FDJ Q3 2025: Revenue €864M, Online Gaming Drops 15%

France’s national lottery and gambling operator, Française des Jeux (FDJ), reported steady growth in the third quarter of 2025, despite headwinds from increased taxation and weaker online turnover. FDJ posted €864 million in Q3 revenue, representing a 29% year-on-year increase.

However, when adjusting for the Kindred acquisition, revenue declined by 3% on a restated basis, highlighting the impact of France’s July 2025 gambling tax changes and a slowdown in digital gaming activity.

Retail Betting Remains a Pillar

FDJ’s retail network, including in-person lottery and sports betting, helped offset online challenges. For the first nine months of 2025, total revenue reached €2.73 billion, up 30.2% year-on-year but down 2.1% on a restated comparison.

The retail channels continue to provide consistent returns despite tighter regulations, demonstrating their importance as the backbone of FDJ’s business model. The strong performance in physical sales proved crucial as the online segment faced structural pressures.

Digital Operations Hit by Tax and Consumer Shifts

FDJ’s online betting and gaming revenue fell 15.6% year-on-year to €209 million, affected by new tax policies and changing player behavior. By contrast, lottery and retail sports betting revenue grew 2.5% to €595 million, showcasing the resilience of traditional channels.

International lottery activities contributed €44 million, while payments and services generated €16 million, down 1.8%. These numbers illustrate a widening gap between FDJ’s established retail operations and its digital business.

Strategic Outlook Aligned With Play Forward 2028

FDJ reaffirmed its 2025 revenue guidance of €3.7 billion and a projected recurring EBITDA of €900 million with a 24% margin, in line with its Play Forward 2028 plan. This strategy aims for 5% annual organic growth, focusing on digital transformation and expansion into regulated international markets.

FDJ Chairwoman and CEO Stéphane Pallez commented:

“The decline in our online betting and gaming revenue in certain markets, combined with higher gaming taxes in France, underscores the need to deepen our transformation and performance plan. We remain committed to executing the Play Forward 2028 strategy.”

Looking ahead to 2026, FDJ will focus on stabilizing online performance, optimizing marketing spend, and leveraging synergies from the Kindred acquisition.

Navigating Tax Policy and Market Competition

The operator’s performance comes amid rising regulatory costs and an increasingly fragmented market. FDJ’s dual role as a state-linked monopoly and an iGaming competitor places it at the center of France’s evolving gambling landscape.

While retail sales continue to provide reliable revenue, the online division must adapt to higher taxes and shifting consumer habits. The key question for FDJ is whether it can balance its strong retail foundation with ambitious digital growth under a heavier fiscal burden.