Securities and Exchange Commission
Washington, D.C. 20549


Form 6-K


Report of Foreign Issuer
Pursuant To Rule 13a-16 Or 15d-16
Of The
Securities Exchange Act of 1934

For the month of MAY, 2014

  Commission File Number 1-11854


NATUZZI S.p.A.

(Translation of registrant's name into English)


Via Iazzitiello 47
70029 Santeramo, Italy
(Address of principal office)



Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
Form 20-F ⊠ Form 40-F ⃞

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.  Yes ⃞   No ⊠

If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):

Natuzzi: First Quarter 2014 Consolidated Financial Results

FIRST CHECK-POINT OF THE 2014-2016 BUSINESS PLAN

SANTERAMO IN COLLE, Italy--(BUSINESS WIRE)--May 30, 2014--The Board of Directors of Natuzzi S.p.A. (NYSE:NTZ) (“Natuzzi” or “the Company”) has approved its consolidated financial results for the first quarter of 2014.

After the meeting of the board of directors, the Chief Executive Officer, Pasquale Natuzzi, commented:

“First quarter 2014 results represent a first check-point for monitoring the progress of the 2014-2016 Business Plan (the “Plan”), that was approved by the board of directors on February 28, 2014, as well as the effectiveness of the actions already undertaken.

Consolidated net sales in the period were equal to €98.4 million, down 11.2% from €110.7 million reported in the first quarter of 2013.

This reduction – largely anticipated by the Plan – is attributable principally to the following factors:

It is worth highlighting that, notwithstanding the 11.2% reduction in revenue reported for the period, the Group’s industrial margin was substantially the same as last year, passing from 29.0% in 2013 first quarter to 28.5% in the first three months of 2014.

The consolidated EBIT was negative at -€9.4 million (compared to a negative EBIT of -€6.9 million last year), slightly below the operating result of -€8.8 million expected by the Plan for the period, and was the result of the following:

1) The restructuring of our Italian operations, according to the agreement entered into between the Company and unions on October 10, 2013, under the supervision of the Minister of Economic Development, is underway, with the contemplated closure of the plant in Ginosa, Italy, having been completed, the right-sizing in the number of our workforce and the end of staffing by rotation within the Italian plants;

2) On the product innovation side, an additional 35 models were re-engineered during the first three months of the year, and we expect to re-engineer a further 85 models by the end of 2014. At the end of the current year, we expect 90% of our production will be represented by models that will be manufactured on platforms.

3) On the industrial process-innovation side, we set up an additional 15 new moving lines during the first quarter of 2014. Within the end of this year we plan to complete a further 11 moving lines, thus bringing the total number of moving lines in all of the Group’s plants to 50, as contemplated in the Plan.

4) The start of the project execution for a centralized shared service structure, as envisaged by the Plan, designed to reduce back-office costs.

Cash used by operations and investments have reduced the Group’s net financial position from €28.5 million as of the end of 2013 to €21.1 million as of March 31, 2014, including a €1.4 million negative effect from foreign currency movements.

In consideration of this first and very important check point of the 2014-2016 business plan, we are now in the position to say that our progress for the restructuring of the Group’s operations is in line with the Plan, as is our project for reorganizing the Group’s commercial structure, for which we recently hired two important managers for the Americas and Western Europe markets.

Lastly, although the current order flow is not in line with our expectations, we perceive the first signals of a trend reversal following the positive feedback we have received on our new collections that were recently introduced at international fairs since the end of March. To sum up, we are cautiously optimistic about our reaching the targets included in the Plan.”.

* *

The Company will host a conference call on Tuesday June 3rd, 2014 at 10:00 a.m. U.S. Eastern Time (4.00 p.m. Italian time, or 3.00 p.m. UK time) to discuss financial results.

The dial-in phone numbers for the live conference call are 1-888-438-5535 (toll-free) for persons calling from the U.S. or Canada, and 1-719-325-2362 for those calling from other countries.

A live web cast of the conference call will be available on line at http://www.natuzzi.com/ under the “Investor Relations” section.

