Iliad reports strong revenue, subscriber growth in 2014

12 Mar 2015

French telecoms company Iliad Group has published its financial results for the twelve months ended 31 December 2014, reporting 11.2% annual growth in its consolidated revenues to EUR4.168 billion (USD4.42 billion), up from EUR3.748 billion in 2013. The positive development was mainly attributed to sustained growth by the company’s mobile operations, which generated revenues of EUR1.614 billion in the period under review, up by 28.0% from EUR1.261 billion in 2013. Landline revenues also increased in the period under review, up by 2.7% y-o-y to EUR2.564 billion, chiefly due to the popularity of the company’s ‘Freebox Revolution’ offerings. EBITDA for the twelve months to end-December 2014 reached EUR1.284 billion, a 6.6% increase on the EUR1.204 billion reported in 2013, while profit for the period was up by 4.9% y-o-y to EUR278.4 million.

In operational terms, the group’s total mobile customer base passed the ten million subscriber milestone by 31 December 2014, with two million net additions in the preceding twelve months. The number of broadband subscribers also increased, albeit more modestly, up 4.04% to 5.868 million by end-December 2014. Further, the company noted that quarterly broadband ARPU dropped slightly to EUR35.10, primarily due to the country’s VAT increase (to 20%), which came into force on 1 January 2014, and lower use of value-added audiovisual services, such as video-on-demand (VoD) and pay-TV. The operator noted that more than 1,900 new base transceiver stations (BTS) were deployed in 2014 to give it a total of 4,428 sites in services by December, with 3G coverage reaching 75% at that date. Of the total, 2,099 BTS were Long Term Evolution (LTE)-enabled. Further, the company disclosed that in 2014 it had accelerated the migration of its landline network to VDSL2 and fibre-to-the-home (FTTH) technologies, sustained by EUR737 million in free cash flow (FCF) generated by ADSL operations; Iliad had 230 optical nodes in very densely populated areas, with potential coverage of around 3.4 million FTTH plugs.

Iliad has also outlined its objectives for 2015, stating that it aims to build 1,500 BTS in 2015 and reach LTE population coverage of 60% by the end of the year. Going forward, the operator is aiming to increase its market shares to 25% of the fixed broadband and mobile markets in the long-term.

France, Free Mobile (Iliad), Iliad (Free)