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 April 2006 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.)
(Check One) Form 20-F |X| Form 40-F |_|
(Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.)
(Check One) Yes |_| No |X|
(If "Yes" is marked, indicate below the file number assigned to the
registrant in connection with Rule 12g3-2(b). 82- .)
Natuzzi's 2005 Annual Net Losses Decreased to EUR 14.6 Million
SANTERAMO IN COLLE, BARI, Italy--(BUSINESS WIRE)--April 10,
2006--Natuzzi S.p.A. (the "Company" or the "Group") (NYSE:NTZ)
announces that its Board of Directors today agreed upon a change in
the unaudited consolidated financial statements approved by the Board
on March 29th, 2006, reducing Natuzzi's net loss for full year 2005
and fourth quarter 2005 to EUR 14.6 million and EUR 0.7 million,
respectively, from EUR 16.7 million and 2.8 million previously
announced.
This reduction reflects the write-off of a EUR 2.1 million
prudential provision that had been included in the Group's unaudited
financial statements in connection with the results of Italsofa Bahia,
its Brazilian subsidiary. In particular, after the Board meeting of
March 29, 2006, the subsidiary received a communication from local
authorities fully recognizing its right to benefit from a corporate
tax reduction.
Accordingly, in compliance with the Italian accounting principles
and Italian legislation, the Board decided to write-off the aforesaid
provision prior to the Shareholders' meeting that has been called for
April 28th (first call) or April 29th (second call), 2006, in which
the 2005 financial results will be presented to the Shareholders for
their approval.
----------------------------------------------------------------------
ABOUT NATUZZI S.P.A.
Founded in 1959 by Pasquale Natuzzi, Natuzzi S.p.A. designs and
manufactures a broad collection of leather-upholstered residential
furniture.
Italy's largest furniture manufacturer, Natuzzi is the global
leader in the leather segment, exporting its innovative, high-quality
sofas and armchairs to 123 markets on 5 continents. Cutting-edge
design, superior Italian craftsmanship, and advanced,
vertically-integrated manufacturing operations underpin the Company's
market leadership.
Since 1990, Natuzzi has sold its furnishings in Italy through the
popular Divani & Divani by Natuzzi chain of 132 stores, which it
licenses to qualified furniture dealers. Outside Italy, the Company
sells to various furniture retailers, as well as through 148 licensed
Divani & Divani by Natuzzi and Natuzzi stores.
Natuzzi S.p.A. was listed on the New York Stock Exchange on May
13, 1993. The Company is ISO 9001 and 14001 certified.
----------------------------------------------------------------------
- Tables follow -
NATUZZI S.P.A. AND SUBSIDIARIES
Unaudited Consolidated Statement of Earnings for the fourth quarter
ended December 31, 2005 on the basis of Italian GAAP
----------------------------------------------------------------------
Three months ended on: 31-Dec-05 31-Dec-05
---------------------------------------------------------------
(Expressed in millions of EUR except Approved on Approved on
per share data) April 10, March 29,
2006 2006
---------------------------------------------------------------
Upholstery net sales 173.0 173.0
Other sales 17.6 17.6
---------------------------------------------------------------
Net Sales 190.6 190.6
---------------------------------------------------------------
Purchases (77.5) (77.5)
Labor (30.1) (30.1)
Third-party Manufacturers (7.2) (7.2)
Manufacturing Costs (8.9) (8.9)
Inventories, net (11.9) (11.9)
---------------------------------------------------------------
Cost of Sales (135.6) (135.6)
---------------------------------------------------------------
Gross Profit 55.0 55.0
---------------------------------------------------------------
Selling Expenses (48.4) (48.4)
General and Administrative Expenses (12.0) (12.0)
---------------------------------------------------------------
Operating Income (Loss) (5.4) (5.4)
---------------------------------------------------------------
Interest Income, net 0.0 0.0
Foreign Exchange, net 2.4 2.4
Other Income, net 6.2* 4.2
---------------------------------------------------------------
Earnings (Losses) before taxes and 3.2* 1.2
minority interest
---------------------------------------------------------------
Income taxes (4.0)* (4.1)
---------------------------------------------------------------
Earnings (Losses) before minority (0.8)* (2.9)
interest
