Schwarz Group plans to invest billions for further growth!

Schwarz Group plans to invest billions for further growth!

The Schwarz Group, known for its discounters Lidl and Kaufland, achieved consolidated sales of over 175 billion euros in the past financial year. This corresponds to a sales increase of 4.9 percent compared to the previous year Food newspaper reported. Looking ahead to the current year, the company plans to increase its investment budget by one billion euros to promote further growth.

In the 2023 financial year, the Schwarz Group recorded total sales of 167.2 billion euros, which corresponds to sales growth of 8.5 percent compared to the previous year. This positive development is particularly evident in its private labels. Lidl generated store sales of 125.5 billion euros and was therefore able to record an increase of 9.4 percent, while Kaufland achieved an increase in sales of 7.8 percent to 34.2 billion euros group.black added.

Investments and expansion plans

The Schwarz Group also plans to invest in new locations. Last year, around 8 billion euros were invested in modernizing branches, new warehouse locations and securing supply chains. This contributes to the stability of prices, despite the current inflation situation, which is facilitated by efficient process and cost management.

Another aspect of the expansion is the opening of a new beverage plant in Derby, UK. This represents an important step in the international growth strategy. The IT and digital division Schwarz Digits was also founded, which achieved sales of 1.9 billion euros last year.

Employees and branches

The Schwarz Group currently employs around 575,000 people at around 13,900 locations, meaning the number of branches has increased by around 200 compared to the previous year. These factors play a crucial role in the overall success of the company.

Slightly negative developments were recorded in online sales. Online sales fell by 9.4 percent to 1.7 billion euros, while the subsidiary PreZero, which acts as a waste disposal service provider, recorded a decline in sales of 5.9 percent to 3.7 billion euros. Nevertheless, the producing part of the Schwarz Group increased its sales by 26 percent to around 4.2 billion euros.

Overall, the 2023 financial year shows a dynamic and positive development of the Schwarz Group, which is characterized by concentrated efforts in branch modernization and expansion.