Net sales at Blue Nile up 5.1% in Q2

In the second quarter ending July 3, 2011, online retail giant Blue Nile clocked in net sales worth $80.52, an increase of 5.1 percent y-o-y. Its net income increased 1.2 percent to $2.84 million. The company noted that the ‘second quarter results were a record’ but its performance was affected due to the rinsing prices of precious metals and diamonds, which in turn has deterred the demand in U.S.

The good sales figures mirrored across all its product categories including ‘double-digit sales growth in the non-engagement category’, and a ‘strong growth in its international business’.

In the said three months, the company’s cost of sales were up 4.9 percent (y-o-y) to $63.35 million, gross profit rose 6 percent to $17.2 million and cash balance at the end of the quarter was $74.2 million.

The company projects the next quarter to earn sales worth $71.5 million to $74 million, as compared to $67.5 million in Q3 of 2010.