Tesco takes 30% of all UK supermarket sales, Sainsburys is second.
The chain said it had made "good progress in a challenging year".
Total sales rose 13% to £41.bn with extras like land sales making up the rest.
Tesco plans to release up to £5bn in cash over the next five years from selling land. It denies building up a "land bank" to prevent competitors building new stores.
Corner shop owners have long argued that Tesco and the like are putting them out of business with "predatory" - below cost - pricing.
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BBC News, Tue 25 Apr 2006 at 11:08am