NEW YORK, Aug. 1, 2024 /PRNewswire/ -- iQSTEL Inc. (OTC-QX: IQST) (www.iQSTEL.com), a US-based, multinational, fully reporting and audited publicly listed telecommunications and technology company today released highlights of its plan to reach $1 billion in annual sales for FY 2027.
iQSTEL reported $144.5 million in revenue for FY 2023 and has forecasted $290 million for FY 2024. The company is on track to reach its revenue forecast this year. The company has a long history achieving and even surpassing its forecasts.
Under the direction of the company's CFO, Alvaro Quintana, iQSTEL has developed a detailed plan to grow the company's annual revenue to $1 billion for FY 2027. The plan includes a detail analysis of each subsidiary using several dynamic variables. The comprehensive plan with dynamic forecasts are being presented to investment banks and institutional investors.
To simplify the $1 Billion Plan, financial projections only entail the anticipated performance of the company's Enhanced Telecommunications Division. Any contributions to revenue and operating income from our Fintech, Electric Vehicle and AI-Enhanced Metaverse divisions will augment the projected $1 billion in sales.
The $1 Billion Plan is built primarily on the planned expansion of the company's sales that today are primarily generated from telecom services. The FY 2027 planned $1 billion in annual sales is expected to be derived from telecom services alone.
The plan to grow to $1 billion in annual sales consists of two major components:
a) Organic Growth: Approximately half of the $1 billion in annual revenue is expected from organic sales growth generated by existing operations.
b) One Strategic Acquisition: Approximately one quarter of the $1 billion in annual revenue is expected to be achieved through acquisition. The remaining one quarter of the $1 billion in annual revenue is expected from organic sales growth, and synergies with iQSTEL generated by the acquired operations.
iQSTEL has an excellent organic growth and synergies track record. The company achieved $50 million in organic growth in FY 2023, and expects to realize $90 million in organic growth this year, FY 2024.
iQSTEL has targeted a specific acquisition opportunity with the potential to add from $200 million to $300 million in annual revenue next year. The acquisition plan includes an initiative to expand the annual sales of the target operation to $500 million by year end FY 2027. The acquisition is being coordinated to close contemporaneously with our intended Nasdaq uplisting and a $30 million raise.
The overall $1 Billion Plan includes the following initiatives:
a) Consolidate independent subsidiary operations into a single corporation.
b) Implement a single technology platform for the Telecom services
c) Expand our iQSTEL branding efforts.
All these initiatives are designed to further streamline expenses and improve operating margins. An improved operating profit in turn improves the bottom line, and in so doing, enhances the company's potential for an improved market valuation.
Based on the net present value of the company's current and anticipated cash generation from 2024 through 2027, and the residual cash generation after 2027, we calculated iQSTEL's current business valuation to be between $158 million and $198 million. This valuation does not include any contribution from Fintech, EV and AI-Enhanced Metaverse business divisions and the strategic acquisition described above.
This valuation, supported by our financials and growth plan, is being utilized in our current and ongoing investment banking business development efforts in conjunction with our present initiative to uplist to Nasdaq.
iQSTEL, CEO, Mr, Iglesias commented: "We are a roll up company. We believe the consistent organic growth and synergies that we have achieved following acquisitions will continue to improve our bottom line and increase shareholder value by increasing the company's overall market valuation. We genuinely believe our company is a good investment opportunity. We also believe our $1 Billion Plan is ideally timed with our Nasdaq uplisting initiative."
About iQSTEL (updated):
iQSTEL Inc. (OTC-QX: IQST) (www.iQSTEL.com) is a US-based, multinational publicly listed company preparing for a Nasdaq up-listing with an FY2023 $144 million revenue, and with a $290 Million 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 12 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.
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