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 March, 2010

  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 S.p.A. Reports Fourth Quarter and Full Year 2009 Financial Results

SANTERAMO IN COLLE, Bari, Italy--(BUSINESS WIRE)--March 25, 2010--The Board of Directors of Natuzzi S.p.A. (NYSE:NTZ), a world leading furniture Company, today announced the financial results for the fourth quarter and full year 2009.

Fourth Quarter 2009 Summary

Fourth Quarter 2009 Financial Results

Net sales for the fourth quarter of 2009 totaled € 152.1 million decreasing by 16.5% compared to the same quarter of last year but a clear recovery with respect to the previous quarters of 2009, that confirms the effectiveness of the actions taken to face the global economic crisis. Upholstery Net sales were € 133.9 million compared to € 161.1 million in fourth quarter of 2008. The contribution by geographic area was: Europe 45.6% (excluding Italy); Americas 32.8%; Italy 11.4% and Rest of the World 10.2%.

Industrial Margin totaled € 59.3 million, increasing from 32.0% in 2008 to 39.0% in 2009 as a percentage of net sales. Such improvement is mainly due to a raw material price reduction and to an improvement in materials consumption.

Operating income was € 2.1 million compared to an operating loss of € 5.5 million in 4Q 2008.

Full Year 2009 Financial Result

Net sales for full year 2009 were € 515.4 million, decreasing by 22.6% with respect to € 666.0 million reported in 2008. Upholstery Sales were € 450.6 million down by 23.3% from € 587.8 million in 2008. The contribution by geographic area was: Europe 46.7% (excluding Italy); Americas 31.0%; Italy 11.9% and Rest of the World 10.4%.

For full year 2009 the Group reported an Industrial margin of € 185.6 million, or 36.0% on total net sales, up from 28.1% in 2008. Operating Loss was € 10.6 million compared to an operating loss of € 35.0 million reported in 2008.

The Group reported a Net Result of € 17.7 million for full year 2009 as compared with a net loss of € 61.9 million for 2008, with an improvement of approximately € 44.2 million.

Balance Sheet Highlights

Natuzzi Group ended Year 2009 with a Net Financial Position of € 58.5 million. Net cash increase of € 24.7 million was mainly due to a reduction in working capital. Long term debt totaled € 5.9 million. Shareholder’s Equity was € 325.0 million.

Pasquale Natuzzi, Chairman and CEO, commented: “We are very pleased with the Natuzzi Group positive trend in the key economic margins occurred during 2009. The 2009 EBIT at Group level, although still negative, recorded a significant improvement with respect to the previous year. Such result, achieved despite decreasing sales as a consequence of the ongoing global crisis, is mainly due to the deep restructuring process started in 2009 and still in progress.

We are aware that a strong work must be done to get a positive EBIT in 2010, considering also the uncertainties of current economic environment. Bringing the Group back to profitability is an ambitious but a reachable goal toward which the whole management is fully committed”.

The Company will host a conference call on Friday March 26, 2010 at 10:00 a.m. Eastern Time to discuss fourth quarter and full year 2009 financial results. A live web cast of the conference call will be available online at http://www.natuzzi.com/ under the Investor Relations section. A replay will be available for 30 days following the live call at 888-203-1112 in North America and 719-457-0820 International; Pin Number 4291259.

About Natuzzi

Founded in 1959 by Pasquale Natuzzi, Natuzzi S.p.A. designs and manufactures a broad collection of residential upholstered furniture. With consolidated revenues of EUR 515.4 million in 2009, Natuzzi is Italy's largest furniture manufacturer. Natuzzi Group exports its innovative high-quality sofas and armchairs to 123 markets on five continents under two brands, Natuzzi and Italsofa. Cutting-edge design, superior Italian craftsmanship and advanced, vertically integrated manufacturing operations underpin the Company's market leadership. Natuzzi S.p.A. has been listed on the New York Stock Exchange since May 1993. The Company is ISO 9001 and 14001 certified.

