Swedish Fashion retailer Hennes & Mauritz announced the 20% profit rise due to its new spring-summer collection.

The profit rose 29% to 2.3bn kronor due to the cheaper imports as Chinese textile quotas had been lifted. As a result prices for companies shares also rose 5%, having surpassed all expectations of analysts.

H&M has a number of boutiques in Scandinavia, Germany, France and Britain and by November of this year the company plans to open over 140 new stores, five of them will be opened in Britain. Leif Persson, the finance director of H&M, emphasizes the importance of the British market: "The UK is a very important market for us; we see at the moment it is a good market for us." He also noticed: "There are a number of years of expansion left in the UK," as there had been only H&M 687 stores in Britain five years ago.

Last year Chanel designer Karl Lagerfeld created a winter collection for H&M. The collection also allowed company's sales to rise 14% to 15.9bn kronor in three months.

Karl Lagerfeld and H&M had slight differences in fashion politics as designer stated he wasn't going to design plus-size clothes, but the company solved the problem. Mr Persson says that the collaboration with Karl Lagerfeld had been a success and H&M plans to repeat the tactics with another designer this year.