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Lidl and Kaufland release full-year 2025 results

01 July 2026

Explore the key drivers behind the Schwarz Gruppe retailers’ growth and what to expect in the future.

Schwarz Gruppe, the parent company of both retailers, has released its results for the fiscal year 2025. The group posts a total revenue of €185.6 bn, growing 5.8% from 2024, where it earned €175.4 bn. The report places its core retail offer as its key driver of growth, with strong performances from both Lidl and Kaufland central to the company’s success. 

Schwarz Gruppe made investments of around €9 bn throughout the fiscal year, with a further €10 bn planned for 2026. This will be allocated across its retail divisions as well as production, digital infrastructure, and PreZero, the group’s recycling and circular economy division. 

Lidl’s expanding network brings rapid growth 

Lidl continues to be the fastest growing portion of Schwarz Gruppe’s business. Its revenue grew at a reported 6.1% to €140.2 bn in 2025, from €132.1bn in the previous year. The key driver of this growth is the expansion of the discounter’s network, with over 300 stores added in 2025 across its 31 markets.  

Poland (55), the UK (33), and Italy (32) saw the largest increases in store numbers as Lidl’s investment focuses on bringing its value proposition closer to shoppers. The retailer is also focusing on optimising its supply chain, commissioning 5 new vessels for its Tailwind shipping line and investing in modernising the existing fleet. 

Image: IGD Research

Kaufland also posts strong growth 

Kaufland also saw strong growth in 2025, with a total revenue of €36.7 bn. This constitutes growth of 4.3% from the previous year’s revenue of €35.2 bn. The hypermarket chain has been particularly successful in the Central and Eastern European markets, whilst also showing growth in Germany. 

While not expanding as rapidly as Lidl, Kaufland is also placing a focus on developing its network. It is building on its compact hypermarket format, offering a strong food and non-food range in a condensed footprint. To this end, it has opened its first XS format store in Czechia, as well as its first urban concept store, integrated within a residential building, in Bulgaria. The retailer is also integrating concession areas into more stores, looking to build local partnerships wherever possible. 

Kaufland’s urban concept store. Image: Europaproperty.com

Steady online growth and expanding digital capabilities 

Schwarz Gruppe reports that the online segments of both Lidl and Kaufland have remained steady, with a combined revenue of €1.7 bn in 2025, equal to that of the previous year. This channel had been on a steady decline following its rapid growth during the pandemic, meaning steady sales figures are encouraging. This stabilisation follows Kaufland’s non-food marketplace expanding into Italy and France, now covering seven European markets. 

Improving digital capabilities also continues to be a focus for the group’s physical channels. Lidl is making improvements to its mobile app, switching to a points-based system across an increasing number of markets. Kaufland, meanwhile, is also developing its app, tying in the online marketplace to create an omni-channel rewards scheme. Both retailers are investing in expanding in-app scan-and-go. Lidl is currently trialling the technology in Romania and Hungary, while Kaufland has recently extended it to Poland and Czechia. 

Image: IGD Research

Schwarz Gruppe looking forward 

Following a strong 2025 performance, the outlook appears positive for both Lidl and Kaufland. Schwarz Gruppe is clear that its top priority for both retailers is continued strategic expansion and the parent company is willing to provide ample investment. 

For Lidl, this will mean a continuation of the rapid expansion we have already seen. The discounter has already announced ambitious plans for 2026, prioritising Spain and the UK with plans for 50 new stores in each market. This will drive further growth as Lidl’s strong value credentials are brought closer to more shoppers. 

Kaufland, meanwhile, will continue its measured expansion with a particular focus on the Central and Eastern European markets. Its developing formats will prove crucial to its success in a large store market which is facing significant challenges. 

Looking for more insight? Read How Europe’s largest stores are responding to change 

Theo O'Flynn
Analyst

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