Table of Contents Natuzzi S.p.A Annual Report on Form 20-F 2022 Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 20-F ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended: December 31, 2022 Commission file number: 001-11854 NATUZZI S.p.A. (Exact name of Registrant as specified in its charter) Republic of Italy (Jurisdiction of incorporation or organization) Via Iazzitiello 47, 70029, Santeramo in Colle, B ...

Financial Data and Key Metrics Changes - Total revenue for 2022 was €468.5 million, an increase of 9.6% compared to 2021 and 21.1% compared to 2019 [41] - EBITDA was reported at €8.4 million, with potential to reach €12.9 million if excluding one-off items [7][46] - Cash position remained stable at €54 million, significantly higher than operational needs, with a positive cash flow from operations of €18.7 million [8][30] Business Line Data and Key Metrics Changes - 92% of total sales came from branded products, up from 89% in the previous year, indicating a significant transformation towards branded offerings [22] - The gross margin for 2022 was 35.1%, slightly down from 36% in 2021, but improved to 37% in the last quarter of 2022 [43] - Operating expenses decreased to 33.3% of revenues from 34.8% in 2021, reflecting improved efficiency [45] Market Data and Key Metrics Changes - The company noted a weaker demand environment, particularly in the US and Europe, with traffic in stores remaining below expectations [15][75] - In China, the Natuzzi Editions business showed signs of recovery, while Natuzzi Italia faced challenges [34] Company Strategy and Development Direction - The company is focused on transforming into a brand retailer, with long-term targets set for retail expansion and brand strength [9][10] - Plans to open six new stores in North America in 2023, emphasizing flagship locations to enhance brand visibility [37][79] - The strategy includes improving the performance of existing stores to increase sales per square meter and overall profitability [25][59] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about demand recovery, particularly in the US and China, while acknowledging ongoing economic challenges [28][54] - The company is actively seeking to sell non-strategic assets to improve cash flow and fund growth initiatives [16][57] - The focus remains on maintaining cash reserves and navigating the current economic landscape without compromising long-term goals [110] Other Important Information - The company has no long-term debt, which is viewed positively in the current uncertain market environment [8] - The joint venture in China reported a profit of €400,000, down from €3.6 million in 2021, but still provided dividends [49] Q&A Session Summary Question: What is the current backlog status? - The backlog has returned to a physiological level of approximately €60 million, which is necessary for proper factory planning [74] Question: How is the company addressing the economic slowdown? - Management is focusing on improving same-store sales and enhancing the productivity of existing stores while planning new openings [59][107] Question: What are the expectations for gross margin post Factory 4.0? - The company anticipates that full deployment of Factory 4.0 could lead to significant improvements in gross margin, potentially reaching the low 40s in the future [102][106]

[Financial Performance Overview](index=2&type=section&id=Financial%20Performance%20Overview) This section provides an overview of the company's financial performance, strategic direction, and key results for Q4 and full year 2022 [Management Commentary](index=2&type=section&id=Management%20Commentary) Management emphasizes the 'Brand-Retailer' strategy and cost discipline, navigating a challenging market while achieving continued operating profit and accelerating retail channel growth - The company's core strategy is to transition into a '**Brand Retailer**', focusing on a dual-brand approach (Natuzzi Italia and Natuzzi Editions) and cost