Losses widen at Victoria Beckham's fashion label

Losses at Victoria Beckham's luxury fashion label increased by 24% last year to £10.2m as it ploughed more investment into the ten-year-old business.

Revenues rose 17% in 2017 to £42.5m as the company enjoyed higher sales across its clothing lines as well as its accessories and eyewear offerings, both online and in-store.

Victoria Beckham Ltd said that despite a "difficult trading environment" it had been investing for its future growth and building its leadership team.

It said the company's shareholders were committed to reducing its losses and that it expected to break even in the medium term.

The brand marked its ten-year anniversary in September. The 2017 loss compares to a loss of £8.2m a year earlier.

Last year, NEO Investment Partners invested £30m in the business to grow its digital operations as well as bricks-and-mortar stores.

The company has redesigned its website and also invested in distribution capabilities - now shipping to more than 120 countries.

NEO (Shanghai: 600184.SS - news) is a shareholder in the company together with Beckham Brand Holdings, which is owned by Victoria and David Beckham, and XIX Entertainment.

In March, the business appointed industry veteran Ralph Toledano as chairman and more recently hired Paolo Riva, former boss of the Diane van Furstenberg label, as chief executive.

Mr Riva said: "We will continue to invest in growth markets such as the US and Asia whilst also ensuring we have the right strategy to ensure profitability over the medium term.

"I look forward to working with Victoria and team to steer the brand to the next phase."

The company trades from its website as well as flagship stores in Mayfair in central London and Hong Kong, and through 400 stockists in more than 50 countries.