Strong Group FDJ Performance: Third Quarter Revenue Up 12%, Full Year Revenue Expected to Increase Over 8% – Groupe FDJ

  • billing of 3me quarter 12% to 592 million euros

    • The lottery continued to perform well, with revenue rising +14% to €478 million, benefiting in particular from a large number of high EuroMillions jackpots[1]
    • Stability in the turnover of sports betting, at 97 million euros, before the FIFA World Cup at the end of the year
    • Maintaining the good trend of the points of sale (+6%) and continuing with the strong growth of online sales (+35%) that represent 13% of total sales
  • Revenues in nine months, at the end of September, 12% more to 1,805 million euros
  • By 2022, Revenues are expected to increase more than 8% with an EBITDA margin rate of around 24%, an improvement compared to forecasts at the beginning of the year.

Boulogne, October 13, 2022 (5:45 p.m.) – La Française des Jeux (FDJ), the main betting and gambling operator in France, announces its turnover for the 3me quarter and its outlook for 2022.

Stéphane Pallez, President and CEO of the FDJ group, said: “The good moment registered by the Group at the beginning of the year continued in the third quarter. We are particularly pleased with the return to good form of our activity at the point of sale, with a quarterly share of +6%. Meanwhile, our digital activity continues to attract a growing number of gamers now numbering almost five million. The good performance expected for the year as a whole reflects the relevance of our strategy, which is based on these two distribution channels, and reinforces our model of long-term responsible growth. »

At 3me 2022 quarter, +12% revenue growth to €592m, based on +9% increases

  • For the lottery, the increase in turnover (+14% to 478 million euros) was driven by that of betting (+11%) with:

    • Draw stakes were up +17% to €1,629 million, benefiting from a much higher number of high EuroMillions jackpots.
    • The instant game bet +7%, with 2,379 million euros, with the success of the activities of the games portfolio, in particular launches and relaunches such as Cash at the beginning of the year, X10 and X20 games at the end of June and the 5me edition of the game Mission Patrimoine at the end of August.
  • For sports betting, the stability of turnover (97 million euros) and bets is attributed to a high base of comparison in 2021, with the semi-finals and final of UEFA Euro 2020 in July. The 9% increase in bets in August and September reflects a good momentum driven by sports news.
  • Bids have risen across all distribution channels:

    • +6% at point of sale, up to 4,302 million euros, reflecting the return to normalcy of the network and the intrinsic good moment of the games.
    • +35% online, up to 643 million euros, or 13% of the total wagered, with sustained growth for both activities, the number of online lottery players continues to grow strongly.
  • Revenue from other activities increased by €3 million to €18 million.

In total at the end of September, increase in turnover of +12%,
at 1,805 million euros, with increases of +9%

  • For the lottery, the increase in turnover (+16%, up to 1,424 million euros) is in line with that of betting (+15%).
  • For sports betting, the difference between the change in turnover (-3%,
    at €329 million) and betting (-8%) reflects low rates of return to players at the beginning of the year, a situation that could change with the FIFA World Cup at the end of the year.
  • Income from other activities amounted to 52 million euros (+7 million euros).

Prospects for 2022 improve compared to forecasts at the beginning of the year

The performance at the end of September was higher than the Group’s forecasts, especially after a first semester whose results were expanded by a comparison base affected by the health crisis at 1Ahem semester 2021.

The Group’s business will benefit from the FIFA World Cup in
4me trimester; Given a significant basis of comparison for the lottery at the end of 2021, with several weeks of high-draw jackpots, FDJ forecasts a turnover of 2n/a semester up +6%.

Thus, for the year as a whole, FDJ now forecasts:

    • An increase in turnover of more than 8%;
    • An EBITDA margin rate of around 24%.

As a reminder, the FDJ group initially forecast that annual revenues for 2022 would increase by almost 5% with an EBITDA margin of more than 23.5%.

Next Group financial communications

  • FDJ will hold an Investor Day on Thursday, November 17, 2022 on its medium-term financial and extra-financial strategy and objectives.
  • FDJ will release its 2022 results on Wednesday, February 15, 2023 before the market opens.

exhibit

in millions of euros

09.30.2022

30.09.2021

Var° 09.2022 vs. 09.2021

Bets*

14,991

13,695

+9.5%

what lottery

12,023

10,480

+14.7%

Instant lottery games**

7,306

6,499

+12.4%

draw games

4,718

3,982

+18.5%

Of which sports betting

2,949

3,189

-7.5%

Physical network locations

13,172

12,141

+8.5%

* The bets are the bets of the players and do not constitute the turnover of the FDJ group

** Mainly scratch games (point of sale and online)

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