IQSTEL Highlights EBITDA Growth Strategy as It Targets $500 Million Revenue Run Rate

The company outlined its expansion strategy around the expected Ultranet acquisition, AI-powered digital services and a growing global telecommunications platform.

Key Investor Takeaways

• IQSTEL (NASDAQ:IQST) expects to exceed an $8 million adjusted EBITDA run rate this quarter following the anticipated closing of the Ultranet acquisition.
• The acquisition is expected to increase the company’s annualised revenue run rate to more than $500 million while expanding operations into approximately 30 countries.
• Management expects high-margin digital services, including AI, cybersecurity and fintech offerings, to become its primary earnings driver beginning in 2027.
• Ultranet is expected to contribute approximately $130 million in annual revenue and about $4.5 million in annual net income.
• IQSTEL continues targeting a longer-term adjusted EBITDA run rate of $13 million to $15 million before ultimately pursuing a $25 million run rate through digital services expansion.

Why IQST Stock Is in Focus

IQSTEL (NASDAQ:IQST) outlined its long-term growth strategy, highlighting how its global telecommunications platform is expected to support higher-margin digital services and accelerate profitability.

The company reported first-half 2026 revenue of $207 million, representing an annualised revenue run rate exceeding $400 million before completion of the planned acquisition of Ultranet Telecom. Management expects that transaction to close this quarter, adding approximately $130 million in annual revenue and approximately $4.5 million in annual net income while expanding the company’s footprint from roughly 24 countries to approximately 30 countries.

Following the acquisition, IQSTEL expects its annualised revenue run rate to exceed $500 million and anticipates surpassing an adjusted EBITDA run rate of $8 million. The company said future growth will increasingly come from proprietary digital services, including artificial intelligence platforms, AI voice agents, enterprise automation, cybersecurity, fintech, digital health and content services.

Why This Matters for Investors

Rather than announcing new financial results, IQSTEL used the update to outline how it intends to shift from building telecommunications infrastructure toward monetising that platform through higher-margin technology services.

Management believes its existing relationships with more than 600 telecommunications operators, representing a potential reach of approximately 2.3 billion end users, provide an established distribution network for new AI and digital services. If adoption develops as anticipated, those offerings could improve margins and diversify earnings beyond traditional wholesale telecommunications services.

The planned Ultranet acquisition also remains a significant catalyst. Beyond increasing revenue and geographic reach, management expects the acquisition to strengthen profitability and provide a larger platform from which to commercialise its digital services portfolio. However, these financial targets remain dependent on the successful completion and integration of the acquisition, continued organic growth and execution of the company’s expansion strategy.

What to Watch Next

Investors should monitor:

• Completion and integration of the Ultranet acquisition.
• Progress toward exceeding an $8 million adjusted EBITDA run rate.
• Growth in AI-driven digital services and enterprise adoption.
• Expansion of operations across African markets through Ultranet.
• Progress toward management’s medium-term adjusted EBITDA target of $13 million to $15 million and longer-term objective of $25 million.

IQSTEL stock price