FDJ United was hit hard by increased taxes in 2025, with the majority of its business units reporting a dip in revenue from the previous year. Its Kindred business, reported as online betting and gaming, saw gross gaming revenue drop 13.5% during the year, while total revenue for the segment also fell 11.8% to €908 million.
French lottery and retail betting was the only segment that reported growth for the 12-month period, while international lottery and payments decreased by 10.7% and 3.9% respectively.
More broadly, the group reported a 0.8% year-on-year increase in restated GGR to €8.7 billion ($10.28 billion). The restated figure reflects combined Kindred and FDJ data throughout the year.
Group NGR was down 2.7% from the previous year to €3.49 billion (including Kindred). The impact from increased taxes was significant on overall results as FDJ said across the board levies had increased 3.2% during 2025, resulting in the group paying €5.21 billion in fees.
Recurring EBITDA came to €902 million, down 6.5%, resulting in a slightly decreased EBITDA margin of 24.5% in 2025. Recurring operating profit, on a restated basis, was also down 5% to €565.6 million. This followed an increase in costs across all areas, partly due to the Kindred acquisition. Net income was therefore €175.9 million, marking a 56% decrease compared to 2024.
The group’s total tax bill for the year hit €130 million, representing an effective rate of 42.9%, compared with 25.8% in 2024.
Kindred chief Nils Andén to exit the group
Excluding Kindred’s performance, the group estimated GGR would have increased 14% year-on-year, while NGR would have been 20% higher.
Alongside its FY25 results, the company reported Nils Andén, former Kindred chief and current chief online betting and gaming officer for the group, would be leaving to “pursue new projects”.
Andén had overseen Kindred’s integration into the group since the €2.45 billion acquisition was completed in October 2024. CFO Pascal Chaffard has been named as Andén’s successor to lead the online business arm.
FDJ online gross gaming revenue dips 13.5%
Taking a closer look at FDJ’s performance in 2025, online betting and gaming GGR’s decline was largely due to tax hikes in the Netherlands (GGR down 38.3%) and challenging comps from the previous year, which had included the Euro 2024 tournament. Betting and gaming revenue was down 8.1%, with revenue in the UK down 22.4% on the previous year.
GGR across other markets did increase 5.6%, helped by the Parions Sport en ligne, Unibet and ZEturf outperforming the market in certain areas, particularly in France.
Over the year, FDJ noted that business had increased its active players by over 10%, due in part to its marketing and responsible gaming strategy. It said in its results that the business was being reorganised, with a “complete operational transformation under way”.
French lottery and retail betting revenue edges up
French lottery and retail sports betting remained the business’ primary source of revenue by some margin. The €6.95 billion in GGR was 2.8% more than the previous year, while revenue increased 1.4% to €2.54 billion due to higher taxes in France.
Lottery GGR climbed 3.4%, with revenue up 2.2% to €2.10 billion. FDJ said this was helped by the addition of new titles to its instant games offering, while draw games were mainly driven by long Euromillions cycles, with more than 50 draws featuring a jackpot in excess of €75 million.
Online lottery revenue increased 8.1% to €316.2 million and accounted for 15% of the whole lottery business. Meanwhile, point-of-sale sports betting revenue fell 2.3% to €442 million due to a tough year-on-year comparison, though overall point-of-sale revenue was up 0.5% to €2.22 billion.
International lottery revenue was 10.7% down year-on-year at €169.9 million. This was partly due to the disposal of Sporting Group at the end of 2024 and the gradual cessation of low-margin B2B contracts.
In addition, the group’s payment and services business reported a 3.9% decline in recorded revenue to €61.9 million. FDJ noted that this segment continued to “gradually optimise” its portfolio of activities while stepping up investment to develop the Nirio brand and services.
Scope for growth in 2026?
Despite the challenging results, FDJ Chairwoman and CEO Stéphane Pallez was positive about the group’s outlook. She said the addition of Kindred would support the company in the long term and said the group would return to a “profitable and sustainable growth path” in 2026.
“In 2025, we demonstrated the strength of our model and continued its transformation, in an environment affected by tax increases and tighter regulations on gaming,” Pallez said. “With a strengthened performance plan and a new organisation of its online betting and gaming business unit, the group will continue to improve its operational efficiency to return to its profitable and sustainable growth path by 2026.”
The company noted other changes to the executive team as Celia Verot was named general secretary and chief regulatory officer. The search for a new CFO is also underway.
Original article: https://igamingbusiness.com/finance/full-year-results/higher-tax-leaves-revenue-flat-fdj-united/