Forward looking statement

Statements in this press release other than statements of historical fact are “forward-looking statements”. Forward–looking statements are based on management’s current expectations and beliefs and therefore you should not place undue reliance on them. These statements are subject to a number of risks and uncertainties, including risks that may not be subject to the Group’s control, that could cause actual results to differ materially from those contained in any forward-looking statement. These risks include, but are not limited to, fluctuations in exchange rates, economic and weather factors affecting consumer spending, competitive and regulatory environment, as well as other political, economical and technological factors, and other risks identified from time to time in the Group’s filings with the Securities and Exchange Commission, particularly in the Group’s annual report on Form 20-F. Forward looking statements speak as of the date they were made, and the Group undertakes no obligation to update publicly any of them in light of new information or future events.

Tables follows

  Natuzzi S.p.A. and Subsidiaries    
Consolidated Profit & Loss for year ended on December 31, 2009 and 2008 on the basis of Italian GAAP
(expressed in millions Euro except for share data)
               
Three months ended on Change Percent of Sales
  31 December 09

31 December 08

% 31 December 09 31 Dcember 08
 
Upholstery net sales 133,9 161,1 -16,9% 88,0% 88,5%
Other sales 18,2 21,0 -13,4% 12,0% 11,5%
Total Net Sales 152,1 182,1 -16,5% 100,0% 100,0%
 
Purchases (57,4) (74,2) -22,7% -37,7% -40,8%
Labor (20,8) (20,8) 0,2% -13,7% -11,4%
Third-party manufacturers (4,6) (4,6) -1,0% -3,0% -2,6%
Manufacturing costs (8,9) (12,6) -29,3% -5,9% -6,9%
Net Inventoris (1,1) (11,6) -90,5% -0,7% -6,3%
Cost of Sales (92,8) (123,8) -25,0% -61,0% -68,0%
           
Industrial Margin 59,3 58,4 1,5% 39,0% 32,0%
 
Selling Expenses (44,7) (48,9) -8,6% -29,4% -26,8%
G&A Expenses (12,5) (14,9) -16,3% -8,2% -8,2%
           
Operating Income/(Loss) 2,1 (5,5) -137,6% 1,4% -3,0%
 
Interest Income/(Costs), Net (0,3) 0,1 -400,0% -0,2% 0,1%
Foreign Exchange, Net 1,1 (2,9) -137,9% 0,7% -1,6%
Other Income/(Cost), Net (2,0) (12,5) -84,0% -1,3% -6,9%
           
Earning before Income Taxes 0,9 (20,8) 104,1% 0,6% -11,4%
 
Current taxes (3,3) 0,7 -2,2% 0,4%
           
Net result (2,4) (20,0) 87,8% -1,6% -11,0%
 
Minority interest 0,1 (0,2)
           
Net Group Result (2,5) (19,8) 87,2% -1,7% -10,9%
           
Net Group Result per Share (0,05) (0,36)      
 
Outstanding Shares 54 824 277 54 824 277
           
Key Figures in U.S. dollars Three months ended on Change Percent of Sales
(millions) 31 December 09 31 Dcember 08 % 31 December 09 31 Dcember 08
 
Total Net Sales 224,5 269,0 -16,5% 100,0% 100,0%
Gross Profit 87,5 86,2 1,5% 39,0% 32,0%
Operating Income (Loss) 3,0 (8,1) -137,6% 1,4% -3,0%
Net Group Result (3,8) (29,3) 87,2% -1,7% -10,9%
Net Group Result per Share (0,1) (0,5)
 
