Iliad, the parent company of the operator Free, presented its quarterly results.Over the first three months 2018, the group announces bad results.Management is reworked and operator's marketing is moving with new offers and promotions on fixed as well as on mobile.

Few new mobile subscribers, loss of Freebox subscribers

The Iliad group has a turnover of 1.2 billion euros over the first three months of the year, up 0.8%.

Free Mobile achieves a figure of 531.1 million euros, up 3.9%.The number of subscribers reached 13.825 million, up 130,000.The unlimited free package has won 250,000 subscribers, thanks to promotions on migration from the Free 2H package.The number of subscribers using the 4G network reaches 8.3 million subscribers, up 100,000, and the monthly consumption of subscribers on the 4G network increases by 0.6 GB, or 9.2 GB/month/subscriber.

On the other hand, on the fixed, Free displays a loss of 19,000 customers, or 6.501 million equipped households.Despite the gain of 90,000 subscribers, the 649,000 Fiber Freeboxes fail to compensate for the loss of DSL subscribers.This is the first time that Free has lost customers in his historic profession.

As a result, Freebox's turnover is reduced to 672 million euros, down 1.6%.The operator explains the losses on the Freebox: strong competition, promotions (on private sale) and VAT changes on audiovisual offers (channel).But he does not mention Netflix very disturbed during the period.

A new management to relaunch the operator

Faced with these poor results, the board of directors decided to change part of the operator's management: Thomas Reynaud is elected managing director and Cyril Poidatz, the former chairman of the board of directors, as secretary general.The former managing director, Maxime Lombardini, is elected chairman of the board of directors, an exfiltration for the fuse of this failure.

The new managing director has decided to strengthen the management team.Xavier Niel (Director of Strategy), Rani Assaf (Technical Director), Antoine Levasseur (Director of the Computer System), Patrick Fouqueriere (Deputy Director for the Relationships of Suppliers) and Angélique Gérard (Director Delegated to the Relationcustomers) remain.Thomas Reynaud decided to appoint Nicolas Jaeger to the group's financial management, Aude Mercier to Human Resources, Camille Perrin in Marketing and Shahrzad Sharvan as Deputy Secretary General.

This new management must relaunch the operator in France against these disappointing results, attack the launch of mobile plans in Italy (before June 21) and the management of the Irish operator Eir.

Iliad action drops by 21%

The publication of these results could mark a tendency reversal in telecoms.Investors did not appreciate and showed themselves particularly severe, bringing the title of 21% last week to 130.65 euros at the end Friday.

A new commercial range in the coming weeks

The very competitive commercial context, initiated by Free himself, no longer seems to play in his favor today.The new management will therefore have to set up new promotional methods for free and set out to conquer.Thus, Free will add its own promotions as on very free days on the Freebox Mini 4K offer, in addition to promotions on private sale.

Iliad announces changes in the coming weeks:

Free wants to accelerate the migration of free 2 hours subscribers to the unlimited free, mobile side and deployment package of 2,000 relay antennas sites in 2018, increase the number of fiber subscribers between 30 and 50,000 subscribers in 2018 and around 50,000In 2019 and reach 9 million connectable FTTH sockets by the end of 2018.