OnlyFans provided its owner, Leo Radvinsky, with $701 million in dividends ahead of a potential sale of the adult content platform.
The London company Fenix International announced the payment in financial reports on Friday (22). The company, known for enabling content creators to provide subscription content to their followers, is seeking a buyer willing to pay $8 billion, as reported by Bloomberg in May.
How OnlyFans Generates Revenue
OnlyFans makes a profit by collecting a 20% fee on all subscriptions and content, such as videos, photos, and chats, that are purchased through the platform.
His fame surged amid the Covid-19 outbreak as numerous sex workers and celebrities looked for ways to earn income while under lockdown.
While a significant portion of the material is explicit, the website also features content creators who specialize in areas like health and cooking.
Radvinsky, the sole owner of Fenix, was paid $497 million in regular dividends and an extra $204 million in five subsequent installments following the balance sheet date.
The Ukrainian-American entrepreneur has received approximately $1.8 billion from the platform since 2021, with dividend payouts of $472 million in 2023, $338 million in 2022, and $284 million in the preceding year, as per official records.
OnlyFans has been considering various sales proposals this year, with one of the interested parties being a group led by the investment firm Forest Road Co., as reported by Bloomberg and Reuters.
Safety
Acquiring it would be challenging.
The platform has been dealing with ongoing issues related to internet security and the explicit content it hosts. The company assures that all content is reviewed by moderators and that creators’ ages are verified to be over 18.
The report indicated that the platform processed $7.2 billion in payments for the year ending on November 30, exceeding the $6.6 billion processed in 2023.
The pre-tax earnings for the year were $684 million, up by approximately 4%. The number of creator accounts rose by 13% to reach 4.6 million, and fan accounts surged by 24% to 377.5 million.
The business stated it had 46 staff members, with one being a director. Salaries, benefits, and pension funding from OnlyFans totaled $45.4 million, a 64% rise from the previous year, averaging nearly $1 million per employee. The top director’s pay increased from $4.7 million to $9.7 million.
Radvinsky, who fears advertising, had previously expressed on his personal website in the “donations” section that he aims to be able to commit to the Giving Pledge one day, which is a commitment made by some of the wealthiest individuals to donate the majority of their wealth.
Radvinsky acquired a controlling interest in OnlyFans in 2018 from its British creators, Guy and Tim Stokely, a father-son duo who established the platform in 2016.