Average exchange rate (U.S.$ per €) 1,4766
             
UPHOLSTERY NET SALES BREAKDOWN
     
Geographic breakdown
Net sales million euro Net sales seats
                               
3 months ended on 3 months ended on
                               
  31-déc-09     31-déc-08     Change %   31-déc-09     31-déc-08     Change %
 
Americas 43,9 32,8% 62,7 38,9% -29,9% 245 578 43,3% 352 475 48,1% -30,3%
Natuzzi 22,4 16,7% 32,5 20,1% -31,0% 104 441 18,4% 152 827 20,9% -31,7%
Italsofa 21,5 16,1% 30,2 18,7% -28,8% 141 137 24,9% 199 648 27,2% -29,3%
 
Europe 61,0 45,6% 67,9 42,1% -10,2% 216 769 38,2% 263 237 35,9% -17,7%
Natuzzi 30,1 22,5% 33,5 20,8% -10,2% 62 820 11,1% 79 312 10,8% -20,8%
Italsofa 30,9 23,1% 34,4 21,3% -10,1% 153 949 27,2% 183 925 25,1% -16,3%
 
Italy (Natuzzi) 15,2 11,4% 15,9 9,9% -4,4% 47 421 8,4% 52 528 7,2% -9,7%
 
Rest of the world 13,7 10,2% 14,6 9,1% -6,1% 57 090 10,1% 64 466 8,8% -11,4%
Natuzzi 8,1 6,0% 7,1 4,4% 13,5% 20 132 3,6% 17 703 2,4% 13,7%
Italsofa 5,6 4,2% 7,5 4,7% -24,6% 36 959 6,5% 46 763 6,4% -21,0%
                               
Total 133,9 100,0% 161,1 100,0% -16,9% 566 858 100,0% 732 705 100,0% -22,6%
                               
 
Brands breakdown

Net sales million euro

 

Net sales seats

                               
3 months ended on 3 months ended on
                               
  31-déc-09     31-déc-08     Change %   31-déc-09     31-déc-08     Change %
 
Natuzzi 75,8 56,6% 89,0 55,3% -14,9% 234 814 41,4% 302 370 41,3% -22,3%
 
Italsofa 58,1 43,4% 72,1 44,7% -19,4% 332 044 58,6% 430 335 58,7% -22,8%
                               
Total 133,9 100,0% 161,1 100,0% -16,9% 566 858 100,0% 732 705 100,0% -22,6%
     
Natuzzi S.p.A. and Subsidiaries
Consolidated Profit & Loss for year ended on December 31, 2009 and 2008 on the basis of Italian GAAP
(expressed in millions Euro except for share data)
                 
Twelve months ended on Change Percent of Sales
  31 December 09

31 December 08

%   31 December 09

31 December 08

 
Upholstery net sales 450,6 587,8 -23,3% 87,4% 88,3%
Other sales 64,8 78,2 -17,2%   12,6% 11,7%
Total Net Sales 515,4 666,0 -22,6%   100,0% 100,0%
 
Purchases (195,8) (301,8) -35,1% -38,0% -45,3%
Labor (78,5) (97,7) -19,7% -15,2% -14,7%
Third-party manufacturers (10,6) (18,5) -42,6% -2,1% -2,8%
Manufacturing costs (34,4) (45,5) -24,4% -6,7% -6,8%
Net Inventoris (10,4) (15,3) -31,6%   -2,0% -2,3%
Cost of Sales (329,7) (478,8) -31,1%   -64,0% -71,9%
             
Industrial Margin 185,6 187,3 -0,9%   36,0% 28,1%
 
Selling Expenses (149,6) (172,3) -13,2% -29,0% -25,9%
G&A Expenses (46,6) (49,9) -6,6% -9,0% -7,5%
             
Operating Income/(Loss) (10,6) (35,0) -69,8%   -2,1% -5,3%
 
Interest Income/(Costs), Net (1,1) (0,2) 356,4% -0,2% 0,0%
Foreign Exchange, Net 6,9 (11,1) -162,4% 1,3% -1,7%
Other Income/(Cost), Net (2,7) (14,5) -81,4% -0,5% -2,2%
             
