(AsiaGameHub) –   FDJ United experienced a deceleration in growth momentum towards the close of the first quarter of 2026, as higher taxes counteracted fundamental growth in gaming.

Gross gaming revenue (GGR) for the quarter ending 31 March increased by 1% compared to the previous year, reaching €2.18 billion. However, overall gaming revenue fell by 3% to €895 million, primarily because of approximately €24 million in extra gaming taxes impacting both retail and online operations.

In France, lottery and retail sports betting revenue decreased by 2% to €627 million, partially affected by €15 million in tax hikes. Lottery performance was varied: instant games grew 1.1% to €320 million, while draw games declined 6.2% to €199 million, a result of only one major jackpot cycle occurring compared to the €250 million EuroMillions draw in the same period last year. Digital lottery sales saw a modest increase of 1.4% to €81 million.

Retail betting and sports gaming revenue also saw similar declines, with total revenues falling 1.8%, or 3.6% after accounting for an extra €2 million in tax obligations accrued during fiscal Q1. Betting at point-of-sale locations dropped by a further 1.8% to €546 million when measured against income from the same period in prior years.

Online betting and gaming revenues registered a substantial 8% decline to €213 million, a direct consequence of a €9 million tax increase that was implemented the prior year. The group highlighted tax reforms across several jurisdictions, including France, the Netherlands, and Romania. Furthermore, the new UK tax framework did not take effect until the second fiscal quarter.

Total Q1 revenues in the UK were down 24.1% year-on-year, while revenues in the Netherlands fell 19.9% compared to an even steeper decline in 2015. When excluding these two major markets, total revenues showed minimal year-over-year change, with demand in both France and Sweden edging up slightly by 1%.

FDJ noted a 3% rise in active players in the United Kingdom, crediting its continuous user acquisition campaigns and initiatives to promote responsible gambling, including increased transparency about problem gambling support. International Lottery revenues grew 7% year-on-year to €41 million; conversely, the payments & services division saw a 7.2% decrease from the previous year to €14 million.

Despite the weaker revenue figures, Chairwoman and CEO Stéphane Pallez expressed a positive outlook:

While still operating in a climate influenced by tax increases and stricter gaming regulations, the group is intensifying its focus on operational efficiency, synergies, and financial discipline. The objective is to resume sustainable, value-creating growth starting in the second half of the year, for the benefit of all stakeholders.

FDJ United projects a modest rise in full-year GGR but a slight decrease in revenue, with nearly €90 million in additional tax impacts expected.

In a separate announcement, the company confirmed the appointment of Dan Lévy as chief financial officer, effective 18 May. He will succeed Pascal Chaffard, who is moving into new strategic positions within the group.