FDJ Backs UK Market Despite Unibet Struggles and Tax Pressure

FDJ United has ruled out withdrawing its Unibet brand from the UK, despite a sharp decline in first-quarter performance and increasing tax concerns.

The French state-backed operator, which acquired Kindred in 2024, used its latest earnings call to outline a turnaround plan for its online betting and gaming division. Newly appointed betting and gaming chief Pascal Chaffard made it clear that the focus is on fixing operational issues rather than exiting the market.

UK Performance Continues to Weigh on Results

FDJ’s figures for Q1 underline the scale of the challenge. Group gross gaming revenue (GGR) edged up 1% to €2.175bn, but revenue fell 3% to €895m.

However, within its online betting and gaming division (largely made up of former Kindred assets) performance declined across the board. UK results were particularly weak:

• GGR down 24%
• Revenue down 24.1%

The Netherlands showed similar pressure, with double-digit declines linked to local tax increases.

Taking the Netherlands and the UK out of the picture tells a different story. Without these countries, online betting and gaming GGR actually rose by 6%. This suggests the downturn is highly market-specific.

No Plans to Exit the UK

Despite those figures, FDJ remains committed to the UK. Chaffard described the business as still profitable, with its market share sitting in the low single digits. It seems as though Chaffard’s words should be trusted too, as the FDJ has not always taken the same approach in these situations.

Following FDJ’s acquisition of Kindred in 2024, Unibet significantly reduced its international footprint, particularly in the poker world, exiting a number of European markets and focusing only on 11 jurisdictions that met stricter regulatory standards.

This shows that market exits are something FDJ is comfortable with - at the right time. However, in the UK, the group sees enough stability and profitability to justify staying.

Turnaround Plan Focuses on Internal Structure

Rather than scaling back, FDJ is targeting internal inefficiencies. Chaffard pointed to siloed decision-making as a core issue. He said that marketing, product, compliance, and AML teams had previously been operating without sufficient coordination, but that this is set to change.FDJ has already launched targeted taskforces in both the UK and Netherlands, bringing departments together to align strategy and execution. Alongside this, FDJ is is also placing greater emphasis on:

• ROI-led marketing
• Improved player experience
• Better use of internal data

Timeline for Recovery

While some operators view the UK market and regulatory shifts as a long-term problem, FDJ does not. Chaffard indicated that improvements should materialise over ‘some quarters’ rather than years.

FDJ expects a slight increase in GGR for 2026, alongside a modest dip in revenue, with the online division targeted for improvement in the second half of the year. For now, the UK remains a difficult market, but one FDJ is not prepared to leave.