discipline to navigate a challenging macroeconomic environment[5](index=5&type=chunk)[6](index=6&type=chunk) - Branded business sales reached **92% of total sales**, up from 89% in the previous year. The retail value of this business was **€830 million** in 2023[7](index=7&type=chunk) - Sales from retail channels (Directly Operated Stores and Franchisees) grew to **61% of total sales**, an increase from 53% a year earlier, indicating progress in the retail-focused strategy[8](index=8&type=chunk) - The company plans significant retail expansion in 2023, with a focus on opening **6 Directly Operated Stores (DOS)** in the U.S. and approximately **100 new franchise stores** worldwide[14](index=14&type=chunk) [Fourth Quarter 2022 Highlights](index=2&type=section&id=Fourth%20Quarter%202022%20Highlights) Q4 2022 saw a slight increase in invoiced sales and improved gross margin, achieving operating profit despite a net loss driven by adverse foreign exchange and higher financing costs Q4 2022 Key Financial Metrics | Metric | Q4 2022 | Q4 2021 | Change | Note | | :--- | :--- | :--- | :--- | :--- | | Invoiced Sales | €116.5M | €115.6M | +0.7% | Increased 15.8% vs pre-pandemic Q4 2019 | | Gross Margin | 37.0% | 35.6% | +1.4 p.p. | Would be 38.8% excluding one-off restructuring costs | | Operating Profit | €1.8M | €0.6M | +200% | Would be €5.6M net of non-recurring items | | Loss After Taxes | (€5.3M) | N/A | N/A | Impacted by adverse FX (€2.4M) and financing costs (€2.7M) | [Full Year 2022 Highlights](index=2&type=section&id=Full%20Year%202022%20Highlights) Full year 2022 saw a 9.6% sales increase, significant operating profit improvement, and strong cash flow generation, resulting in a net profit despite higher financial costs Full Year 2022 Key Financial Metrics | Metric | FY 2022 | FY 2021 | Change | | :--- | :--- | :--- | :--- | | Invoiced Sales | €468.5M | €427.4M | +9.6% | | Gross Margin | 35.1% | 36.0% | -0.9 p.p. | | Operating Profit | €8.4M | €4.9M | +71.4% | | Net Profit | €1.3M | €4.4M | -70.5% | | Net Cash from Operating Activities | €18.7M | €0.5M | +3640% | | Cash at Year-End | €54.5M | €53.5M | +1.9% | [Fourth Quarter 2022 Financial Results](index=6&type=section&id=Fourth%20Quarter%202022%20Financial%20Results) This section details the consolidated revenue, gross margin, operating expenses, and net finance costs for the fourth quarter of 2022 [Consolidated Revenue](index=6&type=section&id=4Q%202022%20CONSOLIDATED%20REVENUE) Q4 2022 consolidated revenue increased slightly to €116.5 million, driven by branded product growth in Europe and Emerging Markets, despite a decline in Greater China due to COVID-19 - Total consolidated revenue for Q4 2022 was **€116.5 million**, a **0.7% increase** from Q4 2021 and a **15.8% increase** from the pre-pandemic Q4 2019[19](index=19&type=chunk) [Branded vs. Unbranded Business](index=6&type=section&id=Branded%20vs.%20Unbranded%20Business) Branded invoiced sales grew 5.0% to €103.9 million, driven by Natuzzi Italia, while Natuzzi Editions declined due to de-stocking and unbranded business significantly decreased as per strategic focus Q4 2022 Branded Sales Performance (€ millions) | Brand | Q4 2022 Sales | YoY Change | vs. Q4 2019 Change | | :--- | :--- | :--- | :--- | | Natuzzi Italia | €51.7 | +20.7% | +38.1% | | Natuzzi Editions | €52.1 | -7.0% | +19.2% | | **Total Branded** | **€103.9** | **+5.0%** | **+28.0%** | - Unbranded business sales decreased by **25.6%** to **€9.5 million** compared to Q4 2021, as the company focuses on selected large accounts with a more efficient go-to-market model[22](index=22&type=chunk) [Key Markets](index=7&type=section&id=Key%20Markets) Geographic sales varied, with strong growth in Europe and Emerging Markets, modest growth in North America, and a significant decline in Greater China due to COVID-19 disruptions Q4 2022 Invoiced Sales by Geographic Area (€ millions) | Region | Q4 2022 | Q4 2021 | YoY Change (%) | | :--- | :--- | :--- | :--- | | North America | 30.6 | 30.0 | +2.0% | | Greater China | 10.5 | 15.6 | -33.0% | | West & South Europe | 41.1 | 38.5 | +6.8% | | Emerging Markets | 16.6 | 14.0 | +18.6% | | Rest of the World | 14.6 | 13.5 | +7.6% | | **Total** | **113.4** | **111.7** | **+1.5%** | - The significant sales drop in Greater China was attributed to the high level of COVID contagions in the region, which severely impacted consumer traffic in stores[26](index=26&type=chunk) [Distribution Channels](index=8&type=section&id=Distribution%20Channels) The retail network's share of sales increased to 60.7%, driven by growth in DOS and franchise stores, while the wholesale channel declined due to de-stocking, reflecting the shift to a retail model - The retail network's share of invoiced sales increased to **60.7%** in Q4 2022 from 53.0% in Q4 2021, reflecting the success of the Brand Retailer strategy[31](index=31&type=chunk) - Sales from Directly Operated Stores (DOS) and Concessions rose **23.7%** to **€22.2 million**, while franchise store sales increased **12.8%** to **€46.6 million**[30](index=30&type=chunk) - Wholesale channel sales fell by **15.0%** to **€44.6 million**, primarily due to large distributors in North America reducing their stock levels[32](index=32&type=chunk) [Gross Margin](index=9&type=section&id=4Q%202022%20GROSS%20MARGIN) Q4 2022 gross margin improved to 37.0% due to favorable sales mix and price adjustments, despite persistent high costs for energy-intensive raw materials - Gross margin increased to **37.0%** in Q4 2022, up from 35.6% in Q4 2021[33](index=33&type=chunk) - Excluding **€2.1 million** in non-recurring labor restructuring costs, the gross margin would have been **38.8%**[34](index=34&type=chunk) - The cost of some raw materials, particularly energy-intensive ones like iron, wood, and polyurethane, remains high, while leather costs show a downward trend[35](index=35&type=chunk) [Operating Expenses](index=10&type=section&id=4Q%202022%20OPERATING%20EXPENSES) Q4 2022 operating expenses were €41.3 million (35.5% of revenue), including €1.7 million in non-recurring accruals, while transportation costs improved - Operating expenses were **€41.3 million** (**35.5% of revenue**), compared to €40.6 million (35.2% of revenue) in Q4 2021[37](index=37&type=chunk) - The quarter included **€1.7 million** in non-recurring accruals, including **€1.0 million** for a legal dispute in Brazil and costs related to an employee incentive plan and a stock option plan[38](index=38&type=chunk)[39](index=39&type=chunk) - Transportation costs as a percentage of revenue decreased to **12.5%** from 13.6% in Q4 2021[38](index=38&type=chunk) [Net Finance Income/(Costs)](index=11&type=section&id=4Q%202022%20NET%20FINANCE%20INCOME%2F(COSTS)) Q4 2022 saw net finance costs of €4.8 million, a significant shift from income, driven by rising interest rates and a €2.4 million net exchange rate loss due to Euro strengthening - Reported net finance costs of **€4.8 million**, compared to net finance income of €1.7 million in Q4 2021[40](index=40&type=chunk) - Finance costs increased to **€2.7 million** from €1.5 million in Q4 2021 due to rising interest rates[40](index=40&type=chunk) - A net exchange rate loss of **€2.4 million** was recorded, compared to a gain of €2.8 million in Q4 2021, due to the strengthening of the Euro[41](index=41&type=chunk) [Full Year 2022 Financial Results](index=11&type=section&id=Full%20Year%202022%20Financial%20Results) This section provides a summary of the company's key financial results for the full year 2022, including revenue, gross margin, operating profit, and net profit [Key Results Summary](index=11&type=section&id=KEY%20RESULTS%20SUMMARY%3A%20FULL%20YEAR%202022) Full year 2022 saw total revenue increase by 9.6% to €468.5 million, with operating profit significantly improving to €8.4 million, resulting in a net profit despite higher finance costs Full Year 2022 Performance Summary | Metric | FY 2022 | FY 2021 | Note | | :--- | :--- | :--- | :--- | | Total