Italian furniture manufacturer Natuzzi has released its second-quarter results for the 2023 financial year, revealing a 28.5% decrease in invoiced sales, amounting to €83.5 million. This figure marked a 9.4% decline compared to the second quarter of 2019 before the pandemic, with the decrease being attributed to adverse macroeconomic conditions affecting the furnishings industry.
Natuzzi's total branded invoiced sales for the period amounted to €74.5 million, reflecting a year-on-year drop of 24.5%. Natuzzi Italia's contribution to these sales reached €31 million, experiencing a decline of 42%, while Natuzzi Editions saw a decrease of 3.5% in invoiced sales, totalling €43.5 million.
Breaking down sales by region, Natuzzi witnessed a 21.1% decline in North America, resulting in sales of €24.7 million. Greater China experienced a substantial 50% drop, recording sales of €6.6 million. In West & South Europe, sales decreased by 34.2% to €26.7 million, while Emerging Markets saw a decline of 13.7% to €11.3 million. Finally, the Rest of the World segment fell by 14.2% to €11.8 million.
In terms of the net financial result, Natuzzi reported a loss of €0.8 million for the second quarter, in contrast to a €1.4 million loss during the same period in 2022.
For the first half of the year overall, the company disclosed a year-on-year revenue decline of 28%, with a 14.5% decrease compared to 2019, totalling €169.6 million. The net financial result for the first half of the year amounted to a loss of €4.2 million.
“It is evident that business environment continues to be particularly challenging for the furniture industry. The fact that most analysts are comparing actual sales with data from 2019 speaks about the extraordinary cycle that the furnishing market has experienced over the past four years,” said Group CEO Antonio Achille
“This negative market cycle has not yet reached a turning point, so it is crucial for us to remain highly focused on actions that will enable us to navigate through this challenging phase effectively. In this context, regaining growth is absolutely the priority. We are focusing on organic growth.”
