The company noted that the consolidated revenue result was 15% down from the third quarter of pre-pandemic 2019. Declines were attributed to “macroeconomic and industry-specific challenges” that resulted in reduced consumer spending.

Excluding “other sales”, invoiced sales from upholstered and other home furnishings products totalled €73 million in the quarter, down 36% year-on-year and 12.8% on the same period of 2019.

Invoiced sales for the company’s luxury furniture brand Natuzzi Italia were down by 29.3% to €30.2 million, with a decline of 3.5% on Q3 2019. Meanwhile, invoiced sales for Natuzzi Editions totalled €38.4 million, a drop of 37% year-on-year and up by 11.6% on 2019.

In North America, the company’s upholstery and home-furnishings invoiced sales were down by 42.5% year-on-year to €21.5 million. Greater China had a decline of 58.1% to €8.4 million, while West & South Europe dropped by 20.4% to €21.1 million, Emerging Markets reported a decline of 29.8% to €9.8 million and the Rest of World (including South and Central America and the rest of APAC) declined by 24.2% to €12.2 million.

The net result for the period was a loss of €1.4 million against income of €1.6 million in the same period of 2022.

For the first nine months of the year as a whole, total revenue was €244.5 million, dropping by 30.5% year-on-year and 14.6% on 2019. The net financial result for 2023 so far is a loss of €5.6 million against a loss of €0.4 million in the same period of 2022.

Group CEO Antonio Achille said: “The persistent challenges that have characterised the last 18 months of the global economy require us to streamline our cost structure while continuing investing in our growth platform.

“At the same time, we are committed not to decelerate from those investments needed to bring our growth to the next level and to enhance our marginality. These investments are primarily concentrated in two areas for Natuzzi: retail expansion and improvement of our operations. During the first nine months of 2023, we invested €10.6 million, of which €4.2 million in retail and €6.4 million in the operations.

“As the duration and intensity of the furniture industry’s current weakness remain uncertain, it becomes paramount, as we approach 2024, to focus our efforts on tightening cost control and increasing financial discipline to ensure that we can navigate this challenging business climate with resilience.”