BLUE NILE INC

CIK:0001091171|SEC Filings

Condensed Consolidated Statements Of Operations - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 02, 2016	Oct. 04, 2015	Oct. 02, 2016	Oct. 04, 2015
Income Statement [Abstract]
Net sales	$ 105,110	$ 109,943	$ 321,937	$ 330,083
Cost of sales	84,470	88,712	258,673	266,790
Gross profit	20,640	21,231	63,264	63,293
Selling, general and administrative expenses	18,843	18,192	56,950	54,905
Operating income	1,797	3,039	6,314	8,388
Other income (loss), net:
Interest income, net	10	12	35	76
Other income (loss), net	90	(33)	571	0
Total other income (loss), net	100	(21)	606	76
Income before income taxes	1,897	3,018	6,920	8,464
Income tax expense	604	1,041	2,420	2,969
Net income	$ 1,293	$ 1,977	$ 4,500	$ 5,495
Basic net income per share	$ 0.11	$ 0.17	$ 0.39	$ 0.47
Diluted net income per share	$ 0.11	$ 0.17	$ 0.38	$ 0.47

Condensed Consolidated Statements Of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Oct. 02, 2016	Oct. 04, 2015
Operating activities:
Net income	$ 4,500	$ 5,495
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation and amortization	3,732	2,771
Stock-based compensation	3,359	3,831
Deferred income taxes	830	(657)
Tax deficiency from share-based awards	(437)	(597)
Excess tax benefit from share-based awards	(25)	(29)
Changes in assets and liabilities:
Receivables	374	(1,228)
Inventories	2,250	(278)
Prepaid expenses and other assets	(834)	(755)
Accounts payable	(44,336)	(52,344)
Accrued liabilities	(3,586)	(3,176)
Unearned income	(458)	2,141
Deferred rent and other	143	(180)
Net cash used in operating activities	(34,488)	(45,006)
Investing activities:
Purchases of property and equipment	(4,476)	(2,940)
Payments received on note receivable	300	1,400
Net cash used in investing activities	(4,176)	(1,540)
Financing activities:
Repurchase of common stock	(318)	(10,780)
Proceeds from stock option exercises	1,738	241
Taxes paid for net share settlement of equity awards	(630)	(424)
Excess Tax Benefit from Share-based Compensation, Financing Activities	25	29
Payments of Dividends	(8,123)	0
Principal payments under long-term financing obligation	(24)	(24)
Net cash used in financing activities	(7,332)	(10,958)
Effect of exchange rate changes on cash and cash equivalents	12	(73)
Net decrease in cash and cash equivalents	(45,984)	(57,577)
Cash and cash equivalents, beginning of period	86,542	91,186
Cash and cash equivalents, end of period	40,558	33,609
Supplemental disclosure of cash flow information:
Cash paid for income taxes	$ 4,033	$ 4,825

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Oct. 02, 2016	Jan. 03, 2016	Oct. 04, 2015
Current assets:
Cash and cash equivalents	$ 40,558	$ 86,542	$ 33,609
Trade accounts receivable	2,094	3,339	4,006
Other accounts receivable, net	1,577	706	930
Note receivable	300	600	600
Inventories	44,126	46,376	41,946
Prepaids and other current assets	2,497	1,585	2,317
Total current assets	91,152	139,148	83,408
Property and equipment, net	11,669	10,530	10,795
Deferred income taxes	4,259	5,089	4,844
Other investments	2,280	2,280	2,280
Other assets, net	268	367	305
Total assets	109,628	157,414	101,632
Current liabilities:
Accounts payable	77,882	121,917	76,328
Accrued liabilities	8,750	12,336	8,816
Current portion of long-term financing obligation	34	33	33
Current portion of deferred rent	352	290	291
Total current liabilities	87,018	134,576	85,468
Long-term financing obligation, less current portion	430	455	464
Deferred rent, less current portion	1,702	1,697	1,771
Unearned income	1,530	1,988	2,141
Other long-term liabilities	318	242	201
Commitments and contingencies
Stockholders' equity:
Preferred stock, $0.001 par value; 5,000 shares authorized, none issued and outstanding	0	0	0
Common stock, $0.001 par value; 300,000 shares authorized; 21,849, 21,714 and 21,672 shares issued, respectively, 11,697, 11,575 and 11,533 shares outstanding, respectively	22	22	22
Additional paid-in capital	236,285	232,148	230,290
Accumulated other comprehensive loss	(227)	(239)	(211)
Retained earnings	110,366	114,023	108,984
Treasury stock, at cost; 10,152, 10,139 and 10,139 shares outstanding, respectively	(327,816)	(327,498)	(327,498)
Total stockholders' equity	18,630	18,456	11,587
Total liabilities and stockholders' equity	$ 109,628	$ 157,414	$ 101,632