Earning before Income Taxes (7,5) (60,8) -87,7%   -1,5% -9,1%
 
Current taxes (9,8) (1,6) -1,9% -0,2%
             
Net result (17,3) (62,4) -72,3%   -3,4% -9,4%
 
Minority interest 0,4 (0,5)
             
Net Group Result (17,7) (61,9) -71,4%   -3,4% -9,3%
             
Net Group Result per Share (0,32) (1,13)        
 
Outstanding Shares 54 824 277 54 824 277
             
Key Figures in U.S. dollars Twelve months ended on Change Percent of Sales
(millions) 31 December 09

31 December 08

%   31 December 09

31 December 08

 
Total Net Sales 718,8 929,0 -22,6% 100,0% 100,0%
Gross Profit 258,9 261,2 -0,9% 36,0% 28,1%
Operating Income (Loss) (14,8) (48,8) 69,8% -2,1% -5,3%
Net Group Result (24,7) (86,3) 71,4% -3,4% -9,3%
Net Group Result per Share (0,4) (1,6)
 
Average exchange rate (U.S.$ per €) 1,3948
             
UPHOLSTERY NET SALES BREAKDOWN
     
Geographic breakdown
Net sales million euro Net sales seats
                               
12 months ended on 12 months ended on
                               
  31-déc-09     31-déc-08     Change %   31-déc-09     31-déc-08     Change %
 
Americas 139,9 31,0% 208,6 35,5% -32,9% 785 156 40,8% 1 272 560 46,7% -38,3%
Natuzzi & Editions 71,7 15,9% 110,4 18,8% -35,1% 332 910 17,3% 554 493 20,4% -40,0%
Italsofa 68,2 15,1% 98,2 16,7% -30,6% 452 246 23,5% 718 067 26,4% -37,0%
 
Europe 210,2 46,7% 258,0 43,9% -18,5% 776 057 40,4% 1 006 316 37,0% -22,9%
Natuzzi 106,6 23,7% 131,1 22,3% -18,7% 248 536 12,9% 323 422 11,9% -23,2%
Italsofa 103,6 23,0% 126,9 21,6% -18,3% 527 521 27,4% 682 895 25,1% -22,8%
 
Italy (Natuzzi) 53,5 11,9% 65,7 11,2% -18,7% 167 046 8,7% 205 623 7,6% -18,8%
 
Rest of the world 47,0 10,4% 55,5 9,4% -15,2% 194 961 10,1% 237 809 8,7% -18,0%
Natuzzi 27,8 6,2% 32,9 5,6% -15,4% 70 855 3,7% 90 430 3,3% -21,6%
Italsofa 19,2 4,3% 22,6 3,8% -15,0% 124 106 6,5% 147 379 5,4% -15,8%
                               
Total 450,6 100,0% 587,8 100,0% -23,3% 1 923 220 100,0% 2 722 307 100,0% -29,4%
                               
 
Brands breakdown
Net sales million euro Net sales seats
                               
12 months ended on 12 months ended on
                               
  31-déc-09     31-déc-08     Change %   31-déc-09     31-déc-08     Change %
 
Natuzzi 259,6 57,6% 340,2 57,9% -23,7% 819 347 42,6% 1 173 967 43,1% -30,2%
 
Italsofa 191,0 42,4% 247,6 42,1% -22,9% 1 103 873 57,4% 1 548 340 56,9% -28,7%
                               
Total 450,6 100,0% 587,8 100,0% -23,3% 1 923 220 100,0% 2 722 307 100,0% -29,4%
 
Natuzzi S.p.A. and Subsidiaries
Consolidated Balance Sheets
(Expressed in millions of euro)
 
ASSETS 31 Dec 09   31 Dec 08
 
Current assets:
Cash and cash equivalents 66,3 47,3
Marketable debt securities 0,0 0,0
Trade receivables, net 97,1 122,8
Other receivables 54,4 46,2
Inventories 81,6 92,0
Unrealized foreign exchange gains 0,3 4,7
Prepaid expenses and accrued income 1,4 1,3
Deferred income taxes 0,7 4,2
       
