„We have a lot on the agenda,” CEO Mathias Doepfner said today at the company’s annual press conference in Berlin, where the company is based. „Our target for 2007 is the expansion of our digital business.” Operating earnings will probably exceed or reach last year’s level even as costs for new projects will „remain high,” said Doepfner. He said he would also be willing to accept lower earnings for this year should some projects require „significant” investments. Springer, named after its founder and controlled by his family, publishes the Bild newspaper, Germany’s biggest tabloid that draws more than 12 million readers every day. A failed attempt to push into television broadcasting last year prompted Springer to focus on expanding its print and Internet business. The company today said it bought a majority stake in Wallstreet:Online AG, which operates the financial news Web site www.wallstreet-online.de and has more than 350,000 users. Springer also said it founded a new company, called Axel Springer Digital TV Guide, to introduce an electronic program guide which can be used on game consoles, personal computers, mobile phones and other electronic devices. Shares of Springer rose 32 cents, or 0.2%, to €133.21 at 11:32 a.m. in Frankfurt. The stock has gained 25% in a year.
The company on February 21 said net income rose 26% to €291 million ($382 million). Sales were unchanged at €2.38 billion after Springer merged a printing unit with that of Bertelsmann AG. Doepfner said today that sales will rise this year as the publisher is also benefiting from higher advertising sales as a rebounding German economy allowed companies to spend more. Europe’s largest economy grew 2.7% in 2006, the most in six years, and may expand 2.3% this year, the DIHK chamber of industry and trade forecast on February 14. (Bloomberg)
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