Profits at Swedish fashion retailer Hennes & Mauritz have jumped 53% in the third quarter, and it has announced plans for 39 new stores.

The largest number will open in Germany, where nine stores are planned, and in the US and Spain, where eight stores are planned to open in each country.

H&M reported a pre-tax profit of 1.9bn Swedish kronor($204m; �132m) to the end of August as sales increased 15% to 12.6bn kronor, beating analysts expectations.

Meanwhile results are awaited from Inditex, the parent of H&M's Spanish rival Zara, which is tipped to report a 30% jump in net profit.

'Positive developments'

H&M attributed its improved gross margin largely to improved inventory control, but also to lower costs for handling goods.

The company boasted that it had increased its turnover in all countries of operation, adding that there was "very positive development" in new markets France, the US and Spain.

The company now has 809 stores in 14 countries, after opening 46 and closing eight so far this year.

Zara's progress

Inditex is expected to report first-half net profit of 119.1m euros (�75m; $116m) compared with 91.7m euros for the same period last year, according to a Reuters poll.

Inditex has opened 110 stores around the world since February, the start of its financial year.

Analysts will be looking for progress in Germany, Europe's largest retail market, the US and also for the impact of Argentina's financial crisis.

Latin America accounts for 16% of Inditex's sales and profits.