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The British arm of German discount grocery operator Lidl set a new goal on Wednesday to open 1,100 outlets by the end of 2025, potentially creating 4,000 new jobs.
Lidl GB, which is part of the Schwarz retail group in Germany, had set a goal of 1,000 outlets by the end of 2023, which it predicted it will meet. It presently employs 26,000 people over 880 locations, with 55 more set to launch in 2020-21.
The advent of Lidl and fellow German-owned discounter Aldi has altered Britain’s food retailing sector in the last decade, driving down returns at the Big Four of Tesco (OTC: TSCDY), Sainsbury’s, Morrisons, and Asda.
Unlike its larger competitors, Lidl, like Aldi, is rapidly expanding its store base. “We continue to see tremendous opportunity in the market,” said CEO Christian Hartnagel.
Lidl, which has a 6.2 percent share of the UK grocery market but does not sell online, reported a 12 percent increase in revenue to 7.7 billion pounds ($10.3 billion) in the year ended Feb. 28, resulting in a pretax profit of 9.8 million pounds, compared to a loss of 25.2 million pounds in 2019-20.
The trading performance, according to Hartnagel, showed investment in new and current stores, product innovation, and personnel. During the year, the corporation stated it spent 498 million pounds on land and fixed assets.
Story by : Norvisi Mawunyegah