Iliad reports 21.8% rise in 3Q revenue bolstered by Alice acquisition

5 Nov 2009

French alternative telecoms operator and internet access provider Iliad posted consolidated revenues of EUR486.7 million (USD718.8 million) in the three months ended 30 September 2009, up 21.8% from EUR399.6 million in the same period of 2008, largely the result of organic growth by the Free brand, the consolidation of Alice, and the growing usage of added value services available to Free and Alice subscribers. Iliad confirmed its short- and medium-term targets and said it still targets strong growth in net profit in 2009 and is sticking to its target of achieving five million subscribers in 2011. Traditional telephony revenues for the period under review fell 65.3% from EUR10.7 million in 3Q08 to EUR3.7 million.

On the operational front, Iliad said it enhanced its strategic positioning in the French broadband market, due to the marketing dynamics of the Free brand and the continuing integration of Alice. Iliad’s ADSL subscriber base totalled 4.42 million at 30 September 2009, up from 4.22 million at the start of the year. In the third quarter, the operator’s Free brand recruited 100,000 net new subscribers, resulting in a market share of about 28.4% of new subscribers.

Iliad added that continuing efforts to extend local loop unbundling, as well as the migration of Alice subscribers to the Free network enabled the group to record an unbundled rate of close to 84%, ahead of the 82% year-end target. Iliad’s consolidated broadband ARPU stood at EUR36.1 per month in the three months to 30 September 2009, in spite of a less favourable seasonal effect for the consumption of VAS over the summer.

France, Iliad (Free)