Revenue growth remains highly erratic, ranging from a 14.8% contraction in 2025Q4 to a 139.6% expansion in 2024Q2, while gross margins remain suppressed at a 2.1% level as of 2026Q1.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Jun'18 | Jun'16 | Jun'15 | Jun'14 | Jun'13 | Jun'12 | Jun'11 |
|---|
| Sales/Revenue | 357.19M | 316.9M | 283.22M | 144.5M | 93.2M | 64.7M | 44.91M | 18.03M | 13.78M | 9.62M | 7.32M | 1.17M | 7.71K | 1.75K | 1.75K | 0 |
| Revenue Growth % | 23.43% | 11.89% | 96% | 55.04% | 44.05% | 44.07% | 149.06% | 30.9% | 43.18% | 31.45% | 527.2% | 15041.35% | 339.15% | 0% | - | - |
| Cost of Goods Sold | 347.75M | 307.44M | 274.95M | 139.83M | 91.41M | 63.17M | 43.95M | 17.25M | 12.58M | 8.77M | 6.37M | 759.72K | 924 | 318 | 318 | 0 |
| COGS % of Revenue | - | 97.02% | 97.08% | 96.77% | 98.08% | 97.63% | 97.86% | 95.67% | 91.34% | 91.13% | 86.99% | 65.1% | 11.99% | 18.12% | 18.12% | - |
| Gross Profit | 9.44M | 9.46M | 8.27M | 4.67M | 1.79M | 1.53M | 962.35K | 780.92K | 1.19M | 853.07K | 952.1K | 407.22K | 6.78K | 1.44K | 1.44K | 0 |
| Gross Margin % | 2.64% | 2.98% | 2.92% | 3.23% | 1.92% | 2.37% | 2.14% | 4.33% | 8.66% | 8.87% | 13.01% | 34.9% | 88.01% | 81.88% | 81.88% | - |
| Gross Profit Growth % | - | 14.33% | 77.05% | 160.79% | 16.81% | 59.37% | 23.23% | -34.51% | 39.78% | -10.4% | 133.81% | 5903.55% | 372.03% | 0% | - | - |
| Operating Expenses | 11.72M | 11.3M | 9.11M | 4.99M | 4.98M | 4.52M | 4.17M | 1.43M | 1.22M | 102.13K | 173.71K | 36.08K | 30.25K | 35.71K | 21.5K | 10K |
| OpEx % of Revenue | - | 3.56% | 3.22% | 3.45% | 5.35% | 6.98% | 9.29% | 7.92% | 8.86% | 1.06% | 2.37% | 3.09% | 392.53% | 2034.93% | 1224.96% | - |
| Selling, General & Admin | 11.59M | 10.67M | 8.39M | 4.77M | 4.79M | 4.31M | 3.78M | 1.39M | 886.54K | 87.03K | 173.71K | 36.08K | 30.25K | 34.46K | 20.25K | 10K |
| SG&A % of Revenue | - | 3.37% | 2.96% | 3.3% | 5.14% | 6.66% | 8.43% | 7.69% | 6.44% | 0.9% | 2.37% | 3.09% | 392.53% | 1963.7% | 1153.73% | - |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 160.25K | 184.15K | 145.08K | 156.45K | 206.11K | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | 0.89% | 1.34% | 1.51% | 2.14% | 17.66% | - | - | - | - |
| Other Operating Expenses | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Operating Income | -2.28M | -1.84M | -834.06K | -315.5K | -3.19M | -2.98M | -3.21M | -647.01K | -27.89K | 87.03K | -173.71K | -36.08K | -23.47K | -34.28K | -21.5K | -10K |
| Operating Margin % | -0.64% | -0.58% | -0.29% | -0.22% | -3.42% | -4.61% | -7.15% | -3.59% | -0.2% | 0.9% | -2.37% | -3.09% | -304.52% | -1953.05% | -1224.96% | - |
| Operating Income Growth % | - | -120.41% | -164.36% | 90.11% | -6.96% | 7.1% | -396.44% | -2219.46% | -132.05% | 150.1% | -381.51% | -53.72% | 31.53% | -59.44% | -114.98% | - |
| EBITDA | -1.61M | -1.21M | -334.53K | -186.77K | -3.07M | -2.89M | -3.14M | -605.27K | -7.54K | 104.88K | -110.86K | 54.1K | -23.47K | -33.03K | -20.25K | -10K |
| EBITDA Margin % | -0.45% | -0.38% | -0.12% | -0.13% | -3.3% | -4.47% | -7% | -3.36% | -0.05% | 1.09% | -1.51% | 4.64% | -304.52% | -1881.82% | -1153.73% | - |
| EBITDA Growth % | -126.57% | -261.9% | -79.12% | 93.92% | -6.19% | 7.98% | -419.34% | -7922.2% | -107.19% | 194.61% | -304.91% | 330.53% | 28.94% | -63.11% | -102.48% | - |
