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iQSTEL, Inc. Is Setting Revenue Records; Video Explains Why This International Telecommunications Company Can Breakout In 2021
iQSTEL, Inc. (OTC: IQST) has been off to a fantastic start to 2021. In fact, they carried substantial momentum from 2020 by posting consecutive quarters this year that exceeded $4.8 million in revenues. News of its blowout Q4 in 2020 combined with continued revenue-generating growth this year has sent shares higher by more than 250% since January. The great news is that IQST is not showing any signs of slowing down and has guided current year revenues to meet or exceed $60.5 million. If so, they would crush last year's $44.9 million by nearly 35%. And that's on top of the 149% year-over-year gain from last year.
The better news is that IQST has diversified its revenue streams and is now generating revenues from seven subsidiaries that operate within its four business divisions.
This video tells why IQST could emerge as an international telecommunications superstar this year.
Video Link: https://www.youtube.com/embed/gmpLL7cTVD4
Substantial Revenues And A Debt-Free Balance Sheet
The video tells a great story. What also needs to be highlighted is that IQST is generating revenues that immediately impact growth. Last year, IQST implemented a plan to eliminate debt- and they were successful. As of Q1 FY-2021, the company is debt-free and has no convertible notes, warrants, or settlements. That allows IQST to invest all available funds from operations and Reg A, further strengthening its balance sheet and growing the company. Improvements are expected to continue throughout this year as well.
Remember, too, that despite 2020 being an unprecedented pandemic-related challenge to most international companies, IQST was able to deliver remarkable growth of 149% year-over-year. To put that increase in a better perspective, revenues surged from just $18 million in FY-2019 to $44.9 million in FY-2020. And 2021 is expected to jump another 34%.
Notably, the revenue growth caused a 70% reduction in its loss per share to $(0.10) in FY-2020 versus $(0.35) in FY-2019. The increase this year could put positive earnings into play. And that could help facilitate its planned uplist to NASDAQ and attract institutional money. Also notable is that IQST increased its assets to $5.9 Million in FY-2020 compared to $5.6 Million last year due to an increase in its cash position.
The company also reduced Current Liabilities by 29% year-over-year and Total Liabilities by 27%. The expected announcement of its Q1 revenues in May could show the benefit from reaching these financial milestones.
Of course, it's the business that's driving growth. There, its innovations, strategies, and recent partnerships are creating a wave of momentum.
Partnerships Create Enormous Value
As noted, 2021 could be the breakout year for IQST. For comparisons, investors should look at competitors Atento S.A (NYSE: ATTO), whose presence in 13 countries has earned them a market cap of roughly $359 million. Or at America Movil, S.A.B. (NYSE: AMX), with a market cap of $47.6 billion. Long-term speculation suggests that, despite its current size, IQST can build out its markets in a successful fashion as well. If so, expect the market cap to earn a substantial boost, with long term appreciation in the hundreds of millions of dollars not a stretch.
Undoubtedly, the pieces are already in place for a breakout year. But keep in mind that IQST never shies away from accretive acquisition opportunities. Thus, there could be significantly more value added in the coming weeks and months. New deals would add to record revenues, its business presence in 15 countries, and help contribute to an already impressive infrastructure.
At that point, a revenues-based multiple alone could send the shares significantly higher. Better still, with news expected from its four divisions, it's the combination of events that should get investors excited.
Therefore, trading ahead of expected news could be a wise strategy.
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