is currently generating revenue with a positive operating Income. The Telecom Division generated $484,624 of positive operating income in Q1 FY-2024, without any contribution of the QXTEL and LYNK acquisitions. We expect that this figure will almost double in Q2 with the addition of just QXTEL's financial contributions.


Telecom Division




Cost of revenues


Gross profit


Operating expenses

General and administration


   Total operating expenses


Operating income/(loss)




  • Increase in Consolidated Working Capital

As of March 31, 2024, we had total current assets of $15,619,755 and current liabilities of $13,484,660, resulting in positive working capital of $2,135,095 at a current ratio of approximately 1.16 to 1 respectively. The working capital as of March 31, 2024, increased substantially compared to a working capital of $1,878,228 on December 31, 2023.

Working Capital Evolution (PRNewsfoto/iQSTEL Inc.)

The increase in working capital is a positive indication that the company's capital resources have the potential to meet operating costs and finance organic growth. Management expects this positive trend to continue throughout FY-2024.

  • Shareholder value creation through accretive acquisitions and organic growth

iQSTEL 's high growth strategy is to combined organic growth with strategic acquisitions. To fund growth the Company has raised funds through various debt and equity instruments. The issuance of stock to acquire new operations and raise funds has been accretive and ultimately added shareholder value. The graph below illustrates the quarterly increases in net shareholder equity, current assets, total assets, and net shareholder's equity per issued share.

Shareholder Value Graph (PRNewsfoto/iQSTEL Inc.)


Q1 FY-2024 financial results represent a transitional period with non-operating expenses associated with the acquisitions of QXTEL and LYNK without the revenue and bottom line benefit of QXTEL and LYNK. With the ongoing revenue and bottom line contributions of QXTEL and LYNK going forward, management anticipates positive operating and net income results in subsequent 2024 quarterly financial reports.

Without any benefit from the recent QXTEL and LYNK acquisitions, the Q1 FY-2024 financial results demonstrate the success of iQSTEL's ability to acquire and integrate new telecom operations and rapidly achieve synergistic organic growth. 

Our balanced organic growth and ongoing acquisition campaign is proving to be accretive and continuing to consistently add shareholder value.

Management is committed to making this FY-2024 the best ever. We plan to achieve or surpass the quarter billion dollar revenue mark this year. We also expect to achieve 7-digit positive operating income.

On behalf of our Independent Board of Directors we want to thank our partners, customers, shareholders, investors, management, and our employees for all the loyal support throughout our journey to become a one billion revenue company.

All the Best,Leandro Iglesias CEO and Chairman iQSTEL


iQSTEL Inc. (OTC-QX: IQST) ( is a US-based, multinational publicly listed company preparing for a Nasdaq up-listing with an FY2023 $144 million revenue, and with a Quarter Billion Dollar Revenue forecast and a Positive Operating Income of 7 digits forecast for FY-2024. iQSTEL's mission is to serve basic human needs in today's modern world by making the necessary tools accessible regardless of race, ethnicity, religion, socioeconomic status, or identity. iQSTEL recognizes that in today's modern world, the pursuit of the human hierarchy of needs (physiological, safety, relationship, esteem and self-actualization) is marginalized without access to ubiquitous communications, the freedom of virtual banking, clean affordable mobility and information and content. iQSTEL has 4 Business Divisions delivering accessibly to the necessary tools in today's pursuit of basic human needs: Telecommunications, Fintech, Electric Vehicles and Metaverse.

  • The Enhanced Telecommunications Services Division (Communications) includes VoIP, SMS, International Fiber-Optic, Proprietary Internet of Things (IoT), and a Proprietary Mobile Portability Blockchain Platform.
  • The Fintech Division (Financial Freedom) includes remittances services, top up services, Master Card Debit Card, a US Bank Account (No SSN required), and a Mobile App.
  • The Electric Vehicles (EV) Division (Mobility) offers Electric Motorcycles and plans to launch a Mid Speed Car.
  • The Artificial Intelligence (AI)-Enhanced Metaverse Division (information and content) includes an enriched and immersive white label proprietary AI-Enhanced Metaverse platform to access products, services, content, entertainment, information, customer support, and more in a virtual 3D interface.

The company continues to grow and expand its suite of products and services both organically and through mergers and acquisitions. iQSTEL has completed 10 acquisitions since June 2018 and continues to develop an active pipeline of potential future acquisitions.

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. These statements are based on current expectations, estimates, and projections about our business based partly on assumptions made by management. 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. This press release does not constitute a public offer of any securities for sale. Any securities offered privately will not be or have not been registered under the Act and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

iQSTEL Inc.IR US Phone: 646-740-0907IR Email:

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iQSTEL logo (PRNewsfoto/iQSTEL, Inc.)

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