The e-commerce company’s CEO, Harvey Kanter, said “these results are short of what we expected.”
Buffeted by lower average prices for its offerings, Seattle-based online jeweler Blue Nile on Monday reported flat second-quarter sales and lower profits compared to a year ago.
The company logged net sales of $113.8 million, with diluted earnings per share of 18 cents, for its fiscal second quarter ended July 3.
That’s compared to $113.7 million in sales, and 20 cents per diluted share, for the same quarter last year.
Analysts had expected earnings of 20 cents per share on sales of $114.10 million, according to the Zacks consensus estimate.
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“These results are short of what we expected,” said CEO Harvey Kanter during a conference call with investors.
The average selling price was lower across several different price points in the U.S., Kanter said. U.S. engagement ring net sales decreased 4.4 percent to $62.6 from $65.5 million a year ago.
Sales were strong until a dropoff in June. “We’re still assessing what happened,” he said.
Sales on the high end — rings above $25,000 — fared better than in previous quarters, Kanter added.
International sales totaled $20.8 million, up 6.4 percent from the year-ago quarter. Excluding foreign exchange rate fluctuations, international net sales incrased 9.4 percent, the company reported.