French betting group FDJ United's 9M revenue falls on fewer jackpots and tax hikes; cuts FY outlook

By Reuters News


Overview

  • France betting and gaming operator's 9M 2026 revenue fell 5.6% yr/yr to €2.58 bln

  • Company cites fewer high jackpots, higher player winnings, weak retail traffic, and tax hikes

  • 2026 outlook cut to low-single digit GGR decline, mid-single digit revenue drop, EBITDA margin ~23%


Outlook

  • FDJ UNITED now expects a low-single digit decline in 2026 GGR

  • Company sees a mid-single digit decline in 2026 revenue

  • Company targets a recurring EBITDA margin of around 23% for 2026


Result Drivers

  • FEWER HIGH JACKPOTS - Co said significantly lower number and amounts of high jackpots, especially for Euromillions, weighed on revenue

  • HIGHER PLAYER WINNINGS - Co said high player winnings in sports betting, especially at points of sale, reduced revenue

  • WEAK RETAIL TRAFFIC - Co said challenging economic conditions in France led to lower traffic at points of sale

  • TAX INCREASES - Co said gaming tax increases of €62 mln contributed to revenue decline


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

9M Revenue

EUR 2.58 bln


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 6 "hold" and 2 "sell" or "strong sell"

  • The average consensus recommendation for the casinos & gaming peer group is "buy."

  • Wall Street's median 12-month price target for FDJ United is €24.00, about 12.6% above its October 20 closing price of €21.32

  • The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago


Reuters Recommended Reads

  • Oct 20 - Betting giant Flutter to axe up to 1,400 jobs in UK and Ireland as tax hike bites


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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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