Today the Board of Directors of Natuzzi S.p.A. (NYSE:NTZ) announced the first quarter 2010 financial results.
Total Net Sales of €126.4 million as compared to €111.3 million in 1°Q 2009
Industrial Margin of €48.7 million as compared to €28.4 million in 1°Q 2009
Operating Income of €0.5 million versus an Operating Loss of €16.6 million in 1° Q 2009
Net Group Loss of €1.3 million as compared to a Net Group Loss of €10.4 million of 1°Q 2009
Positive Net Financial Position of €54.9 million as compared to €58.5 million as of December 31, 2009
Total Net Sales for the first quarter 2010 were €126.4 million with an improvement of 13.6%. Upholstery Net Sales were €111.3 million with an increase of 14.9% compared to the same period of 2009. The contribution by Geographic area was the following: Europe (excluding Italy) 42.4%, Americas 32.3%, Italy 14.1% and Rest of the World 11.2%. The significant improvement of the Industrial Margin is fundamentally due to a better product-mix sold, and to a constant cost control activity, as well as to a positive euro/dollars exchange rate that affected positively the cost of raw material purchases. Transportation costs were negatively influenced by a significant increase of the freight fares recorded in some transportation routes since January 2010. All the other SG&A costs slightly improved as compared to the first quarter of 2009. As a result of these figures, the Company highlights an Operating Income of €0.5 million versus an Operating Loss of €16.6 million in the first quarter of 2009 with a remarkable improvement with respect to the same period of the previous year. Net Group Result shows a reduced loss of €1.3 million, with respect to a loss of €10.4 million recorded in the same period of 2009, mainly due to some improving actions obtained at a production efficiency level. Net Financial Position as of March 31, 2010 remains strongly positive for €54.9 million notwithstanding the decrease compared to December 31, 2009.