blue nile

BLUE NILE REPORTS RECORD FOURTH QUARTER NET SALES OF US$90.7 MILLION, UP 23.9%

Blue Nile, Inc.’s fourth quarter net sales for the period ending December 31, 2006 were US$90.7 million, compared to net sales of US$73.2 million in the fourth quarter of 2005, marking an increase of 23.9 percent.

22 March 2007 found at diamondintelligence.com

Blue Nile’s net sales for the fiscal year ended December 31, 2006 were US$251.6 million, compared to net sales of US$203.2 million in the year ended January 1, 2006, marking an increase of 23.8 percent.

"Blue Nile had an excellent fourth quarter, posting results that balance strong growth and profitability. By delivering an exceptional experience for our customers, we generated sales growth of 23.9 percent. Due to our disciplined cost management, this increase in sales yielded superb profit margins. In 2006, Blue Nile delivered impressive financial results while improving its strategic positioning. We increased our share of the U.S. diamond engagement ring market, expanded our business into other types of fine jewelry, and continued to build our international business. We accomplished all of this while generating strong profitability and cash flow. Entering 2007, we are well positioned to fulfill the long-term potential of our business model,” says Mark Vadon, Chief Executive Officer of Blue Nile.

In other news, Diane Irvine has been promoted to President of Blue Nile. Irvine will be responsible for the company's day-to- day operations and will continue to hold the position of Chief Financial Officer until her successor is named. Vadon, in his role as Chairman and Chief Executive Officer, will remain focused on the strategic direction and growth initiatives of the business that will enhance shareholder value over the long term.

"I am thrilled to announce that Diane will be our President. Diane has been my partner at Blue Nile for the past seven years as we have built Blue Nile into the leading online retailer of fine jewelry. She shares my passion for and dedication to building Blue Nile into an iconic consumer business. Together we will lead the Company into its next phase of growth,” says Vadon.