IQSTEL reports $128.8 million in first-half revenue, targets $1B by 2027

DETROIT - Telecommunications and technology company IQSTEL Inc. (NASDAQ:IQST) reported preliminary revenue of $128.8 million for the first half of 2025, with $27.3 million generated in June alone, according to a company press release. The company has demonstrated strong revenue growth, with InvestingPro data showing a 69% increase in the last twelve months, though operating with thin gross profit margins of just 3%.

The multinational firm, which operates across four continents with six global offices, expects to reach a $400 million annualized revenue run rate in Q3 and aims to achieve $1 billion in revenue by 2027. According to InvestingPro analysis, while the company shows ambitious growth targets, it currently faces challenges with cash burn and profitability. Get access to 12 more exclusive ProTips and comprehensive financial metrics with InvestingPro.

"We’re pleased with the strong performance in the first half and even more enthusiastic about what lies ahead," said IQSTEL’s CEO Leandro Iglesias. "Historically, the second half of the year delivers even stronger results."

The company’s recent acquisition of Globetopper, a B2B gift card concierge firm, is expected to contribute an additional $5-6 million in monthly revenue starting July. IQSTEL maintains it is on track to reach its $340 million revenue forecast for 2025.

The firm also reported reducing its debt by $6.9 million, which it claims will positively impact stockholders’ equity and provide $0.92 million in interest savings. However, financial health metrics from InvestingPro indicate the company’s current ratio stands at 0.86, suggesting short-term obligations exceed liquid assets.

IQSTEL has expanded its business portfolio through acquisitions in telecommunications, fintech, and artificial intelligence sectors since 2018. Recent initiatives include a partnership to deploy AI agents through its AIRWEB platform and the launch of IQ2Call.ai, an AI-powered call center service.

Investment firm Litchfield Hills has issued a buy rating for IQSTEL with a price target of $18 per share, citing the company’s telecom operations and global relationships as factors in its assessment. This target represents significant upside potential from the current stock price of $8.20, though InvestingPro’s Fair Value analysis suggests the stock is currently undervalued.

In other recent news, IQSTEL Inc. has reported surpassing a $400 million revenue run rate in the third quarter, ahead of its original year-end target. The company announced preliminary unaudited revenue of $128.8 million for the first half of 2025, with June alone contributing $27.3 million. IQSTEL is generating positive EBITDA and net income in its operating subsidiaries, according to a shareholder letter. Additionally, the company has entered into a commercial agreement with ONAR to deploy AI agents for ONAR’s account managers, enhancing their marketing capabilities.

IQSTEL has also launched IQ2Call, an AI-powered call center service developed by its subsidiary Reality Border, targeting a $496 billion market. This service is being rolled out to initial customers in Spain and the United States. The company is on track to reach a $400 million annual revenue run rate by the third quarter of 2025, aiming for $1 billion by 2027. IQSTEL recently completed its NASDAQ uplisting without raising additional funds, further solidifying its financial standing.

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