French telecommunications group Iliad reported net profit up 75.2 percent to EUR 175.9 million in 2009, compared to EUR 100.4 million a year earlier. ISP Alice, which Iliad acquired from Telecom Italia in 2008, is consolidated since 26 August of that year. Cost cuts enabled the unit's contribution to group EBITDA to reach EUR 23.8 million last year, despite a strong erosion of its subscriber base (over 2% per month churn rate), as the group unbundled Alice subscribers in areas covered by the ADSL network of its larger sister company, Free. Iliad's EBITDA grew by 26.1 percent to EUR 661.4 million in 2009, for a 33.8 percent margin, compared to EUR 524.7 million (33.5%) in 2008. As previously reported, Iliad revenues rose by 24.9 percent to EUR 1.95 billion. The group aims to have 5 million broadband customers in 2011, versus 4.46 million at the end of 2009. It targets an around 90 percent group-wide unbundling rate in the medium term, and to provide horizontal coverage to 4 million homes with its FTTH network by the end of 2012. The Free Mobile 3G subsidiary intends to launch commercially in 2012 after its network covers 27 percent of the population by the start of that year. Iliad anticipates double-digit growth in EBITDA this year, including EUR 90 million in incremental EBITDA from Alice in the second half. Iliad said it expected to see a "very strong" increase in net profit in 2010.