Total current assets 301,8   318,5
 
Non current assets:
Net property, plant and equipment 193,8 211,8
Other assets 12,7 13,5
       
Total current assets 206,5   225,3
 
TOTAL ASSETS 508,3   543,8
 
LIABILITIES AND SHAREHOLDERS' EQUITY      
 
Current liabilities:
Short-term borrowings 0,8 9,7
Current portion of long-term debt 1,1 0,5
Accounts payable-trade 66,5 68,6
Accounts payable-other 29,3 29,2
Unrealized foreign exchange losses 0,4 9,2
Accounts payable-shareholders for dividends 0,0 0,5
Income taxes 3,7 1,8
Salaries, wages and related liabilities 12,5 16,8
       
Total current liabilities 114,3   136,3
 
Long-term liabilities:
Employees' leaving entitlement 29,6 31,7
Long-term debt 5,9 3,3
Deferred income for capital grants 11,2 12,1
Other liabilities 20,4 14,4
       
Total long-term liabilities 67,1   61,5
       
Minority interest 1,9   0,8
 
Shareholders' equity:
Share capital 54,9 54,9
Reserves 42,8 42,8
Additional paid-in capital 8,3 8,3
Retained earnings 219,0 239,2
       
Total shareholders' equity 325,0   345,2
 
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY 508,3   543,8
   
Natuzzi S.p.A. and Subsidiaries
Consolidated Statements of Cash Flows
 
(Expressed in million of euro)
31 Dec 09   31 Dec 08
Cash flows from operating activities:
Net earnings (loss) (17,7) (61,9)
 
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation and amortization 26,8 30,5
Employees' leaving entitlement (2,1) (1,7)
Deferred income taxes 3,7 (3,1)
Minority interest 0,4 (0,4)
(Gain) loss on disposal of assets (0,1) 2,1
Unrealized foreign exchange losses and gains (4,4) 5,4
Impairment of long lived assets - 5,3
Deferred income for capital grants (1,0) (1,0)
Non monetary operating costs 23,3 37,1
 
Change in assets and liabilities:
Receivables, net 25,7 (5,1)
Inventories 10,4 15,3
Prepaid expenses and accrued income (0,2) 0,6
Other assets (8,2) 1,7
Accounts payable (2,1) (20,7)
Income taxes 1,9 0,2
Salaries, wages and related liabilities (4,3) (0,7)
Other liabilities 3,2 0,4
 
Net working capital 26,4 (8,3)
 
Net cash provided by operating activities 32,0   (33,1)
 
Cash flows from investing activities:
Property, plant and equipment:
Additions (9,2) (15,2)
Disposals 0,2 0,2
Government grants received 1,9 1,4
Marketable debt securities:
Proceeds from sales - -
Purchase of business, net of cash acquired - -
Disposal of business - 1,1
 
Net cash used in investing activities (7,1)   (12,5)
 
Cash flows from financing activities:
Long-term debt:
Proceeds 3,9 2,0
Repayments (0,7) (0,7)
Short-term borrowings (8,9) 2,1
Capital injection - 0,5
Dividends paid to minority interests - -
 
Net cash used in financing activities (5,7) 4,0
 
Effect of translation adjustments on cash (0,2) 1,4
 
Increase (decrease) in cash and cash equivalents 19,0 (40,2)
 
Cash and cash equivalents, beginning of the year 47,3 87,5
 
Cash and cash equivalents, end of the year 66,3   47,3

CONTACT:
Natuzzi
Investor Relations
Silvia Di Rosa
+39 335 78 64 209
sdirosa@natuzzi.com
or
Natuzzi
Media Relations
Paola Peretti
+39 334 63 09 967
pperetti@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: March 25, 2010

 

 

 

By:

/s/ Pasquale Natuzzi

Pasquale Natuzzi