Online Retailer Bluefly Operating Losses Lower

by MR Magazine Staff

NEW YORK – The ten-year-old online fashion retailer Bluefly announced a 29 percent second quarter revenue increase from $16.8 million in the second quarter of last year to $21.6 million. Gross profit increased by 20 percent. Gross margin decreased from 42 percent in 2006 (Q2) to 39.2 percent, but the company reported that gross margin dollars per order increased from $61.85 to $66.53.

Bluefly’s net loss increased slightly from $1.9 million in the second quarter of 2006 to $2.1 million.

“We are pleased with the continued growth in revenue and gross profit improvement and believe these kinds of improvements demonstrate that we are on a path toward profitability,” said Bluefly CEO Melissa Payner in a release. “The operating loss, excluding the non-cash charges related to stock based compensation, decreased compared to the prior year. In fact, when we exclude these amounts from both this quarter and last year, the operating loss is 35% lower comparatively.”