IQSTEL Inc. (NASDAQ:IQST), a rapidly growing multinational technology company serving the Telecom, Fintech, AI, Cybersecurity, and Digital Services sectors, today announced that its Board of Directors has authorized a share repurchase program of up to 1,000,000 shares of the Company's common stock.

The program will be funded, in whole or in part, by cash dividends received from QXTEL, one of IQSTEL's operating subsidiaries. The authorization reflects the Board's confidence in the Company's financial strength, long-term growth prospects, and belief that the current market valuation does not adequately reflect the value of the business platform the Company has built.

Over the last several years, IQSTEL has transformed itself into a diversified technology group with operations spanning multiple high-growth sectors. The Company has consistently expanded revenue, strengthened its balance sheet, completed strategic acquisitions, achieved a NASDAQ listing, and established a commercial platform that already reaches more than 600 telecom operators worldwide, providing access to approximately 2.3 billion end users.

Despite these achievements, management believes the Company's current valuation fails to reflect its operational scale, asset base, balance sheet strength, growth trajectory, and future earnings potential.

"As I have stated previously, we believe the recent decline in IQSTEL's share price is disconnected from the underlying value of our business," said Leandro Iglesias, CEO of IQSTEL. "Today, IQSTEL is stronger than ever. We have built a business generating hundreds of millions of dollars in annual revenue, possess tens of millions of dollars in assets, maintain a solid stockholders' equity position, and have no outstanding convertible notes or warrants.

Given these fundamentals, our Board believes that repurchasing shares at current market prices represents an attractive opportunity to create value for our shareholders. This authorization reflects our confidence in the long-term future of IQSTEL and our conviction that the current market valuation does not adequately reflect the true value of the Company, its assets, its operating platform, and its growth prospects.

We also recently announced the signing of a Binding MOU to acquire a 51% interest in Ultranet Telecom Group, a transaction that, based on Ultranet's audited financial statements, is expected to increase IQSTEL's net income from operations by approximately 4X while further strengthening our global business platform.

We believe this transaction has the potential to significantly increase the intrinsic value of IQSTEL. As the Company enters a new phase focused on EBITDA expansion and profitability growth, this acquisition represents a major step forward. Based on Ultranet's FY 2025 audited financial statements, the transaction is expected to contribute approximately $4.5 million in annual net income, significantly enhancing IQSTEL's earnings profile, strengthening our financial position, and further increasing the intrinsic value of the Company.

The share repurchase authorization is part of a broader corporate strategy designed to address what we believe is a significant disconnect between the market capitalization of the Company and the underlying value of its business. Through continued execution, strategic acquisitions, balance sheet strengthening, and disciplined capital allocation initiatives such as this repurchase program, we remain focused on unlocking shareholder value and ensuring that the market ultimately recognizes the true scale and potential of IQSTEL."