Victoria Beckham's fashion business has received a further £6.2m loan from its shareholders, including the former Spice Girl and her husband David, as losses widened despite a sharp rise in sales.
The brand reported sales of £112.7m for 2024, up 26.5% and marking a fourth consecutive year of growth. Strong online trading and the London flagship store contributed, while online cosmetics sales jumped 24%, helped by new products such as a concealer pen and eyeliner.
Accounts filed at Companies House show the additional funding from shareholders, which include private equity firm Neo and Simon Fuller, came amid "material uncertainties" over the company's ability to continue as a going concern. These include the need to extend a £4.1m bank loan due for repayment next week, though an extension is expected to be signed later this week. Pre-tax losses widened to £4.8m from £2.9m the previous year.
The latest injection follows £6.9m provided by shareholders last year. The funds are intended to support growth plans, drive cost reductions and streamline operations. The company also plans to increase its presence in department stores across the UK and France, and expects a boost from Victoria Beckham's upcoming Netflix docuseries.
Net liabilities stand at £29.7m, narrowed by almost £10m from a year earlier. Despite the losses at the fashion arm, Victoria and David Beckham have a combined fortune of £500m, according to the Sunday Times Rich List. David Beckham earned £28m in dividends from his personal brand empire since 2022 and sold a 55% stake in his businesses to Authentic Brands in 2022 for £200m.
