Prince Harry and Meghan Markle’s charitable organization, Archewell Foundation, saw an $11 million drop in donations.
A tax filing for 2022 disclosed Tuesday revealed the nonprofit received just over $2 million in charitable contributions this year compared to $13 million in 2021.
The foundation’s 2021 tax filings previously shared that it received a $10 million donation from one unidentified supporter and $3 million from another. While the organization has never asked the public for donations, it received $4,470 at the time.
Archewell's total expenses also exceeded its revenue, leaving it in the red by more than $674,000. Its revenue in 2021 was just over $9 million.
"Archewell is a long way from being a global philanthropic powerhouse," royal expert Shannon Felton Spence told FOX Business. "It all speaks to a lack of focus. What are they building? A production house or a foundation? So far, both have fallen short of expectations.
"It’s been four years. … Honestly, I think they are toast. They made huge sums of money and failed to deliver. … Are they a bad investment? Ask Spotify."
"Harry and Meghan continue to drop the ball, and the entire world is watching and taking notes," added Kinsey Schofield, host of the "To Di For Daily" podcast.
The couple set up the Beverly Hills-based foundation after they announced they were stepping back as senior royals in 2020. That year, the duke and duchess pledged they would be "financially independent."
The goal of the foundation is to "uplift and unite communities," according to its website.
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In 2021, the couple's office announced the pair "remain committed to their duty and service to the U.K. and around the world and have offered their continued support to the organizations they have represented regardless of official role."
The tax filing also gave insight into specific expenses. James Holt, the nonprofit's executive director and president, made a salary of $227,405, including a $20,000 bonus. Holt's salary in 2021 was $59,846.
The foundation holds over $8.3 million in assets and cash.
The latest stats came shortly after Netflix released viewing figures for the year. The streaming giant unveiled that the couple's six-part docuseries, "Harry & Meghan," was watched for 62 million hours in the first half of 2023. The children’s animated show, "Peppa Pig," was watched for more than 140 million hours.
It’s noted that the docuseries broke a Netflix viewership record when it premiered in late 2022. Viewers worldwide spent 81.55 million hours watching the first three episodes in the first four days they were available, the Los Angeles Times reported.
Several royal experts argued the couple will need to remain relevant beyond detailing their struggles with royal life.
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"Archewell is a far cry from the legacy project that the duke and duchess might hope for," said Schofield. "Harry and Meghan have become synonymous with drama, TMI and victimhood. We do not immediately associate Harry and Meghan with their charity efforts anymore. … You associate them with the Oprah interview or that ‘South Park’ episode. I think people will hesitate to invest in the Sussexes while their brand continues to appear so toxic."
Since moving to California in 2020, the couple launched their nonprofit, Archewell Productions and Archewell Audio. They also secured multimillion-dollar deals with Spotify and Netflix. In January of this year, Harry’s bestselling memoir "Spare" was published.
But not all of their businesses have been triumphs. After one season of the former "Suits" star’s podcast, "Archetypes," the pair split from Spotify over the summer. The couple was soon labeled as "f-----g grifters" by Bill Simmons, Ringer founder and head of podcast innovation and monetization at Spotify.
"To save face after her Spotify termination, Meghan could have switched to a subscription-based podcasting method," said Schofield. "She could have continued to entertain the audience she cultivated and donated that subscription-based revenue to Archewell. That would have been … a meaningful pivot."
The couple’s Netflix programs, "Heart of Invictus" and "Live to Lead" resulted in a "quiet reception," People magazine reported. In addition, Markle’s animated series "Pearl" was scrapped early in development.
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"Companies and organizations often have years when they’ll dip into the red, depending on a variety of factors on the balance sheet," Doug Eldridge, an agent and celebrity marketing expert, explained to FOX Business.
"What should be the bigger concern for Archewell is the near 85% drop in charitable donations in just one year. That is a staggering financial cliff. It is not a slow, year-over-year decline."
Eldridge suggested the couple revamp their brand for 2024 and not solely be known for airing their grievances following their royal exit.
"The problem with victim marketing, as Meghan Markle has consistently tried to deploy, is that it requires four things: a victim, a villain, believability and sympathy," he explained. "Over a long enough timeline, claims and accusations don't always stand up to scrutiny. Markle's repeated attempts to both frame the monarchy as villainous and herself as the proverbial victim have gradually run out of steam.
"The optics matter here because they often drive investment, especially when it comes to businesses or nonprofits," he continued. "When others realize that you might not be what you are claiming to be — or even worse, you could be a fraud — then the house of cards begins to fall beneath you. That is what you saw with the Archewell balance sheet. Eighty-five percent is a broadside torpedo, not a slow leak in the hull. Few organizations can fully recover from that type of devastating setback."
Eldridge noted that one piece of advice he would give the couple today is simple: "Focus on your marriage, your children and your philanthropy."
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"Princess Diana is an iconic figure loved by millions around the globe. Her marriage gave her a title, but her noble work on behalf of others is what determined her legacy," Eldridge explained. "Harry was once beloved around the world as well. Now, he’s largely bemoaned. What changed that? Some might debate the cause, but the effect is unquestionable.
"The solution, thankfully, is simple: Get back to your roots. You don’t have to resume royal title or obligations but return to the service-first mindset and mentality that made your mother great. Focus on family. Minimize victimhood. It’s a tactic, not a strategy, and people always see through it eventually. Make your children a priority and the world they will inherit. Do this and you will right the ship."
