• Swings to operating loss of $669,000, from operating income of $161,000 last time

  • Net revenue up to $20.5m from $19.9m

  • Gross margin falls to 38.8% from 39.7% 

Despite swing to an operating loss in its second quarter, online designer fashion retailer Bluefly Inc has been buoyed by higher order sizes and a 4% rise in sales.

"We are seeing great momentum in our designer business and believe we have significant opportunity in our contemporary business as we move into fall," said Melissa Payner, Bluefly's chief executive officer.

"The positive trends in our business give us further confidence that the customer remains focused on value and luxury and we believe we are positioned well to meet their demand."

The New York based company said operating expenses rose 12% to $8.6m as it resumed its online and offline marketing activities.

And average order size increased to a record high of $310.39 in the second quarter, compared to $268.79 a year ago.