LIDL has announced plans to open 30 new stores in Spain next year, taking its count to over 700 outlets.
The aim of the German retailer is to reach 1,000 stores in Spain, according to corporate director Ferran Figueras.
Lidl is the country’s third-largest supermarket chain by share (6.2%), behind Mercadona(27%) and Carrefour (9.7%).
Speaking in Madrid, Ferran Figueras said that Lidl currently has 12 logistics facilities and plans to open four new warehouses in Spain, some of which are already under construction.
Total investment in 2023 is expected to reach between €250 million to €300 million, with the firm putting in €2.5 billion into its Spanish expansion.
Inflation has impacted Lidl’s performance in the country, added Figueras.
The discounter recorded a net profit of €193 million in its last fiscal year (up to February 2023), similar to the previous year (€190 million).
Sales grew by 18% in the same period, up to €6.08 billion, partly due to the effect of inflation, but also due to the opening of 20 stores.
However, an increase in costs has reduced profit margins by 15%.
The forecast for the current fiscal year ending in February 2024, is for sales growth to be slightly below 10%.
Figueras added that the discounter recorded exports of €3.5 billion in Spanish agricultural and food products, which were distributed to the discounter’s 30 countries of operation.
He highlighted the significant impact that this has had on the Spanish economy, contributing €8.19 billion to the GDP and creating over 172,000 jobs.
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