A replay of the call will be available shortly after the end of the conference call starting from June 3rd, 2014 (at 1:00 pm US Eastern time), to July 3rd, 2014. To access the replay of the conference call, interested persons need to dial 1-877-870-5176 (toll-free) for calls from U.S. and Canada, and 1-858-384-5517 for calls from other countries. The access code for the replay is: 9171295.

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CAUTIONARY STATEMENT CONCERNING FORWARD-LOOKING STATEMENTS

Certain statements set forth in this press release constitute forward-looking statements within the meaning of the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements involve risks and uncertainties that could cause Natuzzi’s actual results to differ materially from those stated or implied by such forward-looking statements. More information about the potential factors that could affect the Company’s business and financial results is included in Natuzzi’s filings with the Securities and Exchange Commission, including the Company’s Annual Report on Form 20-F for the year ended December 31, 2013. Natuzzi undertakes no obligation to update any of the forward-looking statements after the date of this press release.

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About Natuzzi S.p.A.

Founded in 1959 by Pasquale Natuzzi, Natuzzi S.p.A. designs, manufactures and sells a broad collection of couches, armchairs, home furniture and home accessories. With consolidated revenues of €449.1 million in 2013, Natuzzi is Italy’s largest furniture house and the player with the greatest global reach in its sector, with eight manufacturing plants, twelve commercial offices and more than 1,200 points of sale worldwide. Ethics and social responsibility, innovation, industrial know-how and integrated management of its value chain represent the points of strength that have made the Natuzzi Group a market leader and established Natuzzi as the most recognized furniture brand in the world among consumers of luxury goods. Natuzzi S.p.A. has been listed on the New York Stock Exchange since May 1993. The Company is ISO 9001 and 14001 certified.

Natuzzi S.p.A. and Subsidiaries
Unaudited Consolidated Profit & Loss for the first quarter of 2014 & 2013 on the basis of Italian GAAP
(expressed in millions Euro, except per share amounts)
         
Three months ended on Change Percentage of Sales
    31-Mar-14   31-Mar-13   %   31-Mar-14   31-Mar-13
 
Upholstery net sales 87.9 99.0 -11.2% 89.4% 89.4%
Other sales   10.5   11.7   -10.8%   10.6%   10.6%
Total Net Sales   98.4   110.7   -11.2%   100.0%   100.0%
 
Consumption (*) (44.5) (50.3) -11.5% -45.3% -45.4%
Labor (19.1) (21.1) -9.4% -19.4% -19.0%
Industrial Costs (6.8) (7.3) -6.7% -6.9% -6.6%
of which: Depreciation, Amortization   (2.5)   (2.3)   5.5%   -2.5%   -2.1%
Cost of Sales   (70.4)   (78.6)   -10.5%   -71.5%   -71.0%
                     
Industrial Margin   28.0   32.1   -12.8%   28.5%   29.0%
 
Selling Expenses (16.0) (17.2) -6.9% -16.2% -15.5%
Transportation (10.2) (11.2) -9.0% -10.4% -10.1%
Commissions (2.3) (2.5) -6.9% -2.3% -2.2%
Advertising (3.5) (3.5) -0.2% -3.5% -3.1%
 
Other Selling and G&A (21.4) (21.8) -1.7% -21.8% -19.7%
of which: Depreciation, Amortization   (1.1)   (1.6)   -30.9%   -1.1%   -1.4%
EBITDA   (5.9)   (3.0)       -6.0%   -2.7%
                     
EBIT   (9.4)   (6.9)       -9.6%   -6.2%
 
Interest Income/(Costs), Net (0.3) (0.1)
Foreign Exchange, Net 0.8 1.5
Other Income/(Cost), Net   (0.3)   0.5            
Earning before Income Taxes   (9.2)   (5.0)       -9.4%   -4.5%
 
Current taxes (0.5) (1.0) -0.5% -0.9%
                     
Net Result   (9.8)   (6.0)       -9.9%   -5.4%
 
Minority interest (0.0) (0.0)
                     
Net Group Result   (9.8)   (6.0)       -9.9%   -5.4%
                     
Net Group Result per Share   (0.18)   (0.11)            
 
                     
Key Figures in U.S. dollars Three months ended on Change Percentage of Sales
(millions)   31-Mar-14   31-Mar-13   %   31-Mar-14   31-Mar-13
 
