Bertelsmann sees 1 bln euro net profit in 2 years
BERLIN, March 26
BERLIN, March 26 (Reuters) - German media group Bertelsmann said on Wednesday it expects its annual net profit to grow to 1 billion euros in about two years, from 870 million in 2013, as it focuses on growing its music and education units.
It also aims to boost annual revenues to 20 billion euros in three to five years, compared with 16.4 billion in 2013, Chief Executive Thomas Rabe told journalists on Wednesday.
Privately held Bertelsmann is co-owner of Penguin Random House, the publisher of bestsellers such as Dan Brown's "Inferno" and the "Fifty Shades" trilogy, and also holds the majority of broadcaster RTL .
It has earmarked education, music rights, financial services and business information as the main areas in which it aims to grow.
It launched a new education fund on Wednesday, which will invest hundreds of millions of U.S. dollars. Rabe said the University Ventures Fund II would invest "significantly more" than its predecessor Ventures Fund I, which was launched in 2011 and had $105 million in commitments.
Bertelsmann is also making a rapid transition to digital platforms. RTL Group saw its video views jump 143 percent to 16.8 billion in 2014, up from 6.9 billion in 2012.
Last year, Bertelsmann bought it partner KKR out of its BMG music rights business, which has more than 1 million copy rights and has signed up The Rolling Stones, Robbie Williams and the Backstreet Boys. (Reporting by Harro ten Wolde; Editing by Maria Sheahan)