German media giant Bertelsmann reports €1bn profit in 2025

German media giant Bertelsmann on Thursday reported €1 billion ($1.16 billion) in profit for 2025, unchanged from the previous year.

Revenue was also stable at €19 billion, with chief executive Thomas Rabe praising a "solid financial year" for the company, which owns well-known media houses such as the RTL Group, publishing conglomerate Penguin Random House and the BMG music label.

Rabe told dpa the Gütersloh-based company is sticking to a medium-term target of €24 billion in consolidated revenue, which he described as "absolutely achievable" and "non-negotiable."

The chief executive said more moderate growth rates were primarily attributable to the economic environment. Market shares among Bertelsmann's individual business segments remained largely stable or, in some cases, improved, he added. 

Adjusted operating profit before interest, taxes and depreciation reached €3 billion, slightly below the previous year's figure of €3.1 billion, with exchange rates and portfolio changes the main factors weighing on performance.

Adjusted for these effects, including the sale of RTL Nederland, the result was slightly above the previous year's level. 

Capital expenditure amounted to just over €2.1 billion in 2025, remaining at the previous year's level. Since 2021, investment in growth programmes has totalled around €7 billion.

For 2026, the executive board anticipates an overall stable performance, with revenue and earnings growth in continuing operations.

Regarding potential impacts of the war in the Middle East and Iran's near blockade of the Strait of Hormuz, Rabe said that immediate effects would be limited as the group's activities are predominantly localized within markets and less dependent on goods and transport flows.

Indirectly, however, economic consequences would be clearly felt, while a further economic slowdown would also affect the media and services industries via weaker consumer demand.

In terms of personnel, the group is facing a planned change of leadership: Rabe is set to hand over his duties at the end of 2026.

The transition is proceeding according to plan, he said. He is confident that he will be able to "hand over his responsibilities at the end of the year to Thomas Coesfeld and Clemens Schwebig."

Coesfeld, the grandson of company patriarch Reinhard Mohn, who died in 2009, is set to succeed Rabe at the helm of the group after heading BMG.

Schwebig will take over the operational management of the RTL Group in future, joining the group on May 1, 2026.

The move is intended to separate the management of the broadcasting company from Bertelsmann's top leadership.

As one of the key media divisions within Bertelsmann, RTL Group is continuing to drive forward its streaming business, with subscriber numbers rising. 

Furthermore, RTL intends to expand its business in German-speaking regions and has planned the acquisition of Sky Deutschland.

The European Commission is currently reviewing the merger, as potential competition issues must be ruled out in the case of major acquisitions.

RTL expects a decision in the first half of 2026. The merger would bring together TV channels, pay-TV channels and streaming services in German-speaking regions.