Victoria Beckham’s fashion label has seen losses deepen last year, amid waning demand for the former Spice Girl’s high-end clothes.
Victoria Beckham Ltd saw losses grow 20% to £12.3 million for the year to December 2018 as it said demand “plateaued”.
The company, which has not made a profit since it was formed in 2008, saw sales dive due to weaker wholesale demand.
Ralph Toledando, chairman of the business, said sales of its clothing and accessories stagnated during 2018 after years of growth.
In an interview with trade title Business of Fashion, he said: “The performance was in line with expectations, so we were not surprised. Our goal is to reach profitability as soon as possible.
“I firmly believe that our destiny is in our hands. We have a great talent in Victoria and, if you take that asset with a dream team, we can do it.”
The company is controlled by Mrs Beckham and her former England footballer husband David, through their Beckham Brand Holdings company.
The performance was in line with shareholder expectations after “cutting costs, focusing on its digital channels and refining the product to more closely reflect Victoria Beckham’s aesthetics and values”, the business said in the newly released Companies House accounts.
It said wholesale revenues grew by double digits in the UK, but “current challenges affecting department store retailers” resulted in a decline in international markets.
Sales have increased in certain segments of the business while losses have “significantly reduced” in 2019, the company said.
It said it expects to become profitable in the fourth quarter of the year and has an increased wholesale order book for 2020.