Française des Jeux H1 FY2024 Overview

Company Overview

Française des Jeux (FDJ) is the leading operator of lottery and sports betting in France. Established as a state-owned entity, FDJ has since grown into a key player in the gaming industry, with a focus on responsible gaming practices and technological innovation. The company emphasizes a sustainable business model, combining entertainment with social responsibility, ensuring its offerings are fair, accessible, and secure for all participants.

Company Goals and Principles

FDJ’s primary goals include promoting responsible gaming, supporting the French economy, and delivering consistent financial growth. The company maintains a clear commitment to ethical standards, prioritizing the protection of vulnerable players and minimizing any negative impacts of gambling. FDJ also focuses on enhancing its technological infrastructure to provide a seamless experience for users across various platforms, from traditional outlets to digital services.

Key Financial Figures for H1 FY2024

For the first half of FY2024, FDJ reported robust performance, driven by its diverse portfolio of gaming offerings. The company saw a significant increase in both its lottery and sports betting segments, with a strong focus on digital transformation contributing to growth. Revenue for H1 FY2024 grew by approximately 8%, reinforcing FDJ’s leading position in the French gaming market. Additionally, the recurring EBITDA margin stood at around 24.5%, reflecting efficient cost management and profitable growth.A detailed analysis of Francaise Des Jeux’s financial performance in FY 2023, including an examination of its revenue streams, profitability and overall financial health can be found in our report. We aim to offer readers a comprehensive overview of FDJ’s strategic initiatives and its competitive positioning in the gaming and entertainment industry.  Readers will find a wealth of valuable information in this report.

Acquisitions and Divestitures

A notable development in H1 FY2024 is FDJ’s acquisition strategy. On February 20, 2024, FDJ opened a tender offer for Kindred, with the objective of acquiring 90% of Kindred’s share capital. The tender offer is expected to run for a maximum period of 39 weeks, and its completion is contingent on obtaining the necessary regulatory approvals. This acquisition aligns with FDJ’s broader strategy to expand its footprint and diversify its business operations, further solidifying its position in the European gaming sector.

Business Outlook

Looking ahead, FDJ remains optimistic about its growth prospects. After integrating the ZEturf group and PLI at the end of 2023 (on September 29 and November 3, respectively), FDJ has reiterated its financial objectives for 2024. The company projects an 8% increase in total Group revenue, driven primarily by a 5% growth in its core gaming activities in France. FDJ is also focused on maintaining its recurring EBITDA margin at approximately 24.5%, which underscores its commitment to sustaining profitability while expanding its market presence.

Sales by Business Type for H1 FY2024

In H1 FY2024, FDJ’s sales were predominantly driven by its lottery and sports betting segments. The lottery business continues to be the main revenue generator, with steady demand across traditional and digital platforms. The sports betting division also showed strong performance, boosted by significant sporting events during the period. FDJ’s growing digital portfolio is increasingly contributing to overall sales, with digital channels experiencing double-digit growth as more players shift toward online and mobile gaming options.

FDJ’s strategic acquisitions, focus on responsible gaming, and efforts to digitize its offerings will likely enable the company to maintain its strong position in the French gaming market while expanding its reach in Europe.