Iliad reports 10% rise in H1 sales, but profits edge down

1 Sep 2014

French telecoms operator Iliad, which is currently considering a plan to purchase T-Mobile US from Deutsche Telekom, has reported a 10.4% year-on-year increase in revenue to EUR2.02 billion (USD2.65 billion) for the six months ending 30 June 2014, although net income fell 1.3% to EUR139 million as a one-time tax charge and costs related to its 4G network rollout in France bit into the bottom line. On a positive note, the group – founded by internet entrepreneur Xavier Niel – said it continued to win new mobile users in a highly competitive French market. Having started out in the broadband segment, Iliad launched its low-cost mobile service in early 2012 and quickly ate into its rivals’ profits and market share by engaging in a ruthless price war with inexpensive tariff plans. It commanded a 13% share of the domestic mobile segment by end-June with mobile revenue climbing 24% y-o-y in H1 2014, to EUR745.7 million, thanks to more than a million net new additions in the six-month period. Earnings before interest, tax, depreciation and amortisation (EBITDA) rose 6.6% over the same period to EUR624.2 million.

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


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