Victoria Beckham’s sales returned to a growth trajectory in 2019. While the brand has been in business for a decade, they still haven’t turned a profit, but prior to the pandemic it was on a growth trajectory. The news was reported by Business of Fashion.
Victoria Beckham’s revenue increased 7 percent to 52.6 million dollars in 2019, which was a marked improvement from a 16 percent sales decline in 2018. The brand’s operating losses also shrunk 5.5 percent for 2019.
However, the company did take a loss related to the costs of launching its beauty line. The brand saw a net loss of 16.6 million pounds, an increase from 12.5 million pounds in 2018. In September 2019, Marie LeBlanc de Reynies was appointed as CEO of Victoria Beckham. The executive came with a plan to make the company profitable, but this has been delayed by coronavirus.
To stay afloat during the pandemic, Victoria Beckham received a 9.2 million pound cash injection from shareholders, part of which was used to pay back a 6.1 million pound bank loan. Like many U.K.-based fashion brands, Victoria Beckham has also been trying to hunker down in the face of Brexit, but the brand isn’t expecting it to have a major impact on their business.
photo: via victoriabeckham.com