FDJ Group started off strong in the first quarter, yet Kindred Group's revenue took a hit due to challenging comparisons with 2024.
In the first half of 2025, FDJ United, the European online betting and gaming conglomerate, announced a 11.5% decrease in revenue for its online betting and gaming business. This dip, however, does not reflect poorly on the operational performance of the business, but rather unusual prior-period results and regulatory headwinds.
Before October 2024, Kindred was not part of the FDJ group. The revenue dip is for the online betting and gaming business operated by Kindred within FDJ United, a business that joined the group later. The decrease in revenue is a year-on-year dip, comparing the H1 2025 figures with the corresponding period of 2024, when Kindred's Q2 revenues were boosted to their best quarter ever due to the Euro 2024 tournament. This creates a tough baseline for 2025.
New regulations and tax increases in key markets such as the UK and Netherlands have heavily impacted revenue for Kindred. Excluding those markets, Kindred would have actually seen a 5% revenue increase, with notably strong growth in France where the business is performing well.
In a positive turn of events, the wider group of FDJ United experienced a 30.7% year-on-year increase during H1 of 2025, amounting to €1.87 billion ($2.14 billion). The growth was primarily driven by two core areas: French lottery and retail sports betting. The revenue increase did not involve any "restated" figures, unlike the revenue comparison for the online betting and gaming business operated by Kindred.
It's important to note that the online betting and gaming business operated by Kindred is part of FDJ United. The 11.5% year-on-year dip in FDJ United's online betting and gaming revenue is primarily due to the exceptional prior-period results fueled by Euro 2024 and regulatory headwinds in major markets, rather than purely poor operational performance. FDJ's CEO also noted that Q2 2025 showed a 2% improvement over Q1, indicating some recovery momentum despite the challenging environment.
In summary, the significant year-on-year revenue drop reflects exceptional prior-period results fueled by Euro 2024 and regulatory headwinds in major markets, rather than purely poor operational performance. The wider group of FDJ United, however, has shown robust growth, with France being a notable bright spot for the online betting and gaming business operated by Kindred.
- In some future business ventures, Kindred might consider exploring profit opportunities in the online finance and investing sector, diversifying from sports-betting.
- Because of the success of the French sports-betting market, Kindred could investigate expanding its technology integration to enhance online gaming experiences beyond sports-betting.
- Given the complexities of the regulatory landscape in the sports-betting industry, Kindred might want to seek advice from financial and legal experts to better navigate potential tax increases and new regulations in various markets.