Revenue | €468.5M | €427.4M | +9.6% | | Gross Margin | 35.1% | 36.0% | Affected by high input costs | | Operating Profit | €8.4M | €4.9M | Includes €2.3M of non-recurring accruals | | Net Finance Costs | (€5.2M) | €0.3M (Income) | Driven by rising interest rates | | Profit After Tax | €1.3M | €4.4M | 2021 included a €5.0M one-off gain | [Financial Position and Cash Flow](index=12&type=section&id=Financial%20Position%20and%20Cash%20Flow) This section details the company's balance sheet and cash flow performance, highlighting improvements in cash generation and net financial position [Balance Sheet and Cash Flow](index=12&type=section&id=BALANCE%20SHEET%20AND%20CASH%20FLOW) The company significantly improved cash generation, with net cash from operating activities reaching €18.7 million, ending 2022 with €54.5 million in cash and an improved net financial position - Net cash provided by operating activities was **€18.7 million** in 2022, a substantial increase from €0.5 million in 2021[43](index=43&type=chunk) - Cash and cash equivalents stood at **€54.5 million** as of December 31, 2022[46](index=46&type=chunk) - The net financial position before lease liabilities improved to **€7.9 million** at the end of 2022, compared to (€0.1) million at the end of 2021[46](index=46&type=chunk) [Consolidated Financial Statements (Unaudited)](index=14&type=section&id=Consolidated%20Financial%20Statements%20(Unaudited)) This section presents the unaudited consolidated financial statements, including the statement of profit or loss, financial position, and cash flows for the periods presented [Statement of Profit or Loss (Q4 2022 vs Q4 2021)](index=14&type=section&id=Statement%20of%20Profit%20or%20Loss%20(Q4%202022%20vs%20Q4%202021)) The unaudited Q4 2022 consolidated profit or loss statement shows a slight revenue increase to €116.5 million, an operating profit of €1.8 million, and a net loss of €5.3 million Q4 2022 vs Q4 2021 Profit & Loss (€ millions) | | Fourth quarter ended on | Change | | :--- | :--- | :--- | | | 31-Dec-22 | 31-Dec-21 | % | | Revenue | 116.5 | 115.6 | 0.7% | | Gross profit | 43.1 | 41.2 | 4.6% | | Operating profit/(loss) | 1.8 | 0.6 | 200.0% | | Profit/(Loss) before tax | (4.6) | 3.1 | -248.4% | | Profit/(Loss) for the period | (5.3) | 1.9 | -378.9% | [Statement of Profit or Loss (FY 2022 vs FY 2021)](index=15&type=section&id=Statement%20of%20Profit%20or%20Loss%20(FY%202022%20vs%20FY%202021)) The unaudited FY 2022 consolidated profit or loss statement details revenue of €468.5 million, an operating profit of €8.4 million, and a net profit of €1.3 million FY 2022 vs FY 2021 Profit & Loss (€ millions) | | Twelve months ended on | Change | | :--- | :--- | :--- | | | 31-Dec-22 | 31-Dec-21 | % | | Revenue | 468.5 | 427.4 | 9.6% | | Gross profit | 164.3 | 153.8 | 6.8% | | Operating profit/(loss) | 8.4 | 4.9 | 71.4% | | Profit/(Loss) before tax | 3.6 | 8.8 | -59.1% | | Profit/(Loss) for the period | 1.3 | 4.4 | -70.5% | [Statement of Financial Position](index=16&type=section&id=Statement%20of%20Financial%20Position) The unaudited consolidated statement of financial position as of December 31, 2022, shows total assets of €368.6 million and total equity of €92.6 million Condensed Balance Sheet (€ millions) | | 31-Dec-22 | 31-Dec-21 | | :--- | :--- | :--- | | **ASSETS** | | | | Non-current assets | 177.6 | 189.6 | | Current assets | 191.0 | 200.4 | | **TOTAL ASSETS** | **368.6** | **390.0** | | **EQUITY AND LIABILITIES** | | | | Total Equity | 92.6 | 83.8 | | Non-current liabilities | 95.3 | 107.5 | | Current liabilities | 180.8 | 198.7 | | **TOTAL EQUITY AND LIABILITIES** | **368.6** | **390.0** | [Statement of Cash Flows](index=16&type=section&id=Statement%20of%20Cash%20Flows) The unaudited consolidated cash flow statement for FY 2022 highlights net cash provided by operating activities of €18.7 million, with cash used in investing and financing activities Condensed Cash Flow Statement (€ millions) | | 31-Dec-22 | 31-Dec-21 | | :--- | :--- | :--- | | Net cash provided by (used in) operating activities | 18.7 | 0.5 | | Net cash provided by (used in) investing activities | (4.7) | 7.0 | | Net cash provided by (used in) financing activities | (13.5) | (2.0) | | Increase (decrease) in cash and cash equivalents | 0.5 | 5.5 | | Cash and cash equivalents, end of the period | 52.7 | 52.2 |

