Blue Nile Sees Q1 Sales Jump to $44 Million

Online diamond and jewelry retailer Blue Nile reported first quarter net sales jumped 23.3 percent to $44.1 million from $35.8 million in the year-earlier period.

Net income in the first quarter also rose sharply, up 36.6 percent to $2.6 million from $1.9 million in the first quarter of last year.

Mark Vadon, Chief Executive Officer, said: "Through the balance of 2005, we will continue to focus on building our brand and expanding our market share in our core customized diamond jewelry business in the U.S. We intend to expand our international presence in Canada and in the UK."

Second quarter net sales are expected to be between $41.5 million and $43.5 million, while net sales for the full year ending January 1 are expected to be between $200 million and $212 million.

Blue Nile also announced that it repurchased 156,000 shares of its common stock through May 3, 2005 for an aggregate price of $4.2 million, including the repurchase of 39,000 shares for an aggregate purchase price of $1.1 million during the quarter ended April 3, 2005.

The repurchase is part of a move announced by Blue Nile in February to buy back up to $30 million of its common stock during the next 12 months.