Phillips UK Reports Revenue Drop of 22.3 Percent for 2025, But Claims 2026 Is Major Rebound

The summer was a turning point for Phillips, with several leaders leaving the auction house, including Miety Heiden, chairman of private sales, and Jonathan Crocket, chairman for Asia. While reporting at the time showed that Phillips was pivoting strategy after a costly attempt to compete with Sotheby’s and Christie’s, a new filing adds some financial figures to the picture.

According to the auction house’s 2025 filing with Companies House, the UK government agency that keeps annual records for companies registered in the country, Phillips’s turnover fell 22.3 percent, from $44.13 million (£33.18 million) in 2024 to $34.26 million (£25.76 million) in 2025. Its pre-tax loss, however, narrowed to $14.02 million (£10.54 million), from $61.86 million (£46.51 million) the previous year, when results were weighed down by a one-time, non-cash charge of about $35.9 million (£27 million) tied to the revaluation of balances with other Phillips entities. Gross profit fell 6 percent, to $19.57 million (£14.72 million) from $20.86 million (£15.68 million).

The filing covers Phillips’s UK accounts only, not its operations in the US, Europe, or Asia. The auction house, which is owned by the Russian luxury retailer Mercury Group, has headquarters in London and New York.

“Phillips is a global business, operating across the United States, Europe, and Asia. The accounts filed at Companies House relate to only certain elements of our international operations and do not reflect the financial performance of Phillips as a whole or how the business is performing today,” a Phillips spokesperson told ARTnews, adding that they expect 2026 to be one of the most successful years in Phillips’ history through a combination of a focused strategy and strong commercial performance.

The spokesperson said that the auction house continues to be committed to the top end of the market, unscored by its fall auction season and welcoming new collectors through “other important sectors.” “This follows a strong 2025, when global sales increased by 10 percent and private sales grew by 66 percent,” said the spokesperson. “That momentum has continued throughout 2026, reflecting the strength of our strategy and the confidence of our clients in Phillips.” A prominent former Phillips employee, who spoke on the condition of anonymity, said that the auction house is introducing handbags into its categories.

In 2025, Phillips held 23 auctions in London, four fewer than the previous year. In the filing, the company said it earns commissions by facilitating the sale of art, design, photography, editions, watches, and jewelry, either at auction or privately. Aggregate UK auction sales totaled $122.6 million (£92.2 million) in 2025, down 31.3 percent from $178.6 million (£134.3 million) in 2024. That figure represents the hammer price of property sold at auction plus buyer’s premium. Phillips also recorded $39.6 million (£29.8 million) in private treaty sales for 2025, a 23.1 percent increase from $32.2 million (£24.2 million) in 2024. According to the filing, private treaty sales represent the gross value of sales made outside of auction.

Phillips said in the filing that the group’s “operating results and liquidity” are significantly influenced by a “number of key factors.”They include the “overall strength of the various worldwide economies and financial markets,” “foreign currency exchange rate movements,” the “importance of proper authentication and/or validation of provenance,” and “competition with other auctioneers and with art dealers.” Other factors include the demand for art, the resources needed for proper know-your-customer (KYC) checks to prevent money laundering, and “continued support from the group’s ultimate controlling party.”

The filing notes that the group and company have “historically been loss making and are in a net liability position at the reporting date.” The directors said they have received written confirmation from Phillips’s ultimate parent company, Mercury Group Trading Limited, that it intends to continue providing “financial support” and has “confirmed that they have the financial resources” to do so. However, the filing also says Phillips remains reliant on its ultimate beneficial owners, whose support “cannot be guaranteed.” The directors and the auditor both flagged this as a “material uncertainty” that “may cast significant doubt” on the group’s ability to continue as a going concern.

The directors who served during 2025 were former chief executive Ed Dolman, who resigned as a director on June 7, 2025; Paul de Bono, chief operating officer for Europe; and chief financial officer Annette Schwaer, who resigned on August 19, 2026. CEO Martin Wilson was appointed a director the same day.