Sales for the second quarter rose 18 per cent to Skr20.05 billion (£1.45 billion), with profits soaring 31 per cent to Skr5.13 billion (£372 million).
The fashion giant said it launched in four countries during the period and its store chain Cos is also doing well. The expansion of its shoe offering and its online and catalogue sales in the Netherlands have surpassed expectations.
Separately, celebrity designer Roberto Cavalli - who regularly dresses the likes of Kate Moss, Madonna, Beyoncé and Victoria Beckham - is to create a one-off collection exclusively for H&M.
The Roberto Cavalli at H&M collection will be available at the start of November in about 200 stores worldwide. The line will consist of iconic menswear and womenswear, including lingerie and matching accessories.
H&M head of design Margareta van den Bosch said: 'Cavalli has created a world of his own - iconic and full of fantasy - when it comes to colours, prints, and style. There is no place for shyness and no possibility of ending up with a mainstream wardrobe of everyday basics. The Roberto Cavalli collection represents an exuberant and successful lifestyle.'
Cavalli said: 'As the first Italian designer in the history of H&M, I enthusiastically
welcomed this invitation, proud to bring the lively and positive spirit of my work to a new audience.'