Financial Data and Key Metrics Changes - The company reported revenue of EUR 160 million for Q3 2022, an increase of almost 50% compared to 2021, which was already a strong year with a 30% increase versus 2020 and a 32% increase versus 2019 [9] - The profit for Q3 2022 was EUR 4.1 million, compared to a loss of EUR 0.4 million in Q3 2021 and a loss of EUR 8.7 million in Q3 2019, indicating significant improvement [12] - The profit per American Depositary Receipt (ADR) was EUR 0.50, compared to a loss of EUR 0.35 in 2021 and EUR 1.05 in 2019 [14] - The company closed the quarter with a margin of 37.7%, up from 36.6% in 2021 and 28.7% in 2019, reflecting improved profitability despite rising costs [11] Business Line Data and Key Metrics Changes - Revenue from the branded business (Natuzzi Italia and Natuzzi Edition) was EUR 103 million, representing a 22.5% increase versus 2021 and a 57.6% increase versus 2019, indicating faster growth than overall revenue [10] Market Data and Key Metrics Changes - The company noted a slowdown in new orders since April, with both retail and client business experiencing lower-than-expected order volumes, a trend observed across the industry [16][18] Company Strategy and Development Direction - The company is focused on enhancing marginality and extracting more value for investors, with a commitment to a five-year growth plan despite challenging market conditions [11][18] - Management is implementing cost reduction measures, including a review of organizational structure and streamlining operations to improve efficiency and reduce G&A costs [47][50] Management Comments on Operating Environment and Future Outlook - Management acknowledged the ongoing headwinds affecting the business and emphasized the importance of maintaining operational efficiency and cash management during this period [16][49] - The company remains committed to its long-term strategy of becoming a leading high-end European brand globally, despite current challenges [50] Other Important Information - The company reported an additional EUR 2.8 million in energy costs due to spikes in energy prices, while transportation costs are normalizing but have not yet returned to pre-2019 levels [19][20] Q&A Session Summary Question: Can you speak specifically to what's going on in terms of lowering the cost of G&A? - Management is applying a methodology developed with McKinsey to tightly manage costs across all categories, including G&A, with a potential impact of EUR 3 million to EUR 4 million for the quarter [26][31] Question: What was the dollar amount of the impairment of a trade receivable? - The impairment of trade receivables for the third quarter was EUR 0.1 million [35] Question: How did North American direct-owned stores perform like-for-like? - Year-to-date, North American direct-owned stores are trending down 8% compared to 2021 but up 50% compared to 2019 [36] Question: Can you provide an update on the Factory 4.0 rollout? - The plan is to roll out Factory 4.0 in most Italian factories by next year, with potential relocations in China and expansions to Romania and Brazil [41][42]

Natuzzi S.p.A. (NYSE:NTZ) Q2 2022 Earnings Conference Call October 3, 2022 10:00 AM ET Company Participants Piero Direnzo - Investor Relations Antonio Achille - Chief Executive Officer Jason Camp - President Pasquale Natuzzi - Chairman Conference Call Participants David Kanen - Kanen Wealth Management George Melas-Kyriazi - MKH Management Operator Good day ladies and gentlemen. Thank you for standing by. Welcome to the Natuzzi Second Quarter 2022 Financial Results Conference Call. As a reminder, interested ...

