Lidl UK's finance boss quits after £76million losses
- Marco Di Costanzo is leaving after two years in the role
- His departure comes as experts predict a new Christmas for Lidl
Lidl's financial chief has resigned because the German discounter is struggling to achieve profitable growth.
Marco Di Costanzo is leaving after two years in the role. It is understood he will take up another role in the Schwarz retail empire that owns Lidl once a successor is appointed in the new year.
His departure comes as experts predict another Christmas for Lidl as the company pursues an aggressive expansion plan.
Quit: Lidl's financial chief has quit because the German discounter is struggling to achieve profitable growth
Lidl has almost a thousand stores and is approaching Morrisons as the fifth largest supermarket chain in Great Britain. It recently opened its largest ever warehouse in Luton, costing £300m.
UK boss Ryan McDonnell has said there is 'no ceiling' on his expansion plans. But the land grab has come at the expense of Lidl's results.
The latest accounts – signed by Di Costanzo – show the chain made a pre-tax loss of £76m in the year to February 2023, after interest on its loans almost tripled to £108m.
Lidl has a debt burden of almost £3 billion.
“Lidl UK is not doing well,” says Marc Houppermans of Düsseldorf-based Discount Retail Consulting.
“There is sales growth, but it is still loss-making,” he says.
'I assume that the expected profitability targets for this year will not be met and that someone will have to be held accountable. Normally it is the CEO who has to leave.'
Lidl and lowly rival Aldi now account for £1 in every £5.50 spent in supermarkets, as shoppers continue to drift away from traditional food retailers.
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