---------------------------------------------------------------
Minority Interest (0.1)* (0.1)
Net Earnings (Losses) (0.7)* (2.8)
---------------------------------------------------------------
Earnings (Losses) per Share (0.01)* (0.05)
---------------------------------------------------------------
Average Number of Shares Outstanding 54,681,628 54,681,628
(1)
---------------------------------------------------------------
(1) Net of shares repurchased
---------------------------------------------------------------
Three months ended on: 31-Dec-05 31-Dec-05
---------------------------------------------------------------
Key figures in U.S. dollars (millions, Approved on Approved on
except per share data) April 10, March 29,
2006 2006
======================================================================
Net Sales 226.6 226.6
Gross Profit 65.4 65.4
Operating Income (Loss) (6.4) (6.4)
Net Earnings (Losses) (0.8)* (3.3)
Earnings (Losses) per Share (0.01)* (0.06)
Average exchange rate (U.S. dollar per
Euro) 1.1890
---------------------------------------------------------------
* Item affected by the changes approved by the Board
NATUZZI S.P.A. AND SUBSIDIARIES
Unaudited Consolidated Statement of Earnings for the full year ended
December 31, 2005 on the basis of Italian GAAP
------------------------------------ ----------- ------------
Twelve months ended on: 31-Dec-05 31-Dec-05
------------------------------------ ----------- ------------
(Expressed in millions of EUR except Approved on Approved on
per share data) April 10, March 29,
2006 2006
------------------------------------ ------------------------
Upholstery net sales 594.8 594.8
Other sales 75.1 75.1
------------------------------------ ----------- -----------
Net Sales 669.9 669.9
------------------------------------ ----------- -----------
Purchases (295.3) (295.3)
Labor (108.3) (108.3)
Third-party Manufacturers (25.3) (25.3)
Manufacturing Costs (33.6) (33.6)
Inventories, net 3.1 3.1
------------------------------------ ----------- -----------
Cost of Sales (459.4) (459.4)
------------------------------------ ----------- -----------
Gross Profit 210.5 210.5
------------------------------------ ----------- -----------
Selling Expenses (182.2) (182.2)
General and Administrative Expenses (43.0) (43.0)
------------------------------------ ----------- -----------
Operating Income (Loss) (14.7) (14.7)
------------------------------------ ----------- -----------
Interest Income, net 0.0 0.0
Foreign Exchange, net (1.6) (1.6)
Other Income, net 4.5* 2.5
------------------------------------ ----------- -----------
Earnings (Losses) before taxes and
minority interest (11.8)* (13.8)
-------------------------------------------------- -----------
Income taxes (3.1)* (3.2)
------------------------------------ ----------- -----------
Earnings (Losses) before minority
interest (14.9)* (17.0)
------------------------------------ ----------- -----------
Minority Interest (0.3)* (0.3)
Net Earnings (Losses) (14.6)* (16.7)
------------------------------------ ----------- -----------
Earnings (Losses) per Share (0.27)* (0.31)
------------------------------------ ----------- -----------
Average Number of Shares
Outstanding* 54,681,628 54,681,628
------------------------------------ ----------- -----------
(*) Net of shares repurchased
------------------------------------ ----------- -----------
Twelve months ended on: 31-Dec-05 31-Dec-05
------------------------------------ ----------- -----------
Key Figures in U.S. dollars (millions, Approved on Approved on
except per share data) April 10, March 29,
2006 2006
======================================================================
Net Sales 834.0 834.0
Gross Profit 262.1 262.1
Operating Income (Loss) (18.3) (18.3)
Net Earnings (Losses) (18.2)* (20.8)
Earnings (Losses) per Share (0.34)* (0.39)
Average exchange rate (U.S. dollar
per Euro) 1.2449
---------------------------------------------------------------
* Item affected by the changes approved by the Board
NATUZZI S.P.A. AND SUBSIDIARIES
Unaudited Consolidated Balance Sheet as of December 31, 2005
Approved Approved
on on
April 10, March 29,
2006 2006
----------------------------- -------- ---------
31-Dec-05 31-Dec-05
----------------------------- -------- ---------
ASSETS
Current Assets:
Cash and cash equivalents 89.7 89.7
Marketable debt securities 0.0 0.0
Trade receivables, net 123.6 123.6
Other receivables 46.3 46.3
Inventories 115.7 115.7
Unrealized foreign exchange
gains 0.0 0.0
Prepaid expenses and accrued
income 2.6 2.6
Deferred income taxes 6.6 6.6
