The FDJ Group, a leading French gaming operator, has announced its financial results for the first quarter of 2023, demonstrating significant growth and positive performance. The company’s revenue reached €662 million ($726 million), representing a year-over-year increase from €613 million. Pro forma figures, taking into account acquisitions, revealed a 7% rise in point-of-sale stakes to €4.8 billion and a remarkable 21.3% surge in online stakes, nearing $700 million.
Buoyant Online Stakes and Lottery Revenue:
FDJ’s online stakes experienced robust growth during Q1, primarily driven by the popularity of its lottery and sports betting offerings. The company witnessed a 6% increase in lottery revenue, amounting to €497 million. This growth can be attributed to the success of both instant games and draw games, with the performance of Loto and Euromillions particularly boosted by high jackpot stakes.
Positive Influence of Sports Betting and Stability in Q1 2023:
FDJ acknowledged the positive impact of the World Cup on its sports betting segment in 2022. In Q1 2023, the company reported stable revenue of €129 million, showcasing the continued momentum in sports betting. This stability indicates a solid foundation for future growth and performance.
Chairwoman and CEO Stéphane Pallez’s Comments:
Stéphane Pallez expressed satisfaction with the FDJ Group’s financial and extra-financial performance in Q1 2023. Revenue growth of over 5% was attributed to the strength of the company’s network of 30,000 points of sale and its thriving digital business. Pallez also highlighted the FDJ Group’s consistent focus on sustainability, as evidenced by its excellent rating from Moody’s ESG Solutions, placing the company as the industry leader for the fifth consecutive year. Additionally, the French Council of State’s validation of the privatisation procedure further solidifies FDJ’s monopoly and ensures compliance with European law.
Confirmation of 2023 Targets:
The FDJ Group confirmed its ambitious targets for 2023, aiming for revenue growth in the range of 4-5%. Furthermore, the company aims to achieve a substantial 20% increase in online stakes and maintain a recurring EBITDA margin of approximately 24%. These targets reflect FDJ’s confidence in its ability to sustain growth and capitalize on its market position and innovative offerings.
The FDJ Group’s strong financial results for Q1 2023 demonstrate its resilience and ability to drive growth in the gaming industry. The company’s revenue increase, particularly in online stakes and lottery revenue, highlights the success of its diverse product portfolio. With a stable performance in sports betting and a commitment to sustainability, the FDJ Group is well-positioned to maintain its leading position in the market. By confirming its ambitious targets for 2023, the company signals its confidence in achieving sustained revenue growth, leveraging its extensive network and digital capabilities.