[Executive Summary and Business Overview](index=2&type=section&id=Executive%20Summary%20and%20Business%20Overview) This section provides an overview of management's commentary and key financial highlights for Q2 2022 [Management Commentary](index=2&type=section&id=Management%20Commentary) Management reported H1 2022 sales growth despite headwinds, accelerating transformation and strengthening branded business - The Shanghai factory closure due to COVID-19 lockdowns resulted in an estimated **€15 million loss in production** for the quarter[5](index=5&type=chunk) - Since April, the company has experienced a slowdown in orders, primarily from the Wholesale channel, as retail partners focus on de-stocking amid softer consumer demand[7](index=7&type=chunk)[8](index=8&type=chunk) - The order backlog was intentionally reduced from **€114.4 million to €102.0 million** to improve delivery times and service levels[9](index=9&type=chunk) - The company's branded business (Natuzzi Italia and Natuzzi Editions) has grown to represent **90% of total business**, up from 84% a year ago[10](index=10&type=chunk) - The company is strengthening its management team by hiring experienced professionals for key roles, including a new global Chief Operations Officer and a South-West Europe & Emerging Market Director[15](index=15&type=chunk)[16](index=16&type=chunk) [Second Quarter 2022 Highlights](index=2&type=section&id=Second%20Quarter%202022%20Highlights) Q2 2022 saw 7.8% sales growth despite factory closure, with gross margin decline and positive operating profit Q2 2022 Financial Highlights | Metric | Q2 2022 | Q2 2021 | Change vs 2021 | Change vs 2019 | | :--- | :--- | :--- | :--- | :--- | | Invoiced Sales | - | - | +7.8% | +26.8% | | Gross Margin | 31.4% | 36.1% | -4.7 p.p. | +3.5 p.p. | | Operating Profit | €1.1 million | €1.5 million | -€0.4 million | +€8.9 million | | Cash | €59.8 million | - | +€6.3 million (vs Dec 2021) | +€20.0 million (vs Dec 2019) | [Q2 2022 Financial Performance](index=4&type=section&id=Q2%202022%20Financial%20Performance) Q2 2022 financial performance was marked by revenue growth, gross margin decline, and improved operating expense efficiency [Consolidated Revenue](index=4&type=section&id=2Q%202022%20Consolidated%20Revenue) Q2 2022 consolidated revenue grew 7.8% to €116.9 million, driven by branded business and retail channel expansion Q2 2022 Revenue Performance | Metric | Q2 2022 | Q2 2021 | Change | | :--- | :--- | :--- | :--- | | Consolidated Revenue | €116.9 M | €108.4 M | +7.8% | | Upholstered & Home Furnishings Sales | €112.0 M | €105.5 M | +6.2% | [Revenue by Business Segment](index=4&type=section&id=A.%20Branded%2FUnbranded%20business) Branded business sales increased 8.1% to **€98.7 million**, led by Natuzzi Italia, while other segments declined Q2 2022 Invoiced Sales by Brand (€ Million) | Brand Segment | Q2 2022 Sales | YoY Change | | :--- | :--- | :--- | | **Total Branded** | **€98.7 M** | **+8.1%** | | Natuzzi Italia | €53.6 M | +34.2% | | Natuzzi Editions | €45.1 M | -12.2% | | **Unbranded** | **€13.3 M** | **-5.9%** | [Revenue by Key Markets](index=5&type=section&id=B.%20Key%20Markets) Sales growth was strong in West & South Europe and Greater China, while North America and Emerging Markets saw declines Q2 2022 Invoiced Sales by Geography (€ Million) | Region | Q2 2022 | Q2 2021 | YoY Change | | :--- | :--- | :--- | :--- | | North America | 31.3 | 35.2 | -11.0% | | Greater China | 13.3 | 10.7 | +24.1% | | West & South Europe | 40.6 | 31.8 | +27.4% | | Emerging Markets | 13.1 | 14.1 | -7.3% | | Rest of the World | 13.7 | 13.6 | +1.0% | | **Total** | **112.0** | **105.5** | **+6.2%** | [Revenue by Distribution Channel](index=5&type=section&id=C.