LONDON — It may be a challenging time for luxury, but Victoria Beckham’s business is growing in the double-digits, profits are on the rise and there are plans to open further stores in New York and Paris later this year.

Group sales, which include fashion and beauty, grew 19 percent to more than $170 million in 2025 while EBITDA [earnings before interest, taxes, depreciation and amortization], or core operating profit, was more than four times higher than in the previous year, with beauty, leather goods, dresses and denim driving sales.

The group is close to achieving a 10 percent EBITDA margin for the first time, and both fashion and beauty are profitable, according to David Belhassen, whose Neo Investment Partners took a substantial minority stake in Victoria Beckham Holdings Ltd. in 2017.

Since then, Belhassen has been hands-on with strategy, leveraging his experience with fashion and lifestyle brands including Tom Dixon, Valextra, Vuarnet and Ladurée, to build the business alongside Beckham and the brand’s chairman, Ralph Toledano.

In an exclusive interview on the eve of Victoria Beckham’s fall 2026 show in Paris, Belhassen said he sees the brand eventually reaching $1 billion in revenue, fueled by fast-growing categories such as leather goods and beauty, and by retail and wholesale expansion.

Leather goods, which includes bags, belts and shoes, will become the biggest fashion category, accounting for 30 to 35 percent of sales in the next three years, he said.

The category generated more than 13 percent of fashion revenue in 2025, and Belhassen said it will likely become the biggest single category in 2026, outstripping dresses, which accounted for 20 percent. Denim, another key category, accounted for more than 10 percent of sales in 2025.

He said the leather goods category “is coming up very strongly, and is our priority going forward.”

That’s one reason why the brand named Sybille Darricarrère Lunel, who was most recently global business unit director of leather goods at Christian Dior Couture, as CEO of the fashion division last year.

At Dior, she oversaw the global product assortment across five collections a year, working closely with creative, production, sales, retail and communications teams. Darricarrère Lunel took over from Toledano, who was serving as acting CEO following the departure of Marie Leblanc, who’s now heading Courrèges in Paris.

Victoria Beckham began as a direct-to-consumer proposition for both fashion and beauty, and 50 percent of the business still comes from the brand’s own e-commerce, according to Belhassen. While he’s pleased with those sales, he and Beckham believe it’s time to expand brick-and-mortar retail, hence the planned openings in New York and Paris later this year.

In an interview with WWD Weekend last September, Beckham said her plan was to open stores, especially in the U.S., which is currently the brand’s biggest market. Beckham has one store, on Dover Street in London, which opened in 2014.

Asked about the impact of the Saks Global bankruptcy earlier this year, Belhassen said it was significant. The Saks group was Victoria Beckham’s biggest U.S. customer, and the brand was down “a few million” in sales last year due to the financial troubles.

Belhassen said he’s confident that Saks, and U.S. wholesale generally, will make a comeback.

“We’ve been in very close communication with them, and hopefully they’re going to come back very strong, but last year was difficult for sure,” he said.

He added: “Saks is a fantastic name, and I cannot believe that wholesale is finished in the U.S. The way forward, maybe, is to manage it like a family business, tight on cost and high control on the merchant side by people who know and understand fashion and beauty. That had been lost a little bit, and I hope they come back.”

The beauty side of the business made a major push into wholesale in 2025, not just in the U.S. but worldwide.

Belhassen said Victoria Beckham Beauty opened 170 doors last year, including Space NK in the U.K., Mecca in Australia, Le Bon Marché and Oh My Cream in France, becoming one of the top three brands in each door.

He said the brand has a lot of traction already in the Middle East, and plans to push further into Europe, having recently expanded into Germany. Bestsellers include the Satin Kajal Liner as well as the new Foundation Drops, made with by Augustinus Bader’s trademarked TFC8 formulation aimed at rejuvenating skin cells.

Beauty is still the larger of the two divisions in terms of sales, and Belhassen said that, over time, fashion and beauty will each account for 50 percent of the overall business. But he said balancing them out is not a priority right now. “We want both businesses to grow as fast as possible,” he said.

As for the billion-dollar revenue ambition, Belhassen believes it’s attainable. “Victoria Beckham has $170 million in sales now, but given her [name recognition] worldwide, it’s nothing. I have no difficulty imagining it being a billion-dollar brand,” said Belhassen.

Typically, he and Beckham are on the same page when it comes to long-term goals. In the interview ahead of her Netflix documentary launch last year, Beckham said she also wants to launch new categories such as lingerie and sportswear, following a successful collaboration with Reebok between 2017 and 2019.

“Did I ever dream that the brand would be at the level as it is now?” she said. “I say dream big — and dream even bigger! But even I couldn’t have dreamed that I would be where I am now. We’ve spent years securing the foundations, and I really feel that now I am just scratching the surface.”

Full audited results for fiscal 2025 will be filed with Companies House, the official register of U.K. businesses, later this year.