Because Iliad does not convince the stock market
Iliad: accounts, comparisons and forecasts (not only in Italy)
EbitdaAl's "under review" objective for Iliad. The telephone company slows down its growth trend, even though its revenues are increasing in double figures. In Italy, the group closes the first quarter of 2021 with 305,000 new users, for a turnover of 188 million euros.
All the details.
ILIAD FALLS IN THE STOCK
Let's start with the reactions of the market. Iliad drops by more than 3% on the stock market at 11.30, to 132.20 euros. Yesterday the thud was over 10%.
UNDER REVIEW THE CASH FLOW
What is worrying is the slowdown in the revenue growth trend and the review of the operating cash flow target for 2021. The company led by Xavier Niel puts under review the target operating cash flow for the current year, estimated previously to around 900 million euros (1.09 billion dollars). The objectives of the group include the 5G rollout and the dedicated capex plan, also allocating the proceeds deriving from the sale of the remaining stake held in On Tower France (30%).
THE NUMBERS OF ILIAD
However, the numbers of the group are good. Iliad reported significant revenue growth , + 33.6% year on year, driven by the consolidation of the Polish operator Play, with growth that on a like-for-like basis would instead amount to 5% (a marked slowdown compared to the + 8.9% in Q420 vs Q419). In France , revenues rose 2.4% to 1.263 billion.
RESULTS FOR THE ITALIAN MARKET
Focusing on the Italian front, turnover recorded a growth of 25.1% compared to the first quarter of 2020. Since its debut in 2018, Iliad has conquered over 7.5 million mobile users, for a market share of approximately 10 % at the end of March 2021. The mobile network is also growing, the 7,200 sites activated at the end of April 2021, in line with the target of approximately 8,500 active sites by the end of the current year.
WHAT ILIAD ITALIA SAYS
"Thanks to these important numbers, iliad today anticipates the goal of achieving break even at the EBITDAaL level already in the second quarter of 2021 and announces the positive EBITDAaL target for the year 2021", reads a note from the society.
THE POSTPONEMENT OF THE DEBUT IN THE FIXED
The launch in the fixed sector has been postponed to after the summer – stresses today Il Sole 24 Ore : postponement "due to the global health condition", explains the CEO of Iliad Italia, Benedetto Levi.
This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/innovazione/perche-iliad-non-convince-la-borsa/ on Wed, 19 May 2021 10:28:08 +0000.