Total Net Sales 134.8 151.7 -11.2% 100.0% 100.0%
Industrial Margin 38.4 44.0 -12.8% 28.5% 29.0%
EBIT (12.9) (9.4) -9.6% -6.2%
Net Group Result (13.4) (8.2) -9.9% -5.4%
Net Group Result per Share (0.24) (0.15)
 
Average exchange rate (U.S.$ per 1€) 1.3704
                     
 
(*) Purchases plus beginning stock minus final stock and leather processing
  UPHOLSTERY NET SALES BREAKDOWN
GEOGRAPHIC BREAKDOWN
NET SALES (in €, million)   NET SALES (in seats sold)
Quarter ended on Quarter ended on
               
AREA 31-Mar-14   % 31-Mar-13   % delta 31-Mar-14   % 31-Mar-13   % delta
Americas 31.2   35.5% 38.0   38.4% -17.8% 161,760   43.4% 185,171   44.8% -12.6%
Natuzzi Italia 2.9 3.3% 5.0 5.1% -43.0% 6,271 1.7% 11,247 2.7% -44.2%
Natuzzi Editions 14.2 16.1% 18.7 18.9% -24.2% 65,680 17.6% 88,415 21.4% -25.7%
Unbranded 14.2   16.1% 14.3   14.4% -0.5% 89,809   24.1% 85,509   20.7% 5.0%
 
EMEA 44.3   50.3% 49.3   49.8% -10.3% 161,975   43.5% 185,839   45.0% -12.8%
Natuzzi Italia 22.4 25.5% 23.8 24.0% -5.8% 58,657 15.7% 61,425 14.9% -4.5%
Natuzzi Editions 13.0 14.8% 13.9 14.0% -6.1% 47,567 12.8% 53,082 12.8% -10.4%
Unbranded 8.9   10.1% 11.7   11.8% -24.3% 55,751   15.0% 71,332   17.3% -21.8%
 
Asia-Pacific 10.4   11.8% 9.9   10.0% 5.0% 38,318   10.3% 32,881   8.0% 16.5%
Natuzzi Italia 4.2 4.8% 5.5 5.5% -23.9% 9,072 2.4% 10,941 2.6% -17.1%
Natuzzi Editions 5.5 6.2% 3.6 3.6% 51.9% 24,187 6.5% 16,381 4.0% 47.7%
Unbranded 0.7   0.8% 0.8   0.8% -8.4% 5,059   1.4% 5,559   1.3% -9.0%
 
Brazil 2.1   2.4% 1.8   1.8% 14.2% 10,429   2.8% 9,531   2.3% 9.4%
Natuzzi Italia 0.0 0.0% - 0.0% 10 0.0% - 0.0%
Natuzzi Editions 1.2 1.4% 1.1 1.1% 9.0% 3,726 1.0% 3,805 0.9% -2.1%
Unbranded 0.9   1.0% 0.7   0.7% 21.0% 6,693   1.8% 5,726   1.4% 16.9%
                             
TOTAL 87.9   100.0% 99.0   100.0% -11.2% 372,482   100.0% 413,422   100.0% -9.9%
 
 
BREAKDOWN BY BRAND
NET SALES (in €, million) NET SALES (in seats sold)
Quarter ended on Quarter ended on
 
BRAND 31-Mar-14   % 31-Mar-13   % delta 31-Mar-14   % 31-Mar-13   % delta
Natuzzi Italia 29.5 33.5% 34.3 34.7% -14.2% 74,010 19.9% 83,613 20.2% -11.5%
Natuzzi Editions 33.9 38.5% 37.3 37.6% -9.1% 141,160 37.9% 161,683 39.1% -12.7%
Unbranded 24.6   28.0% 27.4   27.7% -10.3% 157,312   42.2% 168,126   40.7% -6.4%
TOTAL 87.9   100.0% 99.0   100.0% -11.2% 372,482   100.0% 413,422   100.0% -9.9%
  Natuzzi S.p.A. and Subsidiaries
Unaudited Consolidated Balance Sheets on the basis of Italian GAAP
(Expressed in millions of Euro)
ASSETS   31-Mar-14   31-Dec-13
   
