Victoria Beckham’s business bucks luxury spending downturn

The popstar and designer’s business Victoria Beckham Ltd was buoyed by strong demand for its premium beauty products.

Henry Saker-Clark
Wednesday 28 August 2024 11:41 BST
Victoria Beckham’s fashion Beauty business saw sales jump by more than half for the past year (Ian West/PA)
Victoria Beckham’s fashion Beauty business saw sales jump by more than half for the past year (Ian West/PA) (PA Archive)

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Victoria Beckham’s fashion and beauty brand has shrugged off the wider downturn in the luxury sector as sales shot sharply higher last year.

The popstar and designer’s business Victoria Beckham Ltd also cut its losses for the year as it was buoyed by strong demand for its premium beauty products, according to freshly filed accounts.

It recorded an operating loss of £0.2 million for 2023, improving from a £0.9 million loss a year earlier.

The improvement in profitability was supported by growth sales across its three main business areas: wholesale, online and its flagship retail store in Mayfair.

Total revenues jumped by 52% to £89.1m for the year, from £58.8m in 2022, the accounts showed.

Bosses said growth was aided by strong demand for its beauty products, with the launch of Victoria Beckham’s first eponymous fragrance collection during the year.

Marie Leblanc, chief executive of Victoria Beckham Ltd, said: “Having successfully repositioned the business, 2023 was another very strong year of progress for the company and we continue to see a healthy growth trajectory as we look to establish Victoria Beckham as a global luxury house.

“We continue to build a loyal consumer following on the back of successful Paris Fashion Week shows and new partnerships, with performance across direct-to-consumer channels and leather goods being particularly positive.”

It comes a week after Ms Beckham announced she will star in a “behind-the-scenes” Netflix series about her business.

She founded her business, which has offices in London and New York, in 2008 and sold a stake to private equity firm NEO Investment Partners for about £30 million in 2017.

David Belhassen, founder of NEO, said: “In the context of a difficult environment, the Victoria Beckham group has sustained its very high growth with an over 50% year on year revenue increase in 2023, with improving Ebitda (earnings before interest, tax, depreciation and amortisation) profitability.

“The team is working hard to continue building the House of VB on ever stronger foundations.”

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