%20Distribution) Retail network contribution increased to **61.2%**, driven by strong growth in franchise and direct retail sales - The retail network (Directly Operated Stores and Franchise Operated Stores) contribution to total business increased to **61.2%** in Q2 2022 from 50.1% in Q2 2021[28](index=28&type=chunk) - In the first half of 2022, the company added **49 new franchise stores**, with 38 located in China[29](index=29&type=chunk) Q2 2022 Sales by Channel vs Q2 2021 | Channel | Q2 2022 Sales | YoY Change | | :--- | :--- | :--- | | Direct Retail (DOS) | €22.0 M | +14.1% | | Franchise Stores (FOS) | €46.6 M | +38.8% | | Wholesale | €43.4 M | -17.5% | [Gross Margin](index=7&type=section&id=2Q%202022%20Gross%20margin) Gross margin declined to **31.4%** in Q2 2022 due to rising costs and inefficient fixed cost absorption - Gross margin decreased to **31.4%** in Q2 2022 from 36.1% in Q2 2021[33](index=33&type=chunk) - The margin decline was caused by rising raw material and energy costs, alongside inefficient fixed cost leverage in the Shanghai plant due to the lockdown[33](index=33&type=chunk) - There is a time lag between incurring higher input costs and realizing price increases on delivered sales, which has negatively affected margins during this period of high inflation[34](index=34&type=chunk) [Operating Expenses](index=7&type=section&id=2Q%202022%20Operating%20expenses) Operating expenses decreased to **30.5%** of revenue in Q2 2022, driven by lower transportation costs Operating Expenses Comparison | Metric | Q2 2022 | Q2 2021 | | :--- | :--- | :--- | | Operating Expenses | €35.6 M | €37.7 M | | OpEx as % of Revenue | 30.5% | 34.8% | - Transportation costs decreased to **11.1% of revenue** from 12.9% in Q2 2021, partly due to a different geographic mix of deliveries[36](index=36&type=chunk) - Q2 2021 operating results included approximately **€1.4 million** in benefits from COVID-19 government support programs, which were not available in Q2 2022[37](index=37&type=chunk)[38](index=38&type=chunk) [First Half 2022 Performance Summary](index=8&type=section&id=KEY%20RESULTS%20SUMMARY%3A%20FIRST%20SIX%20MONTHS%20OF%202022) H1 2022 revenue grew **12.1%** to **€235.4 million**, with gross margin compression and lower profitability H1 2022 vs H1 2021 Key Financials | Metric | H1 2022 | H1 2021 | | :--- | :--- | :--- | | Total Revenue | €235.4 M | €209.9 M | | Gross Margin | 32.8% | 36.2% | | Operating Profit | €2.5 M | €4.8 M | | Profit After Tax | €0.7 M | €5.9 M | - The H1 2021 operating profit included **€4.2 million** from temporary public support measures related to labor costs, which were not renewed in 2022[41](index=41&type=chunk) - The H1 2021 profit after tax included a one-off gain of **€4.8 million** from the disposal of a subsidiary[42](index=42&type=chunk) [Balance Sheet and Cash Flow](index=8&type=section&id=Balance%20sheet%20and%20cash%20flow) The company generated **€10.2 million** in operating cash flow, increasing cash to **€59.8 million** and improving its net financial position - Net cash provided by operating activities for the first six months of 2022 was **€10.2 million**[43](index=43&type=chunk) - Investing activities used **(€3.6) million**, primarily for capital expenditures[45](index=45&type=chunk) - Financing activities used **(€1.9) million**, reflecting loan and lease repayments partially offset by a new government loan and a capital contribution from a partner[46](index=46&type=chunk) Cash and Financial Position (€ Million) | Metric | June 30, 2022 | Dec 31, 2021 | | :--- | :--- | :--- | | Cash and Cash Equivalents | 59.8 | 53.5 | | Net Financial Position (before lease liabilities) | 7.6 | (0.1) | [Consolidated Financial Statements](index=9&type=section&id=Consolidated%20Financial%20Statements) This section provides the unaudited consolidated statements of profit or loss, financial position, and cash flows for the period [Statement of Profit or Loss (Q2 2022)](index=9&type=section&id=Unaudited%20consolidated%20statement%20of%20profit%20or%20loss%20for%20the%20second%20quarter) Q2 2022 revenue was **€116.9 million**, resulting in an operating profit of **€1.1 million** and a net loss of **€0.6 million** Q2 2022 Profit & Loss Summary (€ Million) | Item | Q2 2022 | Q2 2021 | | :--- | :--- | :--- | | Revenue | 116.9 | 108.4 | | Gross profit | 36.7 | 39.2 | | Operating profit/(loss) | 1.1 | 1.5 | | Profit/(Loss) for the period | (0.6) | (0.1) | | Profit/(Loss) attributable to Owners | (1.0) | 0.2 | [Statement of Profit or Loss (H1 2022)](index=9&type=section&id=Unaudited%20consolidated%20statement%20of%20profit%20or%20loss%20for%20the%20six%20months) H1 2022 revenue reached **€235.4 million**, yielding an operating profit of **€2.5 million** and a net profit of **€0.7 million** H1 2022 Profit & Loss Summary (€ Million) | Item | H1 2022 | H1 2021 | | :--- | :--- | :--- | | Revenue | 235.4 | 209.9 | | Gross profit | 77.3 | 76.0 | | Operating profit/(loss) | 2.5 | 4.8 | | Profit/(Loss) for the period | 0.7 | 5.9 | | Profit/(Loss) attributable to Owners | (0.0) | 5.8 | [Statement of Financial Position](index=11&type=section&id=Unaudited%20consolidated%20statements%20of%20financial%20position) As of June 30, 2022, total assets and total equity and liabilities both stood at **€390.0 million** Condensed Balance Sheet (€ Million) | Item | 30-Jun-22 | 31-Dec-21 | | :--- | :--- | :--- | | Total Assets | 390.0 | 398.1 | | Total Equity and Liabilities | 390.0 | 398.1 | | Equity attributable to Owners | 82.3 | 90.4 | [Statement of Cash Flows](index=11&type=section&id=Unaudited%20consolidated%20statements%20of%20cash%20flows) H1 2022 operating activities generated **€10.2 million** in cash, leading to a **€4.7 million** net increase in cash and equivalents Condensed Cash Flow Statement - H1 2022 (€ Million) | Item | H1 2022 | | :--- | :--- | | Net cash from operating activities | 10.2 | | Net cash from investing activities | (3.6) | | Net cash from financing activities | (1.9) | | Increase in cash and cash equivalents | 4.7 | [Other Information](index=12&type=section&id=Other%20Information) This section provides cautionary statements regarding forward-looking information and an overview of Natuzzi S.p.A [Cautionary Statement Concerning Forward-Looking Statements](index=12&type=section&id=CAUTIONARY%20STATEMENT%20CONCERNING%20FORWARD-LOOKING%20STATEMENTS) This statement warns that forward-looking information is subject to risks like supply chain, raw material costs, and geopolitical events - The company identifies several forward-looking risks, including supply-chain issues, raw material costs, COVID-19 impacts on the economy and demand, and geopolitical tensions from the war in Ukraine[55](index=55&type=chunk) [About Natuzzi S.p.A.](index=12&type=section&id=About%20Natuzzi%20S.p.A.) Natuzzi S.p.A., founded in 1959, is a luxury furniture brand with a global retail network, listed on NYSE since 1993 - As of June 30, 2022, Natuzzi's global retail network consists of **700 mono-brand stores** and **566 galleries**[56](index=56&type=chunk) - The company has been listed on the New York Stock Exchange (NYSE) since May 13, 1993[56](index=56&type=chunk)

Natuzzi S.p.A. (NYSE:NTZ) Q1 2022 Earnings Conference Call May 31, 2022 10:00 AM ET Company Participants Piero Direnzo - Investor Relations Antonio Achille - Chief Executive Officer Jason Camp - President Pasquale Natuzzi - Chairman Conference Call Participants Dave Kanen - Kanen Wealth Management Operator Good day ladies and gentlemen. Thank you for standing by. Welcome to the Natuzzi First Quarter 2022 Financial Results Conference Call. As a reminder, if you like to join via telephone you may do so by dia ...

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 2022 Commission File Number 1-11854 NATUZZI S.p.A. (Translation of registrant's name into English) If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): Natuzzi Filed Its Annual Report on Form 20-F With the SEC SANTERAMO IN COLLE, Bari, Italy--(BUSINESS WIRE)--May 2, ...

Table of Contents Natuzzi S.p.A Annual Report on Form 20-F 2021 Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 20-F ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended: December 31, 2021 Commission file number: 001-11854 NATUZZI S.p.A. (Exact name of Registrant as specified in its charter) Republic of Italy (Jurisdiction of incorporation or organization) Via Iazzitiello 47, 70029, Santeramo in Colle, B ...

Natuzzi S.p.A. (NYSE:NTZ) Q4 2021 Earnings Conference Call April 11, 2022 10:00 AM ET Company Participants Piero Direnzo - Investor Relations Antonio Achille - Chief Executive Officer Pasquale Natuzzi - Chairman Jason Camp - President of Natuzzi Americas Conference Call Participants David Kanen - Kanen Wealth Management George Melas-Kyriazi - MKH Management Robert Marcin - Penn Capital Operator Good day, ladies and gentlemen, and thank you for standing by. Welcome to the Natuzzi Fourth Quarter and Full Year ...