| D&A (Non-Cash Add-back) | 673.32K | 627.67K | 499.54K | 128.74K | 120.12K | 91.47K | 68.6K | 41.74K | 20.35K | 17.85K | 62.85K | 90.18K | 0 | 1.25K | 1.25K | 0 |
| EBIT | -6.94M | -6.77M | -2.63M | -124.53K | -5.84M | -3.19M | -3.19M | -2.79M | -1.64M | 35.18K | 295.85K | -219.05K | -31.08K | -23.47K | 21.36K | 0 |
| Net Interest Income | -1.43M | -1.61M | -2.37M | -94.91K | -29.64K | -675.48K | -3.51M | -2.68M | -460.19K | -327.09K | -77.86K | 0 | 0 | -889 | 0 | 0 |
| Interest Income | 0 | 0 | -211.59K | 0 | 0 | 0 | 0 | - | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Income/Expense | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Pretax Income | -8.64M | -8.39M | -4.79M | -219.44K | -5.87M | -3.86M | -6.7M | -5.44M | -2.1M | -263.69K | -242.4K | -32.07K | -24.36K | 21.36K | -21.5K | -10K |
| Pretax Margin % | -2.42% | -2.65% | -1.69% | -0.15% | -6.29% | -5.97% | -14.92% | -30.18% | -15.27% | -2.74% | -3.31% | -2.75% | -316.05% | 1217.21% | -1224.96% | - |
| Income Tax | 116.63K | 121.7K | 394.03K | 0 | 0 | 0 | 152 | 0 | 1.59M | 230.37K | 43.11K | 800 | 800 | 800 | 43K | 0 |
| Effective Tax Rate % | -1.35% | -1.45% | -8.23% | 0% | 0% | 0% | -0% | 0% | -75.39% | -87.37% | -17.78% | -2.49% | -3.28% | 3.74% | -200% | 0% |
| Net Income | -9.36M | -9.16M | -5.99M | -763.26K | -5.97M | -3.84M | -6.57M | -8.1M | -3.69M | -263.69K | -242.4K | -32.87K | -25.16K | 20.56K | -21.5K | -10K |
| Net Margin % | -2.62% | -2.89% | -2.12% | -0.53% | -6.4% | -5.93% | -14.64% | -44.94% | -26.79% | -2.74% | -3.31% | -2.82% | -326.43% | 1171.62% | -1224.96% | - |
| Net Income Growth % | -47.7% | -52.95% | -685% | 87.21% | -55.49% | 41.62% | 18.88% | -119.59% | -1299.51% | -8.78% | -637.42% | -30.66% | -222.35% | 195.65% | -114.98% | - |
| Net Income (Continuing) | -8.75M | -8.51M | -5.18M | -219.44K | -5.87M | -3.86M | -6.7M | -5.44M | -2.1M | -291.92K | 218K | 22.99K | -32.87K | -25.16K | 20.56K | -10K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 4.21M | 5.12M | 4.68M | -377.71K | -924.38K | -996.01K | -1.01M | -903.51K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -1.92 | -2.86 | -0.03 | -0.00 | -0.06 | -0.03 | -0.10 | -0.52 | -0.27 | -0.03 | -30.93 | -1.58 | -1.21 | 1.01 | -1.38 | -0.64 |
| EPS Growth % | -7492.07% | -8593.01% | - | 91.9% | -70.06% | 66.6% | 80.77% | -92.59% | -967.19% | 99.92% | -1857.59% | -30.58% | -219.8% | 173.19% | -115.63% | - |
| EPS (Basic) | - | -2.86 | -0.03 | -0.00 | -0.06 | -0.03 | -0.10 | -0.52 | -0.27 | -0.03 | -30.93 | -1.58 | -1.21 | 1.01 | -1.38 | -0.64 |
| Diluted Shares Outstanding | 4.88M | 3.45M | 182.21M | 167.28M | 151.85M | 135.38M | 63.94M | 15.68M | 13.72M | 10.42M | 7.84K | 20.8K | 20.8K | 20.34K | 15.6K | 15.6K |
| Basic Shares Outstanding | 4.88M | 3.45M | 182.21M | 167.28M | 151.85M | 135.38M | 63.94M | 15.68M | 13.72M | 10.42M | 7.84K | 20.8K | 20.8K | 20.34K | 15.6K | 15.6K |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Thin Margins and Liquidity
As reported in financial statements, IQSTEL's quarterly revenue growth has exhibited extreme volatility, ranging from a 14.8% contraction in 2025Q4 to a 139.6% expansion in 2024Q2, suggesting that top-line performance is heavily dependent on inconsistent wholesale traffic volumes rather than stable, recurring service contracts.
