Higher book prices, the continuing strength of the audiobook market, and acquisitions combined to lift worldwide sales 8.5% at Penguin Random House in 2024 over 2023 and profits rose 11.3%, reported parent company Bertelsmann. Revenue increased to €4.9 billion ($5.3 billion at current exchange rates) and operating EBITDA (earnings before interest, taxes, depreciation, and amortization) rose to €739 million from €664 million in 2023. Bertelsmann said PRH, which had a challenging 2023, performed better than expected.
Acquisitions played a particularly important part in boosting sales in the U.S. Its January 2024 purchase of Hay House added €73 million to sales last year. PRH paid €85 million for Hay House, of which €50 million was paid in cash with the balance being paid in four equal annual installments. Also during 2024, PRH acquired Boom! Studios and the publishing assets of Amber-Allen Publishing, while upping its stake in high-flying Sourcebooks to 75% from 53% in 2023.
In terms of titles, Bertelsmann reported that Funny Story by Emily Henry and First Lie Wins by Ashley Elston were among the leading frontlist sellers. Atomic Habits and Taylor Swift: A Little Golden Book Biography once again led backlist sales. Overall, Bertelsmann reported that PRH US increased its market share to 23.8%, up from 22.9% in the previous year. The U.S. accounted for 59.2% of PRH’s worldwide sales (about $3.1 billion), up from 58.3% a year ago.
Outside the U.S., PRH UK had an increase in revenue, largely driven by higher audiobook sales and the acquisition of the food and lifestyle publisher Quadrille. PRH Grupo Editorial also had increases in revenues and earnings in the year. Among its bestselling titles were En agosto nos vemos (Until August), a posthumously published novel by Nobel Prize laureate Gabriel García Márquez, and the religion title, Biblia Reina Valera 1960 (Holy Bible Reina Valera 1960).
Total Bertelsmann revenue fell slightly, to €19.0 billion, due to the sale of its Majorel subsidiary. For the first time in the company’s history, North America accounted for the largest share of revenues, doubling since 2011, the German-based conglomerate reported. PRH is Bertelsmann's second largest business, accounting for about 25.5% of total sales in 2024.
In his letter to employees reflecting on the results, PRH global CEO Nihar Malaviya attributed the record year in part to “the strength and diversity of the publishing programs you’ve created and supported.” Malaviya also emphasized the importance of books in an increasingly polarized world. “Our mission to create books for everyone—by creators of all backgrounds and identities—has never been more important,” he wrote. “We remain committed to freedom of speech, free expression, and the right to read.”
From a business standpoint, Malaviya reported that the key takeaway from a recent PRH leadership summit was the importance of agility and adaptability in dealing with “the increased pace and intensity of technological, economic, and political changes, particularly in the context of today’s dynamic and uncertain environment.” Malaviya added that, with PRH's track record of navigating other shifts and disruptions plus the “collective experience” of the staff, he is confident in PRH's ability “to shape the future of the book industry.”
This story has been updated with further information.
