FDJ United lowers 2026 guidance as EuroMillions slump and tax rises hit revenue

FDJ United has lowered its 2026 guidance for the second time in three months after revenue fell 5.6% to €2.58 billion in the nine months to end-September.

Gross gaming revenue (GGR) fell 2.8% to €6.26 billion. The third quarter was weaker, with revenue down 8.1% to €794 million and GGR down 6.1% to €1.95 billion.

The group said it had seen far fewer large jackpots than in 2025, and smaller ones, especially in EuroMillions. Sports bettors also won unusually large amounts in Q3, particularly in retail. In France, difficult economic conditions meant fewer customers visited its points of sale. Gaming tax increases cost the group €62 million and accounted for more than two percentage points of the revenue decline.

Growth will rely on innovation

Stéphane Pallez, chairwoman and CEO of FDJ United, said the performance “reflects factors inherent to the gaming sector, a decrease in traffic at points of sale against a backdrop of an unfavorable economic climate, as well as the expected increase in taxation.”

Pallez said the group remains fully committed despite the difficult environment. She added that FDJ United is “resolutely pursuing the implementation of its action and performance plans to swiftly regain a sustainable growth momentum.”

Pallez said the return to growth will rely on innovation and on making the group’s games more attractive. The group’s plans include relaunching Loto and EuroMillions, the pan-European draw game it operates in France, and turning around its online business in the UK and the Netherlands.

Fewer big jackpots

FDJ United now expects a low-single digit decline in GGR for 2026 and a mid-single digit fall in revenue. The revenue forecast includes more than €70 million in additional gaming taxes. In July, alongside its H1 results, the group had forecast stable GGR and a low single-digit revenue decline.

The group expects cost control to keep its recurring EBITDA margin at around 23%. It also confirmed its target of raising the dividend every year, with a payout ratio of at least 75% of adjusted net profit.

In the French lottery and retail sports betting unit, GGR fell 3.5% to €4.98 billion. Revenue fell 4.8% to €1.79 billion after €28 million in additional taxes.

Revenue from draw games dropped 12.2% to €563 million. By the end of September, there had been 12 EuroMillions jackpots above €130 million, compared with 27 a year earlier. Only one jackpot exceeded €200 million, compared with 12 in the same period of 2025. FDJ United said player stakes rise and fall sharply with jackpot size, so the shortfall hit activity hard. The group added that the trend in France matched the average across all ten European lotteries that take part in EuroMillions.

Instant games did better, with GGR up 1.9% and revenue up 0.3% to €935 million.

Retail sports betting revenue fell 4.5% to €297 million. The share of stakes paid back to players rose by more than 400 basis points to nearly 80%.

UK and Netherlands drag on online

The online betting and gaming unit’s GGR was virtually flat, down 0.8% at €1.01 billion. Revenue fell 8.2% to €619 million after €34 million in additional taxes.

Excluding the Netherlands and the UK, GGR rose 5.7% and revenue rose 0.8%, with France and Scandinavia continuing to perform well. GGR fell 8.6% in the Netherlands and 24.4% in the UK. The group said its action plans in both markets should gradually restore performance.

A new management team is working on a plan to grow the unit and cut costs. FDJ United is also speeding up the rollout of a single proprietary sports betting platform, which it aims to have running in most of its markets by the end of 2027. As part of this, it is reorganising its development teams in Europe.

Reviews due by early 2027

FDJ United is reviewing which markets its online unit operates in, as well as its non-core assets, particularly within the Payment and Services unit. It will announce the outcome by early 2027 at the latest.

For the lottery, the group plans additional draw game events in Q4. In 2027 it will relaunch Loto and EuroMillions and launch a new €10 instant game.

FDJ United will publish its full-year results on 18 February 2027.