FDJ United has revised its 2026 guidance for the second time in three months, citing a revenue drop of 5.6% to €2.58 billion for the nine months ending September 30. Gross gaming revenue (GGR) also saw a decline, decreasing by 2.8% to €6.26 billion, with the third quarter reporting an even sharper fall. Revenue fell 8.1% to €794 million, and GGR decreased 6.1% to €1.95 billion.
The company noted an absence of large jackpots, particularly in EuroMillions, compared to 2025. Additionally, retail sports bettors experienced significant wins in the third quarter. Economic struggles in France reportedly led to a decrease in customer visits to retail points of sale. The increase in gaming taxes impacted the group by €62 million, contributing over two percentage points to the revenue decline.
Chairwoman and CEO Stéphane Pallez commented that the current performance reflects various underlying factors in the gaming sector, including reduced foot traffic at sales outlets amid a challenging economic environment and increased taxation. Despite these difficulties, she reassured that FDJ United remains dedicated to its goals, emphasizing ongoing efforts to implement action and performance plans that aim to restore sustainable growth.
Pallez highlighted that future growth will hinge on innovation and enhancing the appeal of its games. The group plans to relaunch the Loto and EuroMillions, the pan-European lottery offered in France, and is focusing on revitalizing its online presence in the UK and the Netherlands.
FDJ United is now anticipating a low single-digit decline in GGR for 2026 and a mid single-digit drop in revenue, accounting for more than €70 million in additional gaming taxes. Earlier, in July, when the group reported its first-half results, they projected stable GGR and only a minor revenue decline.
To maintain a recurring EBITDA margin around 23%, the group is confident in its cost management strategies. It also reaffirmed its commitment to an annual dividend increase, targeting a payout ratio of at least 75% of adjusted net profit.
In its French lottery and retail sports betting segment, GGR fell 3.5% to €4.98 billion, and revenue dropped 4.8% to €1.79 billion, attributed to €28 million in additional taxes. Revenue from draw games fell 12.2% to €563 million. By the close of September, only 12 EuroMillions jackpots exceeded €130 million—down from 27 during the same period last year—while just one jackpot surpassed €200 million, compared to 12 in 2025. FDJ United noted that player stakes correlate closely with jackpot size, leading to a pronounced impact on gaming activity. This trend mirrors the average experiences of all ten European lotteries participating in EuroMillions.
Instant games performed better, showing a 1.9% increase in GGR and a 0.3% revenue rise to €935 million. In contrast, retail sports betting revenue fell 4.5% to €297 million, with player payouts increasing by over 400 basis points to almost 80%.
The online gaming and betting division's GGR was nearly stable, down 0.8% to €1.01 billion, while revenue fell 8.2% to €619 million, accounting for €34 million in additional taxes. Excluding the Netherlands and the UK, GGR improved by 5.7%, and revenue saw a 0.8% increase due to strong performances in France and Scandinavia, though GGR plunged by 8.6% in the Netherlands and 24.4% in the UK. The company is optimistic that its action plans will gradually enhance performance in these markets.
A new management team is formulating strategies to expand the online division and reduce operational costs. FDJ United is hastening the implementation of a proprietary sports betting platform, expected to be operational in most markets by the end of 2027. This plan includes a reorganization of its European development teams.
A review of the markets serviced by its online unit and its non-core assets, particularly in the Payment and Services division, is underway, with outcomes expected by early 2027.
Furthermore, the group has plans for additional draw game events in the fourth quarter. It intends to relaunch both Loto and EuroMillions in 2027, alongside launching a new €10 instant game. FDJ United will release its full-year results on February 18, 2027.
