The supermarket chain wants its stores to be just a 15-minute drive away for most of the population so that it can compete with its rivals Tesco, Sainsbury's and Asda.
Yesterday it announced a £43m increase in pre-tax profits to £655m in the year to January 31, a rise of 7%. The figures confirm Morrisons as the fastest growing of the "big four" supermarkets.
It is currently Britain's fourth biggest supermarket with 382 stores but has its sights set on overtaking the third largest, Sainsbury's.
The Bradford-based chain began its expansion into the South in 2004 when it bought the Safeway chain.
It struggled at first to win over Safeway customers who were used to more upmarket groceries but is now attracting more shoppers from all backgrounds, according to chief executive Marc Bolland.
Last year Morrisons bought 38 former Somerfield stores from the Co-Operative Group, which also helped it to grow beyond its northern heartland.
Sales grew 18.6% in London and 11.1% in the South in the year to January 25, according to TNS figures.
Morrisons plans to open two regional distribution centres to support its expansion.
It said that a facility at Sittingbourne, Kent will be operational by the end of the year and it has applied for planning permission for a distribution centre in Bridgwater, Somerset to serve the South West.