Victoria Beckham Holdings Ltd, the fashion company founded by the former Spice Girl, continues to battle losses but is showing signs of financial recovery. The company, which has posted a loss every year since its inception in 2008, reported a reduced pre-tax loss of £2.9 million (€3.45 million) for the year ending December 31, 2023, down from £3.1 million (€3.69 million) the previous year, according to the Financial Times.
Despite the ongoing losses, sales surged by 52% to £89.1 million (€105.95 million) in 2023, compared to £58.8 million (€69.92 million) in 2022. This growth was driven largely by strong performance at the brand’s Mayfair store in central London, along with successful expansion into beauty and leather goods. The company also saw a boost in wholesale and online sales, with perfume collections and belts emerging as particularly strong performers. A standout product in 2023 was a midi dress priced at £850 (€1,110.73).
To support the business, Victoria Beckham, along with her husband David Beckham and private equity firm Neo Investment Partners, has invested approximately £6.9 million (€8.2 million) into the company. Of this new investment, £3.9 million (€4.64 million) is allocated to increasing inventory levels for Victoria Beckham Beauty, while £3 million (€3.57 million) is earmarked for working capital in the fashion division.
Under the leadership of CEO Marie Leblanc, who previously worked with fashion houses like Celine and Isabel Marant, the company has undergone strategic and structural changes. These include streamlining operations by discontinuing certain products, reducing staff, and consolidating product lines. Additionally, the brand has entered into collaborations with companies such as Breitling and Mango to launch limited-edition product lines.
While Victoria Beckham’s fashion business has struggled with profitability, the narrowing loss margins and rising sales suggest a positive trajectory, with hopes of returning to profitability in the near future.
