Tesco has set out plans to open 14 Express stores and 59 new branches over the next 12 months.
The expansion comes after the Big Four grocer controversially axed its Metro store format under a restructuring last year.
Chief executive Ken Murphy said the latest opening programme will take it to a total of over 2,000 Express stores and 1,001 shops.
“Our priority is to be the most convenient retailer,” Murphy said.
“That means serving customers wherever, whenever and however they want. No matter where our customers live, or how they shop.”
Up to 290,000 shop staff, along with call centre and warehouse workers, at Tesco are also being awarded a bonus as a special "thank you" for their efforts over the past year, the retailer added.
Tesco said it will pay out nearly £50million in thank-you bonuses to employees across its stores, customer fulfilment and customer engagement centres, worth 1.25 per cent of their annual salaries, at the end of May.
The group said the payout "recognises the way colleagues really stepped up to the industry challenges of the last year" and comes as it reported annual profits that more than trebled to £2.03billion.
The supermarket giant yesterday revealed a bumper set of results, with takings hitting £54.8billion and retail profits jumping more than a third to £2.6billion. But bosses said earnings could be flat, or fall to £2.4bnin the year ahead, as it flagged up "significant uncertainties".
But Tesco's chief executive, Ken Murphy, warned that retail operating profits are expected to fall this year, to between £2.4billion and £2.6billion.
Murphy warned profits this year are likely to be hit by the impact of soaring inflation on customers.
The group said it envisages its own costs to rise and it plans to invest in prices to remain competitive in light of rocketing food inflation.
"Clearly, the external environment has become more challenging in recent months," Mr Murphy said.
"Against a tough backdrop for our customers and with household budgets under pressure, we are laser-focused on keeping the cost of the weekly shop in check - working in close partnership with our suppliers, as well as doing everything we can to reduce our own costs."
Mr Murphy said the full impact of high inflation was yet to be felt, but that many are "starting to look at how to manage their budgets and the trade-offs they will make".
Those include how customers respond to the soaring cost of living and how much Tesco pumps into stabilising prices.
Murphy added: "We can see that customers are already looking at how they manage their budget and are making trade-offs."
He insisted the chain would help shoppers "in their hour of greatest need", adding "we are laser-focused on keeping the cost of the weekly shop in check".
It came as Office for National Statistics' data showed inflation hit a new 30-year high of 7% last month.
Tesco is expanding its Aldi Price Match pledge via its Low Everyday Prices to more than 1,600 lines, and offering special deals for Clubcard members.
The company's warning about profits came despite it hiking its dividend to shareholders by more than 19% while announcing a bumper £750million buyback programme over the next year.
The Mirror has asked Tesco for a full list of locations and will update this story in due course.
