David and Victoria Beckham paid themselves £8.1m from their business empire after sales and profits grew thanks to a series of commercial deals.
Beckham Brand Holdings, which includes the fashion companies and their brands, reported a net profit of £19.1m on revenue of £34.3m in 2021, up from £11.6m and The corresponding £11.4 million of the previous year. Profits have exceeded sales in the previous year as investment income generated primarily from partnerships is recognized separately from revenue. The group paid out £6.3m in dividends to the celebrity couple during this time period, plus a recent £1.8m addition.
The holding company accounts include the management and licensing of David Beckham’s business and brand, the company’s investment in Victoria Beckham’s losing fashion and beauty businesses, and stock part in the Inter Miami Major League Soccer franchise.
The combination of revenue growth across the couple’s businesses and narrowing of losses at Victoria Beckham Holding — co-owned by the couple and private equity firm NEO Investment Partners — shows two of How the world’s most famous people overcame the coronavirus pandemic. Accounts for the year ending December 2021 will be published at Companies House.
Separately, the fashion and beauty group’s annual revenue increased 13% to £40.9m and reduced net loss from £8.6m to £5.8m. Although sales increased and daily expenses fell, the accounts warn that “stockholders will need additional support.” CEO Marie Leblanc said the business will report stronger figures for 2022.
“We have entered a new chapter and our energy is focused on driving growth and bringing the brand to its full potential,” she said.
Meanwhile, David Beckham’s commercial and sponsorship projects hit £34m in revenue, up from £11.4m in 2020, while net profit grew from £10.6m to £19.6m. board. BBH’s revenue is nearly identical to that of DV Ventures because the Victoria Beckham business is considered an “affiliated company” in the parent company’s accounts.
Despite ending his playing career more than nine years ago, the footballer is one of the faces of the FIFA World Cup, chosen as an ambassador by host country Qatar. According to a person close to the Beckhams, the 2021 numbers do not include the deal with Qatar. Although the former England captain come under the fire for his association with a country that has been implicated in human rights abuses, Beckham has won much praise in the UK for lining up with members of the public to pay tribute to the late Queen Elizabeth II while she was lying in state.
His monetization is also the product of long-term partnerships with sportswear maker Adidas, luxury watch brand Tudor and Diageo’s Haig Club whiskey, as well as other brands. more recent deals with Italian carmaker Maserati and video game maker EA Sports. In February, American group Authentic Brands, which owns sportswear maker Reebok, entered into a strategic partnership with DB Ventures to co-own and manage Beckham’s global brand.
Beckham, who negotiated an option to buy the American Football League franchise while he was playing in the US, co-owns Florida-based soccer club Inter Miami. The FT reported in November that Beckham is open to negotiating with potential bidders over the possibility of selling his former club, Manchester United.
The last shareholder of Beckham Brand Holdings is David Beckham through his company Footwork Productions. However, the business reorganization, including the Authentic Brands deal, means that BBH no longer holds direct investments in DB Ventures or Victoria Beckham Holdings.