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IQSTEL Nears $1 Billion Revenue Goal Two Years Ahead of Schedule Through Strategic Acquisitions

By Burstable Editorial Team

TL;DR

IQSTEL's strategic acquisitions and debt reduction position it for significant valuation growth, potentially closing the 10X-20X EBITDA gap with sector peers.

IQSTEL reduces debt through conversions to preferred shares and acquires revenue-generating companies to strengthen its balance sheet and operational efficiency.

IQSTEL's growth in telecommunications and cybersecurity enhances global connectivity and security, making digital interactions safer and more accessible worldwide.

IQSTEL completed twelve acquisitions since 2018 and is two years ahead of its $1 billion revenue goal, targeting $20-30 million EBITDA.

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IQSTEL Nears $1 Billion Revenue Goal Two Years Ahead of Schedule Through Strategic Acquisitions

IQSTEL Inc. (NASDAQ: IQST) is rapidly approaching its $1 billion revenue objective, with company leadership indicating the multinational telecommunications and technology firm is two years ahead of its original 2027 target timeline. The accelerated progress stems from a disciplined acquisition strategy that has seen the company complete twelve strategic purchases since its inception in 2018, while simultaneously strengthening its financial position through debt reduction and operational efficiency measures.

During a recent appearance on Benzinga's All-Access program, CEO Leandro Iglesias and CFO Alvaro Quintana Cardona detailed the company's approach to growth through strategic acquisitions. Cardona emphasized that IQSTEL specifically targets companies that add shareholder value and possess strong revenue streams with growth potential. The acquisition strategy has consistently enhanced the company's value and strengthened its balance sheet with each transaction, according to Cardona.

IQSTEL operates across three high-growth sectors: telecommunications, fintech, and cybersecurity. The company serves 600 of the world's largest telecommunications companies and reported $90 million in organic revenue last year. This diversified business model provides multiple revenue streams while positioning IQSTEL at the intersection of several transformative technology trends.

Beyond acquisition-driven growth, IQSTEL has implemented significant operational improvements, including a recent $6.9 million debt reduction equivalent to approximately $2 per share. More than half of this debt reduction resulted from conversions into preferred shares, which Cardona characterized as evidence of the company's long-term strategic vision and financial discipline.

The company's path to $1 billion in revenue is notable for its disciplined approach to operational expenses. Iglesias confirmed that IQSTEL is not increasing operational spending proportionally with revenue growth, which should result in EBITDA between $20 million and $30 million upon reaching the billion-dollar revenue milestone. This efficiency-focused growth strategy contrasts with many technology companies that prioritize expansion over profitability.

Despite the company's operational progress and accelerated timeline, Iglesias noted that these improvements have not yet been fully reflected in the stock price. He highlighted a significant valuation gap, pointing out that comparable companies in the sector typically trade between 10X to 20X EBITDA multiples. The full interview discussing these developments is available at https://www.youtube.com/watch?v=7FPwEy2uobE&feature=youtu.be.

IQSTEL's progress demonstrates how strategic acquisitions combined with operational discipline can accelerate growth timelines while maintaining financial health. The company's approach to building value through targeted purchases of complementary businesses while simultaneously strengthening its balance sheet provides a model for other growth-oriented technology companies. As IQSTEL continues toward its revenue target, its performance may influence valuation methodologies within the telecommunications and technology sectors, particularly for companies pursuing similar acquisition-driven growth strategies.

Curated from NewMediaWire

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Burstable Editorial Team

Burstable Editorial Team

@burstable

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