----------------------------- -------- ------
Total current assets 384.5 384.5
----------------------------- -------- ------
Non-Current Assets:
Net property, plant and
equipment 262.8 262.8
Other assets 16.6 16.6
Deferred income taxes 1.1 1.1
----------------------------- -------- ------
TOTAL ASSETS 665.0 665.0
----------------------------- -------- ------
LIABILITIES AND SHAREHOLDERS'
EQUITY
Current Liabilities:
Short-term borrowings 7.7 7.7
Current portion of long-term
debt 0.4 0.4
Accounts payable-trade 73.5 73.5
Accounts payable-other 24.8 24.8
Unrealized foreign exchange
losses 4.8 4.8
Income taxes 2.9* 3.0
Salaries, wages and related
liabilities 22.1 22.1
----------------------------- -------- ------
Total current liabilities 136.2* 136.3
----------------------------- -------- ------
Long-Term Liabilities:
Employees' leaving
entitlement 32.3 32.3
Long-term debt 3.6 3.6
Deferred income taxes 0.0 0.0
Deferred income for capital
grants 14.8 14.8
Other liabilities 4.4* 6.3
----------------------------- -------- ------
Minority Interest 0.7* 0.7
----------------------------- -------- ------
Shareholders' Equity:
Share capital 54.7 54.7
Reserves 42.3 42.3
Additional paid-in capital 8.3 8.3
Retained earnings 367.7* 365.7
----------------------------- -------- ------
Total shareholders' equity 473.0* 471.0
----------------------------- -------- ------
Commitments and contingent
liabilities 0.0 0.0
----------------------------- -------- ------
TOTAL LIABILITIES AND
SHAREHOLDERS' EQUITY 665.0 665.0
----------------------------- -------- ------
* Item affected by the changes approved by the Board
NATUZZI S.P.A. AND SUBSIDIARIES
Unaudited Consolidated Statements of Cash Flows as of
December 31, 2005
Approved on Approved on
April 10, March 29,
2006 2006
-------- --------
31-Dec-05 31-Dec-05
-------- ---------
Cash flows from operating
activities:
Net earnings (losses) (14.6)* (16.7)
Adjustments to reconcile
net income to net cash
provided by operating
activities:
Depreciation and
amortization 33.0 33.0
Employees' leaving
entitlement 2.4 2.4
Deferred income taxes (6.3) (6.3)
Minority interest (0.2)* (0.2)
(Gain) loss on disposal of
assets (0.2) (0.2)
Unrealized foreign
exchange (losses) / gain 11.9 11.9
Deferred income for
capital grants (5.6) (5.6)
Change in assets and
liabilities:
Receivables, net 10.6 10.6
Inventories (1.6) (1.6)
Prepaid expenses and
accrued income (0.1) (0.1)
Other assets (1.4) (1.4)
Accounts payable (7.4) (7.4)
Income taxes 0.4* 0.5
Salaries, wages and
related liabilities 3.3 3.3
Other liabilities (1.0)* 1.0
-------------------------- -------- ------
Total adjustments 37.8* 39.9
-------------------------- -------- ------
NET CASH PROVIDED BY
OPERATING ACTIVITIES 23.2 23.2
-------------------------- -------- ------
Cash flows from investing
activities:
Property, plant and
equipment:
Additions (20.9) (20.9)
Disposals 0.9 0.9
Government grants received 1.0 1.0
Marketable debt
securities:
Proceeds from sales 0.0 0.0
Purchase of business, net
of cash acquired (2.0) (2.0)
Disposal of business 0.0 0.0
-------------------------- -------- ------
NET CASH USED IN INVESTING
ACTIVITIES (21.0) (21.0)
-------------------------- -------- ------
Cash flows from financing
activities:
Long term debt:
Proceeds 0.5 0.5
Repayments (2.1) (2.1)
Short-term borrowings 1.6 1.6
Dividends paid to
shareholders (3.8) (3.8)
Dividends paid to minority
shareholders 0.0 0.0
-------------------------- -------- ------
NET CASH USED IN FINANCING
ACTIVITIES (3.8) (3.8)
-------------------------- -------- ------
Effect of translation
adjustments on cash 4.0 4.0
-------------------------- -------- ------
INCREASE (DECREASE) IN
CASH AND CASH EQUIVALENTS 2.4 2.4
-------------------------- -------- ------
Cash and cash equivalents,
beginning of the year 87.3 87.3
-------------------------- -------- ------
CASH AND CASH EQUIVALENTS,
END OF THE PERIOD 89.7 89.7
-------------------------- -------- ------
Supplemental disclosure of
cash flow information
Cash paid during the year
for interest 0.0 0.0
-------------------------- -------- ------
Cash paid during the year
for income taxes 0.0 0.0
-------------------------- -------- ------
* Item affected by the changes approved by the Board
CONTACT: Natuzzi S.p.A.
Investor Relations Dept.
Tel.: +39-080-8820-812
investor_relations@natuzzi.com
OR
Corporate Press Office
Tel.: +39-080-8820-124
relazioni.esterne@natuzzi.com
www.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: April 10th, 2006 By: /s/ GIUSEPPE DESANTIS
----------------------------------
Giuseppe Desantis