Iliad gears up its investment
13 March 2012
Iliad accelerated fixed line subscriber recruitment in 2011 thanks to a substantial increase in capital expenditure on its Révolution box, shrinking its cash flow margin
Iliad’s margin should recover somewhat in 2012 thanks to decreasing box prices. Fibre deployment is being scaled back due to weak demand
Mobile operating losses may be modest this year, but we expect pressure will build up in 2013 as network running costs rise and the termination rate asymmetry drops out