Fashion retailer Ted Baker said strong demand in Britain and North America boosted half-year sales by almost a quarter.

The firm, which has over 416 stores and concessions worldwide, said group sales lifted 24.5% in the 28 weeks to August 15 compared to a year ago as it opened new outlets in the UK, Canada and Europe.

The business, which has branched out from selling colourful shirts to include menswear, womenswear and fragrances, posted a 14.6% hike in first half pre-tax profits to £17.8 million on strong trading from its established markets.

It said retail sales in the UK and Europe increased 14.7% to £120.9 million, "reflecting a strong performance in our established UK market and a very good performance in continental Europe where we continue to expand".

It also opened a shop in London's trendy Spitalfields to showcase its range of licensed products. The firm operates 184 stores and concessions in the UK.

In the US its retail division increased by 37.4% to £39.7 million as it opened a new store in Vancouver and a number of concessions in US department stores.

Founder and chief executive Ray Kelvin said: "This strong performance across all channels and territories is testament to the growing strength of Ted Baker as a leading global lifestyle brand."

However, the group added that sales in August were impacted by unseasonable weather in the US and the affects of a strong dollar and a weak euro.

It said that trading in September is back on track and its Autumn and Winter collections for the season have been well received.

The retailer also cautioned that its full-year results are weighted towards the second half of the year.

Shares fell just over 1%, although they have risen by half this year.

Ted Baker was founded by Mr Kelvin as a shirt specialist in a single Glasgow store in 1988.