David and Victoria Beckham earn £21 million in dividendsBusiness | 22 Jan 2021 9:19 pm
David and Victoria Beckham have paid themselves £21 million in dividends from their businesses over the last two years, Sky News reports.
The accounts filed with Companies House showed that a £14.5 million dividend was paid to the famous couple in 2019, up from £11.1 million in 2018, with a further £7.1 million in 2020.
The most recent amount went to the Beckhams after they bought the 33 percent stake in David Beckham Ventures Limited that had been owned by XIX Entertainment - a media group run by music mogul Simon Fuller.
Pre-tax profits at the company, which manages the former footballer's global brand rights, dropped to £11.3m in 2019, from £14.8m the year before.
The decline was due to charitable donations made to UNICEF, currency fluctuations, and increasing staff numbers.
Mrs Beckham's fashion business, meanwhile, saw pre-tax losses grow from £12.5 million in 2018 to £16.6 million in 2019.
Victoria Beckham Holdings Limited, which is owned by Beckham Brand Holdings, XIX Entertainment and private equity firm NEO investment Partners, launched a cost-cutting program last September.
Also last year, the group said it had breached the financial covenants of a loan with HSBC, which led to shareholders injecting £9.2m to settle the debt.
Sales at the fashion label increased £2.5 million to £38.3 million in 2019, but it continued to lose money and did not pay a dividend.
The accounts said: "Directors continue to focus on taking the company to break even.
"Since the year end, the pandemic has impacted trading, with stores carrying the company's products subject to varying lockdown restrictions.
"This led to a substantial closure of the group's stores during 2020 (late March to end May, November, late December onwards) and a resulting impact on revenues.
"Over this period the company's ecommerce operations saw positive year-on-year growth."-Photo: Sky News