KonaTel, Inc.

KonaTel, Inc.

Company identity

• Corporate name: KonaTel, Inc. (formerly Light Tech, Inc.; Dala Petroleum Corp.; etc.)
• Incorporated in Nevada with multiple reorganizations and mergers in its history
• Wholly owned subsidiaries: Apeiron Systems and KonaTel Nevada
• 51% ownership of IM Telecom (Infiniti Mobile); Excess Telecom holds 49%
• Headquarters: Plano, Texas (KonaTel)
• Other operations and development resources: Johnstown, Pennsylvania (Apeiron Systems); Atmore, Alabama; Tulsa, Oklahoma; Los Angeles, Europe, and Asia

Principal products and services

• Apeiron Systems (wholly owned)
  • Hosted Communications Platform as a Service (CPaaS)
  • Services include SIP/VoIP, SMS/MMS, POTS replacement, Cloud IVRs, voicemail, fax, call recording
  • Cloud capabilities include information data dips, SD-WAN, and IoT data/device management
  • Network footprint: national private core network with public/private IP services (MPLS, Dedicated Internet, LTE/WAN)
• IM Telecom (Infiniti Mobile) (51% owned)
  • FCC-licensed Eligible Telecommunications Carrier (ETC)
  • Provider of Lifeline subsidized mobile voice/data services in multiple states; historically provided Lifeline in up to 40 states
  • Distributed services under the Infiniti Mobile brand
  • Participated in the ACP program (ACP ended June 1, 2024)
• Mobile services (hosted and mobile)
  • Retail and wholesale cellular voice, text, data, and IoT services
  • Resold through carrier and wholesale arrangements with national carriers and wholesalers/aggregators

Revenue model

• Primary revenue sources: hosted CPaaS services (Apeiron) and mobile services (Apeiron and IM Telecom)
• Pricing: recurring per-unit charges for data, voice/minutes, IoT data plans, and related subscriptions

Markets and distribution

• Apeiron CPaaS marketed nationally and internationally via website, sales staff, master distribution agreements, and ISOs
• Mobile services marketed nationwide via website, sales staff, retail locations, and ISOs
• Lifeline services distributed through IM Telecom via its Lifeline license and distributor/agent relationships

Corporate structure and recent transactions

• Subsidiaries:
  • Apeiron Systems (wholly owned)
  • KonaTel Nevada (wholly owned; inactive since early 2021)
  • IM Telecom (51% owned by KonaTel; 49% by Excess Telecom)
• Notable transactions and governance items:
  • 2018: KonaTel merger and acquisition of IM Telecom
  • 2014–2016: KonaTel Nevada activities, including Coast to Coast Cellular and CS Agency asset acquisitions
  • 2024–2025: Transaction documents with Excess Telecom related to IM Telecom (First Omnibus Amendment; reorganization to a standalone IM Telecom partnership, 51% KonaTel / 49% Excess Telecom; FCC approval withdrawn)
  • As of October 1, 2025, IM Telecom income reported as a partnership (Form 1065) for federal tax purposes; distributions to KonaTel under a Distribution Agreement
  • Management arrangements and intercompany notes adjusted between KonaTel and Excess Telecom
• Facilities and leases:
  • Plano, TX office lease through 3/31/2026
  • Johnstown, PA office (Apeiron) lease through 2030
  • Atmore, AL customer service center lease ended 2025; operating month-to-month thereafter
  • Tulsa, OK distribution center lease ended 7/31/2025; not renewed

Regulatory environment

• IM Telecom is an FCC-licensed Lifeline carrier
• ACP program ended June 1, 2024
• FCC approvals have been required for certain transactions (e.g., 2018 IM Telecom acquisition; Tempo Telecom acquisition subject to FCC review as of 2023–2025)

Financial highlights (consolidated)

• 2025
  • Gross revenues: $8,452,885
  • Cost of revenues: $5,840,675
  • Operating expenses: $5,290,592
  • Other income: $31,329
  • Net loss: ($2,647,053)
  • Depreciation (non-cash): $10,525
  • Accumulated deficit (12/31/2025): ($10,084,143)
• 2024
  • Gross revenues: $15,503,251
  • Cost of revenues: $12,088,944
  • Operating expenses: $7,953,378
  • Other income: $9,524,723
  • Net income: $4,801,601

Employees and capitalization

• Full-time employees (as of 12/31/2025): 25
  • Apeiron Systems: 12
  • KonaTel: 6
  • IM Telecom: 7
• Stock and capitalization
  • 2018 Incentive Stock Option Plan updates: in 2023, 7,848,120 registered shares remained for issuance; 1,748,120 issued; roughly 6,100,000 reserved for future issuance
  • History of equity financings and stock option issuances related to growth and acquisitions

Public market status

• Listed on OTCQB since December 14, 2020
• Smaller reporting company with ongoing SEC reporting obligations

Risks and context

• Small, evolving business in a competitive telecom and CPaaS market
• Dependence on large national carriers for wholesale access and services
• Lifeline and related subsidy programs are subject to regulatory change
• Regulatory compliance and SEC reporting impose costs and governance requirements
• Concentration of ownership (Chairman/CEO D. Sean McEwen holds a significant stake)
• Cybersecurity and operational risks associated with telecom networks and hosted platforms

Access to information

• Public filings available on SEC EDGAR (Form 10-Ks, Form S-8s, and other reports)
• Company information available on the corporate website and SEC filings

Summary

KonaTel, Inc. operates through Apeiron Systems (CPaaS and cloud communications) and IM Telecom (Lifeline-enabled mobile services), with a 51%/49% partnership structure for IM Telecom. The company combines hosted communications platforms and wireless/mobile services distributed via direct sales, web channels, and ISOs, with operations and facilities across multiple states. Financials show 2025 consolidated revenues of $8.45 million with a net loss, compared with 2024 consolidated revenues of $15.5 million with net income. As of year-end 2025, the company employed 25 full-time personnel and maintained active lease commitments for its primary offices and facilities.