[Berlin] German media giant Bertelsmann AG has reported a revenue increase of 23
percent to 32 billion Marks (US $15.3 billion) in the current fiscal year.
For the previous year, the company registered 26 billion Marks (US $12.5 billion).
In real terms, the revenue increase totals around ten percent or three
billion Marks (US $1.5 billion).
A big part of this growth results from the full integration of the
television and radio holding CLT-UFA. Bertelsmann emphasized that they had made no big
acquisitions during the last fiscal year. The complete proceeds from the
sale of their stake in AOL
Europe, approximately 15 billion Marks (US $7.2 billion), are still at the
company’s “full disposal for future strategic investments”. “We will use
this money carefully,” a company press speaker commented yesterday.
Through the amalgamation of the media and communication sectors, the
competition has become more intense. Recently, the media group announced that
they intended to make a big takeover in the Internet sector. No comment was
made as to the selection of a possible takeover candidate, however, not many
candidates remain in the running.
The entire music and literature content will be digitalized in order to sell
it over the Internet. In addition, online retailing will become a focus
point for development. The next expansion goals are said to lie in the
direction of the Asian markets and with the extension of the newspaper
sector in the U.S. According to company sources, Bertelsmann ranks third in
the list of media companies with the highest turnover, coming behind AOL Time Warner and
CBS Viacom. In forth place
Approximately 73,000 employees in more than 300 separate companies in 54
countries work for the company.