Blue Nile Sinks on Q2 Earnings

Shares of Blue Nile NILE are trading lower in the after-hours following the release of the company's Q2 earnings results. Currently, shares are lower by 5.30%, trading at $34.65; they ended the regular session lower by 8.23%, at $36.59. Blue Nile reported Q2 EPS of $0.19 on revenues of $80.5 million; the Street was looking for $0.20 per share. Revenues increased 5.1% year over year. "While we delivered record second quarter sales and non-GAAP adjusted EBITDA, our results were impacted by rapidly rising diamond and metal prices amid a weakening consumer environment in the U.S. Despite these external headwinds, we achieved sales growth across all product categories, including double-digit sales growth in the non-engagement category," said Diane Irvine, Chief Executive Officer. "We finished the quarter with a record second quarter cash balance of $74.2 million while repurchasing $8.4 million of stock. We are keenly focused on driving growth through an enhanced customer experience, expanded product assortment, investments in our international business, and in executing our differentiated model to grow long-term value for our shareholders." Blue Nile, Inc. is an online retailer of diamonds and fine jewelry. It has three wholly owned subsidiaries: Blue Nile, LLC, Blue Nile Worldwide, Inc. and Blue Nile Jewellery, Ltd.