iQSTEL (IQST) Registration filing summary

Company overview and business model

• Operates in 20 countries with over 100 employees, focusing on telecommunications, fintech, and AI-enhanced services through multiple subsidiaries.

• Core business is international voice, SMS, and connectivity, with 603+ network interconnections globally.

• Telecom division accounted for 91% of 2025 revenues and 87% of Q1 2026 revenues; fintech and AI divisions are growing.

• Fintech offerings include debit cards, US bank accounts, and remittance services, targeting immigrants and B2B digital gift card platforms.

• AI division develops enterprise and telecom-focused AI solutions, shifting from immersive platforms to practical business applications.

Financial performance and metrics

• History of operating losses with a going concern qualification in recent financial statements.

• As of March 31, 2026, net tangible book value per share was $(0.50); after offering, adjusted net tangible book value per share would be $(1.70), with dilution per share of $2.95 at an illustrative $1.25 issuance price.

• 6,735,946 shares outstanding as of May 20, 2026, excluding convertible preferred stock.

Use of proceeds and capital allocation

• Proceeds from equity sales to be used for working capital, telecom expansion, fintech and AI development, strategic acquisitions, and general corporate purposes.

• Management retains broad discretion over allocation; no specific acquisition agreements currently in place.

• Pending use, proceeds may be invested in short-term, interest-bearing instruments.