Lidl profits have more than tripled thanks to its ongoing investment into store expansion, colleagues and its supplier network.
The supermarket chain saw its pre-tax profits rocket to £156.8m in the year to February 28, up from £43.6m previously.
Sales rose 7.9% to £11.7bn, which it attributed to its unique discounter efficiency model and the 38 million more customers it welcomed through the door.
Lidl said it experienced over £400m in direct switching from competitors and almost £500m in customer loyalty growth, both of which totalled an almost £900m increase in turnover for the year.
During the year, the retailer invested almost £500m into opening new stores, revamping parts of its existing estate and warehouses.
It spent £40m on increasing pay for its retail colleagues, and welcomes 3,000 new employees to the business.
Lidl reported that investment in British suppliers hit £5.6bn with targeted support into British free-range eggs (£1bn), British beef (£1.5bn) and British pork (£500m).
Looking ahead, the retailer is set to unveil its 1,000th store next month as it looks to open 13 more supermarkets between now and Christmas. It will open a total of 40 new shops before the end of the current financial year.
The discounter recently announced a £250m investment in cutting the prices on over 1,000 products to help customers save more in the run-up to Christmas.
Lidl GB chief executive Ryan McDonnell said: “Our results reflect the momentum we’ve built and the trust shoppers place in us. More households are choosing to shop with us more often, because we continue to deliver on our promise of outstanding quality at the lowest possible prices.
“Over the last year we have continued to operate with our discounter efficiency at the heart of everything we do, all the while investing strategically in areas that will benefit our people, suppliers and communities. This continues to set Lidl apart and I’d like to thank all colleagues for their support this year in driving our strategy forward. The fact we have maintained the title of fastest growing bricks-and-mortar supermarket is testament to them.”
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