Aldi, the German group estimated to have captured 11% of Australia’s east coast supermarket business, has almost doubled its sales revenue since 2010.
The sales numbers have been the subject of speculation as analysts try to work out how big Aldi’s business has become and how much of a threat it is to Coles and Woolworths.
Aldi made the sales numbers public in a submission to the Senate committee investigating corporate tax avoidance.
The two big incumbents, Woolworth and Coles, are under increasing pressure from Aldi. Analysts at ratings agency Moody’s say the food retail industry faces structural challenges largely brought on by Aldi’s aggressive expansion.
Woolworths last month issued a surprise profit warning after its same store sales turned negative for the first time in 12 years.
Aldi is expanding into South Australia and Western Australia, spending $700 million and opening 120 new stores. It already has 373 stores in Queensland, New South Wales, the ACT and Victoria, employing 9,000 people.
Here’s Aldi’s sales growth, with an estimate for 2014 that hasn’t been finalised:
Based on 2012 numbers, Aldi’s pre-tax profits represent 5.5% of sales revenue. The margin is 5.2% in the following year. Compare that to Coles at 4.2% and Woolworths at 7.%.
Aldi released the numbers to show the taxes in Australia:
The income tax paid by the Aldi Australia Group over the four years is $238 million, an average of about $60 million a year or an effective tax rate of 32%.
Aldi collected GST of $677 million over the same four years.