Lidl reports £13.6 million loss as it continued investing in business  

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Lidl
Photo: Jeff J Mitchell/Getty Images)

Lidl GB on Thursday reported an after tax loss of £13.6 million for its 2019-20 year, which it said reflected investment in staff, stores, logistics and its supply chain.

The British arm of German discount supermarket said it invested £654 million in assets in the year to 29 February 2020, including 51 new stores and a new distribution centre in Scotland.

It said revenue totalled £6.9 billion as it attracted a record number of shoppers.

The accounts are the first to be published following the reorganisation of Lidl’s UK registered entities.

Britain’s food retailing sector has been transformed in the last decade by the rise of Lidl and fellow German owned discounter Aldi which has driven down the returns of the big four players – market leader Tesco, Sainsbury’s , Morrisons and Asda.

Earlier this month Lidl GB reported buoyant Christmas trading, with sales up 17.9 per cent in the four weeks to 27 December.

It has thrived during the COVID-19 pandemic despite not having an online offer.

The group, which has a UK grocery market share of about 6 per cent, has committed to investing £1.3 billion over 2021 and 2022. It is targeting 1,000 stores in Britain by the end of 2023.

“We are confident in our strategy and see huge potential in the market long-term,” said CEO Christian Härtnagel.