Aldi tops £1bn in sales but growth stalls

  • Revenues exceeded £1bn for the first time.

  • But year on year sales growth continues to drop with sales in the 4 weeks to Christmas rising 8% year on year, a decline from 10% in 2018 and 15% in 2017.

  • Much of this growth is likely to have been driven by new store openings, with like for like sales figures not provided by the grocer.

  • Aldi has seen its operating profit margin fall below 2% as it competes with an increasingly efficient Big 4.

  • The grocer has been forced to invest in distribution facilities as well as premium ranges and store improvements in order to attract customers.

  • Analysts have stated that the Christmas results suggest a "1 or 2 percent" like for like sales increase, with profitability down due to increasing price competitiveness and marketing spending ahead of Christmas.