Tesco has broken the £2bn profit barrier thanks to strong UK, International and non-food sales.
The retailer announced underlying profits up 20.5% to £2,029m for the year to February 26. Like-for-like sales in the UK grew by 7.5% excluding petrol while globally the retailer saw sales up 12.4% to £37.1bn.

Tesco said that the strong performance was the result of focusing on its strategy of developing a strong UK core business, non-food, retailing services and international.
The average spend per visit has gone up 2% despite deflation in store. The retailers also said that availability had improved as well as the range of products in-store.

In order to continue to drive growth Tesco plans to open 20 new Extra store formats a year in the UK, mostly through extending existing superstores. 60 new Express convenience formats are also planned for this year, and Tesco said that future growth in this area was likely to be organic rather than through acquisitions.

Internationally Tesco is planning to open 207 new stores in the current year. These developments are expected to create 25,000 new jobs worldwide this year.