The singer-turned-fashion designer, along with her husband David Beckham, hasn't received any dividends as shareholders of her fashion and beauty firm due to multi-million dollar losses.
- Jan 11, 2023
AceShowbiz - Victoria Beckham's fashion and beauty house has suffered "losses of £66 million." The ex Spice Girl - who founded the eponymous endeavour in 2008 with a small collection of frocks - has recorded losses of £5,887,036 in 2021, a decrease from 2020's losses of £8,581,944 amid their growth into handbags, outerwear, shoes and other accessories.
First reported by the Daily Mirror newspaper, the accounts show that the fashion house is £66.3 million in the red and shareholders, which include the 48-year-old fashionista and her husband David Beckham, 47, have not received any dividends.
The venture has grown into more markets across Europe and the Middle East as they divulge into other products such as the new VB Body and leather good ranges.
In spite of the losses, the couple - who have sons Brooklyn Beckham, 23, Romeo Beckham, 20, Cruz Beckham, 17, and daughter Harper, 11 - have revealed the rest of their international businesses have recorded profits with their accounts filed with Companies House shown they made £11.6 during the height of the COVID-19 pandemic.
The 2021 accounts forced auditors to warn of their "significant doubt" of the viability of Victoria's fashion business, which sources close to her have defended. An insider said, "This is what gives Victoria her identity, she loves it and despite its obvious obstacles, she is a grafter and hugely passionate about it."
In early 2021, it was reported her move into beauty - which she debuted in 2019 - made a loss of £4.7 million. At the time, a rep said, "Whilst 2019 was a challenging year, the business halved its losses - a significant step in the road to profitability."
"The launch of the hugely successful beauty line in the same year helped drive overall revenues up seven per cent on 2018 and both businesses are focussed on profitable growth. The showcase of the recent AW21 fashion collection has been well-received by fashion critics and the beauty business has seen multiple sell-out products in recent months."