The erratic nature of revenue growth indicates a lack of predictable demand, likely tied to the transactional nature of wholesale voice and SMS termination. Investors should monitor whether the company can transition toward its stated goal of recurring subscription revenue, as the current reliance on high-volume, low-margin traffic makes the top line highly susceptible to competitive pricing pressures.
Based on reported figures, IQSTEL maintains a structurally thin gross margin that averaged approximately 2.98% over the observed period, highlighting the company's role as a low-value-add intermediary in the competitive US-LatAm telecommunications corridor where pricing power is effectively non-existent for wholesale providers.
The consistently low gross margin suggests that the company lacks the scale or proprietary technology to command premium pricing, effectively operating as a pass-through entity. This margin profile leaves virtually no room for operational errors or unexpected cost increases, as even minor fluctuations in carrier termination fees can immediately erode the already razor-thin profitability.
According to recent SEC filings, IQSTEL's operating income has remained consistently negative despite significant revenue growth, with the company failing to achieve the necessary economies of scale to cover its administrative and expansion-related overhead, resulting in a persistent operating margin deficit.
The inability to scale operating income faster than gross profit suggests that the company's cost structure is not optimized for its current business model. This lack of operating leverage implies that further revenue growth may not necessarily lead to profitability without a fundamental restructuring of the underlying expense base.
As indicated by the company's recent financial data, the strategic pivot into capital-intensive sectors like electric motorcycles and fintech appears to be a significant distraction that risks further straining the firm's limited $2.1M cash position without providing clear evidence of operational synergy.
Short-sellers would likely focus on the disconnect between the company's high-growth narrative and its utility-like financial reality, arguing that these speculative ventures are dilutive to shareholder value. The lack of focus on core telecom margin improvement suggests that management may be prioritizing ecosystem breadth over the fundamental necessity of achieving self-sustaining profitability.
Quick answers to the most common questions about buying IQST stock.
For fiscal year 2025, iQSTEL Inc. (IQST) reported total revenue of $316.9M.
iQSTEL Inc. (IQST) reported a net loss of $9.2M for the fiscal year ending 2025.
iQSTEL Inc. (IQST) reported an operating income of $-1.8M, resulting in an operating profit margin of -0.6%. This margin reflects the operational efficiency of the business before interest and taxes.
iQSTEL Inc. (IQST) generated $9.5M in gross profit for the year, representing a gross profit margin of 3.0%. This demonstrates the company's core pricing power and production efficiency.