FDJ United lowers outlook after revenue decline
European gambling operator FDJ United has lowered its financial expectations for 2026 after reporting a 5.6% decline in revenue, with higher gambling taxes adding €62 million to its costs during the first nine months of the year.
The French group, which owns Unibet and 32Red (32Red review) following its acquisition of Kindred Group, generated revenue of €2.576 billion between January and September, down from €2.73 billion in the corresponding period last year.
Gross gaming revenue fell 2.8% to €6.264 billion.
The company attributed the decline to increased taxation, weaker retail lottery activity in France and unusually favourable results for sports bettors during the third quarter.
Its online betting and gaming division recorded revenue of €619 million, a decline of 8.2%, despite gross gaming revenue remaining broadly stable at €1.013 billion.
Performance was particularly challenging in the Netherlands and the United Kingdom, where higher taxation and regulatory changes have affected profitability.
Excluding those two markets, online gross gaming revenue increased 5.7%.
FDJ United Chairwoman and Chief Executive Stéphane Pallez said the results reflected difficult conditions across the gambling industry.
“In this challenging environment, the Group remains fully committed,” Pallez said, outlining plans to restore sustainable growth.
The operator now expects a low-single-digit decline in annual gross gaming revenue and a mid-single-digit decline in revenue, while targeting a recurring EBITDA margin of approximately 23%.
FDJ United is also accelerating the development of a unified proprietary sportsbook platform, which it expects to deploy across most of its markets by the end of 2027.
The company is reviewing its online gambling markets and non-core businesses, with decisions expected by early 2027.
The results add to evidence that European gambling tax increases are placing substantial financial pressure on major licensed gambling operators, particularly those with significant exposure to the British and Dutch markets.
