Groupe Illiad continues to thrive thanks to its new mobile business, which is causing havoc at rival Bouygues.

The French operator reported year-on-year revenue growth of almost 53 percent to €819 million in the third quarter.

Free Mobile brought in €238.3 million between July and September, and acquired 805,000 new subscribers.

Since launching in January it has generated €558 million in revenues; its customer base now stands at more than 4.4 million, which represents 6.4 percent of the total French mobile market.

In Q3 Illiad also reported “robust” growth in its landline business, where revenues increased 8.7 percent to €583.5 million; this was driven by its Free broadband offerings, which attracted 110,000 new subscribers to bring its customer base to almost 5.3 million.

In September the operator said it was targeting revenue growth of 177 percent by 2015, and 25 percent of the French mobile market

One of the victims of Illiad’s success has been Bouygues Telecom.

Its mobile revenues have continued to decline “as expected” during the third quarter, although it did manage to acquire 178,000 new mobile customers; its fixed broadband customer base also grew 57 percent y-o-y.

Bouygues revealed an 8 percent decline in its sales over the first nine months of this year, to €4 billion.

Its net profit contribution to the Bouygues Group as a whole has plunged 78 percent to €68 million.

Bouygues Telecom is implementing €300 million adaptation and savings plan, the results of which it expects to see in 2013.

It has also enacted a voluntary redundancy plan, proposed in July, shedding 556 employees

Other rivals are also suffering. On Wednesday, SFR reported that Q3 sales fell 8.9 percent and earlier, FT-Orange revealed a 4.2 percent decline in its domestic revenues.

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