Current assets:
Cash and cash equivalents 55.2 61.0
Marketable debt securities 0.0 0.0
Trade receivables, net 78.2 78.9
Other receivables 43.1 48.5
Inventories 77.8 79.0
Unrealized foreign exchange gains 0.1 0.6
Prepaid expenses and accrued income 1.9 1.9
Deferred income taxes   0.3   0.3
Total current assets   256.7   270.2
 
Non-current assets:
Net property, plant and equipment 141.1 143.6
Other assets   9.0   8.1
Total non-current assets   150.1   151.7
 
TOTAL ASSETS   406.9   421.9
 
LIABILITIES AND SHAREHOLDERS' EQUITY        
 
Current liabilities:
Short-term borrowings 27.7 25.0
Current portion of long-term debt 3.4 3.3
Accounts payable-trade 65.3 67.4
Accounts payable-other 22.4 25.8
Accounts payable-shareholders for dividends - -
Unrealized foreign exchange losses 0.5 0.2
Income taxes 6.9 7.1
Deferred income taxes 1.0 1.0
Salaries, wages and related liabilities   9.1   8.3
Total current liabilities   136.3   138.2
 
Long-term liabilities:
Employees' leaving entitlement 24.8 24.8
Long-term debt 3.0 4.2
Deferred income taxes - -
Deferred income for capital grants 8.5 8.6
Other liabilities   35.2   34.4
Total long-term liabilities   71.6   72.1
         
Minority interest   2.6   2.7
 
Shareholders' equity:
Share capital 54.9 54.9
Reserves 42.8 42.8
Additional paid-in capital 8.4 8.4
Retained earnings   90.3   102.8
Total shareholders' equity   196.4   208.9
 
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY   406.9   421.9
Natuzzi S.p.A. and Subsidiaries
Consolidated Statements of Cash Flows   Three months ended on
(Expressed in million of Euro)   31-Mar-14   31-Mar-13
Cash flows from operating activities:  
Net earnings (loss) (9.8) (6.0)
 
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation and amortization 3.6 3.9
Deferred income taxes 0.0 0.1
Minority interest 0.0 0.0
(Gain) loss on disposal of assets (0.0) (0.0)
Unrealized foreign exchange losses (gains) 0.7 0.7
Deferred income for capital grants   (0.1)   (0.1)
Non monetary operating items   4.2   4.5
 
Change in assets and liabilities:
Receivables, net 0.6 (4.3)
Inventories 1.1 (6.1)
Prepaid expenses and accrued income 0.0 0.5
Accounts payable (0.4) 2.3
Income taxes (0.3) (0.8)
Salaries, wages and related liabilities 0.8 0.8
Other assets/liabilities, net   0.6   (3.0)
Net working capital   2.5   (10.6)
         
Net cash generated/(used) by operating activities   (3.1)   (12.0)
 
Cash flows from investing activities:
Property, plant and equipment:
Additions (3.5) (1.4)
Disposals 0.1 0.0

Government grants received

  0.5   -
Net cash generated/(used) by investing activities   (2.9)   (1.3)
 
Cash flows from financing activities:
Long-term debt:
Proceeds - -
Repayments (1.1) (1.0)
Short-term borrowings   2.7   6.7
Net cash generated/(used) by financing activities   1.6   5.6
         
Effect of translation adjustments on cash   (1.4)   2.0
         
Increase (decrease) in cash and cash equivalents   (5.8)   (5.7)
         
Cash and cash equivalents, beginning of the year   61.0   77.7
         
Cash and cash equivalents, end of the period   55.2   72.0

CONTACT:
For further information:
NATUZZI INVESTOR RELATIONS
Piero Direnzo, +39.080.8820.812
pdirenzo@natuzzi.com
or
NATUZZI CORPORATE COMMUNICATION
(Press Office)
Vito Basile, +39.080.8820.676
vbasile@natuzzi.com

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

NATUZZI S.p.A.

 
(Registrant)

 

 

 

Date:

MAY 30, 2014

By:

/s/ Pasquale Natuzzi

Pasquale Natuzzi