Home > Finance > FDJ hails “very strong” FY22 results

FDJ hails “very strong” FY22 results

| By Marese O'Hagan
France's national lottery operator Française des Jeux (FDJ) reported full-year 2022 revenue of €2.46bn (£2.18bn/$2.62bn), up by 9.1% compared to 2021, as lottery ticked up by 11%.
France

Stéphane Pallez, chairwoman and CEO of FDJ Group, said that the full-year results were indicative of growth across the business as a whole, as well as a steady balance of retail and online betting activity.

“FDJ recorded very strong results for the year as a whole, marked by an increase in all of our business activities and supported by significant growth in our 30,000 points of sale and sustained momentum online,” said Pallez.

“This good performance benefits all our stakeholders, in particular our employees,
our retailers and our shareholders.”

This growth was seen across the board. Lottery revenue rose by 10.9% year-on-year to €1.91bn. Revenue from sports betting and online gaming activities came to €467m – up by 0.6%.

In addition, FDJ said that 6% of the total revenue for the year was generated by the 2022 World Cup.

Full-year breakdown

Turning to the full results, revenue consisted of €2.38bn in net gaming revenue and €72.7m in revenue from other activities.

Gross gaming revenue (GGR) for the year totalled at €6.52bn, a rise of 8.6% yearly. This resulted from €20.61bn in stakes, which was affected by €14.09bn in player payouts. Following public levies at €4.14bn and sports betting revenue at €10.2m, net gaming revenue hit its total.

GGR from other activities totaled at €1.5m.

Earnings before interest, tax, depreciation and amortisation (EBITDA) was €590m.

Varying costs

Cost of sales affected the revenue the most, coming in at €1.32bn. Marketing and communication costs were the second highest of the year, at €460.9m, while general and administrative expenses hit €200m.

After considering other recurring income at €4m, recurring operating expenses at €15.4m, €200,000 in non-recurring income and €10.6m in non-recurring operating expenses, the total operating profit for the year was €448.8m. This was up by 14.5% yearly.

Various other incomes and expenses – spanning financial debt, financial income and financial expenses – took a further €28.7m from the total. After a net income share of €1.1m, profit before tax was €421.2m for the year, up by 1.1%.

Following income tax expense of €113.3m, the total net profit for the year was €307.9m, an increase of 4.6%.

Outlook for 2023

FDJ also outlined its outlook for the year ahead.

It projects revenue growth between 4% and 5% for 2023, which would see revenue hit around €2.51bn. This incorporates FDJ’s acquisitions of payment solutions provider Aleda and payment management company L’Addition.

FDJ also estimates a 20% rise in digital stakes.

In addition, the operator’s €175m acquisition of ZEturf Group, which was agreed in November last year, is set to be completed in the second half of 2023.

Last month, FDJ partnered with Ligue 1 football club Paris Saint-Germain to launch a responsible gambling campaign.

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