Swedish apparel giant H&M continued to spruik the opportunities in Asia as it reported positive profit growth overnight.

H&M says it plans to increase its store numbers by 10 to 15 per cent annually for the foreseeable future and nominated China as a priority.

In the current year it expects to open 275 new shops globally. “China, the US and the UK are expected to be the largest expansion markets for H&M in 2012,” the company said in its latest results statement.

This year two Asian countries were aded to the company’s global network: Malaysia and Thailand (via a franchise partnership). They joined Bulgaria, Mexico, Latvia as newcomers.

In 2013, H&M will open its first stores in Indonesia, again via a franchise. Its second brand Cos will opened in Hong Kong later this year.

H&M reported group sales increased by 12 per cent in local currencies in the first six months of the current financial year. Same store sales rose a more modest three per cent. Profit after financial items increased by 16 per cent.

CEO Karl-Johan Persson said the year had started well and the positive trend continued in the second quarter.

“In the second quarter we saw strong sales and profitability development, with a profit increase of 23 per cent. The spring collections have been well received by our customers as shown by our increased market share in a fashion retail market that continues to be challenging.

“H&M’s attractive customer offering is appreciated by customers in all our 44 markets, in big cities as well as small cities – and in both countries with strong economic growth and countries with a tough macroeconomic climate,” Persson said.